...its launch in 1981. MTV developed a reputation for being able to provide localized content wherever it goes. However, 2007 was a great year for a tremendous challenge. As experts affirmed, the launch of MTV Arabia in the Middle East was the biggest challenge MTV had faced since its foundation. It was a big challenge for many reasons. First, the cultural difference between the Middle East and the west is incredibly different. Second, the Arab acceptance of a western brand could be tough. Then comes the ambiguity about the success of the localization strategy. Also, the possibility of MTV Arabia to be altered by the local programming could be expected. There is a considerable number of existing Arab music channels, thus, the competition might be difficult as they have the same focus as MTV Arabia. Although those challenges, MTV Networks invaded the Arabian market and applied a business strategy that enabled it to build a solid infrastructure. This paper analyzes the challenges that MTV faced during this process and the strategy that it applied to move forward highlighting its pros and cons. We will also analyze its success and survival in the market. Launching MTV Arabia in the Arab world is the most challenging process that MTV went through. Dana El Baltalji, a special Projects Manager, Trends magazine in Dubai said: “MTV has a penchant for airing controversial material and making a mockery of convention. And of course, it’s an American brand. The challenge, therefore, is transforming...
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...BSTR/294 IBS Center for Management Research MTV Networks: The Arabian Challenge This case was written by Debapratim Purkayastha, IBS Center for Management Research. It was compiled from published sources, and is intended to be used as a basis for class discussion rather than to illustrate either effective or ineffective handling of a management situation. 2008, IBS Center for Management Research. All rights reserved. To order copies, call +91-8417-236667/68 or write to IBS Center for Management Research (ICMR), IFHE Campus, Donthanapally, Sankarapally Road, Hyderabad 501 504, Andhra Pradesh, India or email: info@icmrindia.org www.icmrindia.org BSTR/294 MTV Networks: The Arabian Challenge “[…] MTV has a penchant for airing controversial material and making a mockery of convention. And of course, it’s an American brand… The challenge, therefore, is transforming a notoriously risqué channel into a Middle Eastern-friendly platform for music and creativity without stripping MTV of its edge. It isn’t without some irony that a channel known for angering religious, political, and conservative communities is operating in and catering to a region renowned for reacting (and sometimes overreacting) negatively to controversial content.”1 - Dana El Baltaji, Special Projects Manager, Trends magazine in Dubai, in 2008. “In many ways (MTV Arabia) is the epitome of our localization strategy. It’s a different audience (in the Middle East) but this is what we do --...
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...MTV Networks: The Arabian Challenge TEACHING NOTE ABSTRACT 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. TEACHING OBJECTIVES & TARGET AUDIENCE The case will help the students to: • Understand the issues and challenges in entering and expanding operations in new markets which were culturally different from the organizations home/traditional/existing markets. • 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 This case is...
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...BSTR/294 ICMR Center for Management Research MTV Networks: The Arabian Challenge This case was written by Debapratim Purkayastha, ICMR Center for Management Research. It was compiled from published sources, and is intended to be used as a basis for class discussion rather than to illustrate either effective or ineffective handling of a management situation. For use by students of Icfai Flexible Learning programs. Not to be reproduced or distributed in any form or by any means. 2008, ICMR. All rights reserved. To order copies, call 0091-40-2343-0462/63 or write to ICMR, Plot # 49, Nagarjuna Hills, Hyderabad 500 082, India or email info@icmrindia.org. www.icmrindia.org BSTR/294 MTV Networks: The Arabian Challenge “[…] MTV has a penchant for airing controversial material and making a mockery of convention. And of course, it’s an American brand… The challenge, therefore, is transforming a notoriously risqué channel into a Middle Eastern-friendly platform for music and creativity without stripping MTV of its edge. It isn’t without some irony that a channel known for angering religious, political, and conservative communities is operating in and catering to a region renowned for reacting (and sometimes overreacting) negatively to controversial content.”1 - Dana El Baltaji, Special Projects Manager, Trends magazine in Dubai, in 2008. “In many ways (MTV Arabia) is the epitome of our localization strategy. It’s a different audience (in the Middle East) but this is...
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...Case Study MTV Arabia Challenges and Strategies Case Study MTV Arabia Challenges and Strategies MTV network or music television is a worldwide brand which produce music channels and different programs, Located in America in New York States. Lunched on August, 1981 the channel was about playing music videos along with music news, interview and promotion 24 hours a day and 7 days a week. MTV's demographic targets were young adults and teenagers. MTV network start to expand their work by adding new programs such as reality programs, animated programs, rebroadcast programs……ext. And also they expand their network outside America by lunching multiple native languages of MTV channels to countries around the world by providing programs with localized contents, for example MTV has channels in Europe, Asia, Africa, Australia and Middle east or MTV Arabia, which is a shared project between Arabian television network located in United Arab Emirates which is a part of Arab Media Group the largest media group in UAE and MTV network. The channel was launched on November 17.2007. The channel plans to be a stage for young Arab adults, revealing their ideas and opinions to be a factor in future programming.[1] MTV faced challenges while lunching MTV Arabia, one of the biggest challenges was the predominate culture in Arab countries, because MTV is knowing of using it is open western culture and sometimes contents were known to air sexual explicit and annoying or...
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...Study In: Business and Management Case Study Case Study MTV Arabia Challenges and Strategies Case Study MTV Arabia Challenges and Strategies MTV network or music television is a worldwide brand which produce music channels and different programs, Located in America in New York States. Lunched on August, 1981 the channel was about playing music videos along with music news, interview and promotion 24 hours a day and 7 days a week. MTV's demographic targets were young adults and teenagers. MTV network start to expand their work by adding new programs such as reality programs, animated programs, rebroadcast programs……ext. And also they expand their network outside America by lunching multiple native languages of MTV channels to countries around the world by providing programs with localized contents, for example MTV has channels in Europe, Asia, Africa, Australia and Middle east or MTV Arabia, which is a shared project between Arabian television network located in United Arab Emirates which is a part of Arab Media Group the largest media group in UAE and MTV network. The channel was launched on November 17.2007. The channel plans to be a stage for young Arab adults, revealing their ideas and opinions to be a factor in future programming.[1] MTV faced challenges while lunching MTV Arabia, one of the biggest challenges was the predominate culture in Arab countries, because MTV is knowing of using it is open western culture and sometimes contents...
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...conservative. They stick with their beliefs and live for families and traditions in their culture. MTV, on the other hand, is more a hip-hop explicit music culture. They like to keep up with the new “it”, change constantly with their different form of entertainments (TV shows, music, etc.), and even provocative at times. It is expected to pose a challenge to MTV because they would want to stick to what they are known for as a company but at the same time, meet and please the people in the Middle East without disrespecting the local culture. There is also pressure on the company to act as a cultural unifying force in a region known for its political tensions. As MTV networks launched MTV Arabia to expand the international music brand into a new region of Arabs, to have market globally, this is a challenge for MTVN as they have to apply their western based TV program into a culture that they have never faced before. To avoid cultural difference MTV Arabia effectively designed a localized version of international programs. The company figured out the way to balance the local programs without letting MTV brand name to be dissolved. MTV expanded their business in 179 countries and succeeded in globalizing their brand with 1.5 billion audiences globally. In U.S alone it reached 87.6 billion homes. The target of MTV was youth and they did survey to obtain information. The launch of 60th channel of MTV is to correct the misconception of the region. It operates 130 channels in over 25 languages...
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...MTV Networks: The Arabian Challenge 1. Question 1 Experts felt that one of the biggest challenges faced by MTV while launching MTV Arabia was the prevalent culture in the Arab world. Discuss the Arab culture. How is it expected to pose a challenge to MTV? First of all, it is impossible to talk about groups of people without generalizing. At this point it must be emphasized that there is not just “one” Arab culture or society. The Arab world is full of rich and diverse communities, groups and cultures. Each of the Arab countries has different perspectives. That’s why differences exist not only among coun- tries, but within countries as well. With 22 countries formed, the Arab region has in some parts the same religious, politics and ethical views and some are totally different Some people would say that it is known for reacting, and some think over reacting nega- tively to controversial content. For example, within the Arab’s there are three types of religions, Judaism, Islam and Christianity; so these make some things acceptable in some countries and in others not. Furthermore the Middle East offered a huge population of youth with a rich and diverse culture. And exactly these young people can be seen as the target group of MTV. But you also have to be aware in which parts of the Arabian world you are, because religion, for example, is one of the most important aspects on Arabs’ lifestyle, and has something to do in almost every decision Arabs’ take. Not only political...
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...Information: MTV (short for Music Television), which pioneered the concept of a cable music channel, was launched on August 1 1981. At the time of its launch, the MTV channel primarily catered to those in the 12 to 24 age group, airing heavy metal and rap music, although it expanded into several different niche markets through the establishment of alternative channels, such as VH1 and Nickelodeon, in conjunction with airing reality TV shows. In 1986, MTV was acquired by Viacom inc. and started to expand its operations through the global marketplace through a “Think Globally, Act Locally” strategy. The channel MTV Arabia was formed as a result of a licensing arrangement between MTV and AMG. MTVN (MTV Networks) launched MTV Arabia on November 17, 2007, in partnership with Arabian Television Network (ATN), which is part of the Arab Media Group’s (AMG) Arabian Broadcasting Network (ABN). According to analysts, MTV’s success in the Middle East was contingent upon a tactical balancing between delivery of international quality music and the culturally sensitive environment prevalent in the region. The Fundamental Management Issue: The key fundamental issue within the MTV case study is to determine whether localisation is needed to be successful in the market in conjunction with maintaining the MTV global brand and product. This is an issue since the market that MTV was entering, the Arabian market, presented a different cultural and socio-ethical construction from which MTV was used to...
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...Case 4 MTV NETWORKS: THE ARABIAN CHALLENGE A litmus test for mtv’s localization strategy Launches in 2007 as part of its global expansion strategy Its prescence would provide the region with an international music brand, in return the region promised to offer growth opportunities to MTVN given to its huge youth population. MTV’S success in the middle east was contingent upon a tactical balancing between delivery of international quality music and the culturally sensitive environment in the region Arabic version, (supposed to act as a culturally unifying force by propelling Arabic music to the global forefront, and vice versa. Had a lot of hopes in this project MTV BACKGROUND Launched in 1981 12-24 yrs Heavy metal, and rap music Started airing non-music reality shows In 1987 was launched in Europe which marked its global expansion “Think Globally, act locally” (MTV Australia, MTV Asia, MTV India, MTV China, etc) 179 countries ------------------------------------------------- 130 channels in 25 languages Success was credited to the channel adopting a decentralized structure and gave commercial and creative autonomy to the local staff. Minimal interferences in local operations led to innovation and expansion Chanel depended on the local cultures 3.PREPARING FOR THE LAUNCH Similar channels across the world Only middle and upper classes whho had been exposed to the west MTV Arabia was formed as a result of a liscencing arrangement between MTV and AMG...
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...MTV Networks: The Arabian Challenge 1. Question 1 Experts felt that one of the biggest challenges faced by MTV while launching MTV Arabia was the prevalent culture in the Arab world. Discuss the Arab culture. How is it expected to pose a challenge to MTV? First of all, it is impossible to talk about groups of people without generalizing. At this point it must be emphasized that there is not just “one” Arab culture or society. The Arab world is full of rich and diverse communities, groups and cultures. Each of the Arab countries has different perspectives. That’s why differences exist not only among coun- tries, but within countries as well. With 22 countries formed, the Arab region has in some parts the same religious, politics and ethical views and some are totally different Some people would say that it is known for reacting, and some think over reacting nega- tively to controversial content. For example, within the Arab’s there are three types of religions, Judaism, Islam and Christianity; so these make some things acceptable in some countries and in others not. Furthermore the Middle East offered a huge population of youth with a rich and diverse culture. And exactly these young people can be seen as the target group of MTV. But you also have to be aware in which parts of the Arabian world you are, because religion, for example, is one of the most important aspects on Arabs’ lifestyle, and has something to do in almost every decision Arabs’ take. Not only political...
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...strategic priorities. Keeping in mind the four parts of the strategy process: situation analysis, strategy formulation, strategy implementation and strategy evaluation, MTV’s analysis showed that the company was looking for ways to continue its success. MTV formulated digital and global strategies. MTV implemented strategies by creating virtual worlds for many of its shows and expanding in key global markets with more MTV brands using a range of technologies. In this case the strategist of MTV’s target on global digital strategy of digitalizing media infrastructure through social networking. MTV’s strategy is to entertain all the audience by providing according to their clients taste content by digital medium exchange. Strategist have to target young and teenagers and do literate about the dilemma of online satellite connectivity like web store and the website available having the direct linkage with the social sites like Facebook twitter etc. so MTV’s management use this practice to retain more in the heart of their audience. This strategic plan is the major key success for MTV. 2. What challenges do you think MTV might face in crafting future digital and global strategies? No, I do not think MTV will face any challenges like having a downtrend or shift towards the negative words of mouth when it...
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...Case 4: MTV Networks: The Arabian Challenge Case Answers 1) The Arab culture predominant in countries such as those found in the UAE (United Arab Emirates) and Saudi Arabia are known for their religious, political and social conservatism. The Arab culture is one that is heavily instilled with a set of beliefs, values and attitudes that stem from strong religious conviction. This moral framework acts as a guide for the Arab consumer and anything that may seem to be at odds with that framework may cause conflict and a hesitance to accept/adopt. This notion is further accentuated by the fact that a majority of music and entertainment TV channels are of a more sensitive, lighter version such as anasheed (Islamic Songs) which are a modified Arabian version of music which are more culturally, socially and religiously acceptable. Given the intricacies and complexity of the Arabian market, no doubt a major challenge for MTV will be attempting to transform a notoriously “indecent” channel into an Arab-friendly platform for music and entertainment. Due to regional issues such as the Iraq Invasion and the US’ strong ties with the “Arch enemies” Israel, this has angered many Arabs and has left an air of anti-American sentiment in the midst. This will prove challenging for MTV as they try to adapt and modify content that’s known for airing sexually explicit and provocative programmes that are contrary to the socially conservative Arab culture without completing diluting the brand and losing...
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...First of all, it plainly says that MTV is utilizing a first in market strategy that is assisting them to be successful since they are focused in on numerous varieties of MTV for example MTV Asia, Turkey, Latin America, Arabia. Worldwide, they have an estimate of over 120 channels all around the world. Currently, there are a number of brands which are increasing besides MTV; one is known as Nickelodeon, by utilizing our existing technologies like cable, satellite, cell phones, etc. This company makes use of unexpected circumstances. Unlikely language which can be racy as well as suggestive provides the people at home the thrill which they may not find anywhere else and that provides MTV an advantage over their competitors although generally it has remained at a reduced level overtime it still has an enormous wide range of viewers (Coulter, 2010). Recently, their Chief Executive Officer and chairperson Judy McGrath manages maintaining the company and succeeding by discovering different ways to transform the company. The strategic challenges are both digital and global strategies. It includes websites that display the best of their present television series for example my super sixteen on the website mysuperparty.com. That way if you really like what was seen on television and it’s online, you can use that to help you to make you own parties. Additionally they utilize an excellent market strategy by attracting in people with the idea that they could be on television. Globally it...
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...1. Chapter 3: Differences in Culture 2. Have you ever visited another country? If you have, think for a minute about some of the differences you may have seen. Perhaps people dressed differently or ate different types of foods. How did people get around? By car, by train, by motor bike? Was there a particular religion that influenced how society worked? What language was spoken? Did you notice any forms of unspoken language? Your answers to these questions will give you some insight to the country’s culture. We’ll be exploring cultural differences and their effect on business in this chapter. Even if you haven’t traveled to a foreign country, you can still see cultural differences within the U.S. Think about the concept of time for example. How do people on the East Coast view time? You might have answered that East Coasters often see time as a valuable commodity that shouldn’t be wasted. Now, compare that perspective to how someone from the South might view time. Many Southerners still prefer a slower paced way of life. How might these differences affect the way you would do business in each region? Just like you might adapt for differences at home, when doing business in foreign countries, you’ll need to adapt as well. We say that companies must have cross-cultural literacy, or an understanding of how cultural differences across and within nations can affect the way in which business is practiced. It’s also important to consider how culture might affect...
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