Transnational Marketing and Transnational Consumers

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A Matrix of Managers

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In addition, the popularity of Lebanese, Mexican, and other types of meals seems to be on the rise.

What is transnational marketing

Third, there is national food. Again, in the United Kingdom, steak and kidney pie, Yorkshire pudding, and the banger for breakfast all represent typically British food. The picture becomes even more complicated when one considers that the same word can cover a range of foods products. Take a seemingly simple product like tea. The British drink it hot and highly diluted with milk, people of the Middle East take it hot and strongly sugared, and Americans usually like it iced.

While a global idea may exist for the type of compact disc player customers want, there is no uniform concept for tea or frozen pizza, even in Europe. While change is one of the few inevitabilities in transnational companies, any major reorganization requires flexible, responsive employees—and time. At Unilever, we see organizational change as a long march forward rather than one big jump. And we are too cautious to risk breaking a leg. In the early s, Unilever began actively recruiting local managers to replace the Dutch and British executives from the head office who had been running most of its local units.

Yet the head office also recognized the danger of becoming too decentralized. By , Unilever had opened Four Acres, its international management training college near London. Now every year, the head office sends to managers from all over the world to this international training ground. In addition, training courses are organized on a local basis in many countries, sometimes in our own centers for example, in the city of Megamendung on Java , sometimes in hired facilities. While we continue to develop local talent in our subsidiaries, we also expect managers to gain experience in more than one country or product line.

At Unilever, the recruitment and training policies that reinforce the matrix are not only held in high esteem, they are also a matter of long-standing practice. Since the s, we have pioneered new managerial selection systems in western Europe. And in many developing countries, we use advanced methods to recruit the best university graduates. For instance, teams of Unilever managers are charged with spotting talent in local universities at an early stage; or prizes are given for work done by young scientists to make contact with them.

The company also sponsors an extensive program of business courses for university students in many countries, from Turkey to the United Kingdom. Through these courses, Unilever instructors and students get to know each other, determining what they have in common. Every candidate who survives this initial screening is then reviewed by a panel of senior managers, which often includes board-members from the parent company.

The greatest challenge of recruiting, of course, is to find the best and brightest who will fit into the company. We certainly do not want a homo unileverensis; but for international careers in our current operating companies, we look for people who can work in teams and understand the value of cooperation and consensus. For managerial trainees, preparation includes both on-the-job experience and courses at Four Acres. In fact, many have joked that Unilever is really a management education institute financed by soap and margarine.

Every trainee becomes part of a group of 25 to 30 people recruited for similar managerial positions. This shared experience creates an informal network of equals who know one another well and usually continue to meet and exchange experiences. Such an exchange is particularly important in an organization that has an extremely diverse group of international managers.

A manager can be placed for a short or long period in a head-office department or a subsidiary. In the early s, when I was responsible for profits for a large group of companies, we had a staff of about 20 people. Of these, there were usually two bright young managers on temporary assignment from several of our far-flung operating companies.

After a period of 6 to 12 months, they would move on to new positions—as marketing director in Brazil, for instance, or development manager in Turkey. When these managers return home, they are still part of the Unilever network. They know whom to call in case of need and what to expect. In addition, cross-postings between companies are very important for establishing unity, a common sense of purpose, and an understanding of different national cultures and attitudes.

Transnational Marketing

Such postings may be to other countries or across product lines. For example, while setting up preventive maintenance systems in factories seemed obvious to me, the local attitude was to wait until a machine broke down before deciding what to do. Clearly, not all of the creative ideas used to market skin cream are applicable to instant soups, but a surprising number of good ideas result from cross-fertilization between product groups.

First, the network is fundamental to the transfer of ideas among companies. Transfer can take place either through one of our head offices, which then acts as a clearing house for ideas, or through direct contact between two operating companies. While our network may seem disorderly, it does work. Second, through the network, international working parties, committees, and similar groups form either ad hoc to solve a problem or to follow a subject on a more permanent basis. You may be able to access this content by login via Shibboleth, Open Athens or with your Emerald account.

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