Social media can be used in brand extension and for market development. For example, Chinese companies have for long been concentrated in china despite their high quality smart phones. Most of the Smartphone’s produced in china such as Xiomi are of higher quality than even the iPhone. Therefore, if the Chinese company wanted to develop a market in a foreign territory such as in the US and the UK, they ca user the social media to crate abuzz about the Xiomi smart phones (Segan, 2015). The special media is like the word of mouth, and by inviting the US citizens to like their Facebook fan pages many people in the US will see thief Xiomi smart phone and their unique features in their timelines, and this would create leads that can later be converted into sales. Facebook and twitter have many fans across the US; therefore, conversion of fans can be very easy for the Chinese marketers. Additionally, the social media can be used to engage those customers and conduct market research on the key featetures they look for in high end smart phones. The company can then concentrates in improving their smart phones based on these preferences, be it color, battery life, android version, processors powered, storage system moor ergonomics. The social media can therefore be a very good tool f for market development and market research (Hofstede, 2015).
Developing targeted adverts across cultures
Additionally, companies such as iPhone do not consider rate African marmot as a possible, destination for their high end flagship products such as smart watch, tablets or “selfie sticks”. After introducing their iPhone 6+, they went ahead to extend the brand to the iPhone watch. However, while their brand extension in America is successful, they have not considered the African market. Brand extension in the African market can be very successful considering the current economic growth in Africa. Many African cannot afford high end mobile. Therefore, by using the social media, the company can market its products in Africa. However, because of the cultural dimension, Africans countries still consider some pictures and or practices outlandish. This means that unless they conduct market research in the local markets, most of their adverts may not realize the required ROI. In advertising, it is important to determine the cultural dimension of the African countries as there are stark differences in all the cultural dimension between the US, and Africa. For example, in Kenya, power distance is 70, individualism 25, masculinity 60, Uncertainty avoidance 50, Long Term Orientation 10 (Hofstede, (2001). Additionally, the products in the UK and in African tend to be different. For example, the UK version of the mobile phone chargers is quite different from the African mobile phone charges. It is important therefore to develop chargers that are compatible with the African charging system or provide an additional adapter with their mobile phones. Just like US visitors to the UK may have difficultly charging their mobile phones. Additionally, the other cultural dimension between the US/UK and Africa include the use of mobile phones. While the mobile phones can be used openly in the US it is still a taboo to use the mobile phones in some African countries during special occasions such as meal times or in family meetings. Therefore, this means that the company must design their phones with special features such as image of video filtering. To avoid displaying nude, or adult content in their African mobile phones. The company therefore has to be considerate when developing their social media messages or adverts targeted for the African market (Coelho, 2011).
Hofstede, G,(2001). Culture’s Consequences: comparing values, behaviors, institutions, and organizations across nations (2nd ed.). Thousand Oaks, CA:
Hofstede,. (2015). Kenya – Geert Hofstede. Geert-hofstede.com. Retrieved 27 April 2015, from http://geert-hofstede.com/kenya.html
SEGAN, S. (2015). Xiaomi Coming to the U.S., But Not for Phones. PCMAG. Retrieved 27 April 2015, from http://www.pcmag.com/article2/0,2817,2476693,00.asp
Coelho, D. A. (2011). A study on the relation between manufacturing strategy, company size, country culture and product and process innovation in Europe. International Journal of Business and Globalisation, 7(2),