Cases IB

Journal of Business Management & Social Sciences Research (JBM&SSR)
ISSN No: 2319-5614

Volume 2, No.1, January 2013
_________________________________________________________________________________
A Case Study Approach On Indian Companies And

Global Companies Entry In Foreign Markets An
Analysis Of Glocalization Strategies
Semila Fernandes, Asst. Professor Marketing, Symbiosis Institute of Business Management, Bangalore,
(Constituent of Symbiosis International University)
ABSTRACT
The present paper involved a study on Glocal communication strategy adopted by select global companies while
foraying into India and Indian companies foray into the foreign markets. Glocalization concept in specific terms
implies Think Global and Act Local which has been developed through Japanese business practices. The
requirement of this global localization idea arrived in the late 1980s to bridge the gap between local, regional,
national, global management of the businesses 20.
PROBLEM STATEMENT
I do not see anything wrong with McDonalds doing business in India. After all, it is not McDonaldization
that we know of; It is a Big MaCcomodation As quoted by A Senior Bureaucrat in New Delhi 3. This is
exactly what Glocalization concept in specific terms implies and is usually practiced by the global giants. The
present paper would highlight on the dimensions of Glocal strategy with a focus on cultural adaptability of
global MNCs who have entered into the Indian market across industries and Indian MNCs glocal strategy in
foreign markets.
Going global and Going international are entirely different. In order to go global, one requires a global
mindset; while to go international, historically means to supply out of India. A blend of both is utmost
necessary in creating a global organization system 24.
INTRODUCTION
Alan Rugman in his book In The End of
Globalization: Why Global Strategy is a Myth &
How to Profit from the Realities of Regional
Markets. Says Think regional, act local; forget
global. where-in he emphasizes that we have
reached the phase of globalization death and argues
that globalization never existed at all as envisioned
6
.
Today,
to
be
successful
multinational
organizations;
the
GLOCAL element
is
indisputably important for all the managers,
leaders, entrepreneurs with respect to various
flavors and dimensions of the business operations.
The concept of GLOCAL strategy focuses on a
core global standard strategy which has local
elements and in turn signifies localization of the
global strategy.
The major GLOCAL mix
strategic components include organization mission
& goal, organizational resources and Locus
(Geography and Control). The synergy of the 3
constituents facilitates localization, adaptation and
customization of the worldwide resources, goals
and location of the firm 16.
The focus of the paper would be studying one of
the Global elements which is the marketing
strategy of select global companies entry in India
and Indian MNCs which have entered into foreign
markets to provide a glocal perspective. In
particular, the critical factors which will be
examined for each select company would be Brand
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Building, Understanding the uniqueness of the

consumer, STP (Segmentation, Targeting &
Positioning), Localization and Innovation of the
product/service & Cultural Diversity. Think
differently about your India strategy is the mantra
which shall be examined in each of the global
companies foray into the Indian market and vice
versa 16.
METHODOLOGY
This research paper would follow a case study
approach of select companies which would be from
the Global Fortune 500 Companies for year 2011
and other successful Indian multinationals from the
varied industries like Apparel (Nike), Beverages
(CocaCola), Food Services (McDonalds), General
Merchandisers (Wal-Mart), Food Consumer
Products (PepsiCo), Household & Personal
products (P&G), LG Electronics, Hyundai Motors,
Kelloggs, Toyota, Pizza Hut etc. Indian MNCs
would include Dabur, TATA & Marico.
The sample size would be approximately 3 Indian
companies and 8 multinationals (global). Data
collection would be specifically secondary data
from various conference papers, e-databases,
articles, journals pertaining to information on the
Glocal element Marketing strategy of the select
multinational companies viz-a-viz their ability to
get connected culturally into the local communities
through the global network.
Blue Ocean Research Journals
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ISSN No: 2319-5614
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In a nutshell, the first study would be a qualitative
study, to analyze the marketing element of
Glocalization with focus on the various ways the
global multinationals have forayed into India and
vice-versa by analyzing the local customers and the
local markets.
The second study would focus on the cultural fit
strategy adopted by the multinationals to meet and
suit the needs of the local consumers.
Understanding how global / Indian brands adapt to
the varied requirements of the consumer base is a
challenge that lies ahead of every marketer.
CONCLUSIONS AND
IMPLICATIONS
The scope of the research paper was to discuss the
concept on glocal communication strategy adopted
by various global and Indian companies while
entering the foreign market. This analysis and
discussions has been administered by selecting
certain successful companies from the Fortune 500,
2011 listing and other successful Indian companies
which have made a mark in India. This concept and
discussion can be extended through primary data
collection methods to further strengthen the topic
into various dimensions of global, local and glocal
strategic implementation.
KEYWORDS: Glocal, Global, localization,
globalization
DATA COLLECTION
ENTRY OF INDIAN
FOREIGN MARKETS
COMPANIES
IN
Consumer Packaged Goods (Dabur India Ltd.):

India (1884), Persian Gulf region of the Middle
East (1987):
Dabur India Ltd. is among the top CPG companies
catering to packaged household groceries and
supplies consumed readily and regularly, including
foods, personal care products and detergents.
Dabur identified opportunities in the overseas
market and formed a subsidiary named DIL(Dabur
International Ltd.) and in 1987 started its overseas
expansion of exporting hair oil to the Gulf markets
and in 2003 became an internationally respected
and successful corporation by occupying herbal,
natural and ayurvedic platforms through
globalization. In these foreign markets, identifying
consumer needs, developing localized products and
creating niche to drive at long term growth were
Daburs domestic competences and capabilities and
these competencies helped Dabur build on skills in
product engineering and localization in the
overseas markets as well. For instance: Many
players used coconut in hair oil while Dabur used
amla which has its roots in traditional medicine. By
2006 the company had set up 5 manufacturing units
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overseas with its products exported to more than 50

countries which were serviced locally by the
companys offices and representatives 23.
The template for Daburs international operations
focuses on the aspect of localizing whereby the
technology of the new geography should be in sync
with Daburs technology for adapting to suit local
needs. Local manufacturing units were also set up
for the portfolios of the Asian markets (Pakistan,
Nepal, Bangladesh, Sri Lanka, Malaysia). Thus
understanding the local Diaspora was the prime
concern for the company at large. In Nigeria
(customers beyond the Indian Diaspora), under the
product portfolio of skin care, Dabur launched an
herbal soap with localized ingredients as Nigerian
market preferred oral care and homecare over hair
oil segment where Dabur was prominent 23.
TATA GROUP: Engineering (Tata Motors,
Daewoo-2004, Jaguar and land rover-2008),
Materials(Tata steel, Corus: UK, 2007),
IT(TCS), Consumer Products (Tata Tea, UK2000), Energy(Tata Power, Indonesia-2007),
Chemical(Tata
Chemicals:
Indo
maroc,
Morocco-2005), Services (Taj Hotels, Starwood
group: Australia, 2005)
Ratan Tata, the present Chairman of the Tata
Group got Tata into the competitive landscape into
the global arena. The tata group followed a
cajoling approach to top-down leadership being
Tatas corporate structure and made every
company global thinking as part of their business
plans. The group made sure that a workable place
on the ground is present in the geographies it would
explore The USA, UK, China, Bangladesh and
South Africa. Tata philosophy was to think global
locally to be a contributing part of those countries
into which it expands where the motive was to be
seen as a local company than an Indian
company. Thus local management and working to
augment and support them was the focus point. The
local strategy adopted operating with the local
government or culturally by involving in the
various activities like the Indian food festival of the
music program. Tata Teas global acquisition with
Tetley group of UK marked the beginning of Tatas
acquisition history. Tata Groups partnership
strategy was to see the two entities of acquisitions
(new entity) as one entity thinking of a global
mind set 22.
Consumer Packaged Goods (MARICO): India
(1988), Bangladesh (late 1990s):
Marico, although a household name in India, was
unknown internationally until expansion into
similar markets which made it international
players. Parachute is Maricos flagship brand of the
coconut based hair oil category which was unable
to export until early 1990s because the
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government saw vegetable oils which is an
essential commodity always in short supply.
Marico set up local manufacturing plant in markets
whose consumption pattern was very similar to
Indian markets which would be within the SouthAsian markets. However, to penetrate beyond
South Asia, Marico realized that it needed to
innovate and move from Indian-centric approach to
the one that serves the needs of the local markets 21.
Marico learned that Arab consumers did not prefer
the smell of coconut oil; they preferred less
stickiness and would use the product in an
environment with high water chlorination which
damaged hair. To address this concern, Marico
launched a reformulation of the product that
counteracted the harmful effects of chlorine 21.
ENTRY OF FOREIGN
INDIAN MARKET
COMPANIES IN
Beverages (CocaCola): USA (1886), India

(1993): Number 1 in Beverages, 70th rank
(Fortune 500, 2011)
Coca-Cola entered into India in 1993 after a 16
year absence since 1977 and continued to struggle
and crack the Indian market in terms of profit until
2006 16. It recognized that a one stop solution or a
single global strategy wont serve the purpose and
hence local executions were the elements thought
off by Coke. Its brand localization strategy was
with reference to the two Indias.
India A: Life ho to aisi This segment
represented metropolitan and larger towns which
account for 4% of the countrys population. This
audience gave priority to their social bonding and
aspirations and hence Coca-Colas tag line Life ho
to aisi suited their needs and aspirations.
India B: Thanda Matlab Coca-Cola - includes
small towns and rural segment which account for
96% of Indias population which needed out-ofthirst quenching ability to be fulfilled. Local
language and idioms appropriately used by CocaCola in its advertising campaigns added the flavor
to the marketing plan. Thanda means cool which
also signifies cold beverages and on translation
Coke means refreshment suited the needs of the
target segment.
Local employment and
corporate social
responsibility with focus on community and
environment related was another manner in
which Coca-Cola managed its foray into the Indian
market and made India accept this global giant 11.
Food Services (McDonalds): USA (1940), India
(1996): Number 1 in the food services, 111th
rank (Fortune 500, 2011)
The wide range of economic reforms in 1990s and
Indian government liberalizing policies in India
and the huge consumer market (300 million
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consumers) facilitated McDonalds to venture into

India. The first Indian outlet by McDonalds was
opened in October 1996 in Vasant Vihar which is
an affluent residential colony in New Delhi
focusing on the target segment of young people,
children and young parents. And as of November
2004 the total outlets have been 58 mostly in the
eastern and the northern part of India with plans of
opening more than 90 in the coming three years
span. The lesson to be imbibed by other food
service companies from McDonalds is that how
could they successfully sold their hamburger chain
in the cultural zone of India which is dominated by
non-beef, no pork, fully vegetarian and regional
food tastes and moreover in a market where cow is
sacred. Thus the idea of replacing its core product
which is beef based Big Mac into mutton based
Maharaja Mac in India was conceptualized which
again caused a serious concern in terms of
marketing a burger which is made other than beef.
But the mutton burger did show tremendous hit and
the company now markets other products to its
growing Hindu clientele. Thus building brands in
India was not an easy go for McDonalds 16.
Success Mantras in India with specific focus on
cultural sensitivity:
Emphasis on Local Management set up joint
ventures with two local entrepreneurs in Mumbai
and Delhi on 50:50 basis.
Politically correct strategy Right from
beginning beef and pork was a complete no-no
considering Indian population to be 80% Hindus
who consider cow as sacred and 150 million of
Muslim population who do not eat pork.
Employment Opportunity Every expansion of
McDonalds in India is well accepted by the Indian
government.
Green Sensitivity McDonalds have constituted
a special fund to support green initiatives which is
addressed by India prominently.
Corporate citizenship social responsibility and
giving back to Society has been promisingly
undertaken by McDonalds through various
charitable and community programs.
In a nutshell, the premier American fast food
culture as indicated by McDonalds fits well with
the Indian socio-cultural landscape 3.
General Merchandisers (Wal-Mart): Arkansas
(1962), India (2007): Number 1 in general
merchandisers, 1st rank (Fortune 500, 2011)
Wal-Marts positioning strategy Always low
prices targets middle-class and lower-middle class
customers (300 million approx.). Localization of
the product mix being one of the prime corporate
values Wal-Mart holds, discount retailing has been
a multi-local business agenda of the company with
a local partner - Bharti Enterprises, local
government, local purchasing power, local
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economies of scale and local logistics. This local
game logic was the driving force for Wal-Marts
success 1. Wal-Mart opened its first store in 2007 in
India and as per the company; their policy has
always been At Wal-Mart, we go to great lengths
to ensure our international stores reflect the local
needs and wants of our customers 14. Hence local
retailing always requires a multi-local business
environment which Wal-Mart has encashed on in
India after getting a success hit into Mexico market
and by committing mistakes into its non-US market
foray like Brazil, Hong Kong, Korea etc 1.
models and hence wouldnt mind paying extra for a

better and premium product. With this
organizational mission and goal, Toyota launched
Camry and Corolla which are the middle and
higher car segments which have been a great
success for the company. Thus affordability was
the driving success factor for Toyota which was
understood well pertaining to the Indian customers
16
. Toyota focused on minivans which had very
little competition and targeted large and bigger
families. This move facilitated Toyota to have the
control over the top share of automobiles 13.
Food Consumer product (Kellogg): Michigan

(1906), India (1994): Number 5 in Food
consumer product, 199th rank (Fortune 500,
2011)
Kellogg Company ventured into India in
September 1994 with cornflakes, wheat flakes and
Basmati rice flakes as its initial offering. Its
products failed in the Indian market despite
continuous support in terms of managerial,
financial and technical. This concept of eating
cornflakes as a breakfast cereal was an
unimaginative proposition for the Indian market
that would prefer some hot vegetables as their
breakfast menu. Indians have the habit of having
hot or lukewarm milk which makes the flakes
soggy as opposed to the West. Indian women were
used to the breakfast palate of being hot, fresh and
savory. This made Kelloggs change their strategy
and began to innovate with the new product
development of wheat and rice cereals with flavors
appealing to the Indian local cultural habits. The
launch of Chocos wheat scoops coated with
chocolate and Frosties with sugar frosting made
Kellogg realize the importance of indianizing its
products 8. Thus studying the local tastes closely is
the only mantra while going global which
Kelloggs missed studying specifically the
anthropology and the cultural expectations 2. Now
with the breakfast routine change with the
invention of new products, cornflakes appetite too
started growing 16. Furthermore Kelloggs realized
that the American culture would never be accepted
by Indians and hence they started adapting,
modifying and sculpting its business proposition in
India 4.
Music TV Network (MTV): USA (1981), India

(1996)
India is a great venue to conduct business in
Television because of the countrys vast middle
class segment in the tantalizing market. MTVs
passage into India is a lesson well learnt
considering the population of 1 billion with
majority in the poor segment and the middle class
growing exponentially. With the economical
growth, advertising also grows rapidly as a result
the first time purchasing and consumption of credit
cards, TV sets, mobile phones, CD players, and
automobiles are also on rise. India enjoys and
celebrates its democracy in the television and print
media with its flamboyant film and music industry
unlike China where-in the central-government
tightly controls television and print. Hence in
search of growth, we have the global entertainment
giants who are maturing in the US venturing into
India and Asia. The streets of Mumbai being the
nations entertainment capital and India having a
very chaotic, noisy and overcrowded media
landscape, it was very difficult for media to
navigate freely. MTV India was well known for
two main reasons:
Its existence in doing business since 1991, much
before any of its competitors arrived.
MTV being the best global TV network
(building original channels) having performed
better than CNN, [V] or any other channel in terms
of spreading its brand and conducting local
programs with local staff in every nook and corner
of the world.
MTV networks 72 international channels covering
321 million homes spread across Europe, Asia,
Latin America, Australia and Canada generating
annual revenue of approx. $1billion from outside
the US. Thus MTV Company has taught other
players to do business by understanding the Indian
culture. MTV at no stage bombarded the Indian
teenagers with American programming (preferring
rap and rock music) rather tailored its operations to
fit the masses. Indias cable TV industry was
another puzzle for MTV which has too many
channels fetching few advertising dollars and in
turn competes with channels like news, sports, soap
Motor Vehicles (Toyota): Japan (1945), India

(1997)
Japanese auto giant Toyota foray into India was
worth appreciably. It clearly understood the means
to enter the Indian market which was focus on the
middle and upper class segment as the economy
and small car segments were already crowded with
less opportunity to do business. Also with the
economy booming and the rise of purchasing
power, consumers were willing to upgrade their
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(JBM&SSR)
_________________________________________________________________________________
opera/entertainment channels. Doing business
differently by not just looking at the population
(size of the market) numbers of making huge
money but reflecting on the local culture is what
most multinationals fail today. MTV Bhakra, MTV
roadies, MTV Web Watch, MTV Kitne Mast Hai
Zindagi being some innovative programs launched
by MTV in a different paradigm.
Cultural fit: MTV is programmed differently in
different countries. China reflects upon family
values, nurturing and a lot of romantic songs;
Indonesia consisting of Islamic population calls on
conducting prayer 5 times a day on the MTV
channel; Brazil follows with a sexy feel; Italy
depicts style, elegance and food shows; Japan
being tech savvy; and MTV India focuses on color,
self-efficacy, full of humor and huge street culture.
The fact remains that of the entire employee
strength working for MTV International, only
around 10% would be Americans. MTV being a
national music channel now also competes with
regional music channels showing music in Tamil,
Telegu and Punjabi 5.
Electronics
&
Telecommunications
(LG
Electronics): Korea (1958), India (1993):
Extensive market research, product localization and
aggressive and large scale advertising campaigns
has been the key drivers for Koreas LG
Electronics in India to be successful even during its
early phase on entering into the Indian market.

Specifically speaking of the aggressive advertising
campaigns, the cost was borne by its headquarters
in Seoul and not by increasing the price of the
product which gave LG huge dividends. Great deal
of support from its corporate office to its local
subsidiary in India was the advantage LG had to
run its operations into the Indian market. Another
strategy that worked well for LG was that its
Korean firm provided huge comfort for Korean
expatriate employees/Managers living in India.
Korean Villages were created and Korean
speaking cook/maid was arranged from Korea
which helped them to adapt more flexibly into the
Indian market thereby increasing their productivity
and motivation 13.
This clearly indicates that Investing in ones
brand is very important which every Head
Quarters should understand before foraying into
any other market which Koreas LG Electronics
has fully acknowledged and practiced 16. LG
focuses on customizing its products based on the
customer lifestyle. For e.g. Since in many Indian
families, washing machine is operated by house
maids who are either illiterate or cant read in
English, LG's alternate strategy was to incorporate
speech technology that allows the instructions in
the various local languages. Such innovations that
fit every customers lifestyle helped LG India to
connect to its customers 9.
DISCUSSIONS AND IMPLICATIONS:

INDIAN COMPANIES ENTRY IN FOREIGN MARKETS
TABLE 1:
Dabur
MNC NAME
ORIGIN
INDUSTRY
RANKING
TARGET AUDIENCE
GLOBAL STRATEGY
LOCAL STRATEGY (Entered UAE
1987)
GLOCAL STRATEGY (CULTURAL

FIT)
www.borjournals.com
INDIA (1884)
CPG (Consumer Packaged Goods)
Dabur ranked 200 in the Fortune India 500 list that ranks India's 500
largest corporations 2010-11 (Dabur, 2013).
Priced for and targeted at the mass market (Arab consumer Arab
female, Asian consumer Asian male, African consumer African
male & female)
Adopting local Diaspora, using local ingredients
The template for Daburs international operations focuses on the
aspect of localizing whereby the technology of the new geography
should be in sync with Daburs technology for adapting to suit local
needs. Local manufacturing units were also set up for the portfolios
of the Asian markets (Pakistan, Nepal, Bangladesh, Sri Lanka,
Malaysia). In Nigeria (customers beyond the Indian Diaspora),
under the product portfolio of skin care, Dabur launched an herbal soap
with localized ingredients.
Challenge rested on Dabur when it entered the Nigerian market
(African market which was beyond the Indian Diaspora). Dabur had
traditional strengths in personal care (hair oil) and not oral care and
home care which the African market was dominant in. Hair care
products sold in Nigeria are cosmetics and the consumers are used to
34

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using electric coils not creams which is Daburs forte.
Dabur Herbal Toothpaste and Dabur Herbal Fresh Gel was
manufactured for the African consumer care market (Dabur, analysis).
TABLE 2:
MNC NAME
ORIGIN
INDUSTRY
RANKING
TARGET AUDIENCE
GLOBAL STRATEGY
LOCAL STRATEGY

FIT)
TABLE 3:
MNC NAME
ORIGIN
INDUSTRY
RANKING
TARGET AUDIENCE
GLOBAL STRATEGY
LOCAL STRATEGY (Entered

Bangladesh late 1990s(Marico)

FIT)
Tata Group
INDIA (1868)
Engineering (Tata Motors, Daewoo-2004, Jaguar and land rover-2008),
Materials(Tata steel, Corus: UK, 2007), IT(TCS), Consumer Products
(Tata Tea, UK-2000), Energy(Tata Power, Indonesia-2007),
Chemical(Tata Chemicals: Indo maroc, Morocco-2005), Services (Taj
Hotels, Starwood group: Australia, 2005)
Tata Motors ranked 359 and Tata steel ranked 370 , Fortune 500 list
2011
Driving for Multi-industry global leadership
To be seen as a local company than an Indian company.
Tata philosophy was to think global locally to be a contributing part of
those countries into which it expands to experience the pain and
ecstasies of the community.
Thus local management and working to augment and support them was
the focus point.
The local strategy adopted operating with the local government or
culturally by involving in the various activities like the Indian food
festival of the music program.
Marico
INDIA (1988)
CPG (Consumer Packaged Goods)
Targeted at the mass market having the household name in India
Expansion into similar markets but realized that it had to move from
India-centric approach to serving local needs of the local markets to
penetrate further.
Set up local manufacturing plant in markets whose consumption
pattern was very similar to Indian markets which would be within the
South-Asian markets;
However, to penetrate beyond South Asia, Marico realized that it
needed to innovate and move from Indian-centric approach to the one
that serves the needs of the local markets.
Marico learned that Arab consumers did not prefer the smell of
coconut oil; they preferred less stickiness and would use the product in
an environment with high water chlorination which damaged hair. To
address this concern, Marico launched a reformulation of the product
that counteracted the harmful effects of chlorine.
ENTRY OF FOREIGN COMPANIES IN INDIAN MARKET

TABLE 4:
MNC NAME
ORIGIN
INDUSTRY
RANKING
TARGET AUDIENCE
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Coca-Cola
U.S.A (1886)
Beverages
Number 1 in Beverages, 70th overall (Source: Fortune 500, 2011)
Most Coke products satisfy the requirements of all age groups ranging
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GLOBAL STRATEGY
LOCAL STRATEGY (Entered India 1993 after a 16 year absence since 1977)

FIT)
TABLE 5:
MNC NAME
ORIGIN
INDUSTRY
RANKING
TARGET AUDIENCE
GLOBAL STRATEGY
LOCAL STRATEGY (Entered India
Oct, 1996)

FIT)
TABLE 6:
MNC NAME
ORIGIN
INDUSTRY
RANKING
TARGET AUDIENCE
GLOBAL STRATEGY

August, 2007)

FIT)
from health conscious to average human being.

Coca-Cola adopts Individual branding strategy as its different products
are given own names like Fanta, Sprite, Coca-Cola etc. Television,
radio and magazines are the most common promotion mix adopted by
Coa-cola.
Its brand localization strategy was with reference to the two Indias.
India A: Life ho to aisi, India B: Thanda Matlab Coca-Cola. Local
employment and corporate social responsibility with focus on
community and environment related.
It recognized that a one stop solution or a single global strategy wont
serve the purpose and hence local executions were the elements
thought off by Coke. Global Brand Coke promoted using punch lines
suiting Indian culture.
McDonalds
U.S.A (1940)
Food Services
Number 1 in the food services, 111th rank overall (Source: Fortune
500, 2011)
Young people, children and young parents.
core product beef based Big Mac
Replacing its core product which is beef based Big Mac into
mutton based Maharaja Mac in India. Successfully sold their
hamburger chain in the cultural zone of India which is dominated by
non-beef, no pork, fully vegetarian and regional food tastes and
moreover in a market where cow is sacred. The mutton burger did
show tremendous hit and the company now markets other products to
its growing Hindu clientele.
Emphasis on Local Management Politically correct strategy beef and pork was a complete no-no Employment Opportunity
Green Sensitivity Corporate citizenship social responsibility
Wal-Mart
Rogers (Arkansas - 1962) 19
General Merchandisers
Number 1 in General Merchandisers, 1st rank overall
(Source: Fortune 500, 2011)
Wal-Marts positioning strategy Always low prices targets middleclass and lower-middle class customers (300 million approx.).
Global presence in Mexico, Brazil, Argentina, Hong Kong, Indonesia,
Korea, China, India and in every country Wal-Mart says Discount
retailing is a very multi-local business where local market share is
critical.
Localization of the product mix being one of the prime corporate
values Wal-Mart holds, discount retailing has been a multi-local
business agenda of the company with a local partner - Bharti
Enterprises, local government, local purchasing power, local
economies of scale and local logistics.
As per the company; their policy has always been At Wal-Mart, we
go to great lengths to ensure our international stores reflect the local
needs and wants of our customers
TABLE 7:
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MNC NAME
Kellogg
ORIGIN
INDUSTRY
RANKING
Michigan (1906) 12
Food Consumer Product
Number 5 in Food Consumer Product, 199th rank overall (Source:
Fortune 500, 2011)
Breakfast Cereal (Cornflakes) for the Indian market promoted by
targeting Indian Women
Concept of Cold Reception Consuming breakfast cereal with
something cold : i.e. pouring cold milk on your breakfast cereal like
cornflakes which was a success in America, Britain, Japan, Korean and
China but a disaster in India.
Indians have the habit of having hot or lukewarm milk which makes
the flakes soggy as opposed to the West. Indian women were used to
the breakfast palate of being hot, fresh and savory.
They began to innovate with the new product development of wheat
and rice cereals like Chocos & Frosties with flavors appealing to the
Indian local cultural habits.
TARGET AUDIENCE (India)

GLOBAL STRATEGY

September, 1994)
FIT)
TABLE 8: Other Global Companies Success story in India:

Toyota
MNC NAME
ORIGIN
INDUSTRY
RANKING
GLOBAL STRATEGY
1997, Toyota Kirloskar Motor Pvt. Ltd.)
18

FIT)
Japan (1945) 17
Moto Vehicles - Automobile
Not in the listing of Fortune 500, 2011
Middle and Upper class segment
Toyota philosophy in global markets localize / adapt the design and
production facilities of its products to build long-term relations with
the suppliers and labor of the local market.
Affordability of the Indian consumers : It clearly understood the
means to enter the Indian market which was focus on the middle and
upper class segment as the economy and small car segments were
already crowded with less opportunity to do business.
Toyota launched Camry and Corolla which are the middle and higher
car segments which have been a great success for the company. Toyota
focused on minivans which had very little competition and targeted
large and bigger families.

MTV (Music Television)
MNC NAME
ORIGIN
INDUSTRY
RANKING
GLOBAL STRATEGY

1996, and is now part of the Viacom 18
Media Pvt. Ltd based in Mumbai.)

FIT)
www.borjournals.com
U.S.A (1981)
Music TV Network
Middle class segment, youth culture
Musical genres mostly pop music, soft rock, Latin pop, and hip hop
music was the programming culture targeted towards youth at the
global scenario especially in Latin America. Each of the music genres
included music in English and Spanish language.
MTV at no stage bombarded the Indian teenagers with American
programming (preferring rap and rock music) rather tailored its
operations to fit the masses. MTV Bhakra, MTV roadies, MTV
Web Watch, MTV Kitne Mast Hai Zindagi being some innovative
programs launched by MTV.
MTV is programmed differently in different countries. MTV
India focuses on color, self-efficacy, full of humor and huge street
culture. MTV being a national music channel now also competes
37

For Evaluation
(JBM&SSR)
_________________________________________________________________________________
with regional music channels showing music in Tamil, Telegu and
Punjabi.

LG Electronics
MNC NAME
ORIGIN
INDUSTRY
RANKING
GLOBAL STRATEGY
1993) 10

FIT)
Korea (1958)
Electronics & Telecommunications
Cater to the needs and requirements of the diverse customers, primarily
focus on semi-urban towns and rural markets.
Extensive market research, product localization and aggressive and
large scale advertising campaigns has been the key drivers for Koreas
LG Electronics.
"One reason LG is successful in India is that we listen carefully to our
customers. We have realized that not just localization, but microlocalization, is required." According to an official of LG Electronics
9
.
LG focuses on customizing its products based on the customer
lifestyle. E.g. Since in many Indian families, washing machine is
operated by house maids who are either illiterate or cant read English;
LG's alternate strategy was to incorporate speech technology that
allows the instructions in the various local languages. Innovations that
fit every customers lifestyle helped LG to connect to its customers 9.
CONCLUSIONS AND
IMPLICATIONS
The scope of the research paper was to discuss the
concept on glocal communication strategy adopted
by various Indian and Global Companies while
entering the foreign market. This analysis and
discussions has been administered by selecting
certain successful foreign Companies from the
Fortune 500, 2011 listing and other successful
Indian Companies which have made a mark in
India and foreign market. This concept and
discussion can be extended through primary data
collection methods to further strengthen the topic
into various dimensions of global, local and glocal
strategic implementation.
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Journal of Business Management & Social Sciences Research (JBM&SSR)

ISSN No: 2319-5614

A Case Study Approach On Indian Companies And

Building, Understanding the uniqueness of the

Blue Ocean Research Journals

Journal of Business Management & Social Sciences Research (JBM&SSR)

Consumer Packaged Goods (Dabur India Ltd.):

overseas with its products exported to more than 50

Blue Ocean Research Journals

Journal of Business Management & Social Sciences Research (JBM&SSR)

Beverages (CocaCola): USA (1886), India

consumers) facilitated McDonalds to venture into

Blue Ocean Research Journals

Journal of Business Management & Social Sciences Research (JBM&SSR)

models and hence wouldnt mind paying extra for a

Food Consumer product (Kellogg): Michigan

Music TV Network (MTV): USA (1981), India

Motor Vehicles (Toyota): Japan (1945), India

Blue Ocean Research Journals

Edited by Foxit Reader

early phase on entering into the Indian market.

DISCUSSIONS AND IMPLICATIONS:

GLOCAL STRATEGY (CULTURAL

Blue Ocean Research Journals

Edited by Foxit Reader

GLOCAL STRATEGY (CULTURAL

LOCAL STRATEGY (Entered

GLOCAL STRATEGY (CULTURAL

ENTRY OF FOREIGN COMPANIES IN INDIAN MARKET

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Edited by Foxit Reader

GLOCAL STRATEGY (CULTURAL

GLOCAL STRATEGY (CULTURAL

LOCAL STRATEGY (Entered India

GLOCAL STRATEGY (CULTURAL

from health conscious to average human being.

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Edited by Foxit Reader

TARGET AUDIENCE (India)

LOCAL STRATEGY (Entered India

TABLE 8: Other Global Companies Success story in India:

GLOCAL STRATEGY (CULTURAL

TABLE 9: Other Global Companies Success story in India:

LOCAL STRATEGY (Entered India

GLOCAL STRATEGY (CULTURAL

Blue Ocean Research Journals

Edited by Foxit Reader

TABLE 10: Other Global Companies Success story in India:

GLOCAL STRATEGY (CULTURAL

[4] CNN Money. (2011). Fortune 500. A service of

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Journal of Business Management & Social Sciences Research (JBM&SSR)

Blue Ocean Research Journals

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