Cross Cultural Barrier Faced By A Company Masters Of International Business Report

4959 words - 20 pages

BMA534
International Business Management
Cross Cultural Impact on Kellogg's Launch in India

Executive Summary

This report is structured in an efficient way as at first, abstract is explained. After that, the com-

pany’s overview and introduction is explained. Moving forward, we have explained what are the

main issues which have affected the business in a negative way. It is also explained why and how

Kellogg’s entered Indian market. We have tried to explain the problems through 4P’s of market-

ing mix. In product, they copied the US and European country products as it is. How they ne-

glected the local flavor and did not customized the products according to the Indian preference

leads to low sales. Second reason which we have tried to explain is how placing the product at

premium price caused problem to the brand as major part of the population of India couldn't af-

ford it.

In distribution, we have explained how the product was not available in many cities and if it was

available then it was in only A-class outlets in Tier 1 cities which was out of the reach of most of

the Indian population. Indians like to have hot and spicy food & Kellogg’s asked them to have

chilled and sweet corn flakes which was different from their culture.

In the analysis of the issues, we have taken cultural differences as consideration to the problem

faced by the Kellogg’s and SWOT analysis for identifying the Strengths, Weaknesses, Opportu-

nities, and Threats which would be helpful in finding the recommendations and opportunities by

taking the product diversity as the criteria.

This was the mistake in positioning by not understanding cultural difference before entering In-

dian market. In the last, the recommendation and conclusion section is mentioned that in short

what is the main interpretation of this report. To overcome the issues which are raised in this re-

port, the recommendations are also given.


Group Report

Page 3

Table of Contents

Abstract ......................................................................................................................................................... 4

Keywords ...................................................................................................................................................... 4

Company Overview ...................................................................................................................................... 4

Kellogg’s in India-Introduction ................................................................................................................ 4

Some Facts about the Kellogg’s: .............................................................................................................. 5

CULTURAL ISSUES FACED BY KELLOGG’s IN INDIA...

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