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hu lala - international digital marketing in china

International Digital Marketing in China Regional Characteristics and Global Challenges




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Genere:Libro
Lingua: Inglese
Pubblicazione: 03/2021
Edizione: 1st ed. 2020





Trama

This book examines key issues in international digital marketing in China from a theoretical and empirical perspective. Divided into two main parts, it begins with an analysis of China’s cultural characteristics and business environment, with a particular emphasis on the Chinese digital context. The book goes on to present original empirical studies and an investigation into recent challenges and opportunities for international firms in the fashion sector.

With nearly 900 million internet users and an e-commerce market volume of over one thousand billion US dollars, China is the world's largest digital market. While this creates significant opportunities for international firms, there are many factors to consider when approaching this market. In order to understand the Chinese digital scenario, the book analyzes the characteristics of local internet platforms and consumer patterns.

The book also presents a real-world case study on a luxury retail firm operating in China,
Florentia Village, and the results from a questionnaire on Chinese mobile shoppers. On this basis, it provides a conceptual framework and discusses the theoretical and managerial implications for international firms operating in China, making it an enlightening book for scholars, students, and practitioners alike.





Sommario

-          Introduction

The introduction will present the subject and the structure of the book, and will make the case for the study of China in international marketing. It will contain a brief summary of each chapter in order to provide context and offer the interpretation key to the book.

China is the first digital market in the world, offering many opportunities for international firms from various sectors. However, it still represents a complex market from the international marketing point of view due to the uniqueness of its digital scenario, cultural and environmental characteristics, including local institutional voids and regional heterogeneity (Hu, 2018; Jiang & Prater, 2002). Moreover, in China competition has recently increased due to the slowing economy and the emergence of Chinese firms, which are becoming innovation leaders, in particular in the digital sector.

The relevance and specificity of the Chinese market motivate this project, which aims at discussing the main characteristics of the cultural and business environment in China under an international marketing perspective. Moreover, the recent empirical studies will provide managerial implications for international firms that operate in this market. Despite the growing importance of online platforms (mobile platforms, in particular), digital tools as well as physical stores should be managed within a coherent international marketing strategy, which keeps into consideration the specific characteristics and channels of the market.

 -          Chapter 1: China’s marketing macro environment: Cultural characteristics and regional heterogeneity

This chapter analyses the relevant literature concerning the main environmental characteristics of contemporary Chinese market that impact its distribution system and hinder the international marketing strategies of foreign firms in China.

They include: institutional voids, internal heterogeneity, and a fragmented system (Hu, 2018; Jiang & Prater, 2002; Khanna & Palepu, 2000). Institutional voids depend on the lack of reliable information on the market, an inefficient system of intermediaries and unpredictable government actions (Khanna and Palepu, 2000); the internal heterogeneity (Ma, Tong, & Fitza, 2013) has been influenced by an unequal development within the territory, which has favoured the Eastern coastal areas over the rural and Western regions (Cui & Liu, 2000; Walters & Samiee, 2003); regarding fragmentation, it is influenced by the centrally planned city-tier system (Jiang & Prater, 2002).

A more recent characteristic is represented by the fact that China has become the setting for reverse innovation (Govindarajan & Ramamurti, 2011). Over the past few decades, Chinese firms have leapfrogged to the technologically mature phase of the web by surpassing foreign rivals from more traditional markets (Checchinato et al., 2017).  Chinese firms, digital firms in particular, have introduced innovation technologies (for example, online payment systems or face scanning systems) ahead of Western competitors. As consequence, even Western multinationals – including Silicon Valley giants such as Apple and Facebook – have started to imitate some of these innovations (Lin, 2017). These innovations pose opportunities for foreign firms as digital channels create opportunities to communicate with their target, however, they also create challenges due to their specificity, which will be analysed in Chapter 3.

 

Major headings:

·           Main characteristics of the Chinese distribution system

o              Institutional voids

o              Regional heterogeneity

o              A fragmented distribution system

·           China as innovation leader

 

-          Chapter 2: The characteristics of the Chinese digital market

China’s digital economy represents a leading global force (Woetzel et al., 2017). It is the country with the highest number of Internet users in the world and also the largest e-commerce market with revenues of 718 billion USD (Statista, 2019). As of December 2017, China had 802 million Internet users, of which 98.25% of the total (788 million users) was mobile users (CNNIC, 2018). Regarding online sales, in 2018 they reached about $1.33 trillion, an increase of 23.90% compared with 2017 (National Bureau of Statistics of China, 2019).

The relevance of the Chinese digital sector is given by the opportunities but also challenges for foreign firms that want to approach this market.

As Western platforms are blocked, the Chinese Internet sector is dominated by local firms (for example, Tencent and Alibaba), which are characterised by different consumer interactions and tools (Negro, 2017). However, censorship of Western Internet players is not the only reason of the differences encountered in the Chinese digital environment. A main role is played by the national culture, which influences firms’ promotional practices and communication (Men & Tsai, 2012) and consumer behaviour. For example, Chinese users strongly rely on e-WOM information and share their experiences because of the social pressure (Besbes et al., 2016; Christodoulides et al., 2012). Chinese culture is analysed using Hofstede’s (1990) cultural dimensions’ theory.

Culture also has an impact on the Chinese distribution system, which is considered to be one of the most critical determinants of business success due to its fragmentation and complexity (Hu, 2018; Jiang & Prater, 2002). While the Internet has helped to overcome some shortcomings of the Chinese distribution system particularly in rural areas, relationships (guanxi) still facilitate e-commerce availability of products (Towers & Xu, 2016)

Major headings:

•       China: A digital global force

•       The characteristics of the Chinese Internet

•       The role of culture

•        Distribution channels in China

 

 

 

-          Chapter 3: Chinese digital and mobile platforms

The third chapter will focus on the Chinese digital sector, in particular it will analyse the role of online platforms to communicate international brands to Chinese consumers.

Over the past few years, the Internet has profoundly affected customer experience and how customers interact with and respond to offerings (Kumar & Anjaly, 2017). Nowadays, digital and social media represent relevant touch points that contribute to shape the customer journey and allow consumers to engage more with firms (Leeflang et al., 2014; Kim & Ko, 2012; Verhoef, Reinartz, & Krafft, 2010).

In particular, digital media play a primary role in China, which has the highest revenues in the e-commerce sector worldwide. Indeed, China’s e-commerce value is S$718.389bn as opposed to the United States’ volume of $547.690bn (Statista, 2019). Another characteristic of the Chinese market is represented by mobile retailing, which accounts for 75.35% of total Internet sales as of 2017 (Euromonitor International, 2018). Foreign firms that want to approach Chinese consumers must take into considera





Autore

Lala Hu is Assistant Professor of Marketing at the Catholic University of Milan, Italy, where she teaches Marketing, Marketing Management, and International Marketing. Previously, Dr. Hu was Postdoctoral Researcher and Adjunct Professor at Ca’ Foscari University of Venice.

She has been a Visiting Scholar at several universities worldwide, including the Kellogg School of Management (Northwestern University, USA), Tongji University (Shanghai), and UIBE Beijing. She has been an Invited Lecturer at King’s College London, Department of Digital Humanities.

Her research has been published in book chapters and peer-reviewed journals, including the European Business Review, the British Food Journal, the International Journal of Emerging Markets, and the Australasian Marketing Journal. She also writes for the online editions of WIRED and the leading Italian newspaper Corriere della Sera.











Altre Informazioni

ISBN:

9783030381622

Condizione: Nuovo
Dimensioni: 210 x 148 mm Ø 454 gr
Formato: Brossura
Illustration Notes:XV, 99 p. 10 illus., 5 illus. in color.
Pagine Arabe: 99
Pagine Romane: xv


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