Factors influencing success of

a Global Service Firm

By-Yashpal Singh
By-Yash
MBA 3rd Sem.

VIDYA SCHOOL OF BUSINESS

 Select
the
right
entry
mode

Select Select the

the right right
promotio Factor marketing
s
n research
strategy methods

Train Custo
the mize
servic the
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e service
Select the right entry
Ø

mode-
An org. can enter in a foreign market through
several methods. However, it should choose its
entry mode carefully so that it does not effect its
competitive advantage.
If it chooses to enter through a strategic
alliance, e.g., it should ensure that the partner
has a strong hold in the market and can support
it in gaining a strong foothold.
If an org. decides to enter in a foreign market
through merger or acquisition, it might face many
difficulties.
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If an org. wants to establish a wholly owned
Select the right marketing research
Ø

methods-
Service org. should use indirect
measurements techniques, which do not involve
approaching customers directly. Rather, they
may have to collect information from service
providers who can provide reliable data and
information on consumer behavior.

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ØCustomize the service
offering-
Global service providers should
customize their services to suit the tastes
and preferences of customers in different
foreign markets.

Similarly, during an economic downturn,

companies might need to customize their
service offering . This can help the firms
create a demand for their services and
improve their business even during a
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of recession.
Ø Train the service
Personnel-
Service personnel should be educated
about the differences in the cultures of
the customers they serve.
For example-The service personnel in a
Chinese restaurant need to realize that
they have to treat Indian customer and
an American customer differently.
Service personnel need to feel trained to
catch the pulse of the customer
immediately and change their
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approach strategy accordingly.
ØSelect the right promotion
strategy-
In some countries like Japan,
comparative and aggressive advertising is
unacceptable. So, in these countries,
service firms should emphasize the
benefits of their service offering rather
than point out the drawbacks of the
competitor’s service offerings.
In countries like India and US , where
such advertising is allowed, at least in
some sectors, service org. should use the
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opportunity to explain OF BUSINESS
to customers how
 U
YO
K
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T H
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