Essays on Globalization and Adaptation of Companies to Different Cultures Case Study

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The paper 'Globalization and Adaptation of Companies to Different Cultures' is a great example of a Business Case Study. Globalization is a process that has been ongoing for quite a long while only that it is much more noticed and appreciated in the modern world because of its impacts. It refers to a series of events that rapidly change the world to make it more integrated into different aspects. Such aspects include culture, social factors, economy, and trade. The international integration process of globalization has virtually overcome the physical distance and other artificial barriers.

However, globalization has had various impacts on international business for multinational companies that enable the easy flow of goods, services, various kinds of capital as well as knowledge. The evident effects of globalization include cultural integration on a global scale, facilitated the exchange of goods, services, and ideas. It has practically made the physical distance between cultural backgrounds seem to be less of a limiting factor. Respectively, this paper assesses the impact of globalization and how different companies implement various business styles necessary to adapt to different cultures. Companies and their Adaption to different Cultures McDonald’ s Adaptation An example of such companies that had to find an adaptation strategy is McDonald’ s, a food processing company headquartered in the United States.

In order to adapt to the various cultures of the world, a multinational company has to design an appropriate business style, each to every culture. McDonald’ s recognized this need by implementing a global strategy under the umbrella slogan of ‘ Modifying the Burger around the World’ . The subject idea is to represent McDonald’ s strategy of adaptation in different cultures but the real subset objective entailed processing a different burger for a different culture while keeping the McDonald’ s sign, expertise, taste, and variation in each piece of the snack.

As such, the company came up with the Chicken Maharaja Mac for India, Kiwiburger for New-Zealand, McRice Burger for Southeast Asia, McLaks burger for Norway, and the Black and White Burgers for China (Mathur, 2013). Red Bull and the Packaging Adaption Strategy Red Bull is also another multinational company whose products are evident in continents including Asia, Africa, and America. The company’ s idea of adapting to the different cultures is relatively similar to that of McDonald’ s only that this involved in product packaging.

For Red Bull, the global adaptation strategy was all about packaging the drink product differently for culture as it would for another. For instance, Red Bull’ s packaging for the Chinese culture is different from that of the American culture. Figures 1 and 2 below show Red Bull’ s different packaging styles for America and China respectively. Figure 1: American Red Bull packaging Figure 2: Chinese Red Bull packaging In this strategy, Red Bull is seeking to add value to the product by adapting a packaging design that has a basis on the preferences of the consumer.

This is an interesting approach because culture always influences a customer’ s preference, especially in a heavily cultural society like the Asian society. For the Chinese Red Bull, the product has a package with the two bulls in red color, a color that symbolizes good luck in the Chinese culture (Mathur, 2013). At the center of the two bulls is a golden circle, which symbolizes wealth and happiness in this culture.

On the other hand, the North American Red Bull package has red to symbolize courageous action with the silver background symbolizing maturity. The other blue section speaks of the spirituality of a person at youth, and peace (Mathur, 2013).

References

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Mathur, S. 2013. 9 Examples of Firms Implementing Global Strategy by Adaptation. Gujarat India: Indian Institute of Management, Lucknow.

Business Case Studies. 2013. The importance of quality in creating competitive advantage. [online] Available at: http://businesscasestudies.co.uk/portakabin/the-importance-of-quality-in-creating-competitive-advantage/ [Accessed 12 August 2015].

Chaney, L. and Martin, J. 2010. Intercultural business communication. New Jersey: Pearson Education Limited.

Yong, A. 2008. Cross-cultural comparisons of managerial perceptions on profit. Journal of Business Ethics, Vol. 82., No. 4, pp. 775-791.

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