Q4: Standardisation and customisation pros and cons
Standardisation is identified as a process which is adopted to pursue activities which appease to all people. This is inclusive of one size for all their customers targets. This means that the activities which are being adopted in a market are the same. On the other hand, customisation is used to identify the use of marketing strategies in line with the customers perspectives. For instance, for Lavazza, by offering espresso coffee to all members of the society irrespective of their demographics is standardisation. Nevertheless, if they introduce products for the elderly and young populations, this is customisation.
For the pros of standardisation, they include the capacity to enjoy economies of scale. For instance, in Italy, Lavazza enjoys economies of scale. The brand is recognised in the entire market. Similarly, globally, the organisation is known for their fine blended coffee. Further, through standardisation, less costs are incurred in their operations.
For the cons of standardisation, the approach is not appropriate for small enterprises. Also, it would not be appropriate for first ventures in a particular market. This is while this process leading to damage to the organisations in terms of their reputation and awareness levels. For the pros of customisation
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