Glocalization – how Unilog can support your local needs while keeping in mind your global considerations
Over the past few decades, we have seen the trend of globalization in various industries. It has transformed the business landscape by opening new markets, increasing competition and accelerating technological advancements. But at the same time globalization has highlighted the importance of cultural sensitivity and understanding in business. So here we are talking about a new term of the 21st century – “Glocalization”.
What is Glocalization?
Gloсalization is a combination of two concepts as “globalization” and “localization”. This new term refers to the process of adapting global products, services or strategies to meet its specific needs and preferences in local markets or in cultural contexts. In other words, companies that use the glocalization strategy strive to find a balance between the global identity of the brand and at the same time the unique characteristics of a particular market. Products that are “glocalized”, by definition, will be of much greater interest to the end user, due to their non-one-size-fits-all approach.
Glocalization concerns several key aspects of doing business. First of all, it is the adaptation of a product or service in accordance with local tastes, preferences and regulatory requirements of a particular market. For example, adjusting the characteristics of the product and its packaging, as well as, possibly, taste or functionality in accordance with the expectations of the local market. The next important point is communication with customers, that is, marketing. The company’s marketing strategies within the framework of glocalization should be developed in such a way that they resonate with local consumers. This includes advertising campaigns, slogans taking into account cultural nuances and language preferences. Glocalized marketing helps to establish connections with consumers and increase the brand’s importance.
It may seem these are all points that are important to consider when implementing a glocalization strategy. But there is another key aspect, and that is the supply chain. Next, we will tell in this blog-post how the supply chain and glocalization are connected, as well as how Unilog integrates glocalization principles into its supply chain operations.
Glocalization and Unilog’ supply chain management
Globalization covers various stages of the supply chain. For example, identifying local suppliers and interacting with them, managing procurement processes and ensuring the availability of resources specific to the region. It is also important to note that everything must be done in accordance with local regulations. This process requires the development of customized distribution and logistics strategies to effectively reach and serve local markets. Such conditions often involve maintaining regional or country-specific inventories to ensure quick response times to local demand. The supply chain plays a key role in managing these regional stock-keeping units (SKUs) and optimizing inventory levels to balance local market requirements with overall supply chain efficiency. This helps companies respond effectively to local demand fluctuations while minimizing stockouts and excess inventory.
Moreover, we can look at real cases of glocalization impact on the example of the company Unilog.
Unilog is a 4PL supply chain provider which specializes in global fulfillment and mission-critical logistics services. As an international company we face the challenges of control, visibility, order fulfillment, shipping, tracking, trade regulations and more. But an especially work approach is needed for markets such as Germany, Japan and China. This is due to their unique characteristics and competitive business environment. Here is to Unilog comes in handy glocalization strategy.
- The first case: Unilog has more than 40 partners around the world, or whom we call “local heroes”. Unilog’s local heroes are well-established players with a deep understanding of the local market dynamics, strong customer relationships, and a significant market share in their respective regions. For example, they are especially important in the Japanese market. Thus, Unilog provides a full service to its customers in understanding documentation, regulations, and meeting the high quality of order fulfillment.
- The second challenge is often to conduct the supply chain process in the local language of a particular market. Here Unilog implements technical capabilities for its clients, namely the Logivice system. Logivice was literally created for the convenience of the client and is able to translate data inside the system into the necessary languages. In addition, the platform is based on the cloud, and anyone can access it from anywhere in the world in an accessible and secure way.
- As it was said before, Unilog is a 4PL provider which means we are responsible for the entire chunk supply chain strategy, that is, from OEM to the end B2B customer. But sometimes it becomes a particularly trivial task when the local market has special distribution rules. This is especially true for the Chinese or Japanese market. That’s why Unilog has adapted and implemented services for the delivery of goods via metro, as well as delivery on scooters.
- New markets, or markets with predominantly local requirements, are known for their competition. For them, it is always necessary to include a glocalization strategy. As an example, Japan is known for its principles of accuracy, including just-in-time deliveries (JIT). If usually the fastest delivery in the supply chain is 4 hours, then in Japan it is 90 minutes. But here, too, Unilog brought its activities in accordance with the principles of the local market.
In this way, Unilog supports your local needs while keeping in mind your global considerations. In addition, we provide proper value-added service in accordance with the requirements of the local market and carry out quality control of global standards throughout the entire supply chain.
Summing up, integrating glocalization principles into your supply chain operations, can help to effectively combine global efficiency with local responsiveness. The role of the supply chain in source glocalization, distribution setup, inventory management, understanding local markets and providing excellent customer service is essential for the successful implementation of the glocalization strategy.