Unilever Ice Cream: Standardization versus Adoption

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GRIN Verlag, May 6, 2006 - Business & Economics - 30 pages
Seminar paper from the year 2003 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: 1,0, Lund University, course: International Marketing, 40 entries in the bibliography, language: English, abstract: What is an optimal combination between standardisation and adoption? Which factors have the crucial impact on whether a company standardises or adopts its marketing strategy to the local peculiarities? Managers in the entire world attempt to find out the equilibrium between these two options when developing and implementing marketing initiatives. Both alternatives have pros and cons. On the one hand the standardisation offers the opportunity to realize economies of scope and scale. The brand recognition by customers is higher and costs can be saved through centralised marketing strategy. On the other hand adoption to the cultural and behavioural features of a particular national or local market provides the company a higher level of flexibility, which is currently extremely important. Among others, the companies the focus of this paper is set upon (ice cream manufacturing subsidiary companies of Unilever) try to figure out the optimal mix of standardisation and adoption. In our study we will describe the specificities in the marketing strategies of Unilever’s subsidiaries. First the history of the ice cream as such will be described. After the characterisation of the current state in the world ice cream market on the basis of Porter’s Five Forces we will give a report on history of Unilever as well as on its standardised marketing mix. As the next step we characterise the subsidiaries Ola in Netherlands, Langnese in Germany, GB Glace in Sweden, and Good Humor in Canada in terms of their history, markets they act in, and their adoptive marketing strategies.

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