The Perennial Issue of Adaptation or Standardization of International Marketing Communication: Organizational Contingencies and Performance

Abstract

The author investigates the standardization/adaptation issue in international advertising from an organizational perspective, introducing two variables: knowledge of local market conditions at the center (exporter/headquarters level) and headquarters’ influence on local marketing decisions. The author interviewed 150 Norwegian exporters by mail on their experience in this respect. The results reveal that the two dimensions indeed have some impact on how firms develop their international marketing strategies. Knowledge of local market conditions seems to play an overriding role, leading to a more standardized approach by firms. Not surprisingly, centralized decision power seems to lead to more negative reactions at the intermediary level. In contrast, firms that have a more relaxed stance on the standardization issue and leave the marketing decisions to the local representatives seem to have better relations with these representatives than do other firms. The author discusses implications for global brand management and research.