How to avoid business blunders abroad.

Doing business in another country may be extremely tricky. Companies run the risk of failing spectacularly if any detail is overlooked. For example, merely asking the right question is sometimes crucial. In one reported case, a paper manufacturing firm neglected to inspect some wooded land for sale in Sicily prior to its purchase. Only after the company had bought the land, built a plant, and hired a labour force it did realize that the trees were only knee high and not suitable for making paper. The plant had to import logs.

The importance of packaging. Numerous problems result from the failure to adapt packaging for different cultures. Sometimes only the colour of the package needs to be altered to enhance a product's sales. White, for instance, symbolizes death in Japan and much of Asia; green represents danger or disease in Malaysia. Obviously, use of these colours in these countries might produce negative reactions to products.

The language barrier. Some product names travel poorly. The American Motors Corporation's Matador car might conjure up images of virility and strength in America, but in Puerto Rico its name means "killer", a notably unfavourable connotation in a place with a high traffic fatality rate. When the gasoline company Esso realized that its name means "stalled car" in Japan, it understood why it had had difficulties in that market.

Of course, some company names have travelled quite well. Kodak may be the most famous example. A research team deliberately developed this name after searching for a word that was pronounceable everywhere but had no specific meaning anywhere. Exxon is another name that was reportedly accepted only after a lengthy and expensive computer-assisted search.

Problems with promotions. In a U.S. promotion, one American company had effectively used the phrase "You can use no finer napkin at your dinner table". It decided to use the same commercials in England because, after all, the British do speak English. To the British, however, the word "napkin" or "nappy" actually means "diaper." The ad could hardly be expected to boost sales.

Local customs. Because social norms vary so greatly from country to country, it is extremely difficult for any outsider to be knowledgeable about all of them. Therefore, local input is vital. Many promotional errors could have been averted had this warning been heeded.

A marketer of eyeglasses promoted spectacles in Thailand with commercials featuring animals wearing glasses. It was an unfortunate decision, however, because in Thailand animals are considered a low form of life; humans would never wear anything worn by an animal.

Translation problems. Many international advertising errors are due to faulty translations. The best translations embody the general theme and concept of the original ad campaign but do not attempt to be precise duplicates of the original slogan. Pepsi learned this lesson when it reportedly learned that its slogan "Come alive with Pepsi" was literally translated into German as "Come alive out of the grave with Pepsi". And in Asia, it was translated as "Bring your ancestors back from the dead". General Motors encountered problems in Belgium, where "Body by Fisher" was translated as "Corpse by Fisher".

The reason for research. Proper market research may reduce or eliminate most international business blunders. Market researchers can uncover needs for product adaptations, potential name problems, promotional requirements, and proper market strategies. Good research techniques may even uncover potential translation problems.

Many blunders have already been made by international marketers, but they need not be repeated by others. Awareness of differences, consultation with local people, and concern for host country feelings reduce problems and save money.