International Marketing Exam Guide 1
CHAPTER 1
International Marketing
Flow of goods and services from users in more than one nation. Brings value for the customer and society at large
Why focus overseas rather than domestically?
The answer lies not with different concepts of marketing but with the environment within which marketing plans must be implemented. The uniqueness of foreign marketing comes from the range of unfamiliar problems and the variety of strategies necessary to cope with different levels of uncertainty encountered in foreign markets.
Controllable and uncontrollable elements of the marketing environment
Controllable: 4P’s & research. Alter long/short term goals adjust with change market conditions, consumer tastes or corporate objectives
Uncontrollable: 3 C’s factors over which the marketer has no control or influence
Domestic environmental: direct effect of success of foreign venture political/legal forces, competitive structure, economic climate
Foreign environmental: factors that are a change to the homeland country. Research must be done political/legal, cultural, economic, competitive, technology, structure of distribution, geography & infrastructure
Self-reference criterion and ethnocentrism
Self-Reference: Automatic self reference to culture as a basis for decision
Ethnocentrism: thinking that your culture is the best. Can learn to recognize, control, and minimize
What does “being globally aware” mean?
Knowledge of other culture, world market potentials; global economic, social, political, trends.
Tolerance of cultural differences
Influential trends in Global Marketing
1. Free trade areas: agreement between countries to reduce/eliminate customs duties and nontariff trade barriers
2. WTO: oversee rules and regulations; arbitrates trade disputes
3. Acceptance of the free market system
4. Mobile technology
5. Green management of resources
6. Increased protectionism: use by nations of legal barriers, exchange barriers & psychological barriers to
International Marketing
Flow of goods and services from users in more than one nation. Brings value for the customer and society at large
Why focus overseas rather than domestically?
The answer lies not with different concepts of marketing but with the environment within which marketing plans must be implemented. The uniqueness of foreign marketing comes from the range of unfamiliar problems and the variety of strategies necessary to cope with different levels of uncertainty encountered in foreign markets.
Controllable and uncontrollable elements of the marketing environment
Controllable: 4P’s & research. Alter long/short term goals adjust with change market conditions, consumer tastes or corporate objectives
Uncontrollable: 3 C’s factors over which the marketer has no control or influence
Domestic environmental: direct effect of success of foreign venture political/legal forces, competitive structure, economic climate
Foreign environmental: factors that are a change to the homeland country. Research must be done political/legal, cultural, economic, competitive, technology, structure of distribution, geography & infrastructure
Self-reference criterion and ethnocentrism
Self-Reference: Automatic self reference to culture as a basis for decision
Ethnocentrism: thinking that your culture is the best. Can learn to recognize, control, and minimize
What does “being globally aware” mean?
Knowledge of other culture, world market potentials; global economic, social, political, trends.
Tolerance of cultural differences
Influential trends in Global Marketing
1. Free trade areas: agreement between countries to reduce/eliminate customs duties and nontariff trade barriers
2. WTO: oversee rules and regulations; arbitrates trade disputes
3. Acceptance of the free market system
4. Mobile technology
5. Green management of resources
6. Increased protectionism: use by nations of legal barriers, exchange barriers & psychological barriers to