
Over 60 per cent of Europe's biggest multinational companies have failed to understand and address the challenges of globalisation.
By Pia Heikkila
Published: 23 October 2000 15:00 BST
This is according to a report from globalisation specialist GlobalSight which has revealed 62 per cent of traditional companies are failing to realise that globalisation requires more than merely featuring local language and content on the non-English parts of their sites.
The study which surveyed FTSE 100 companies such as British Airways, Saab, Credit Suisse and Bayer offering web services worldwide found that companies see globalisation as a translation process rather than an IT or business project.
Jordan Wood, co-founder and CTO of GlobalSight, told silicon.com that to get the most out of a global web presence companies need to address the issue on a strategic level.
He said: "Most bricks and mortar companies seem to think the web is just an online catalogue in a local language. Expanding web presence abroad is much more than just translating the content of your website - it is both a strategic and technical challenge."
Joyce Tong, analyst at research house Forrester, agreed with GlobalSight's findings and pointed out that the reason companies are too focused on just translation is because language is the most visible obstacle.
She said: "Language is the one issue companies think of first. Many multinational companies just translate the front of their website into French, for instance, but then has all the relevant information in English which is a very shallow integration process."
Hedley Rees-Evans, director of web solutions at SDL, a multilingual content management firm underlined the importance of multinationals tailoring their websites to local markets.
He said: "A traditional company's brand name is no longer a guarantee it will succeed online outside its home market.
Successful ecommerce marketing relies on the knowledge of local markets both culturally and linguistically and too many UK-based companies are counting on other European countries' ability and willingness to speak English. "
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