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7/27/2019 Consumer Nondurables
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7/27/2019 Consumer Nondurables
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and availability (http://www.nytimes.com/2009/10/11/magazine/11fob-consumed-
t.html?_r=0).
Consumer nondurables, such as Coca-Cola products which is known worldwide, focuses
on its local scale operation. They were able to create global reach with local focus through their
system, which comprises their Company and more than 250 bottling partners worldwide. All
bottling partners work closely with customers -- grocery stores, restaurants, street vendors,
convenience stores, movie theaters and amusement parks, among many others -- to execute
localized strategies developed in partnership with their Company. Customers then sell the
products to consumers at a rate of more than 1.8 billion servings a day. They have seemingly
mastered the art of succeeding in different cultures, but they are certainlynot the only ones
(http://www.coca-colacompany.com/our-company/the-coca-cola-system).
Barbie is a popular brand (made by Mattel) in many parts of the world. Its products have
had huge success in Argentina, the United States, India, and many more. Its most popularproduct is its Barbie doll which is adored by many children all over the world. However, the
iconic doll has not had success in every market like China. Mattel recently had to close their
massive Barbie store in Shanghai, China. The failure was mainly due to a lack of focus for the
store, and lack of interest in the brand from the Chinese. Since localization is such a critical part
of globalization, companies are learning that traditional marketing research is not enough. The
Barbie store did not adapt to the Chinese market as quickly as it should have
(http://www.chinalawblog.com/2011/03/barbie_in_china_the_lessons_to_be_learned.html).
Local business players can take advantage of the developments brought about by the
consumer nondurables such as its needs for partners in the local region. They can gain new
techniques and research developments through the entry of these highly-developed and
cultural sensitive products.
In the case of Barbies failure to dominate the local market in China, I believe that the
Barbie brand can still do well it just needs a new strategy. They must have plans for small
retail stores, seek out franchise customers to expand the Barbie products throughout China and
would have a coherent merchandising and store strategy that would enable them to expand
nationally throughout China.
In general, there is no prefect formula for globalization. It is a constant learning
experience for companies who choose to actively seek out new markets. Balancing risk with
potential reward is the focus of every global company. The keys to success are doing your
research, consulting with culture experts, and learning from your mistakes. Being ready to
change or alter your strategy is essential for companies entering new markets and can
ultimately determine your fate.