International Marketing
Explain the stages that are typically taken by a firm moving from a domestic business to an international?
Domestic Marketing: involves the company manipulating a series of controllable variables such as price, advertising, distribution and the product in a largely uncontrollable external environment that is made up of different economic structures, competitors, cultural values and legal infrastructure within specific political or geographic country boundaries:
International Marketing: Involves operating across a number of foreign country markets in which not only do the uncontrollable variables differ significantly between one market and another, but the controllable factors in the form of cost and price structures, opportunities for advertising and distributive infrastructure are also likely to differ significantly. It is these sorts of differences that lead to the complexities of international marketing.
The key difference between domestic marketing and marketing on an international scale is the multi-dimensionality and complexity of the many foreign markets a company may operate in. The essential elements of effective international marketing are the ability to interpret the business environment, recognize foreign market opportunities and appreciate how the firm’s resources can best be used to match and develop patterns of market demand. The development of successful international marketing strategies is based on a sound understanding of the similarities and differences that exist in countries around the world.
Differences between International and Domestic marketing:
There are many factors within the International environment which substantially increases the challenge of Internationa...
... middle of paper ...
...e perceived as central to the company’s future and growth. The company becomes ‘global’ in outlook. The ‘well-established exporter’ knows that exporting is integral to the business and sees the domestic market as just another market. The majority of the turnover is generated through exports and amounts of time are spent on this activity, with senior and middle managers frequently visiting customers. Investment in training is substantial as skills are needed in-house and thinking on export markets is both short-term tactical and longer-term strategic with regular reviews of the overall mission and plan of action. Networks abroad provide excellent information and quality assured partners deliver on time, every time.
The firm’s movement from one stage to the next is not an automatic transition but requires a co-ordinated strategy to improve the performance of the firm.
Kotabe, M., & Helsen, K. (1998). Global marketing management. Temple University. New York: John Wiley & Sons.
But First, Training Foreign Replacements” reveal the importance of the article to an international marketer. Outsourcing and offshoring prove to be the few topics one can learn in this article. An international marketer gains a better understanding of outsourcing and offshoring by recognizing the effects on the company, business, and economy. An important aspect of an international marketer’s career is to assess the market from a global perspective. An international marketer needs to know whether a company is outsourcing it’s employees incase they do not and need to market and appeal to potential employees for the company. An international marketer needs to understand the effects and how the topics outsourcing and offshoring work to gain a better grasp the company or business as a
Global marketing is defined as marketing on a worldwide scale, or taking commercial advantage of global operational differences, similarities and opportunities in order to meet global objectives. Marketing managers are also tasked with the responsibility of “wringing the pennies out of the activities.” Basically, they are responsible for and add value to their activities that will contribute to a higher value in the mind of their consumers. Managers must understand the role of their salespeople as marketers – they must collaborate and support them. They must work with their supply chain functional managers to accommodate international customer preferences. Communication must flow up and down the chain quickly in order to respond to emerging international marketing threats and opportunities. It is essential to monitor the firm’s global marketing efforts in a global market.
Fletcher, R., & Crawford, H. (2011). International Marketing: An Asia –Pacific Perspective, 5th Edition, Sydney: Pearson Education Australia.
The rise in globalization over the last few decades has helped facilitate and encourage corporations to expand into international markets. This paper will review the five common international expansion entry modes, and the pros and cons of each method. Finally, my employer is in the technology industry and I will breakdown and recommend which entry mode would work best for international expansion.
Marketing is the process of searching for options for accumulating profits by identifying the demands of the people and satisfying their needs with appropriate products. In today’s globalized business world, marketing can play a vital role in establishing trade blocks all over the globe with competitive and cutting edge market, research, policies, strategies and activities.
A multinational strategy will need to take into account the amount of branding that will need to be done in each individual market. Depending on the current branding, items may need to be adjusted to meet the cultural differences and make sure that the product is appealing to the desired market. An evaluation of the cultures, morals, values, beliefs, economics, and preferences are necessary to make sure that the product meets the needs and wants of the market. The competitors in each market will need to be assessed and a marketing strategy will need to be created for each country and potentially different demographics within the
In internationalization, the most challenging decision faced by the company to choose between standardization and adaptation in its operations, products or services. It has been one of the important and most popular research topics since 1960s to understand whether standardization is better or adaptation for marketing mix in international marketing. The increasing role of international expansion of business across the borders has also increased the focus of companies towards the international marketing strategies. It is also a biggest challenge for companies to better understand the different needs and choice of customers due to the huge differences among the cultures from various nationalities. This leads to the dilemma in the mind of marketers to understand which strategy is effective and good - standardization or adaptation. There is a significant impact of standardization or adaptation on all avenues of business such as research & development, structure, marketing mix, production, finance and marketing mix. The attitude of a company towards the culture of a particular country in which it is going to enter or start its operations decides to choose between standardization and adaptation. Consider the different views and arguments for each standardization and adaptation, this essay critically analyze which strategy is better to choose for international marketing.
A major challenge of doing business internationally is to adapt effectively to different culture. Such adaptation requires an understanding of cultural diversity, perceptions, stereotypes, and values (Hodgett &Luthans, 2005). Doing business overseas has its challenges as well as it rewards.
HOLLENSEN, S. Global Marketing: A decision-oriented approach. Harlow: Pearson Education Limited, 2011. 5th edition. ISBN 9780273726227.
By study their viewpoint of business, this can give value to international business. Every business as part of its economic objectives always wants to grow. Domestic market is likely to saturate after a limit and ...
The international business development has heightened the importance of international market selection (IMS) of companies, especially for their exporting strategy. However, not many companies really comprehend the geographical, social, economic characteristics of foreign countries in comparison with their home countries (Cavusgil, 1985). This fact has challenged many studies to create the optimal approach for IMS. The major question is: Which foreign market should a company enter? Thus, this report focuses on providing a practical consultancy to evaluate and determine its most appropriate foreign markets.
In conclusion, it can be said that global marketing has been emerged very rapidly in recent years. It has provided various opportunities for the companies to expand their business to the other regions of the word. However, there remain certain environmental issues that need to be considered before entering in to the desired region. These issues can be resolved with designing the strong global marketing plans and strategies, the data for which can be gathered through conducting global market research. Despite numerous issues, one can easily say that globalisation has reduced the global reach of the organizations as well as customers. It would not be wrong to conclude that
One suiting example of a company of international caliber tailoring its marketing campaign to the local population would be mentioning the producer of computer hardware and software IBM. "IBM ads used in France feature IBM employees whose names and faces give the impression that they are Europeans hired by IBM to service the needs of other Europeans"(Martin, as cited in the Journal of Language for International Business, 2005, 16(1) pp. 76-96). Only trough this genuine effort to identify with the local consumers could a company such as IBM being able to successfully blend in within the market's landscape.
Gogel, R. and Larreche, J.C. (1991). Pan-European Marketing: Combining Product Strength and Geographical Coverage. San Francisco, California: Jossey-Bass