Resinas Sineticas

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Category: Business and Industry

Date Submitted: 04/17/2012 10:19 AM

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Resinas Sinteticas, S.A. (A)

The case study was discussed about the cultural barrier in doing business among Mexico and America. It is about the business progress between Resinas Sinteticas and Grand Chemical. As Resinas’s company was from Mexico, while Grand Chemical was from America. Both companies was produced esterifies rosin resins and the quality and the services provided were similar. In the early of 1920s, the protectionist barriers stop Resinas to compete outside of Mexico. It let the Grand Chemical monopoly the market. However, since the early of 1990s, Mexico started signed several free trade agreement such as NAFTA, it make Resinas have opportunity to do business with the other countries.

Resinas has the ability to offer lower selling price than Grand, because Resinas has various manufacturing plants around the world. When Pesinas enter to the America market, they found out that their American customers can be divided into two groups: first is the American treat Resinas is good and professional, second is the American treat Resinas is unprofessional. This might be depending on the perception on the top manager or purchaser for a company. American usually has strong stereotypes in US about how the Mexicans do business and manufacture goods.

One of problems with cross-border market research is cultural differences. The survey being carried across cultures about the way people live behave and think. Example, there is big difference between American and Mexican culture is that in the States, openness, transparency and trust are highly valued and practices daily in business whereas in Mexico, they are not as much. (Page 7 paragraph 3)

International marketing approach that been used is social marketing orientation. It is disposed of, not only knowing why a product is bought, but also how it could be modified in some way to make it more socially desirable. Even our American customers are shocked when they visit our plant and see that it meets all of their...