The internationalization of marketing activities is awell-known and growing phenomenon. The companies thatare unable to pursue global opportunities are at highrisk since it could eventually lead them to losetheir domestic markets. A company's failure abroadoften results from the inability to meet theculturally based needs and wants of local consumers.Taiwan represents a specific consumer culture with astrong persistence of traditional Confucian values.This study investigates the reasons for the failureof Skoda Auto - an internationally successful andgrowing Czech automaker - in Taiwan through theanalysis of its marketing strategy. Consumer culturetheory and country-of-origin effects are used in thisstudy to explain the consumer's behavior. Thequalitative approach and case study methodology wascarried out. Skoda marketing strategy was describedand evaluated based on the marketing mix conception. Understanding the reasons for the success, or thefailure of a foreign company on a specific market mayrepresent an excellent learning opportunity formanagers, marketing students and everyone elseinterested in international marketing.
The internationalization of marketing activities is a well-known and growing phenomenon. The companies that are unable to pursue global opportunities are at high risk since it could eventually lead them to lose their domestic markets. A company's failure abroad often results from the inability to meet the culturally based needs and wants of local consumers. Taiwan represents a specific consumer culture with a strong persistence of traditional Confucian values. This study investigates the reasons for the failure of Skoda Auto - an internationally successful and growing Czech automaker - in Taiwan through the analysis of its marketing strategy. Consumer culture theory and country-of-origin effects are used in this study to explain the consumer's behavior. The qualitative approach and case study methodology was carried out. Skoda marketing strategy was described and evaluated based on the marketing mix conception. Understanding the reasons for the success, or the failure of a foreign company on a specific market may represent an excellent learning opportunity for managers, marketing students and everyone else interested in international marketing.
David Matousek, MBA: Studied International Business at NationalSun Yat-Sen University (NSYSU). Online Sales and OperationsAccount Manager at Google. Lecturer at College of Economics andManagement (VSEM), Prague.
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