Regiocentric Approach In Nike

1275 Words6 Pages
4. Regiocentric Approach 4.1 Theoretical Background Regiocentrism is similar to the polycentrism, but a company not only focus on differentiations of foreign markets, but also should concern itself with the commonalities. In a company with a regiocentric orientation, management views regions as unique and seeks to develop an integrated regional strategy. Therefore, it uses the same strategies to similar markets or regions with the similar characteristic features. For example, an American company that focuses on the counties included in the NAFTA agreement and a European company that focuses its attention on the Europe all employ a regiocentric orientation (Vasudeva, 2006, p. 48). When a regiocentric approach is employed, markets can be differentiated…show more content…
Nike uses regiocentric approach for many years. Since the 1990s, a campaign called “regiocentric” marketing emerged in the United States. As many as two-thirds of American companies participated in this campaign by regionalized their advertisements. Nike has thus engaged in this advertisement campaign since then (Hill & Shao, 1994, p. 29). Nike’s advertisements in Europe are more likely concerned with soccer, while in the U.S., Nike focuses on nationally popular sports such as football, baseball and basketball (Melanie,…show more content…
First, American managers did not take into consideration present German cultural differences. For instance, every employee had to take part in a morning exercise. But during this exercise, they needed to yell out “WALMART!” quite a few times. In America, this practice may have given employees a sense of belonging and pride in the workplace, whereas in Germany it seemed pointless. Additionally, America has a different ethical code than Germany. Reporting your colleagues’ misconduct could be acceptable in the U.S., where it was understood to improve the team’s performance. However, in Germany, such conduct could become a problem because it reminded people of the situation in the 1940s after war that government sent spies to monitor people. furthermore, management did not give enough feedback to employees regarding their work. And this problem derived from walmart have insufficient communication between upper and lower, walmart even hired a marketing manager who could barely speak German (Arun, Kottolli,

More about Regiocentric Approach In Nike

Open Document