Download - Http:// Winners or losers?
1.01Understand what drives the needs
for international marketing.http://www.youtube.com/watch?v=zLYECIjmnQsWinners or losers?
International Marketing
A series of activities that creates an exchange and satisfies the individual customer across national borders
◦ Identify customer needs◦ Planning to meet those customer needs◦ More complicated than domestic marketing:
Cultural differences Political/legal differences Geographic differences
Competitive differences
Strategies for international marketing
◦ Import/export Simplest and least risky strategy
◦ Contracting Contractual agreement to work with a foreign business partner
◦ Licensing agreements An agreement giving foreign companies the right to sell a
company’s product for a fee
◦ Joint ventures Two or more businesses combine to create a new business
◦ Direct investment Purchasing business assets to run a business in a foreign
country
Drivers of international marketing
Advanced technology Improved transportation New market opportunities
Drivers of international marketing
Advanced technology◦ Internet connects customers and businesses world-
wide◦ Same movies, television shows, and Internet content
are seen everywhere◦ Companies can use the same media to send messages
around the globe
Drivers of international marketing
Improved transportation systems◦ Faster and cheaper than in the past◦ Sealed containers available for ocean shipping◦ Satellite technology to avoid bad weather◦ Numerous world-wide shipping companies (for
example, UPS, FedEx)
Drivers of international marketing
New market opportunities◦ Fall of iron curtain in 1989 opened eastern Europe◦ Opening of trade in China—largest market on earth◦ Economic development in South America, Africa,
Southeast Asia◦ Increased personal income world-side
Planning for international marketing
Increased risk increases the need for an international marketing plan
Must create and deliver value to differing customers
Manage customer relationships Create a profit Understand how marketing activities differ in
different cultural and political/legal environments
International professional development
Careers are diverse--some require a college degree, some only high school
Ability to communicate in a foreign language is helpful
Should develop a cultural understanding of the country where you will work
Global businesses require more technology skills
Experiences traveling, studying, or living abroad are helpful
Marketing core standards
Involved in every transfer of goods and services to the consumer
Distribution Marketing-information managementPricing Product-service managementPromotion SellingFinancing
Marketing core standards
Distribution◦ Determining the best ways to allow customers to locate
and obtain the products & services of a business◦ Involves shipping, handling, and storing of products
Marketing core standards
Marketing-information management Obtaining, managing, and using marketing information to
improve business decision-making Marketing research Developing databases of product, customer, and
competitive information
Marketing core standards
Pricing◦ Establishing a price for goods and services◦ Should set prices low enough to encourage customer
purchase, and high enough to make a profit◦ Manage international currency exchange rates
Marketing core standards
Product/service management◦ Designing, developing, maintaining, improving, and
acquiring products to meet consumer needs and wants◦ Producers and manufacturers develop products
Marketing core standards
Promotion◦ Communicating to potential customers about products
and services◦ Advertising◦ Publicity/public relations◦ Sales promotion◦ Personal selling
Marketing core standards
Selling◦ Communicating directly with prospective customers to
assess and satisfy needs◦ Two-way interaction with customer◦ May be face-to-face, via telephone, or Internet tools
Marketing core standards
Financing◦ Budgeting for marketing activities◦ Obtaining funds for business operations◦ Developing payment and credit systems to help
customers purchase goods and services