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charcoal-grilled chicken, which appeals better to local tastes, and was
already easily available.
• Misdirected market research: A US soft drink company conducted
research just in the urban area in Indonesia to determine market
potential. After launching the product, the company found out that
there is a big difference between urban and rural areas in Indonesia.
• Failure to appreciate market differences: The Cummins Engine
Company encountered sluggish sales of its diesel engines in the
European market. Unlike the US market, the European market was
highly integrated, with truck manufacturers making their own engines.
This created a very difficult competitive environment in which to do
business.
• Inadequate market research: When Dasani entered the UK market
with its purified bottled water it did not undertake sufficient research
to find out the different lifestyle habits of UK consumers who prefer
spring and mineral water rather than purified water; especially for a
lifestyle choice.
• Failure to appreciate cultural differences: The preparation of
coffee plays an important role in the French household. Chase and
Sanborn met considerable resistance when it attempted to enter the
French market with its instant coffee. Market research taking the
cultural aspects of coffee drinking into consideration would have
helped the company to appreciate the importance of the preparation
of coffee and how deeply ingrained it is in French culture.
5.3 Linking international market research to the decision-making
process
International marketing research should be related to decision-making in
a company. Most international companies conduct marketing research
(either primary or secondary research) before becoming involved
overseas. Informed decisions about entry and expansion in the overseas
market as well as the methods of distribution need to be made. The main

