IDEAS home Printed from https://ideas.repec.org/a/eee/iburev/v5y1996i4p395-421.html
   My bibliography  Save this article

Standardisation, centralisation and marketing in multinational companies

Author

Listed:
  • Quester, P. G.
  • Conduit, J.

Abstract

The literature on multinational companies (MNCs) seems to assume that when a company is centralised, it also implements identical marketing strategies. In other words, centralisation and marketing standardisation are assumed to be correlated. There is, however, very little empirical evidence to support this view. The study presented here investigates this issue, based on a mail survey of some 200 Australian subsidiaries of MNCs. A response rate of 52% enabled the researchers to conclude that standardisation is usually consistent across products and services within any one firm and, more surprisingly, that standardisation and centralisation are not correlated at the firm level, suggesting a review of a fundamental assumption made in the literature on multinational companies.

Suggested Citation

  • Quester, P. G. & Conduit, J., 1996. "Standardisation, centralisation and marketing in multinational companies," International Business Review, Elsevier, vol. 5(4), pages 395-421, August.
  • Handle: RePEc:eee:iburev:v:5:y:1996:i:4:p:395-421
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/0969593196000200
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Patrick Bolton & Mathias Dewatripont, 1994. "The Firm as a Communication Network," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(4), pages 809-839.
    2. Sumantra Ghoshal & Harry Korine & Gabriel Szulanski, 1994. "Interunit Communication in Multinational Corporations," Management Science, INFORMS, vol. 40(1), pages 96-110, January.
    3. Peter G P Walters, 1986. "International Marketing Policy: A Discussion of the Standardization Construct and its Relevance for Corporate Policy," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 17(2), pages 55-69, June.
    4. S Tamer Cavusgil & Shaoming Zou & G M Naidu, 1993. "Product and Promoting Adaptation in Export Ventures: An Empirical Investigation," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 24(3), pages 479-506, September.
    5. Nitin Nohria & Sumantra Ghoshal, 1994. "Differentiated fit and shared values: Alternatives for managing headquarters‐subsidiary relations," Strategic Management Journal, Wiley Blackwell, vol. 15(6), pages 491-502, July.
    6. Saeed Samiee, 1994. "Customer Evaluation of Products in a Global Market," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 25(3), pages 579-604, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Samiee, Saeed & Jeong, Insik & Pae, Jae Hyeon & Tai, Susan, 2003. "Advertising standardization in multinational corporations: The subsidiary perspective," Journal of Business Research, Elsevier, vol. 56(8), pages 613-626, August.
    2. Theodosiou, Marios & Leonidou, Leonidas C., 2003. "Standardization versus adaptation of international marketing strategy: an integrative assessment of the empirical research," International Business Review, Elsevier, vol. 12(2), pages 141-171, April.
    3. Matanda, Tandadzo & Ewing, Michael T., 2012. "The process of global brand strategy development and regional implementation," International Journal of Research in Marketing, Elsevier, vol. 29(1), pages 5-12.
    4. Boojihawon, Dev Kumar & Richeri, Augusto & Liu, Yipeng & Chicksand, Daniel, 2021. "Agile route-to-market distribution strategies in emerging markets: The case of Paraguay," Journal of International Management, Elsevier, vol. 27(1).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kotler, Philip & Manrai, Lalita A. & Lascu, Dana-Nicoleta & Manrai, Ajay K., 2019. "Influence of country and company characteristics on international business decisions: A review, conceptual model, and propositions," International Business Review, Elsevier, vol. 28(3), pages 482-498.
    2. Zeng, Rong & Grøgaard, Birgitte & Steel, Piers, 2018. "Complements or substitutes? A meta-analysis of the role of integration mechanisms for knowledge transfer in the MNE network," Journal of World Business, Elsevier, vol. 53(4), pages 415-432.
    3. Rabbiosi, Larissa, 2011. "Subsidiary roles and reverse knowledge transfer: An investigation of the effects of coordination mechanisms," Journal of International Management, Elsevier, vol. 17(2), pages 97-113, June.
    4. Parthajit Doley & Mithun J. Sharma, 2020. "Network Centrality Measure as an Indicator for Standardized Advertising Strategy in Economically Similar Countries," Global Business Review, International Management Institute, vol. 21(6), pages 1406-1426, December.
    5. Stendahl, Emma & Tippmann, Esther & Yakhlef, Ali, 2022. "Practice creation in multinational corporations: Improvisation and the emergence of lateral knowledge," Journal of World Business, Elsevier, vol. 57(3).
    6. Galli Geleilate, Jose-Mauricio & Andrews, Daniel S. & Fainshmidt, Stav, 2020. "Subsidiary autonomy and subsidiary performance: A meta-analysis," Journal of World Business, Elsevier, vol. 55(4).
    7. Shoham, Amir, 2012. "Managing multinational corporations through compensation: The risk-sharing contract method," Journal of Economics and Business, Elsevier, vol. 64(3), pages 231-239.
    8. Jiang, Guoliang F. & Holburn, Guy L.F. & Beamish, Paul W., 2016. "The spatial structure of foreign subsidiaries and MNE expansion strategy," Journal of World Business, Elsevier, vol. 51(3), pages 438-450.
    9. Chelekis, Jessica & Mudambi, Susan M., 2010. "MNCs and micro-entrepreneurship in emerging economies: The case of Avon in the Amazon," Journal of International Management, Elsevier, vol. 16(4), pages 412-424, December.
    10. Persson, Magnus, 2006. "The impact of operational structure, lateral integrative mechanisms and control mechanisms on intra-MNE knowledge transfer," International Business Review, Elsevier, vol. 15(5), pages 547-569, October.
    11. Tac, Nurullah & Aglargoz, Ozan, 2007. "Turquality: an innovative unique model for making global brands out of Turkish products," SEER Journal for Labour and Social Affairs in Eastern Europe, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 10(1), pages 127-137.
    12. Sousa, Carlos M.P. & Bradley, Frank, 2008. "Antecedents of international pricing adaptation and export performance," Journal of World Business, Elsevier, vol. 43(3), pages 307-320, July.
    13. Patrick Legros & Andrew F. Newman & Eugenio Proto, 2014. "Smithian Growth through Creative Organization," The Review of Economics and Statistics, MIT Press, vol. 96(5), pages 796-811, December.
    14. Barry Eichengreen and Fabio Ghironi., 1997. "European Monetary Unification and International Monetary Cooperation," Center for International and Development Economics Research (CIDER) Working Papers C97-091, University of California at Berkeley.
    15. Daron Acemoglu & Philippe Aghion & Claire Lelarge & John Van Reenen & Fabrizio Zilibotti, 2007. "Technology, Information, and the Decentralization of the Firm," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(4), pages 1759-1799.
    16. M. Max Evans & Ilja Frissen & Anthony K. P. Wensley, 2018. "Organisational Information and Knowledge Sharing: Uncovering Mediating Effects of Perceived Trustworthiness Using the PROCESS Approach," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 17(01), pages 1-29, March.
    17. Sudip Datta & Mai Iskandar-Datta, 2014. "Upper-echelon executive human capital and compensation: Generalist vs specialist skills," Strategic Management Journal, Wiley Blackwell, vol. 35(12), pages 1853-1866, December.
    18. Andersson, Ulf & Dasí, Àngels & Mudambi, Ram & Pedersen, Torben, 2016. "Technology, innovation and knowledge: The importance of ideas and international connectivity," Journal of World Business, Elsevier, vol. 51(1), pages 153-162.
    19. Mei, Maggie Qiuzhu & Wang, Le & Yan, Jie, 2023. "Maintaining product quality consistency when offshoring to emerging markets: The role of subsidiary control," Journal of International Management, Elsevier, vol. 29(1).
    20. Yu, Julie H. & Albaum, Gerald, 2002. "Sovereignty change influences on consumer ethnocentrism and product preferences: Hong Kong revisited one year later," Journal of Business Research, Elsevier, vol. 55(11), pages 891-899, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:iburev:v:5:y:1996:i:4:p:395-421. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/133/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.