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Marketing of a Foreign Automotive Brand in Taiwan: Case of Skoda

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. The failure of the company often results
from not being able to meet with culturally based needs and wants of local consumers (Melewar
et al., 2003). Taiwan represents a specific consumer culture with a strong persistence of
traditional Confucian values (Ahuvia & Wong, 1998). Understanding the reasons for the success
and the failure of foreign companies on specific markets may represent a great learning
opportunity which may bring a competitive advantage for future entrants.
The main goal of this study was to find out the reasons for the failure of Skoda - an
internationally successful and growing Czech automaker ¡V 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. Face-to-face interviews with Skoda dealers, focus group with Skoda customers and
the observation were the main sources of data. The research suggested the increased importance
of the brand prestige and luxurious materials and high-tech electronics for Taiwanese consumers.
Internet was found to be the important source of pre-purchase information. There was found a
low knowledge of consumers about Czech Republic as a country-of-origin of automotive
products. German technology had a positive impact on automotive product¡¦s evaluations. Skoda
marketing strategy was described and evaluated based on the marketing mix conception. The
inadequate positioning, insufficient promotion and a low emphasis given on brand building, were
identified as the general reason for Skoda¡¦s failure.

Identiferoai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0808108-155408
Date08 August 2008
CreatorsMatousek, David
ContributorsMin-Hsin Huang, Chun-Tuan Chang, Yu Chi Wu
PublisherNSYSU
Source SetsNSYSU Electronic Thesis and Dissertation Archive
LanguageEnglish
Detected LanguageEnglish
Typetext
Formatapplication/pdf
Sourcehttp://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0808108-155408
Rightsunrestricted, Copyright information available at source archive

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