JWT China Case Study
WT China Case Study
I. Summary
This case studies the business strategy and expansion of JWT China from the late 1990s to 2008. As part of one of the world's largest marketing communications network, JWT China grew into one of the largest integrated communications companies in China operating from offices in various parts of the country. The case delivers a thorough history of and inclusive insights into China's advertising industry and the challenges for foreign and domestic firms operating within a highly regulated media environment controlled by the Chinese government. Moreover, this case offers understandings and perceptions into the structure of the highly segmented Chinese consumers market, exploring the socio-economic disparities in income access as well as culturally determined consumer behavior across different regions and urban and rural areas. The case allows us to explore how these trends might impact JWT's advertising and marketing strategies in the future and how to evaluate JWT's business expansion in China dealing with local and foreign competition.
II. Problems and Situation:
The biggest problem of JWT is how to adapt with China’s fast-growing economy and rapid rise of consumption. With the growing economy, there will be more competitors from both international and local areas. Therefore, JWT China has to strategize its expansion to take advantage of a bigger market share. The second problem of JWT China is “their consumers were becoming increasingly individualistic and demanding participants in the marketplace” . This change requires JWT to constantly re-evaluating its channel and advertising approaches for a more sophisticated consumer markets. In the other words, JWT China has to always investigate and learn about their consumers’ trends, cultures. characteristics, wants and needs to meet their changing requirements.
III. Key Issues:
The foreign company should be careful by making business in China because of the Chinese consumer
I. Summary
This case studies the business strategy and expansion of JWT China from the late 1990s to 2008. As part of one of the world's largest marketing communications network, JWT China grew into one of the largest integrated communications companies in China operating from offices in various parts of the country. The case delivers a thorough history of and inclusive insights into China's advertising industry and the challenges for foreign and domestic firms operating within a highly regulated media environment controlled by the Chinese government. Moreover, this case offers understandings and perceptions into the structure of the highly segmented Chinese consumers market, exploring the socio-economic disparities in income access as well as culturally determined consumer behavior across different regions and urban and rural areas. The case allows us to explore how these trends might impact JWT's advertising and marketing strategies in the future and how to evaluate JWT's business expansion in China dealing with local and foreign competition.
II. Problems and Situation:
The biggest problem of JWT is how to adapt with China’s fast-growing economy and rapid rise of consumption. With the growing economy, there will be more competitors from both international and local areas. Therefore, JWT China has to strategize its expansion to take advantage of a bigger market share. The second problem of JWT China is “their consumers were becoming increasingly individualistic and demanding participants in the marketplace” . This change requires JWT to constantly re-evaluating its channel and advertising approaches for a more sophisticated consumer markets. In the other words, JWT China has to always investigate and learn about their consumers’ trends, cultures. characteristics, wants and needs to meet their changing requirements.
III. Key Issues:
The foreign company should be careful by making business in China because of the Chinese consumer