We will write a custom Essay on MTV Networks and the Arabian Market Challenge specifically for you
301 certified writers online
From time to time, companies that have experienced tremendous local growth usually venture into the international market to sustain their growth. However, the global market may have different environmental conditions. The culture in these markets may be significantly different from the domestic market of the company. Differences in culture may hurt the organizational culture of the company. Since the organizational culture is one of the competitive factors of an organization, MTV may lose its competitive edge in the market. Also, cultural differences may make it difficult to promote its products in this market. Rejection of the products would ultimately result in the failure of the company in the international market. These are some of the problems that MTV Network (MTVN) is facing. The company may face stiff resistance from Arabs if it ventures into the Middle East market. Various political factors have led to increased anti-American sentiments in the Arab world. Also, the market is highly saturated. Over 50 channels offer products that are similar to those provided by MTVN. These problems necessitate MTVN to formulate strategies that would enable it to conquer the market. Failure to develop effective strategies would lead to the ultimate collapse of MTV Arabia. However, this market is very lucrative. MTV would reach an audience of more almost 200 million people.
The Arab world consists of 21 countries. MTV Arabia would serve all these countries. 65% of people in the Arab world are less than 25 years old. This group provides MTV Arabia with a huge market. However, these countries have diverse cultures. What is acceptable in Egypt may not be acceptable in Saudi Arabia. This may pose several problems for the success of MTV Arabia. Also, the content of MTV may not be acceptable in the Arab world. The company usually broadcasts sexually explicit content. This may face stiff resistance from conservative Arabs. The sexually explicit content of MTV has even created controversies in western markets, which are highly tolerant. Arab culture requires men and women to maintain their distance between each other. Society prohibits any public display of affection between men and women. Also, society gives women a minimal role in business and entertainment. The society expects women to cover their whole bodies. Women should cover their body, head, and face with a veil as a sign of modesty. People who do not adhere to these social norms usually bring shame to themselves and their families. Parents strive to ensure that their children adhere to these social norms. Therefore, MTV is likely to face rejection from Arabs.
The interpretation of various things by Arabs may be different from that in the western world. Besides, Arabs require people to show respect in their communication at all times. Arabs may react from insults and criticism in extreme ways. However, MTV’s content usually uses vulgar language. This may make society reject the content of the company’s television channels since the indecent content is disrespectful. Also, MTV’s content usually refers to alcohol, which is banned in most countries in the Arab world. MTV may also refer to religion casually. Different interpretations of various aspects of communication between Arabs and people in other regions may make the company face several problems. It necessitates the human resource department of the company to formulate strategies on how to handle the employees efficiently. Besides, since MTV is an American company, it may face stiff resistance from Arabs. Arabs have anti-American sentiments due to various political reasons. America’s attack on Iraq and Afghanistan are some of the factors that contribute to the anti-American sentiments in the Arab world. Other Arab companies in the region may exploit this fact to run advertising campaigns that may tarnish the image and reputation of MTV Arabia.
In light of the above problems, MTV needs to formulate effective strategies that would enable it to conquer the Arab market. Also, MTV needs to ensure that venturing into the market does not make it lose its brand value. MTV launched MTV Arabia in the Middle East successfully despite the challenges. The company’s experience in operating in different regions of the globe was vital. The company did sufficient market research before the entry into the country. MTV collaborated with a local partner in launching MTV Arabia. Market research enabled the company to alter its strategies to fulfill the needs of the local market. Besides, it enabled the company to reduce any fears that various people had on the company.
It was vital for MTVN to venture into the region using a local company. This would enable the company to reduce its association with America. This would mitigate anti-American sentiments that the company would face. Also, venturing into the Arab market using a local company would enable the company to acquire employees of the local company. MTV collaborated with the Arab Media Group (AMG). AMG was one of the most respected entities in the media industry. The joint venture enabled MTV to venture into the market successfully due to the strong brand name of both companies. Besides, MTV provided a global platform for exporting the music talent of the Arab youth. This provided the company with a competitive edge over other channels that were in the market.
A company needs to ensure that venturing into the international market does not dilute its brand name. Therefore, there should be no marked difference between the products that the company offers in another market from those that it provides in the local market. MTV devised marketing strategies that enabled it to capture the youth without undertaking significant alterations to its content. The company targeted the youth who had experienced the western culture and those whose tastes and preferences were similar to those of people in the western world. This enabled the company to build a strong customer base. This strategy enabled the company to launch Nickelodeon Arabia in the region successfully. Nickelodeon Arabia enabled the company to capture the interests of children. Also, Nickelodeon Arabia enabled MTV Arabia to capture the children when they are still young. This guarantees MTV Arabia loyal customers in the future.
It is vital for a company that ventures into the international market to ensure that its products have a local feel. This enables local customers to embrace the product. This necessitated MTV Arabia to ensure that it provides local content in various programs. MTV Arabia ensured that 60% of the programs are local, whereas the remaining 40% was international. The company launched the Arab equivalent of various international programs. In addition, MTV Arabia provided Arabic subtitled to programs that had English content. This made the programs of MTV Arabia have a local feel. Also, forming a joint venture with AMG enabled MTV Arabia to have a local feel.
The Arab world is very conservative. Public display of intimacy or sexually explicit content elicits disgust from the society. Therefore, MTV Arabia needs to reduce controversial content in its programs. The company undertook an extensive study to determine the content that was culturally acceptable in the market. Therefore, MTV Arabia did not air some programs that were common in other international markets. Also, since MTV Arabia served a predominantly Islamic society, it was vital for the company to respect the views of Islam. The company incorporated Islamic content in its programming. Incorporating Islamic content helped in building the brand name of the company. However, it was vital for the company to ensure that it does not include so much religious content. This is because it is not a religious channel. During the holy month of Ramadan, the company did not make air music videos.
The problems that MTVN faced in venturing into the Arab market necessitated it to formulate efficient strategies. These strategies ensured that the company was responsive to the needs of the local population. Collaborating with a respected local company, was one of the major strategies that the company used to venture into the market. Also, providing local content made the company have a local feel. It was vital for the company to ensure that it does not give controversial content. This necessitated the company to reduce sexually explicit content in MTV Arabia.