THE UNIVERSITY OF HULL Integration of Standardisation and Adaptation Marketing Mix Strategy Reference to Shiseido Company in UK and China

Every multinational business is faced with a very important marketing decision: to standardise or to adapt its marketing mix? This case study outlines a theoretical exegesis of global standardisation and international adaptation, presents these two perspectives. The debate between these two concepts is explored and their respective benefits considered. Subsequently, the role of the marketing mix and strategy are examined in relation to the above approaches along with the consideration of the various factors, which suggest a particular marketing mix approach. Furthermore, this research presents the factors that influence the company to adapt its marketing mix while maintain its standardisation strategy. Those factors are examined include political, economic, cultural, physical condition, technology, product life cycle, competitive factor, organisational factor, the nature of the product, and the target and positioning strategy. In facilitating the comprehension of the above task, Shiseido – a Japanese based cosmetic company in China and U.K. market are utilised to exemplify and discuss the way that Shiseido Company addresses the integration of standardisation or adaptation issues. It will show the different degree of adaptation based on the standardisation in Chinese and U.K. market. Contrary to the research propositions Shiseido in Chinese market was found to adapted aspects of its marketing strategy to a greater degree than its U.K. counterparts with product, promotion displaying the highest level of standardisation and distribution and pricing activities being slightly adapted to host market. The preliminary results of this research, therefore, appear to add to the existing confusion in the standardisation and adaptation debate. As a result, further research is needed to finding out the perfect pint of the integration of standardisation and adaptation.