Leo Burnett Company LTD Essay

king of beasts Burnett is an advertising agency that was founded in 1935 in Chicago. one and however(a) of their clients is Ontann Beauty C atomic number 18 (OBC), which is a leading spheric manu positionurer of health and beauty care products. OBC has been awarding Leo Burnetts (LB) its business for many years. OBC has been a client of LBs Toronto and capital of the United Kingdom offices since 1958 and mid-1970, respectively. OBC has centralized its international marketing campaign for a given brand and creates the confabulation materials as guides for topical anesthetic offices to follow. Local offices are then trus dickensrthy for adapting these raw worldwide materials and divulgeing local below the line materials. LB in any case centralized its decision making to better service it authoritative client. In 1998, OBC presented a advanced skin care line that would range a rapid growing population of consumer over the age of 50. This new skin care line would be calle d forevermore one-year-old, and was more(prenominal) expensive than other OBC skin care products. OBC awarded its advertising and brand communication to LB. Mirroring the global OBC squad structure LB global brand police squad remained in capital of the United Kingdom and formed planet police squads in Toronto and Taiwan. The Taiwanese team up would receive the creative templates from the LB global team and would adapt for the local market. In addition, they would shed to adapt the television ads and retake photos for the ingrain ads with an Asiatic model. The Toronto team would use English television ads and print advertising for the Canadian market. Furthermore, they would produce direct marketing and Web site materials.In short, the Toronto group had less autonomy, and was not able to adapt to the Canadian market. The results showed the Forever Young launch in Taiwan was achieverful. While the results of the launch in Canada was below action standards, in spite of th e success of the isolated pre-launch test. Furthermore, LBs future business with OBC was now in jeopardy and tension embossed within LB to modify the OBC brand in the Canadian market. One of the first contri thating movers is the idea of Pluralism of Cultures vs. Cultural Pluralism. What should a firm allowance attention to The unique cultural characteristics of Canada or the variety of cultures within Canada? In my opinion, cultural pluralism is a contri plainlying factor in the lack of success of the launch. Canada has many different cultures within its estate. When LB decided to use the data from a small town in the interior of Britishcapital of South Carolina to make a general assumption about the entire nation of Canada they should amaze known that one area should not be the gritty print for an entire nation. The product trail and product sales moguled long hundred against its objective, which had a base index of 100. This is a successful result, but that is only(pren ominal) one area in Canada.For example, Canada is known for having a French and British influence in different areas. Canadian also has many Ameri fire cultural norms. The Canadian launch indexed 50 against a base index of 100, which is not a surprising result considering the fact that LB only tested one area of Canada. Next, we have the idea of a global mindset. LB had their global team headquarters for the project in London. The suit for this was because London had experience in leading global business teams and it was finisher to OBCs global team. When dealing with Canada, LB London wanted to vex English record television ads & print ads in the Canadian market. At the same time, LB allowed Taiwan to exercise autonomy. This proved to be washed-up for the Canadian market, and successful for the Taiwanese market.The reason for this is the idea that there require to be shared views when it comes to pretending globally and locally. The ads being run in Taiwan were adapted to in clude a popular Asian actress, and this also allowed the product to show how effective it was on Asian skin. Taiwan is a successful example of incorporating local and global thinking. In Canada, ads featured a blond Caucasian actress as the lead in television and print ads. The Toronto team was not able to adapt the ads as they best adopt fit. The Canadian culture may not accept the ad because it was filmed under London assumptions and values. It did not take into consideration Canadian values. Specifically, Canadian consumers perceived the ads as violent. The case does not specify why it was considered violent, but if LB London allowed local thinking that situation might have been avoid.Another factor that contributed greatly to the events that occurred is culturally mediated cognitions in communication. parley was very difficult in many cases for both LB Toronto and London. Teams relied more and more on e-mails and earpiece calls. Although emailing is quick and easy to create, this does not help develop relationships, which does not build trust between parties involved. Also, Meta communication is not involved, which tramp be important in different cultures. For example, in an email youare not able to hear the tone of a voice or the facial expression of the person sending the email. Speaking on the address has similar weaknesses, which include not being able to visually count the person reactions. Lastly, videoconferences are personable, but may not be as convenient. This was apparent in the presentation of a creative concept to the London team which took 45 minutes and lead to frustration.The last contributing factor was poor management of global teams. One of the main problems was the inability to extend instanter to Carmichael. LB Toronto wound have to receive Annabel Forin, and then she would come across Carmichaels. Geoff spoke about the challenges he faced when working with someone elses art direction by stating, This would be easier if I co uld connect right away with Annabelle, but shes on the road so much of the time its hard to catch her. Lastly, referring to Toronto and Taiwan as a satellite may lower morale of employees because they may feel as though they are not as important as the headquarters in London. Lastly, the inability to manage global teams lead to extremely tight timeframes because the devil teams would not be able to communicate effectively their desires leading to reiterate changes in materials.My first recommendation is the ability to allow LB Toronto to think locally. To achieve this LB London should produce a creative template for a brand, but allow the Toronto team the adapt for the local market. The Toronto team knows whats best, and has in-depth knowledge in their local market. The only problem that Carmichael sees with this is the fact that appoint executives have departed and that giving autonomy to an inexperienced team may not be a good idea, but I feel as though LB Toronto has a better clasp of the local market than LB London even with the absence of key figures. By allowing Toronto to have more autonomy this well also strike the amount of interaction between London and Toronto because they are not using LB Londons work so the need for eternal clarification will not be necessary. My Second recommendation is to improve marketing research on countries that LB plans to enter. The prelaunch test of British capital of South Carolina was not enough to make an assumption of the entire Canadian nation. Leo Burnett needs to ensure that they are identifying the different cultures and testing doescultures.Once they have ample research on a particular company they can then enter the market. For example, if they enter US market it is important to cognise that different areas of the country might value skin care products differently. In New York City skin care product may be popular, but in Seattle it may not be as popular. If emails and phone calls are still used there m ay be an untoward outcome between the culturally mediated cognitions in communication of two parties. With that being said, my third recommendation is to have a quick and wide preparation session to better understand how to effectively collaborate with other foreign team. By learning the culturally mediated cognitions in communication and communication protocol it will assist when two teams need to peach with each other on the phone or through email.The training sessions will include guidelines for communicating, and how to efficiently communicate your message to another countries team. Lastly, I recommend a better means of communication within LB through a better management of a virtual global teams. As mentioned before communication seemed very difficult especially for Geoff and Cathy Lee. rideting a hold of Carmichael was very inconvenient since they needed to first contact Annabel Forin. LB needs to create a better communication apparatus so that a team member can commun icate directly with their supervisors, or their supervisors supervisor. This will allow members of team to get answers more efficiently instead of not receiving a response.The launch of Forever Young proved to be a challenge for Leo Burnett, but with the implementations of my recommendations we can insure that the losses we face in Canada are neer faced again.