International business is no longer the exclusive realm of the large multinational corporation; small businesses are creating marketing niches for themselves in particular product or service areas. Because of this greater interest in the global economy, companies which are seeking to build long-term strategic plans must consider whether or not international marketing is a critical part of those long-term plans. Included in that consideration is the culture of the destination market as well as the culture of the company considering the expansion. This research considers the internal and external cultural considerations that influence a multinational's success.
Multinational corporations are those companies which offer products or services in different countries throughout the world, adapting their products to the countries in which they are selling. Global companies are companies which operate with a high degree of consistency regardless of the country in which the operation occurs (Aizenman, 1994). At multinational companies, internal practices are also changed to reflect the environment of the various countries. The result is that multinational companies have higher relative costs associated with their international operations than their global counterparts.
Companies with successful products in one market may decide to venture into the international arena in order to increase their sales, profit, market share and long-term opportunity for success. The decision to enter new markets should not be undertaken lightly, however, and products which are successful in one market may prove difficult to market in other areas. For those companies who conduct careful studies before entering a market, and for those companies which have the marketing acumen to understand the markets in which they are selling, the rewards from international marketing can be substantial.
Today, employers will seek out workers from across borders; ind...