Global marketing strategy, glocalisation and marketing approaches

Global marketing strategy

A global marketing strategy uses the same (standardised) marketing mix across the world: one product, one brand, one message. Benefits: economies of scale in production and promotion, a consistent global brand image, simpler management. Risks: ignoring local tastes, culture, laws and incomes, so sales are lower than they could be.

Glocalisation

Global localisation (glocalisation): 'think global, act local'. The business keeps a global brand and core product but adapts parts of the mix to local markets: recipes and menus, pack sizes, prices, promotion, language and product features. It aims to combine scale economies with local appeal. It costs more than pure standardisation and can dilute the brand if overdone.

Three marketing approaches

• Domestic / ethnocentric: the business treats overseas markets as an extension of the home market and uses the home-country marketing mix unchanged, believing what works at home will work everywhere. Cheap and simple, but risks failure where cultures differ.
• International / polycentric: each country market is treated as different, with its own marketing mix, often run by local managers. High local appeal but high costs and no economies of scale.
• Mixed / geocentric: a world view that looks for similarities and differences, standardising where possible and adapting where necessary. Close to glocalisation.

Marketing approaches compared

Worked example

A soft drinks company sells one global brand but uses less sugar in some countries, prints labels in local languages and runs different adverts in each region. Identify its approach.

1. The brand and core product are global.
2. Recipe, labelling and promotion are adapted locally.

Answer: Glocalisation, a geocentric (mixed) approach.

Check yourself

1. A firm uses exactly the same product, price and advertising abroad as at home, believing what works at home works everywhere. Its approach is
   • ethnocentric
   • polycentric
   • geocentric
   • glocal
   Show answer

   ethnocentric. Home-country orientation is ethnocentric.

2. Which approach would give each country's local managers the most freedom to design their own marketing mix?
   • Ethnocentric
   • Geocentric
   • Polycentric
   • Global standardisation
   Show answer

   Polycentric. Polycentric treats each country as unique.

3. Explain one benefit of glocalisation for a global business.
   Show answer

   Adapting products and promotion to local tastes and culture increases their appeal, so sales rise, while keeping a global brand still gives economies of scale.. Glocalisation aims to get both local appeal and global scale.

4. Explain one advantage of a standardised global marketing strategy.
   Show answer

   Using the same product and advertising everywhere gives economies of scale in production and promotion, lowering unit costs, and builds a consistent global brand image.. Standardisation saves cost and builds one brand.

5. What is the main risk of an ethnocentric approach?
   • Costs are too high because of adaptation
   • Products and messages may not suit local tastes and cultures
   • There are no economies of scale
   • Local managers have too much freedom
   Show answer

   Products and messages may not suit local tastes and cultures. Ignoring local differences can lead to failure.

6. Adapting packaging for 6 countries costs $35,000 per country. Expected extra sales from adaptation are 90,000 units with a contribution of $3 each. Calculate the net gain.
   Show answer

   $60000. Extra contribution 270,000 - adaptation cost 210,000 = $60,000.

7. A geocentric approach is best described as
   • using the home market's mix unchanged
   • standardising where possible and adapting where necessary
   • designing a completely different mix for every country
   • selling only in the domestic market
   Show answer

   standardising where possible and adapting where necessary. Geocentric looks at the world as one market with local differences.

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Sources

• Pearson Edexcel International Advanced Level in Business specification (first teaching 2018)

Last updated 8 November 2026. Spotted a mistake? Tell us.