Assume that you are the director of international marketing for a company producing refrigerators. Select one country in Latin America and one in Europe and developescreening criteria to use in evaluating the two countries. Make any additional assumptions that are necessary about your company.
Assuming that consumption plays some role in identity, critically evaluate the contention that, a powerful, popular advertisement is just as meaningful as any news story.
Selected Countries:
Latin America: Brazil
Europe: Germany
The evaluation uses a two-stage screening process: Preliminary (Macro) Screening and Fine-Grained (Product-Specific) Screening.
| # | Criteria Category | Screening Criteria (for Polaris Appliances) | Brazil (Latin America) | Germany (Europe) |
|---|---|---|---|---|
| A. Preliminary (Macro) Screening | ||||
| 1 | Market Size & Growth | Annual growth rate of the refrigerator market (Target: >4.5% CAGR). | High Growth: Market is large and projected to grow due to urbanization and rising middle class. (Target Met: CAGR 4.7-4.93%) | Moderate Growth: Mature, but stable replacement market. Growth driven by smart/built-in units. (Target Met: CAGR 4.1-6.8% for overall Europe) |
| 2 | Economic Stability/Risk | Currency stability and political risk (measured by a BERI index score of >65). | Medium Risk: Prone to currency fluctuation and higher import tariffs (up to 35% in Latin America). | Low Risk: Highly stable economy, strong regulatory and legal environment. |
| 3 | Ease of Doing Business | Complexity of regulatory environment (e.g., import tariffs, local content rules, logistics performance index). | High Complexity: Significant import tariffs and strong domestic competitors/brands (e.g., Electrolux, Consul). | Low Complexity: Low tariffs within the EU, highly efficient logistics. |
| B. Fine-Grained (Product-Specific) Screening | ||||
| 4 | Energy Efficiency Regulations | Existence and stringency of mandatory energy labeling and eco-design standards. | Medium-High: Increasing governmental push for energy efficiency programs. | Very High: Strict EU Energy Labeling and Ecodesign requirements (new A-G scale), which aligns perfectly with Polaris's premium, efficient products. |
| 5 | Target Consumer Match | Proportion of the market demanding premium, smart, or built-in features. | Medium: Growing demand for smart, high-end, and customizable units (e.g., Bespoke models). | Very High: Strong demand for high-end, built-in, and premium features, with consumers having high disposable incomes. Germany leads in high-end sales. |
| 6 | Competition Intensity | Number of dominant local/international players and their market share. | High: Fragmented but intense competition from local/regional brands (Electrolux, Brastemp) and MNCs (Samsung, LG). | High: Intense competition from established brands (Bosch, Siemens, Haier/Candy, Samsung, LG). |
| 7 | Distribution Channel Suitability | Availability and growth of established online sales and specialized retail channels. | High: E-commerce penetration is high and growing rapidly, which facilitates market entry. | High: Established network of specialty stores and a growing shift towards online sales. |
Brazil offers a market with high volume growth potential driven by a large, expanding middle class and urbanization. However, it presents higher economic and political risk and significant barriers from import tariffs.
Germany offers a stable, low-risk environment where Polaris's focus on energy-efficient and smart technology is highly valued and often mandated by regulation. The consumer base has high disposable income, directly targeting the company's premium segment.
Based on this screening, Germany offers a much stronger initial fit for a premium, energy-efficient, and smart refrigerator company like Polaris Appliances due to its low risk, high consumer affluence, and regulations that favor the company's core product strengths.
The contention that a powerful, popular advertisement is just as meaningful as any news story—especially when consumption plays a role in identity—can be critically evaluated by examining the functions of both forms of media in shaping and reflecting cultural narratives.
This response is structured in two parts: first, developing international market screening criteria for a refrigerator company using two selected countries, and second, critically evaluating the contention about the meaning of popular advertisements versus news stories in the context of identity and consumption.
For the purpose of this analysis, I'll assume:
Company Profile: A mid-to-large-sized manufacturer, "Polaris Appliances," known for producing mid-to-premium segment, energy-efficient, and smart refrigerators (e.g., French door, side-by-side models with Wi-Fi connectivity and inverter technology).
Target Market Goal: Seek countries with a rising middle class, high urbanization, and a strong regulatory push towards energy efficiency.