Adaptation strategies

Adaptation strategies involve changing the price, promotion and packaging of a product, or
even the product itself, in order to fit the needs and preferences of a particular country.
Adaptation occurs when any element of the marketing strategy is modified to achieve a
competitive advantage when entering a foreign market.
Aggregation
Creating economies of scale to exploit similarities. Introduce economies of scale without
jeopardizing local responsiveness.
15. Aggregation Approaches ECONOMIC:
Example: companies distinguish between developed and emerging markets and choose
to focus on one or the other.
16. Aggregation Approaches GEOGRAPHIC:
focusing competitive interactions on a regional or global level Example: centralizing global
production in a few strategically placed plants.
17. Aggregation Approaches CULTURAL
Example: publishers only publish their bestsellers in a few languages, assuming readers are
willing to read a book in their second language.
18. Aggregation Approaches ADMINISTRATIVE:
Example: companies looking to market new drugs in Europe must meet regulatory
requirements of a few selected countries to qualify for a license to sell throughout the EU.




Arbitrage
Exploit differences between markets instead of trying to
adapt to them. Ex. By moving different parts of the
supply chain to different places Buy low in one market,
sell high in another.
Arbitrage Approaches GEOGRAPHIC:
Example: US doctors take X-rays during the day and send
them to Indian doctors for interpretation overnight so the
report is available in the US the following morning.
23. Arbitrage Approaches CULTURAL:
Example: associating French origin with success and quality
in certain industries