Competitiveness and marketing strategies of foreign companies in Eastern Europe: Empirical evidence from Finnish and Austrian companies

Research on marketing in Central and Eastern Europe (CEE) has been of rising interest since the transition started in 1989. In this paper two major areas relevant for marketing in CEE are being discussed: the competitive situation in the transition countries and the basic competitive marketing tools for penetrating these markets. This study reports findings of a survey inclu-ding 139 Finnish and 97 Austrian companies active in CEE and confirms: Competition in CEE is intensifying but still weaker than in Western markets. The main competitors are other foreign companies. Western companies base their marketing strategies mainly on personal relationships, technical quality of their product, good company image, personal selling, and customer service.