Skip to main content Accessibility help
×
Hostname: page-component-848d4c4894-8kt4b Total loading time: 0 Render date: 2024-06-15T17:35:20.893Z Has data issue: false hasContentIssue false

9 - Global marketing of new products

from Part II - Global market participation

Published online by Cambridge University Press:  14 January 2010

Hubert Gatignon
Affiliation:
Insead
Christophe Van den Bulte
Affiliation:
Wharton School
Hubert Gatignon
Affiliation:
INSEAD, Fontainebleau, France
John R. Kimberly
Affiliation:
Wharton School, University of Pennsylvania
Robert E. Gunther
Affiliation:
Gunther Communications
Get access

Summary

In rolling out new products across global markets, companies are increasingly using a big-bang approach of simultaneous launches in different parts of the world instead of a sequential approach of gradually progressing from the home country into the world. With a richer set of options for global market entry, the authors consider choices about where to enter and what strategies to use in rolling out new products. They discuss three ways to segment global markets – grouping countries based on country factors, grouping individual consumers into segments that may cut across borders, and grouping countries based on diffusion patterns of innovations. The third approach is particularly relevant for their subsequent discussion of strategies for product rollouts. The authors discuss two strategies for such rollouts: the sequencing “waterfall” and the simultaneous “sprinkler” strategies. In addition to the targeting and sequencing decisions, the authors examine four other strategic decisions taken at the time of launch that affect the diffusion of new products: preannouncements, market entry commitment, distribution and product standardization.

Traditionally, firms introduce new products their home country first and only later start marketing them abroad. This is still the most typical pattern of launching new products. BMW, Matsushita, General Electric, Dell, Benetton, and the Body Shop are examples of well-established and newer firms using such a strategy. Yet, with the globalizing of the marketplace, it is becoming more common to see a new product being introduced at the same time or within a very short period in a multitude of countries.

Type
Chapter
Information
The INSEAD-Wharton Alliance on Globalizing
Strategies for Building Successful Global Businesses
, pp. 207 - 228
Publisher: Cambridge University Press
Print publication year: 2004

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

Save book to Kindle

To save this book to your Kindle, first ensure coreplatform@cambridge.org is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.

Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

Available formats
×

Save book to Dropbox

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.

Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

Available formats
×