International Marketing and Cultural Differences

Exporting is an extremely effective and valuable way for companies to expand their reach and increase their revenue. However, it is full of potential problems and pitfalls, which may be just around the corner for an unprepared or inexperienced exporter. On the other hand, companies who understand the business of exporting (and who do it right) can succeed and realize nice dividends.

Language is definitely an obvious (yet commonly overlooked) consideration. But surprisingly, many companies fall short of completely understanding and acknowledging cultural differences. They often fail to appreciate the subtle (and sometimes very obvious) nuances between different cultures and different ways of doing business. Cross cultural differences are very important in international marketing. Such differences in culture can sometimes make it or break it for you. That is why companies should put more efforts and focus on this skill; they need to step up to the plate if they want to be successful.

Localization needs to be part of any comprehensive export company. What this means is that reaching businesses or individuals on a localized level appropriate to their culture can be very powerful and is the holy grail of global online marketing. But beware because mistakes can be quite expensive. What is acceptable in one country maybe not be in another. There are quite a few infamous advertising campaigns out there, which are simplistic but powerful illustrations of this fact.

In many business cultures, face to face contact is still preferred to more modern 21st century methods, such as email, video conferencing, and online marketing. This should be recognized; it really depends on the culture of the people you’re doing business with.

Business gifts are an essential part of the courtship of business abroad and can help promote and cement a business relationship. But again, beware of offending with an inappropriate gift. For example, giving a letter opener or a clock to a Chinese company are both gifts that have connotations of death!