The Global Marketplace - Marketing - Lecture Slides, Slides of Marketing Management

Download The Global Marketplace - Marketing - Lecture Slides and more Slides Marketing Management in PDF only on Docsity! Chapter Fifteen The Global Marketplace Docsity.com 1. Discuss how the international trade system, economic, political-legal, and cultural environments affect a company’s international marketing decisions. 2. Describe three key approaches to entering international markets. 3. Explain how companies adapt their marketing mixes for international markets. 4. Identify the three major forms of international marketing organization. Docsity.com Major International Marketing Decisions
Looking at the global marketing environment.
Deciding whether to go international.
Deciding which markets to enter.
Deciding how to enter the market.
Deciding on the global marketing program.
Deciding on the global marketing organization. Docsity.com Looking at the Global Marketing Environment
The International Trade System: – Restrictions—tariffs, quotas, embargos, exchange controls, and nontariff trade barriers.
The World Trade Organization and GATT: – Helps trade—reduces tariffs and other international trade barriers.
Regional Free Trade Zones: – Groups of nations organized to work toward common goals in the regulation of international trade. Docsity.com Economic Environment
Industrial Structure: – Shapes a country’s product and service needs, income levels, and employment levels.
Four types: – Subsistence economies – Raw material exporting economies – Industrializing economies – Industrial economies Docsity.com Deciding Whether to Go International
Reason to consider going global: – Foreign attacks on domestic markets. – Foreign markets with higher profit opportunities. – Stagnant or shrinking domestic markets. – Need larger customer base to achieve economies of scale. – Reduce dependency on single market. – Follow customers who are expanding. Docsity.com Deciding Which Markets to Enter
Before going abroad, the company should try to define its international marketing objectives and policies. – What volume of foreign sales is desired? – How many countries to market in? – What types of countries to enter?
Choose possible countries and rank based on market size, market growth, cost of doing business, competitive advantage, and risk. Docsity.com Market Entry Strategies
Exporting: – Indirect: • Working through independent international marketing intermediaries. – Direct: • Company handles its own exports. Docsity.com Deciding on the Global Marketing Program
Standardized Marketing Mix: – Selling largely the same products and using the same marketing approaches worldwide.
Adapted Marketing Mix: – Producer adjusts the marketing mix elements to each target market, bearing more costs but hoping for a larger market share and return. Docsity.com Global Product Strategies
Straight Product Extension: – Marketing a product in a foreign market without any change.
Product Adaptation: – Adapting a product to meet local conditions or wants in foreign markets.
Product Invention: – Creating new products or services for foreign markets. Docsity.com Global Promotion Strategies
Can use a standardized theme globally, but may have to make adjustments for language or cultural differences. – Communication Adaptation: • Fully adapting an advertising message for local markets. – Changes may have to be made due to media availability. Docsity.com Global Distribution
International firms must take a whole- channel view of distributing products to final consumers.
Differences in the numbers and types of intermediaries serving each foreign market requires time and money to navigate.
Size and character of retail units differ as well, presenting challenges. Docsity.com Deciding on the Global Marketing Organization
Organize an export department
Create international divisions – Geographical organizations – World product groups – International subsidiaries
Become a global organization Docsity.com 1. Discuss how the international trade system, economic, political-legal, and cultural environments affect a company’s international marketing decisions. 2. Describe three key approaches to entering international markets. 3. Explain how companies adapt their marketing mixes for international markets. 4. Identify the three major forms of international marketing organization. Docsity.com