Marketing Challenges in the Global Economy Essay

AbstractThis article discusses roughly argufys faced with crossing development in the ball-shaped economy. Brief case studies of Apple, eBay, and Levi Strauss & Co., provide real-world examples of the challenges competition, come about of influences, infringement, etc. Embracing technological advances, such as social media, is immanent for leveraging a competitive edge, provide the company can guide honorablely.Marketing Challenges in the Global EconomyIntroductionThe world is getting smaller, figuratively speaking, and companies must continually reinvent themselves to remain competitive in the orbicular economy. A constant introduction of seemingly ever-changing variables develop challenges for big businesses and start-ups alike, and while engineering creates its own set of challenges, leveraging its benefits in grocery storeing can propel a company to the leaders board. But while applied science has created new-fashioned trade opportunities especially in engaging wi th consumers companies impoverishment to be ever cautious about maintaining an ethical marketing strategy.Challenges in New Product LaunchesCompanies face various challenges when ontogeny products in the global economy. Some of these challenges be more(prenominal) distinct to unique(predicate) industries, while separates are universal. Twenty years ago, the biggest challenges with product development in the global economy were communication with manufacturers, especially when dealing with manufacturers halfway virtually the world, and the speed of production. Rapidly evolving technology has on one hand protruding these, only if also created new sets of challenges. The same technology that brought the world 24-hour news show service also meant greater access for scrutiny, as well as a greater consumer expectation for full disclosure of business practices. Increasingly, community want to know that companies are running ethical production operations (Pelsmacker, Driesen & Rayp, 2005). Environmental sustainability, fair trade and remuneration, and safe and healthy work conditions are issues that companies accommodate to consider more than ever. fleck technological advancement has give easier inter act with manufacturers around the world, it has not changed the fact that reach of influence is stillness a challenge. Independent start-ups now score virtually the same global market access as multinational corporations. Big businesses can no longer assume the competitive edge. And all of these companies, big and small, operating internationally, have to compete with local businesses. This is why operating across a spectrum of socioeconomic and cultural consumer bases requires an understanding of the psychographics for each target audience. Another challenge in product development, especially for technology-based companies, is the bump of ostensible infringement. More tech dollars are spent in the courtroom than on the research and development (Duhigg & Lohr, 2012). engineering firms make money suing each other back and forth.Case news report 1 AppleUnder the direction of Steve Jobs, Apple seemed to have no problem delivering products to the global market that transcended cultural boundaries iPod, iPhone, iPad, Macbook. The key was simple, workoutr-friendly products. ar Macbooks worth their price tags? Was the first iPhone worth $500? Product military rating has been a question largely irrelevant For Apple. It was able to defy the betting odds by creating a demand for the products, a key to pricing a product line (Guiltinan, 2011). Still, Apple, as with any tech firm, is at risk of being overshadowed by the next greatest innovation, as seen in the a la mode(p) battle of the smartphone wars (Reuters, 2012).It is a back-and-forth war that extends beyond the front line that is the sell floor. Behind the scenes, Apple and every other tech device and software program developer are engaged in costly patent litigation. Apple bel atedly won more than $1 billion from Samsung (Pepitone & Goldman, 2012). Likewise, Samsung is taking legal action against Apple for patent infringement on the iPhone 5 (Musil, 2012). Other challenge that Apple provides a prime example is ethical oversight of inshore production. Apples Chinese factories, run by Foxconn, have accepted a lot of heat for work conditions and unfair wages that have resulted in mass suicide of employees, brawls, and halting production (Garside, 2012).Case take away 2 eBaySince 1995, the internet auction giant has been providing a consumer-to-consumer (C2C) service that revolutionized e-commerce, but its success has not been without challenges. Acting essentially as nothing more than an internet moderator between C2C transaction, eBay has not had to deal with all of the same issues as Apple, such as the controversy of sub-par factory conditions. But it has faced some of the other challenges synonymous with technology firms. Patent infringement has haunte d eBay. For example, MercExchange sued eBay for unlawfully using its patented software to create the eBay Buy It Now trace (Larson, 2010). Likewise, eBay has had to compete with other e-commerce auctions around the world.It is the standard in most western markets, but could not win in China against TaoBao (Ou & Davison, 2009). After battling for market dominance eBay conceded to TaoBao, showing that even corporate giants are sometimes challenged in reach of influence. But eBay celebrates its failures just the same as its successes. With rapidly forward technology, the minds behind eBay have sometimes had to make decision quickly, without conclusive research, and prepare later. If the decision resulted in a failure, they at least knew what direction not to evolve in (Ignatius, 2011).Case Study 3 Levi Strauss & CoThe array industry is probably most notoriously associated with running factories in sub-par conditions (Brown, Deardorff, & Stern). correct iconic American denim brand Levis is not impoverished of this. Competition in the 1990s forced the company to move untold of its production offshore, where it was soon implicated along with dozens of other brands in sweatshop operations (Shenon, 1993). More late(a)ly, ease of access into the market has created a lot of competition for Levis. Furthermore, emerging fashion markets have been turning their charge to local designers, further challenging Levis reach of influence (Grail Research, 2009). To hear survival, Levis has taken steps to reinvent its image through sweet marketing persists to match its tonic designs (Frey, n.d.), like its recent Go off campaign.engineering and New Product DevelopmentSocial media has radically changed the marketing landscape. Advertising used to be a one-directional conversation television, radio, and magazines told consumers what to buy, and consumers were limited in their ability to denounce these sales pitches. Now marketing is most sure as shooting dialog that requi res input from consumers.Technology FacebookMySpace might have introduced the world to the conception of social media, but Facebook took it beyond peer-to-peer and created an environment where businesses and consumers can engage in meaningful dialog (Wilkinson & Thelwall, 2010). This has allowed companies to get direct drawback from consumers, while making consumers expression like they are part of the company. Companies of varying sizes have staged booming Facebook campaigns. Even anti-Facebook campaigns have found success on the virtual playground. As a tribute to Facebooks IPO, the magazine Fast Company published what it considered to be the five all-time best Facebook campaigns (Iezzi, 2012).Technology YouTubeCelebrities like Justin Bieber and Soulja male child have defined a new paradigm of stardom, achieving fame through the use of viral video. Social media substance abusers are always looking for their 15 legal proceeding of fame, and companies have picked up on this. Numerous brands have launched user-generated content campaigns. This has allowed fresh vision to emerge, while build brand evangelism. One successful campaign of this nature was the Doritos Superbowl ad contest, in which the best user-submitted video was aired during the Superbowl.Technology Google AdSenseThe ever-innovative Google developed a method for posting advertisements based on the users browsing habits that, is ads related to page content. Logging onto Gmail, it is no junction that the right-column ads share subject matter with the inbox emails. Even the Facebook ads reflect browsing history. While web ads, especially pop-ups, generally invoke negative connotations, they have a certain subliminal effect on consumers.Legal and Ethical Implications in New Product DevelopmentAs previously stated, advances in technology have allowed easier access for consumers to see the skeletons in the closet, so to speak, of companies. This means companies should be on their best behavior, or expect to have their dirty piffling secrets discovered. Still, companies continue to engage in unethical, and even illegal marketing. This questionable action mechanism can come in such forms as misrepresentation and misinformation, smirch against competition, omission of facts, or outright lying. It can even involve study manipulation of emotions to achieve a desired effect.Legal and ethical implications Dannon Activia in spite of inconclusive evidence in studies (Walker & Buckley, 2006) regarding the benefits of probiotics, Dannon chose to market implied digestive benefits of Activia and DanActive. In turn, the yoghurt company found itself engaged in a lawsuit. This is a soak up example of why companies should not mislead consumers for profit.Legal and ethical implications flux the ChildrenThe Feed the Children campaign releases videos that use techniques to deliberately elicit guilt, thus shake up the the viewer to donate. What they fail to include in the commercials is the fact that the majority of donations goes to administrative costs, that is, salaries (Defoor, n.d.)Legal and ethical implications Techie trash talkIf it isnt sufficient to sue each other back and forth over patent infringement, smartphone companies have taken to slandering each other for the competitive edge. Samsung accused Nokia of this with its recent Blown Away by Lumina campaign, in which it allegedly misrepresents the capabilities of the Nokia Lumina against other smartphones (Mukherjee, 2012). destructionThe examples presented here provide discourse for the challenges of product development in the global economy, and the benefits of technology in marketing. While technological advancement brings along new sets of challenges, the benefits vastly amount to more. Leveraging these benefits in marketing is key for companies to copy in an increasingly competitive global market. However, under the looming microscope of public scrutiny, companies need to be ever cautious abou t maintaining ethical marketing strategies.ReferencesBrown, D., Deardorff, A., & Stern, R. field of study BUREAU OF ECONOMIC RESEARCH, (2003).The effects of multinational production on wages and working conditions in developing countries(Working Paper 9669). Retrieved from website http//www.nber.org/papers/w9669 Defoor, A. (n.d.). Who do they feed?. Retrieved from http//www.themarketingscene.com/index.php/site/topic/who_do_they_feed Duhigg, C., & Lohr, S. (2012, October 07). The patent, used as a sword. Retrieved from http//www.nytimes.com/2012/10/08/technology/patent-wars-among-tech-giants-can-stifle-competition.html?pagewanted=all&_r=0 Frey, U. (n.d.). Reinventing levi strauss & co. CalBusiness, Retrieved from http//www.haas.berkeley.edu/groups/pubs/calbusiness/stories/levi1.html Garside, J. (2012, March 29). Apples factories in mainland China are breaking employment laws, audit finds. Retrieved from http//www.guardian.co.uk/technology/2012/mar/30/apple-factories-china-foxconn-au dit Grail Research. Integreon, Grail Research. (2009). The global fashion industry growth in emerging markets. Retrieved from website http//www.grailresearch.com/pdf/ ContenPodsPdf/Global_Fashion_Industry_Growth_in_Emerging_Markets.pdf Iezzi, T. (2012). The 5 all-time best facebook campaigns. Retrieved from http//www.fastcocreate.com/1680811/the-5-all-time-best-facebook-campaigns Ignatius, A. (2011). How eBay Developed A cultivation of Experimentation. Harvard Business Review, 89(3), 92-97. Mukherjee, W. (2012, April 11). Samsung Nokia lumia campaign unethical. Retrieved from http//timesofindia.indiatimes.com/tech/enterprise-it/strategy/Samsung-Nokia-Lumia-campaign-unethical/articleshow/12620894.cms Musil, S. (2012, September 10). Samsung will reportedly sue apple over lte use on iphone 5. Retrieved from http//news.cnet.com/8301-13579_3-57510080-37/samsung-will-reportedly-sue-a