The fundamentals of standardizing global marketing strategy

Purpose To examine issues of standardization and adaptation in global marketing strategy and to explain the dynamics of standardization. Design/methodology/approach This is a conceptual research paper that has been developed based on gaps in prior frameworks of standardization/adaptation. A three‐factor model of standardization/adaptation of global marketing strategy was developed. The three factors include homogeneity of customer response to the marketing mix, transferability of competitive advantage, and similarities in the degree of economic freedom. Findings The model through the use of feedback effects explains the dynamics of standardization. Research limitations/implications Future research needs to empirically test the model. To enable empirical validation, reliable and valid measures of the three factors proposed in the model need to be developed. Additionally, the model may be used in future research to delineate the impact a variable may have on the ability of a firm to follow a standardized global marketing strategy. Practical implications The three‐factor model aids decisions relating to standardization in a global marketing context. Originality/value The paper furthers the discussion on the issue of standardization. Through the identification of three factors that impact standardization/adaptation decisions, and the consideration of feedback effects, the paper provides a foundation for future research addressing the issue.