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Domino Pizza Inc. Essay

  1. Cultural Mistakes

Body language is a main driver of cultural mistake. An example is a particular hand gesture of America that means “peace”. For Brazilians, a sign of peace with the palm facing inwards means that the person doing it is doing a middle finger which is very awkward to see (Wade 38). In addition, a bow as a symbol of respect for Japanese may mean different from that of Americans who give respect by means of a handshake.

If two people from these countries meet and if they are not aware about each other’s culture, then each of them might say that the other one is disrespectful. Use of herbs on food like pizzas, eating and drinking habits such as drinking alcohol during lunch, meetings or after a business deal may post both positive and negative effects on two people depending on their culture (Gibson, 8 and Wade, 39-41). An Islam person who does not eat pork may find it very annoying if the food that will be served contains pork or any of that kind.

  1. Cultural Approaches: Domino’s Pizza Inc.

Domino Pizza Inc. has a competitive cultural approach that makes it a global choice for pizza. It is true that a standardized process can be radically changed once it is injected in an area where a different culture and set habits exists (Carlo, 27). As what happened when Domino Pizza opened itself for franchise in Japan, Aruba and Philippines, there has been a change in some of the standardized operations like in the delivery, type of bread, store hours and others (Gibson, 8).

The reason for this is to fit the brand and the product in the country and match it not with the country’s culture as proven by Philippines’ extended store hours and geography as proven by Aruba’s use of small trucks for delivery (Gibson, 8). Domino cultural approach focuses on modifying its standard operations to best fit the country and to make it more appealing to the customers. By knowing, studying and getting along with the culture of the country where the franchise is located, Domino Pizza Inc. is able to capture the consumer’s choice and preference.

Yet there are still barriers that hindered Domino’s flexible business strategy and it is shown by the way the Italians reacted in Domino’s ingredients.  Since Italians have a different taste preference, Domino’s pizzas did not approve their taste (Gibson, 8). Perhaps if Domino altered some of its ingredient, it might have captured, at least, the Italians taste. However, there are some things that are not worth sacrificing because it might lose the brand’s unique identity.

  1. Managing Cultural Mistakes: Domino Pizza Inc.

Domino Pizza Inc. is able to manage cultural mistakes by first being aware of the various culture of their market. By taking into account the differences in habits of different people whom Domino is serving, appropriate services and products are being rendered (Gibson, 8). Though franchising is considered as a good way to expand business, franchisers like Domino Pizza Inc should remember that awareness is the most important key in knowing other people’s culture to avoid risking too much and losing some in the end (Carlo, 27).

Just like what Ace did when they established a culture with the Chinese to eliminate the habit of purchasing supplies from other manufacturers, Domino also established a culture with the people whom they are serving like the Japan, Philippines and Aruba (Gibson, 8). By making Domino’s operation as flexible as possible without changing the brand quality too much, it is able to address the cultural requirements of these countries.

However, the ability to control things should be put first in mind to be able to manage the business effectively just like how Ace did it (Carlo, 27-28). On Domino’s side, a further modification of its products like coming up with a special recipe that will exclusively fit the Italians’ taste, will surely aid Domino in hitting Italians’ market once again.

References:

Carlo, A. (2006). “Overseas Adjustment”, Home Channel News. New York: October 2006, Volume 32, Issue 13, Pages 26-28

Gibson, R. (2006), Small Business (A Special Report); Foreign Flavors: When going abroad, you should think of franchising as a cookie-cutter business; Unless, of course, you want to succeed. Wall Street Journal September 25, 2006, Page R. 8

Wade, J. (2004),”The Pitfalls of Cross-Cultural Business”, Risk Management,

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March 2004, v 51, Pages: 38-43

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