Mini-Assignment #1 – Case: Mccain Foods Limited

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1. If you were in charge of the Asian operations for McCain, how would you recommend the company overcome the challenges in the Chinese market? Being a foreigner in any market is a challenge, if I were in charge of the Asian operations for McCain I would first gain an understanding of what appeals to the Chinese market. This way I will be able to produce a product that will not only satisfy the Chinese consumers but also not offend them. For example, in regards to packaging, the Chinese market are very attracted to the colour red as it conveys good luck and good fortune while our company should avoid the colour white as it represents death and mourning. It is simple details like these that the Chinese market would become more comfortable and willing to accept western food.

Additionally, prices of the McCain products may be seen as overpriced compared to local Chinese products. A different approach being in charge of the Asian operations would be to adjust the prices of our products, perhaps set them at a price lower than the standard in order to appeal to the Chinese consumers who are not familiar with McCain. Lowering the price will allow consumers to give McCain foods an opportunity to show western foods can be accepted. Once McCain foods have become more familiarized with the Chinese community our company would be able to raise prices as we have already established an appealing brand with consumers.

Another effective decision to overcome the challenges in the Chinese market would be to improve advertising of McCain products. Advertising campaigns including celebrities endorsing products have proved numerous times they improve sales and overall awareness of the brand. The reason for this is because especially in the Chinese market, when consumers see celebrities they look up to become associated with a product, it gravitates their interest towards that certain brand or product. 2. Drawing from Hofstede’s work on global cultures, what challenges...
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