Составить аннотацию к тексту! one of the biggest implications of globalization for companies seeking to expand to foreign shores is the task of balancing standardization with customization. when some of the world’s biggest brands expand beyond their home markets, they are tempted to repeat their tried and tested formula in the new market as well. in fact this has been the path followed by many brands. the assumption in such a case is that customers would be too eager to consume the great brand because of its authenticity, heritage and associations. but this tendency is gradually changing as global companies are learning about the unique needs of the customers in different market along with the pressures of lifestyle, economic and cultural conditions. a case in point is the success of global brands in the indian market. one of the booming economies in asia, india offers tremendous opportunities to global companies. a brief look at the indian landscape would prove why – an estimated 1.2 million affluent households that is expanding at 20% a year, 40 million middle income households growing at 10% a year, more than 110 million households with earnings of us$7,500 to us$20,000 and more than 70% of the population below the age of 36. it is no wonder then, that global brands are making a bee line to the indian market to grab a share of the growing pie. in spite of the booming economy and the increasing disposable income, indian consumers are very cautious and clear in their priorities. consumers are still not ready to splurge on branded goods at premium prices. added to this there is a growing number of indian brands that offer superior quality at affordable prices. in such a scenario, global brands can win only if they attune themselves to the local conditions. unilever is a classic example of a global brand which has pioneered serving the locals with products that address the local sensitivities. unilever’s indian subsidiary hindustan lever limited (hll) has been the leader in recognizing the tremendous opportunity lying at the bottom of the pyramid – customer base that aspires to consume products but in smaller quantities and at lesser prices. hll invented the shampoo sachets – small plastic packets of shampoo for as less as usd 0.022. this became such a rage among the rural consumers that many other brands started offering products such as detergent, coffee and tea powder, coconut oil and tooth paste in sachets. another example is of global mobile brand nokia. nokia also recognized the growing importance of rural customers in the indian mobile telephone market which grew from a mere 300,000 subscribers in 1996 to a whopping 55 million subscribers in 2004. nokia introduced its dust-resistant keypad, antislip grip and an inbuilt flash light. these features appealed to a specific target of truck drivers initially and then to a broader segment of rural consumers. these features endeared nokia to the indian consumer as nokia displayed a genuine commitment in responding to local customer needs. these examples clearly endorse the glocalization route to winning customers in diverse markets. glocalization – maintaining the brand logo, the key message and the underlying philosophy and localizing the brand elements to offer customers an authentic local feel – is increasingly becoming the preferred business model for global brands.
Global brands were extremely interested in capturing an Indian market consisted of more than 150 million potential customers and, moreover, the number is raising with an enormous temp. The brands had to become feat so as to keep up with Indian brands that offered superior quality.
The examples of successful integration to an Indian market are Unilever and Nokia. Unilever invented the shampoo sachets and were selling it with a minor price. People liked the idea and a lot of other brands started to sell powder, oil and paste in sachets. Nokia introduced a dust-resistant keypad and inbuild flash light - the features were directed to rural customers and it worked.
The story showed that brands have to localize its elements to every single country to be a success.