Marketing Pepsi in Italy

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On Hofstede’s chart of the dimensions of National Culture, Italy differs from the United States in two areas, the distance of power and uncertainty avoidance (Green & Warren, 2020). Italians accept the power to be distributed unequally as opposed to the more egalitarian Americans. Furthermore, Italians are likely to seek clarity in uncertain situations and may be uncomfortable with ambiguity. As a southern European State, Italians are likely to try to assert the collective importance, in contrast to Americans who are more individualistic (Green & Warren, 2020).

To avoid unwanted costs and outcomes, an analysis of Italian legal characteristics and Political realities is needed. Italy is a Civil law system that would make any disputes arising from violations of any laws or principles more challenging to contest as civil law systems tend to have more specific regulations (Green & Warren, 2020).

SWOT Analysis

Strengths Weaknesses
Internal
  • Globally recognized brand
  • Experience in the Italian market
  • Marketing Experience in similar states
  • Distinctive Pepsi logo may not suite Italian sensibilities
  • Less prevalent branding then the major competition
  • Not an Italian product
External
  • Favorable regulations
  • Italian cultural similarities with Americans
  • Hot weather in Southern Europe
  • Many substitutable products
  • No cultural ties with Italian cuisine
  • Regionality in Italy

Reference

Green, M. C., & Keegan, W. J. (2020). Global marketing. Upper Saddle River: Pearson.

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