Custom Essays-The Globalization of Markets
Many companies, particularly those that have been successful in their home markets for years, tend to assume that products that are acceptable at home will be acceptable elsewhere. When they are not, local competitors get an opportunity to gain market share by providing products more suited for the market. The Backhoe Loader video shows the ubiquitous backhoe loader tractor that is the most numerous construction machine in the U.S. However, it is much less popular elsewhere, where the wheeled excavators are more popular although they are very scarce in North America. For many years, Caterpillar’s U.S.-based product and engineering management resisted developing wheeled excavators, although they were the most numerous type of machine in Europe. A dealer near-revolt changed their minds. Navigate to the threaded discussion below and answer the following question:
In a famous article entitled “The Globalization of Markets,” Harvard marketing professor Theodore Levitt argued that world markets were becoming increasing similar and that it was no longer necessary to market to national or regional markets. Review the article, which is available through OCLS (Levitt, T. (1983). The globalization of markets. Harvard Business Review, 61(3), 92-102), and respond to the following:
Do you agree with Professor Levitt? Why or why not? Use two examples of global companies that sell in various markets around the world to defend your answer. (Hint: Use Google to find national or regional websites for companies such as Ford’s U.S. site vs. their U.K site. This will permit you to compare products and promotions.)
