This paper is about a comprehensive discussion, explanation and analysis of standardization of international marketing strategy. This will be in a form of literature review oriented discussion, explanation and analysis of standardization of international marketing approach. The literature review will look into the positive and negative standardization aspects. This is backed up with relevant theories dealing with the process of standardisation within global market strategy and its current literature continuum as asserted and pointed by various authors who are experts in analyzing standardisation of marketing strategy. This is manifested through inclusion of recent literature studies concerning to standardisation and how business sectors and or industries are responding to it in a wider scope and perspectives on the presence of international market strategy as focused on standardisation and the underlying information and evidence connected to such standardisation of markets in overall literature context and assumption.
There are integrating concepts of standardization strategy with centralization or decentralization of decision-making structure, by examining effectiveness of certain strategic approaches like that of regcal and local approaches. This is with concentration on business operating in various market sectors. The affiliation of standardization strategy and decision-making structure may lead to higher performance (Solberg, 2000; 2002; Lages and Montgomery, 2004). The utilization of standardisation in global markets provide guidance on conditions under which the alignment of market standardization and its decision scheme can help in elevating business economy and market performance for implementing standardisation of certain business types (Katsikeas et al., 2006; Zou and Cavusgil, 2002).
Furthermore, concepts of standardization has been discussed in business management literature (Cavusgil and Zou, 1994; Lages and Montgomery, 2004; Lages et al., 2008; Sousa and Bradley, 2009). Standardization through market approach has pointed similarities and or dissimilarities on the international market agenda and the standardized elements being used in a home country into the global host nation (Chung, 2003; Katsikeas et al., 2006; Lages and Montgomery, 2004; Lages et al., 2008). The international marketing activity comprises of product, price, place and promotion when being exercised in international milieu. The nature of products being marketed is found to affect business sectors choice of standardized market strategy (Chung, 2003; Douglas and Wind, 1987; Jain, 1989; Quester and Conduit, 1996; Wang, 1996). For example, the industrial services are less sensitive to culture principles and the latter is probably to be marketed by means of using a worldwide standardized approach athwart nations (Birnik and Bowman, 2007; Boddewyn et al., 1986; Chung, 2003; Jain, 1989; Wang, 1996). In turn, it is anticipated that market standardization through its effectiveness as noted in strategy formulation, poses a powerful factor on the marketing nature of business industries adapting standardized markets in a global manner.
Aside, business orientation as well as delegation of authority are valuable as the latter generate and create conditions for the successful implementation of standardised strategy (Whitelock and Pimblett, 1997; Chung, 2008). Jain claims that standardisation of markets should be based on the economic pay-offs, which include the company’s monetary performance, competitive advantage, and other aspects. Nonetheless, the standardisation being presented do not show the value of global market mix and its elements, also on the range of standardisation and its influence on business market agenda in general assumption. Indeed, by providing of great significance into the standardization of international market strategy,...