Mkt 601- Marketing Management
Twenty years ago, Theodore Levitt published his summation of the Global Market Place, entitled "the Globalization of Markets", in the Harvard Business Review. Within his review he described the emergence of a truly global market for informed consumer products. As a visionary, he predicted that advances in communication and transportation would pave the way for informed consumers to participate in a convergence of tastes. These technological advances has simplified and standardized products, production techniques, and lowered prices of global products far below local competition. "No one is exempt and nothing can stop the process," Levitt explains, "Everywhere, everything gets more and more like everything else as the world's preference structure is relentlessly homogenized." Multinational companies have been engaged in an effort to push standardized products and marketing practices around the world. In their aggressive drive towards standardization, they have pushed many country's local business competitors out of business or just simply bought up the competition.
Globalization of the world began to be referred to as Americanization. American companies accounts for 62% of the worlds 100 most valuable brands, even though America accounted for only 28% of the world's GDP.
However, even as foreign brands saturated their markets, local brands are fighting back and regaining their markets as their products and qualities improve. Many countries are beginning to adopt a philosophy of nationalism and returning to a renewed loyalty to products made with local labor and raw materials.
The concept of marketing evolved from a need for people to exchange goods and services, between one another. This exchange process was called the barter system. Over time this concept of exchanges has evolved to incorporate, trading posts, traveling salesman, stores and now e-commerce. This led to the standardization of monetary systems, from stone to metals,