Ford and Carbide Companies Global and Local Strategies

Introduction

Marketing strategies on pricing, promotion, development, and distribution have to be implemented appropriately for the success of any business within the domestic and international markets. The value that consumers attach to any product is dependent on the price, brand name, and place of origin. This is evident in so many countries based on product branding and consumer preferences. This case describes the experiences of Ford and Carbide companies within the international market environment.

How has ford managed to do so well internationally and so poorly domestically?

Ford Motor Company has succeeded internationally since their managers normally make decisions not focusing on locally but global basis. Most of their activities including product development and vehicle design are planned on a worldwide basis. All their operational activities from manufacturing, marketing to purchasing are handled globally including their human resource management. Their employees are shifted at will anywhere provide they prove worth within their expertise areas. This has since helped Ford since they have a wide global perspective and frame of reference which goes beyond the country of origin (Kiley, 2006, p 1).

According to Ford Company, implementation of strategies seems to be more important since it involves the identification of the relevant market segments where the strategies could be appropriately used. Their marketing strategies aim at improving organization performance, maximizing profits and building a stable market share. Their international strategies focus on allocating resources to win customers and satisfy necessary needs. Marketing strategies have assisted the company in identifying consumer desires and relate them to those of the company.

The automobile industry experiences stiff competition within the global market. This is because each company needs to convince consumers that their products offer the necessary consumer taste and desires. Each competitor within the industry comes up with strategies which when implemented creates some differences compared to others. Ford as one of the companies strategizes on how to make vehicles perceived for safety reasons and having high efficiency in fuel use and consumption (Kiley, 2006, p 1).

Implementation process cuts across the four Ps of marketing. These involve identifying the product, its price, the place to be sold and the people targeted. These elements have properly mixed and utilized within Ford Company to improve brand image hence gain much profit. The company built customer trust towards the company through good management of their strong brand. The strategy is to deliberate on how marketing and product design would work together. This is aimed at connecting Ford cars, trucks and consumers’ minds (Kiley, 2006, p 1).

Ford Company process of taking their successful international business strategies to their domestic operations

Ford is making some cultural adjustments to confront the domestic market. They are trying to establish frames of reference which they could use in making decisions that enable them to have a critical evaluation of the potential within the domestic market. Ford Company is considering the application of a polycentric management strategy. This is where managers would be obtained from the domestic environment. In this strategy, it is assumed that only the locals fully understand their own cultures hence should take all the management positions (Kiley, 2006, p 1).

This strategy may seem very effective since multinationals appear to have local touch which makes their target markets fairly relate to them. Nonetheless, this strategy may prove otherwise especially in cases where appropriate management abilities cannot be found locally. Ford Company should, however, be wise on the use of their various marketing strategies because the success of these principles depends on the degree of difference or similarity between the international and domestic cultures. There are plans of branding Ford products as Americans to capture domestic values, culture and interests (Kiley, 2006, p 1).

What’s Union Carbide’s strategy and organizational structure, where did they fail?

The strategy of winning customers was employed through managers; this is where they were instructed to handle inquiries from concerned customers more aggressively by using terms that could keep the inquisitive customers on the defensive. In the same line, sales personnel were used to instruct the customers that asbestos was not in any way associated with the carcinogen. The company used these strategies to belittle the detected dangers of asbestos products within their marketing literature (EWG Action Fund, 2004, pp. 1-52).

They failed to move as per the company’s doctor’s medical advice, which entailed the dangers of human exposure to asbestos products. They ignored the fact that short term, not long-term exposure was capable of inducing someone to lung disease. The management team focused on their profitability while they deliberately ignored the safety of the consumers. Most companies at times try dubious means of enticing customers, one of the ways being selling dangerous or poor quality products at lower prices for their benefit. The organization failed in adhering to international marketing ethics (EWG Action Fund, 2004, pp. 1-52).

Application of proper strategies and operational processes

Operational processes should include major health screening initiative which enables everyone with a work history of asbestos exposure and identify quick response measure towards those victims. The other option is to diversify the business process to manufacture of other related products apart from asbestos. This is since asbestos products have proved dangerous to human health, hence no reason to continue inflicting injury amongst innocent people. The other way to avoid such a disaster is by making sure that the company adheres to stated marketing ethics, both domestic and international (EWG Action Fund, 2004, pp. 1-52).

Marketing ethics in any organization contributes to good business. This prevents the organization from being a victim of breaching business laws resulting in unnecessary fines. Strong marketing ethics within an organization leads to a high level of trust between the organizations, its employees and the market environment. Improved marketing ethics enhance the level to which an organization retains and attracts more employees as well as customers. The process is of benefit to management since it teaches marketers on the culture of doing the right thing for the benefit of both the company and consumers (EWG Action Fund, 2004, pp. 1-52).

Conclusion

The international marketing body must ensure that all strategies from companies conform to the already designed marketing policies, and has the capability of achieving the global competitive standards. While designing these strategies health of the consumers and their general safety should be given priority.

References

EWG Action Fund. (2004). Asbestos. CDC reports. Web.

Kiley, D. (2006). Ford’s New Drive. Web.