MTV Networks: The Arabian Challenge
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Business | Globalization Business
Entertainment, and Gaming
MTV Networks (MTVN) had over the years developed a reputation
for its ability to provide localized content without diluting what MTV stood
for. However, the company faced the most challenging test in late 2007 with its
launch of MTV Arabia in the Middle East, which some experts considered as the
biggest launch in the channel's history. While the market in the Middle East
offered MTVN with huge opportunities due to its huge youth populace, MTV's
controversial content that was known for angering religious, political, and
conservative communities could easily backfire in the conservative environment
prevalent in the region.
On the other hand, too much localization to
suit the tastes of the region could dilute MTV's global brand.
The case discusses in detail the strategy adopted by MTVN to
enter and expand in the Middle East and also the challenges
faced by the channel.
» Understand the issues and challenges in entering and expanding operations in
new markets which were culturally different from the organizations
» Understand the pros and cons of entering a new market with a
standardized/adapted product to suit local preferences.
» Analyze MTVN's strategy in the Middle East, identify challenges and explore
strategies that the channel could adopt in the future.
Entry strategy, Expansion strategy, Localization strategy,
Emerging markets, Environment, Social, Culture, Regulatory, Competition, MTV,
MTV Arabia, Middle East
A Litmus Test for MTV's Localization Strategy
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