Module Code-

Module Name-
Format- Proposal
Assignment Title- The effects of cross-cultural differences on
international marketing- a case study of FMCG sector
Word Count- 1500
Student Name-
Student ID-

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 Table of content

Research question and context 2

Literature mind map 3
Investigation approach 4
Theoretical analysis 4
Data collection and analysis 5
Sampling method 5
References 6

2
Research question and context
The topic, that this research aims to approach is the effect of cross-cultural differences on the
FMCG sector, on the aspect of international marketing. Cross-cultural differences have been
seen as one of the major factors, affecting the FMCG sector as consumer behaviour differs
from one person to another due to cultural differences, which impacts the overall
managemental process (Gopinath, 2019). Different research has shown that multi-cultural
differences have an impact on the FMCG company's production process as it slows down, the
overall operations delaying the launch of products in multiple countries. Organisations that
work under the FMCG include, soft drink-producing companies, packaged food-producing
companies, as well as other companies producing essentials products including tooth cleaning
products, cosmetics, detergents and others, which are majorly impacted by the cross-cultural
differences as it creates different requirements due to the wide change in preference of taste,
quality and behaviour that differs with the context of culture. These changes in preference
cause FMCG organisations to manufacture products differently, impacting the overall
operational cost.
This research will aim to provide n insight into the different types of customers' behaviour
and habits in terms of product purchasing and will highlight how these differ in terms of
culture and practices across the world (Graham, 2020). The research will further elaborate on
the aspect of cross-cultural behaviour of both customers and workers and will define, how
these cross-cultural differences are impacting the overall performance of the FMCG sector.
The research aims to answer a number of questions regarding this specific topic. The
questions of this research will include
● What are the current effects of the cross-cultural differences in the international
FMCG market and how does this impact FMCG organisations all across the world?
● Which businesses within the FMCG market are impacted the most by cross-cultural
differences and how is this causing changes in practice and creating new challenges
impacting business growth and development?
The research will focus on answering these questions in order to get a brief and well-defined
understanding of the current challenges and opportunities faced by the brand working
internationally in the FMCG sector. These questions will also support the risk analysis
strategies of the FMCG and will provide a justified insight into the future of the international
FMCG sector as well as provide a detailed recommendation through which organisations
under this sector can overcome current challenges and ensure long-lasting strength and
success while operating in the cross-cultural environment.

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Literature mind map

According to the authors Wilson-Nash and Xiao, 2019, the cross-cultural differences in the
internal market context are seen to have both positive and negative effects on brands FMCG
brands operating across the world (Liczmańska-Kopcewicz, Mizera and Pypłacz, 2019). The
opportunities that cross-cultural differences provide are the chances of researching and
developing new products within the industry, but the development of new products on the
other hand causes these FMCG, organisations to go through a large investment, with no
surety of future success. The authors also claimed that This cross-cultural environment has
drawn on opportunistic consumers looking for new sensations, although boredom with
various categories of products from the FMCG companies can emerge as changes in taste
occurs or as products fail to fit customers' tastes. This may draw customers to other
alternatives, resulting in a reduction in sales for a certain product. Furthermore, whenever
consumers purchase new FMCG items, it stimulates brand switching, which may lead
international brands operating in the FMCG sector to lose customers in a certain location and
potentially result in huge losses and crises in the future.
Apart from this, organisations are also always under the immense pressure of keeping up with
customers' needs and producing products according to their preferred tastes (Luo, 2020). To
do this, brands are encouraged to create differences in the manufacturing system and
manufacture different products to meet the requirements of different cultures. This influences
an increase in cost and causes organisations to invest more in technology, to keep up with
different demands.

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The authors of this article have highlighted through research demonstrating that when it
comes to purchasing new FMCG items, customers' preferences in the Westernised culture
differ greatly from those found in other regions. Consumers in the United Kingdom, for
example, are believed to be far more mainly motivated by hedonic consumption, whereas
Brazilian buyers are primarily motivated by utilitarian usage. Over time, the FMCG industry
has seen a slew of changes. Simultaneously, Lengthy development orientation is investigated,
with respect towards how market influences operate differently in the short and long run.
Even though the hazards of cultural differences are quite well recognized, many
organisations' international marketing attempts fail. This usually happens due to the number
of barriers in cross-cultural work, including the self-reference criterion (SRC) and customer
ethnocentrism are now the two most fundamental obstacles and difficulties that develop while
marketing products across cultures (CET) (Povedskaya, 2022). Because of the SRC,
marketers are unable to recognise cultural characteristics that differ from their own. As a
consequence, they are unable to take the initiative to become aware of cultural variations and
therefore do not discover chances to fulfil organisation objectives within foreign markets.
Investigation approach
Theoretical analysis
Organisations with international marketing approaches usually face cultural challenges due to
a lack of cultural understanding. To ensure marketing success. Organisations need to get a
wider understanding of the cross-cultural differences, which are overtaking the marketing
process in the case of the international marketing system. FMCG, business organisations have
to ensure that they are fully aware of the cultural differences and preferences before they start
up their business in the international context (Wilson-Nash and Xiao, 2019). The theories of
cross-cultural marketing can be implemented to support the business operations of brands
within the FMCG sector. This theory will provide the researcher with a minimum knowledge
of how different culture influences business practices and study both the buyer and
managerial issues faced in the global context. The cross-cultural theory will aim to deliver a
phenomena-related understanding of the cross-cultural research, on market approaches and
compares behaviour preferences, communication styles and buying patterns of people across
the world. According to the cross-cultural theory, businesses operating in the FMCG sector
can overcome cross-cultural challenges by diversifying the overall business operations as
well as manufacturing and production process because through this FMCG organisations can
meet different requirements of customers all across the world.

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 Hofstede's cultural dimensions theory can further provide organisations in business
international business with an understanding of the society's culture and its values and can
provide an understanding of the different cultures across the world. FMCG international
marketing sectors can implement this theory and can use its six categories to understand the
preferences and choices of their targeted group, by assessing the culture they belong from
(Habel et al., 2020). This theory can successfully provide the FMCG sector with important
information regarding the differences between different countries and can recommend ways
through which businesses can manage these differences successfully.
One of the major causes of building and approaching theory is to gain a theoretical and
logical understanding of how cultures and businesses are interrelated to each other and the
ways a modern business can improve its performance in the cross-cultural market. These
theories will provide a wider insight into the strategies that can be taken and will help in
breaking down the wider concept of business and culture into smaller parts and provide a
deeper insight into significant connections, their impact and gaps in modern business.
Data collection and analysis
The research will follow a secondary research method in which the researcher will collect
existing data, that has earlier been completed through the use of the primary method. It will
be ensured that the data which are being collected are not older than five years and has
adequate data regarding cross-cultural marketing. The data that will be collected for this
study will include scholarly articles, journal articles, feedback and reviews, newspaper
articles and collected information from online websites (Wales et al., 2019). The researcher
will ensure that the information provided in the article has data collected through
observations and personal interviews. These sources will provide the researcher with existing
data that can answer the research questions from this study. The data that will be collected
will be analysed through the thematic analysis method, in which the researcher will generate
themes by identifying, analysing and reporting repeated patterns.
Sampling method
The researcher will follow a purposive sampling technique. This sampling technique will
follow a non-probability sampling strategy and will collect units of data that can possess traits
of information that are required for answering research questions in the study. This sampling
style will allow the researcher to squeeze, the maximum amount of important information
from each data while giving an in-depth understanding of the research and providing support
in answering each of the research questions.

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References
Gopinath, R., 2019. Factors influencing consumer decision behaviour in FMCG.
International Journal of Research in Social Sciences, 9(7), pp.249-255.
Graham, J.L., 2020. Cross-cultural marketing negotiations: A laboratory experiment.
Marketing Science, 4(2), pp.130-146.
Habel, J., Jarotschkin, V., Schmitz, B., Eggert, A. and Plötner, O., 2020. Industrial buying
during the coronavirus pandemic: A cross-cultural study. Industrial Marketing Management,
88, pp.195-205.
Liczmańska-Kopcewicz, K., Mizera, K. and Pypłacz, P., 2019. Corporate social
responsibility and sustainable development for creating value for FMCG sector enterprises.
Sustainability, 11(20), p.5808.
Luo, T., 2020. How Loyal are you to Media Content Subscription? A Cross-cultural
Comparison of North America and China (Doctoral dissertation, Concordia University).
Povedskaya, E., 2022. The impact of coronavirus pandemic on sustainable consumer
behaviour: a cross-cultural analysis.
Wales, W., Gupta, V.K., Marino, L. and Shirokova, G., 2019. Entrepreneurial orientation:
International, global and cross-cultural research. International Small Business Journal, 37(2),
pp.95-104.
Wilson-Nash, C. and Xiao, S., 2019, July. From FOMO to Changxin: a cross-cultural
exploration of consumer response to newness in the fast-moving consumer goods industry. In
Academy of Marketing 52nd Annual Conference.