Globalization in advertising

GLOBALIZATION• Globalization (or globalisation) is the process of international integration arising from the interchange of world views, products, ideas, and other aspects of culture.Advances in transportation and telecommunications infrastructure, including the rise of the telegraph and its posterity the Internet, are major factors in globalization, generating further interdependence of economic and cultural activities.

A global firm • Operates in more than one country

• Gains marketing, production, R&D, and financial advantages not available to purely domestic competitors

• The global firm sees the world as one market

Examples of successfully entering developing markets

• Colgate-Palmolive rolled into Indian villages with video vans that showed the benefits of tooth brushing.

• FIAT developed a ‘third-world car’ Palio to sell in developing nations. The car was produced in Brazil, India, Turkey, South Africa, China, and other countries.

Major International Marketing Decisions

• Looking at the global marketing environment

• Deciding whether to go global• Which market to enter• How to enter• Deciding the global marketing program

• Deciding on the global marketing organization

• http://direct-recruiting.net/2010/06/04/most-innovative-recruitment-strategies%E2%80%A6%E2%80%A6%E2%80%A6-part-1/

Post Testing tools• Recognition (Readership)• Recall test• Inquire test• Sales test• Comprehensive measures

Economic, social, ethical impact of

advertising

Economic effects of advertising

• Effect on consumer choice• Effect on competition• Effect on product cost and prices

Social and ethical criticism of advertisements• Untruthful and deceptive

advertisements• Offensive/In bad taste• Sexual appeals• Shock advertising

• The Federal Trade Commission (FTC) officially defines deceptive advertising as "a representation, omission or practice that is likely to mislead the consumer" and "practices that have been found misleading or deceptive in specific cases include false oral or written representations, misleading price claims, sales of hazardous or systematically defective products or services without adequate disclosures, failure to disclose information regarding pyramid sales, use of bait and switch techniques, failure to perform promised services, and failure to meet warranty obligations.

Social and cultural criticism

• Advertising encourages materialism

• Advertising makes people buy things they don`t need

• Advertising and media