In this assignment, I have tried to answer the assigned questions with explanation. Several online documents and books are used as guideline to refer to the subject matter. This assignment has given me an opportunity to probe in to the matter deeply. This task contains detail description on the subjects: self-reference criterion and importance of foreign sub cultural groups. This piece of work discusses the positive and negative effect of the issues on marketing plan. It explains what can and cannot happen when marketers neglect or emphasize on these matters while thinking of introducing their products to other countries. Some real life examples are also provided in the writing to make the explanation more clear.
Self-reference criterion and sub cultural groups are two significant aspects of to be considered while making marketing plan. It is very important to learn the consumer preferences and purchase intensions before proposing new products to them. The effectiveness of the current advertising campaign also depends on marketer’s knowledge about the markets and the prospects. Self-reference criterion is the assumption that products can be successfully put on the foreign market depending on its achievement in domestic market. As we read the following sections, we will see that this concept is not right rather it is an obstacle for the business organizations that plans to enter international markets for the first time. It is more important to understand the sub cultural characteristics of the foreign market very carefully before entering in it. Marketers should understand the self-reference criterion avoid applying it and concentrate studying the sub cultural characteristics in planning for international markets.
Explain the concept of ‘self reference criterion’ and demonstrate its importance to a marketing firm planning to enter the international markets for the first time. Answer A subject to represent himself, herself, or itself uses ‘Self-reference’. It is a kind of thought expressed by the pronoun, the word “I” in English. Self-reference criterion is a similar concept. Self-reference criterion (SRC) is a concept that talks about the situation where a company tries to sell products to another country using the same beliefs, action, and considering the same situation, as
it used in his own country. The self-reference criterion is
the tendency of an individual to use the principles and values of one’s own culture to evaluate others. For example1 American may observe more traditional societies to be “backward” and “unmotivated” because they usually cannot come up with the adaptation of new technologies or social customs and instead prefer to stick to the traditional values. Generally, when an individual put in a situation, the way s/he responds is associated with his/her culture. When organizations carry their operations internationally, working a different cultural environment is obvious. At these circumstances, self-reference behaviour may not be the correct behaviour from the viewpoint of the target culture. Hence, comprehensive understanding and realization of cultural differences and possibility is very important in case of international marketing. Since domestically cultural differences are minor, SRC is not necessary in domestic marketing. For example, in Bangladesh, there is a difference between the culture of rural people and urban people but a greater cultural difference exists between Bangladesh and America. The important issue is to know how these biases may come in the way in dealing with members of other cultures. Ethnocentrism is another term similar to self-reference criterion. It means the tendency of viewing one’s culture superior to others. Normally there is a tendency of outsiders to a culture to exaggerate the similarity of members of that culture to each other. Ethnocentrism occurs generally when managers from affluent countries work with...