What is the EPRG framework?
In international marketing, the main objective is to find and satisfy the requirements and needs of the international customer and needs and try to attract the customer better than the competitor by conducting marketing activities. The structure of the company’s reaction to international market possibilities mainly depends on the management’s conscious and unconscious assumptions or views on the structure of business throughout the world.
In the EPRG framework, these activities have been described in four orientations as
- Ethnocentric
- Polycentric
- Regiocentric
- Geocentric
1. Ethnocentric
The nation of origin is stronger, and the demands of the country are the highest. The HQ generally extends the management of its operations to its foreign affiliates. Controls are firmly focused, and management and technology are essentially like they were in their respective home countries in foreign settings.
2. Polycentric
Each country should be targeted individually and distinctly. Polycenter understands and works to optimize earnings at every location and adjusts them to these varied requirements in various producing and commercial circumstances at different locations. Management with members is generally decentralized, and contact between headquarters and subsidiaries is limited.
3. Regiocentric
There are regions across the world (e.g., Europe, Asia, and the Middle East). The firm is trying to unify and synchronize its marketing approach, but not across sectors.
4. Geocentric
The firms should be targeted to launch the product globally with local adaptations like think global, act local.
Conclusion
In conclusion, the global business environment offers various strategic approaches to companies, each with its unique characteristics. Ethnocentric strategies focus on central control and replication of domestic practices abroad. Polycentric strategies emphasize local adaptation and decentralized management. Regiocentric strategies seek to harmonize marketing within regions. Geocentric strategies aim for a global-local balance. The choice of strategy should align with the firm’s objectives, the market, and the level of standardization required, ensuring a successful global presence and adaptability to diverse international landscapes.
