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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 meant for students of the MBA/MS level programs in the Business Strategy curriculum. The case is also suitable for International Business/International Marketing/Brand Management curriculum.

TEACHING APPROACH AND STRATEGY

This case can be used effectively in classroom discussions as well as in distance learning programs. In the classroom mode, the case moderator can initiate the

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