Cross cultural marketing strategy

L’Oreal and its trade name are celebrated among all age group and in about all parts of the Earth. Amongst the fairer sex, L’Oreal is the best thing to go on. Their merchandises and all facets of their concern be it cosmetics, lip rubric, oculus line drives and everything that can be bracketed in the personal attention section are a immense demand. Given the quality of their merchandises and their range in the market on a planetary graduated table ; L’Oreal today have been among the market leaders in personal attention sections, particularly amongst the fairer sex and is turning by and big. Speaking of L’Oreal therefore there is a great many countries to research on their international concern operation that have taken the universe phase by storm. Not merely has the trade name value being demanded is immense in the market, but besides the quality of the merchandises that L’Oreal offers have made them the market leader for cosmetics, and any other personal attention and its merchandises sections.

Objective and Purpose of the Report

The focal point of this study and its aims is to set about a survey of L’Oreal operation and their market cleavage over a big sphere of the planetary market and its influence in different civilizations. In this paper four cultural sections where L’Oreal has its market base are identified, they are

India and Asiatic Market

United Kingdom and its concentration in Europe

USA and America


These four civilizations identified, that is – India, United Kingdom, USA and Australia have their ain cultural significance and individuality. This paper and its research bound its analysis on the cultural dimensions, which we can merely sort as the topic survey of transverse cultural analysis and concern operation and success of L’Oreal in cross-cultural context. The constituents of what defines cross cultural direction of L’Oreal are discussed below.

An Overview: L’Oreal International Marketing Strategy

L’Oreal as we have heard is successful in its international selling scheme for many grounds known and unknown. As one of the giants in the decorative industry, it is speculated that the company trade name image plays a important function for its successful acceptance of international selling scheme. Although internal and external forces besides play a important portion overall that gives us an penetration as to how L’Oreal follow planetary selling scheme.

Therefore, we feel that the undermentioned point and its statement should give a effect of L’Oreal cross cultural selling scheme.

Discuss how L’Oreal is following a planetary selling scheme. And why it is of import. Describe with illustrations.

Why should L’Oreal hold an apprehension of the different cultural differentiations for its different international markets?

L’Oreal Global Marketing Strategy and its Importance

When we relate back to the inquiry as to how L’Oreal is following a planetary selling scheme. And why it is of import? The ground overall can be looked in regard of international direction and its constructs that are cosmopolitan in the impression behind it.

As we can read in the available studies that day of the month back to 2005 it is believed that “ L’Oreal is regarded as one of the most successful decorative giants. With a retention of US $ 18 billion concern group, and over 17 international trade names ” ( ICMRIndia ) it says a batch as to why L’Oreal is following a planetary selling scheme for its concern and doing its grade across civilizations through its assortment of merchandises.

The ground behind L’Oreal planetary selling scheme can be emphasized to the impression that “ strategic preparation when carried out on a planetary graduated table as it happens with L’Oreal is meant to set its focal point on the long term aims of the company. As we are cognizant, the fact is that L’Oreal has legion rivals in the market. ” ( Megaessays )

Therefore, we can eventually reason that to remain abreast in the competitory ladder and when it matter to L’Oreal for case “ understanding consumer wants and needs every bit good as their socioeconomic, demographic and psychological features is even more of import in international market so it is in domestic market. ” ( Kaynak, 1993, p. 19 ) This is one ground as to why it is of import to follow planetary selling scheme in the most specific ways by explicating with a clear and specific apprehension of the market and its demands across cultural boundaries.

L’Oreal Cultural Dimensional Understanding and its Reason

As we have already discussed above, L’Oreal international selling scheme is specific to run into the demand of the market as and when it calls for. The inquiry as to why L’Oreal should hold an apprehension of transverse cultural market is in direct kernel of comparative direction and its patterns. International selling scheme as we understands in conceptual footings is referred to as comparative direction. “ Comparative direction as we are familiar is the survey of how direction consistently differs among states or civilizations. It is besides frequently referred to as that subdivision of direction that is largely practiced across civilizations or cross-cultural boundaries. ” ( Schermerhorn, 2006, p. 129 ) From this brief we can understand that international concern direction or comparative concern direction is the application of pure direction constructs, theory and rules in different endeavor of different states in the most executable ways so as to deduce an influence or any factor related to corporation ‘s aims in marketing their merchandises for success across civilizations in the international market.

Therefore, the said ground itself is besides emphasized in consideration of L’Oreal. However, the most outstanding fact is that understanding of different civilizations be it Indian, US, UK or Nipponese civilizations for case frequently bridge the spread of selling communications and its conceptual signifiers. This is the fact and “ the really kernel of international advertisement in such scenarios besides comes to dramas ; that is to state, the more understanding corporations has of different civilizations, the more advantages they derives in their strategic preparation of transverse cultural communicating mediums of their trade names. ” ( Anonymous ) Such case of incorporate selling acknowledged the cardinal figure or consumers who are the make up one’s minding factor in the market for success of trade names.

Therefore, we can reason that understanding of different civilizations is relevant be it through marketing communications or any signifiers is of import as the first measure to understand the assorted demands and wants of consumers in the defined cultural market sphere, which we can mirror in context of L’Oreal internal market every bit good.

L’Oreal Marketing cleavages in Indian and Asiatic Cultural Demographic

L’Oreal and its market in India are immense. The consequence and influence that L’Oreal creates for the young person of today, particularly in India is besides enormous. As we are familiar with the fact, L’Oreal as planetary transnational decorative giants has its presence in about all cultural domains that defines the planetary market of the twenty-first century epoch.

In India every bit good it is non different, and L’Oreal commands a important topographic point in Indian decorative market. In order to under and grok the characteristics of L’Oreal market in India, analysing the market construction and its marcom is of import. In that statements, when having the marcom procedure of L’Oreal in India one thing is clear that Indianization of its selling procedures is really relevant. That is to state, “ L’Oreal selling director ‘s strategian chief mark where to allure the India in-between category adult females and their fetish for upscale merchandises, be it hair attention or tegument attention merchandises. The emerging in-between category in India provide a great range for L’Oreal, a Gallic MNC to tap the demographic of India to its advantage, besides offering merchandises that is quality oriented. ” ( NextBillion, 2007 ) Hence, L’Oreal selling cleavage that attends to the demand of the Indian in-between category society was one facet of L’Oreal success. As we frequently heard of the stating ‘culture is life ‘ . This is true and we assume that L’Oreal entered India manner back in 1997 with a clear apprehension of what civilization is all about in India with a airy mentality.

The of import thing to observe is that “ manner back in 1997 decorative industry in India was at its nascent phase. Besides, local rivals and maker of cosmetics and other personal sections and its merchandises besides are lesser. Most significantly, hair dressing industry in India is besides minimum, which gives L’Oreal the range to vision its range and aim the market in India with specific hair merchandises. ” ( RediffBusiness, 2005 )

With a big concentration in research and its development every bit good as immense investing, “ L’Oreal in India and its narrative since 1997 have been a great alteration of luck. All this can merely be emphasized to the strategic preparation of L’Oreal selling scheme that concentrated at one section from the full decennaries and capturing the imaginativeness of the market in India and its influence over the young person, who commands a immense figure of consumer for L’Oreal merchandises. ” ( RediffBusiness, 2005 )

The return on investing made by L’Oreal in India paid dividends, “ this assures L’Oreal to further spread out its merchandises list in India by puting up of a fabrication unit in Pune 2003, so as it besides cater to the Asiatic market every bit good, given L’Oreal merchandise immense demands. In that regard came the debut of just pick, that is to state skin attention merchandises every bit good as hair attention merchandises that were its benchmark in Indian market, and other characteristics of L’Oreal cosmetics, which besides received immense response from consumer in Indian market. ” ( CosmeticDesign, 2004 ) As we are cognizant, Indians are really haunted with theirs skin colors.

Therefore, the debut of tegument attention merchandises such as fairness picks and other allied beauty merchandises by L’Oreal non merely made a grade in the Indian market, but besides registered a loyal consumer base in its merchandises. Within a decennary or so after the launch of all allied beauty merchandises in India and after the successful fabrication unit in Pune, every bit good as L’Oreal marcom that concentrated on making every portion and sections of the Indian metropolis play a important function to alter the luck of L’Oreal in India. Somewhat we feel that Indianization of L’Oreal and its selling was a success factor in India Diaspora. Marketing communicating procedure that accumulates the IMC constructs to its advantage and to link with Indian consumer and their cultural blends significantly changed the tide in favour of L’Oreal entry in India in 1997, wherein today L’Oreal portion in the India market is immense, and most significantly besides steeping the trueness of consumer base. Looking at these transmutations, we feel that selling of L’Oreal and its cleavage that concentrated on hair and tegument attention merchandises in India in with a assortment of trade names plays a important function in transverse cultural selling dimension of in Indian market and Asiatic dominated Diasporas, where India and its market is one such definition by cultural being.

L’Oreal USA and its Cultural Dimensional Influence in North America

What is it about L’Oreal in USA, frequently regarded as the market section that the company has a solid topographic point of representation? Brand wise, we can theorize that L’Oreal merchandises in USA are immense hits. This is true though. Besides, we feel that its connexion with the civilization in USA is besides dramatic. As we are cognizant, L’Oreal a Gallic decorative fabrication company has a enormous entreaty amongst the in-between category in US. The salon civilization in US for case covering the young person, in-between age adult females ‘s and their compulsion with beauty and all characteristics of manners is one illustration for the success of L’Oreal In US market.

Cultural wise we feel that “ L’Oreal USA is the cardinal focal market. Take for illustration the fact in which it is held that “ being successful in America as the company president asserts is the ticket and gateway to other market on the planetary graduated table. ” ( L’Oreal ) This is true since America civilization has a immense influence worldwide. Specifically, US market is looked upon as the primary and stronghold market that the company boasts of. Merchandises wise, its offers and all characteristics and big assortment of personal attention merchandises that straight meet the demand of the Latin American civilization. Besides, L’Oreal marcom and its procedures in Latin America and in US in peculiar be it its PR or corporate sponsorship and anything that has to make with the incorporate selling communicating bridge the spread with consumers in US market and in the greater sphere of North America. ” ( L’OrealUSA )

From a cultural dimensional mentality and its analysis, we feel that company airy mentality and clear apprehension of the market is one certain success narrative of L’Oreal in US and America. As we can read organize the interview snapshots in the media with the company president, there is a “ a fact in which the company president besides felt that traveling international has a batch to make with how MNC and its selling every bit good as operation are successful in America, given that America as a market enormously act upon the planetary cleavage of any given typical houses, the same is the instance with L’Oreal in that respect every bit good. In South America for precise, L’Oreal presence is immense and strong as of all time before. The instance is besides non different in North America as good ; where operations and all facets of selling in American civilization are carried out from US headquarter. ” ( L’Oreal )

What has been the greatest turnaround for the success of L’Oreal in US in peculiar and in American market was the “ dramatic acquisition by L’Oreal of Cosmair in the early portion of 1994 shifted the tide in favour of the company to act upon the market and its cleavage over a big American civilization. Acquisition of Cosmair leads the manner for L’Oreal to bank to a great extent on major trade names, take for illustrations Maybelline, Matrix, etc, and the manner that it opened for the company to saliently run into the desperate demands of the decorative industry in America, assert the company president. ” ( L’Oreal ) this gives grounds that L’Oreal and its success in American market and its scheme that was carried out from US and the think armored combat vehicles in the corporate section did gave L’Oreal a important turnaround, strategically, be it trade name cleavages, merchandises offering, selling ‘s every bit good as meeting and go toing the demands of consumer, ” ( L’Oreal ) that defines the cultural demographic project of L’Oreal in America and its market.

Therefore whet we feel is that L’Oreal USA is non merely intend to aim consumer in American market, but besides to reflect the planetary sphere and its demographic cleavages on a strategic roadmap. Ending this note, we feel that L’Oreal USA from an single point of position has a cosmopolitan entreaty and is really reliant culturally every bit good when stand foring the Westernization of L’Oreal strategic mentality and its cross cultural selling scheme that have been a hit.

L’Oreal Australia and its cultural Dimension

As we are cognizant besides, what ‘s in trend is a immense influence in Australia, given the manner sense of people in that part. Given the fad among consumer in Australia for L’Oreal merchandises, this assures the company and its strategic think armored combat vehicle to put to a great extent in research as the nucleus foundation of the company success and its strength. With rivals all about, merchandises of L’Oreal in Australia was something else. That is to state, the cultural demographic project of L’Oreal in Australia was concentrated to run into the demands of the manner industry and beauty conscious of consumers. With a assortment of quality merchandises such as hair attention, skin attention and other facets of personal merchandises in the beauty section did the occupation for Australia operation and its presence in the market to command a topographic point for itself.

Culturally, what have been the greatest strength of L’Oreal and its market presence in Australia was the company ability “ to accommodate itself to the market demands, its state of affairs and most significantly the ability to come out with otherwise based merchandises that are high in quality every bit good as scientifically proven to hold a consequence in any signifier of hair and tegument attention regiments. ” ( MarketPublisher, 2010 ) Understanding of wellness consciousness of Australian and their specific recognition of scientific informations and all characteristics of it convinced Australian operational caput to strategies it ‘s flourishing by puting enormously in research and development of the merchandises, as a agency to accommodate itself to the demand of the market, which paid dividends in footings of market portions in Australia.

Therefore, Australia as a market finish is besides westernized in the cultural sense. Taking a circuit of the company website specific to Australia, we come to the cognition that the “ message and its content in the portal gives a clear image what the company is all about in Australia as a subordinate of L’Oreal Paris, the parent company. From a cultural dimensional background once more, we feel that L’Oreal Australia is a repetition of American cultural success of the company, ” ( L’OrealAustralia ) yet, strategically its concentration was in go toing and to accommodate itself to the market, where research and its impact played a important function for the success of L’Oreal Australia. Besides, it besides should non be forgotten that selling and marcom procedure in immense cleavage and its range amongst consumer in Australia is besides a factor of success.

L’Oreal Europe and UK and its Cultural Dimensional Influence

The very inquiries that arise are what defines the strategic preparation and its success for L’Oreal in Europe and peculiarly in UK, where a major concentration of English people are at that place? There are many grounds for the success of L’Oreal in Europe and to be precise in UK market. Given that L’Oreal as fabrication giants in hair attention and tegument attention merchandises being based in Paris itself is a immense impact forma selling dimensional mentality.

The mass entreaty of the brandishing that have been go oning in Europe since the 90s which was a immense success factor for the trade name to earn its portion and market capitalisation in whole of Europe, where the concentration of cultural facets are diverse.

Not merely do we happen English talking people in Europe and UK, but besides people from many backgrounds and with different assortment of mentality, buying power and most significantly the trade name consciousness among the major dwellers of European cultural background. For case, UK is one illustration where we can see that trade name has a immense entreaty among the cultural demographic of people of different age groups and buying power. As we know, English people from a cultural demographic mentality are frequently speculated to be “ the most haunted consumer in the whole universe. Global brandishing and its range of L’Oreal in all section of the planetary market played a important function for L’Oreal to turn around the tide in its favour. The fact that L’Oreal is the most sought after trade names in UK families, ” ( L’OrealUK ) which further gives an penetration that L’Oreal UK and its market concentration in Europe at big is focused to run into the full demand of the part, where the cardinal focal was its brandishing in Paris and London, the Centre of universe manner, and where shoppers are immense. Hence, pulling purchasers with different signifiers of marcom and its entreaty wholly are slightly a strategic preparation of L’Oreal Paris, every bit good as L’Oreal UK.

Therefore, speech production of L’Oreal Cultural presence in Europe and in UK in peculiar it should non be forgotten that concern environment in Europe, where European brotherhood have a immense influence through policy preparation besides plays a centrifugal parts in the success of L’Oreal Paris and L’Oreal UK in European states where the cultural demographic is considered by most to be overlapping. Such an advantages of overlapping civilization provided L’Oreal to concentrate on the diverseness plans of its scheme by it in flourishing, selling, or any other factor related to operations in direct kernel of L’Oreal CSR enterprises. As can be read in the instance survey, “ L’Oreal enterprise in Europe was concentrated to originate the best values for its diverse consumers in the market, where the narrative and its strategic roadmap started from the company construction itself in doing and accommodating to the varied demands of consume by doing them experience valued, which provides a sense of belonging. L’Oreal and its challenges that it has overcome in UK and Europe is the strategic and airy mentality of company direction to do the most out of what cross cultural selling and its scheme can impact the company and its operation overall. This is what L’Oreal has been making, and the focal point has been put emphasized on cultural diverseness plans ” ( CSREurope ) for its operation in UK and European market sections.


Taking overall the general treatment we see ground adequate to sort and distinguish that L’Oreal and its presence on a planetary graduated table is immense be it in UK which overall dressed ores in Europe, USA and American market or India and its concentration in Asiatic market every bit good as in Australia as we have analyzed and compared and contrasted the different selling scheme adopted by L’Oreal as one characteristic of cross-cultural selling directions.

What we can ground is that understanding of civilization plays a important function to alter the tide in favour of internalisation that corporation undertake or schemes, given that internalisation is all about concentrating on a planetary graduated table and is rather different from domestic operation.

Hence, seting accent on this point, we feel that L’Oreal we feel that L’Oreal planetary selling cleavage and its cross-cultural direction that have been effectual in about all market across the Earth is one factor of its success, internationally. Culture is life. This proverb itself played a centrifugal point for L’Oreal opined, given that understanding of different cultural cloth and run intoing the demands of the varied cultural dimension, thorough diverseness, effectual marcom, specific scheme and all facets of its operational success to travel international have been the suiting terminal consequence for L’Oreal and its success in Australia, India, US every bit good as in UK and in major capital of European states.