EPRG MODEL – THE MARKETER’S GUIDE ON STRATEGIC within the geographic region of the business Lack of International Experience. EPRG Approach Aakash Kumar Gaurav Kataria Rahul without major modifications in overseas market All foreign marketing operations conditions International marketing organized on country to country basis. EPRG framework in international marketingDr. Howard V. Perlmutter is a world authority on globalisation and pioneer on the internati.
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Therefore, the majority of control in the host countries practices is lost, and the company is forced to manage its operations from the outside.
The third and last aspect of the EPG model is the geocentric portion, this notion focuses on a more world-orientated approach to multinational management. Each of the three internatuonal of the EPG profile is mode, highlighted in the table below, showing the main focus for each element, as well as its correlating function, products, and geography.
While there are many obstacles that will hinder a company’s ability to become geocentric, there are also a handful of forces which will drive them towards this.
It does not require much investment. In a company with regiocentric orientation, management views regions as unique and seeks to develop an integrated regional strategy.
Organizations that are designed with an ethnocentric focus will portray certain tendencies. To overcome from this problem one should adopt EPRG Framework, which identifies four types of orientation towards internationalisation of business operations — Ethnocentrism Polycentrism Regiocentrism Geocentrism.
The trend of more and more internationalisation of business has thrown many challenges to international marketer. One of the most striking trend in business, in recent years, has been growing internationalisation of business.
Therefore, knowledge that could be beneficial across all regions is lost, and subsidiaries could be worse off than if they had obtained the knowledge. Advance Tax refers to paying a part of your taxes before the end of the financial year.
This usually results in the maximum degree of geographic decentralization as local managers are recognized as being psychologically close to markets, environments and customers. A polycentric approach “gives rise to the problems of coordination and control.
When company is small and is not in position to invest heavily internqtional overseas operations, it is better for it to identify countries which have characteristic similar those of home country and intdrnational to them. Individuals have to pay tax on the following incomes: Orientation towards international operations by a company, which consider export market has no difference with domestic market and hence applies domestic market techniques with overseas market.
Overseas subsidiaries or offices in international markets are seen as less able and less important than the head office. Busijess personnel and techniques are best suited to deal with local market conditions.
Buxiness importance of the EPG model is mainly in the firm’s awareness and understanding of its specific focus. Home standards are applied to the evaluation and control of the organization. Languages Deutsch Edit links. Ethnocentric approach will better suit small firms just entering international operations. See full list of related question in M. A Niche Marketing is a small segment of market ignored or movel properly served by large players.
However, this approach is not eprt for companies which are planning to extend their international operations in a big way. Polycentric management means that the head office places little control on the activities in each market, and there is little attempt to make use of any good ideas or best practices from other markets. For instance, there is the loss of national sovereignty when one nation is dominated by another — this can lead to a loss in economic and political nationalism.
Ethnocentric intdrnational is suitable to small firms just entering international operations. Circumstance under which EPRG should be employed. One of the major challenges is which type of orientation a firm should adopt to overseas its marketing operations.
International marketing is the multinational process of planning and executing the conception, Also called pay-as-you-earn scheme, advance tax is the income tax internagional Ethnocentric attitudes can be seen in the organizations communication process. The moodel difference of geocentrism compared to ethno- and polycentrism [ disambiguation needed ] is that it does not show a bias to either home or host country preferences but rather spotlights the significance of doing whatever it takes to better serve the organization.
There are a few other drawbacks to the polycentric approach which may restrict a multinational company from completely realizing its full potential in the host country.