Index of Paper Presentations for the Parallel Sessions - Academy of ...

other distribution systems, who (c) have access to and attend to various relatively unfettered mass communicationmedia forms, (d) can be persuaded to make various attitudinal changes through effective communication, (e) whichwill eventually result in behavioral changes, i.e., the purchase and use of the promoted product and (f) as a result ofthat purchase, the customer will likely purchase again.A working model of the process is shown in Exhibit Three.Exhibit 3 Goes About HereEstablished Markets Marcom ModelAs shown, the system is all outbound (from marketer to customer/prospect) with limited response devices availableto the customer. The marketer controls all the elements in these marketing and communication systems and canapply those elements as needed or required to influence or persuade customers and prospects to act in waysbeneficial to the seller.The problem today is that the established, western-originated and controlled marketing communicationsystems, which developed and evolved during the 20 th century, are relevant to only about 20% of world‘spopulation. The balance of the world‘s economies and markets operate under different systems and with differentparameters. Thus, this paper argues that a new, interactive marcom model is needed for marketers to succeed withthe other 80% of the world. (Schultz and Block 2003) The balance of this paper describes the type of model neededand suggests a conceptual approach which might be employed.III. Why the Established Marcom Model Doesn‘t Work in Emerging MarketsToday, sophisticated marketing organizations are finding that their established marketmarcom models just don‘t work in new and emerging markets. (Peng et al, 2008) Commonly, they blame theemerging market economic system they are trying to enter for their failures. (Patel Thompson and Thompson 2012)Lack of data, lack of logistical systems, lack of education of the consumer population, lack of managementcapabilities of people in the new markets, and a host of other reasons are given. Commonly the argument is made:this program worked beautifully in Australia or France or the U.S., it should work just as well in Indonesia or Brazilor Nigeria. After all, we‘ve translated it into the local language and embedded some television shots of local sites togive it a ―local feel‖. Yet, failures occur and western managers don‘t seem to know what caused the problem.In our view, the reasons existent established market models fail in emerging markets are fairly clear.First, the rest of the world isn‘t like the Midwest portion of the United States with a different language beingthe primary differentiator. Given the developments of the past few years, emerging markets are commonly similar to,but more often, radically different from established markets. While there are a host of reasons for those differences,some of the most common ones are:A. Culture: culturally, emerging markets are not like established ones and just translating theconcepts into the local language is not sufficient. In many cases, emerging markets arecommunal rather than individualistic, as are commonly found in the west. Thus, the family,communities, social groups and other networks are much more important than they are in theestablished western markets. . (Flambard-Ruaad 2005)B. Communication: often, emerging markets are much more sophisticated in terms ofcommunication systems than are their western counterparts. For example, 42% of all internetusers are located in Asia (Internet World Stats, 2010). One internet portal in China, QQ, hasalmost 1 billion users (touchchinese.com, 2012) Interactivity and mobility are the two key