AB18 - Introduction to International Marketing

• Global Marketing

  Worldwide

  International

  Expand

  Export

  Multinational

  Countries

  
• Market Entry Strategy

  Joint Venture

  
  

  Manufacturing Abroad

  Controlling

  Licensing

  
  

  Franchising

  
  

  Direct Export

  
  

  Indirect Export

  
• Market Entry Strategies

  Before embarking on the journey of international expansion, businesses must first carefully assess their motivations and goals. Market entry is not a one-size-fits-all endeavor; rather, it demands a customized approach based on factors such as the industry, target market and available resources.
• Forbes

  A U.S. media and publishing company known for its lists of the world's billionaires and influential entrepreneurs.
• The dictionary meaning of the firm leverages refers to "an increase means of accomplishing purpose".

  In machines, leverages means the instrument that helps us in lifting heavy objects, which may not be other wise possible.
• Etiquette


  is a term that defined as "Something that relates to a code of behavior among people within a group, organization, or society.
• Communication Etiquette


  is refers to the communication Ethics and norms of social behavior. They are accepted codes of conduct with respect to interpersonal communication.
• Meaning of Product Policy: Policy can be defined as the broad guidelines relating to a particular matter. Policies are framed at the top level of management eg Board of Directors. Thus, Product policies are broad guidelines formulated by the top management of the company with regard to product planning and development.
• Objective of Labeling Description

  • Labels provide the information regarding the food product. • It describes the contents, . nutritional values, cost, product usage methods, shelf life etc.
• 4 P Components of Marketing Mix

  • Product
  • Price
  • Place
  • Promotion
• What is the purpose of the pricing policy?

  A pricing policy is a company's approach to determining the price at which it offers a good or service to the market. Pricing policies help companies make sure they remain profitable and give them the flexibility to price separate products differently.
• Prices of goods and services differ across countries. For example, travelers often find that the price of a product abroad can be very different from the same product back home, when using market currency exchange rate to make comparisons.
• No commodity has the same price all over the world. This is because all countries have different rules and systems. However, different countries having different policies is not the only reason for goods having different prices around the world.
• Some examples of pricing objectives include maximising profits, increasing sales volume, matching competitors' prices, deterring competitors – or just pure survival.
• Product substitution


  is a possibility when considering multiple products.
• Brand image


  is the customer's perception of your brand based on their interactions.
• The elasticity of demand


  refers to the degree to which demand responds to a change in an economic factor.
• The 4 stages of the product life cycle are;

  introduction, growth, maturity, and decline.
• The capacity utilisation ratio


  measures whether the total direct labour hours worked in a production cost centre in a period was greater or less than what was budgeted.

  It is calculated as: (Actual direct labour hours worked ÷ budgeted direct labour hours) x 100%.
• Product Differentiation

  A marketing strategy designed to distinguish a company's products or services from the competition. Product differentiation is a process used by businesses to distinguish a product or service from other similar ones available in the market.
• A consumer profile


  is a compilation of consumer information, including demographic, geographic, psychographic, and behavioral data, to create a detailed understanding of consumers for marketing and research purposes.
• Direct involvement 


  the company establishes its own sales force or operates its own retail stores.
• Indirect involvement 


  The company utilizes independent agents, distributors, and/or wholesalers
• Exclusive Distribution: Advantages

  * Maximize control over service level/output * Enhance product's image & allow higher markups * Promotes dealers loyalty, better forecasting, better inventory and merchandising control * Restricts resellers from carrying competing brands
• Selective Distribution *Advantage Better market coverage than exclusive distribution More control and less cost than intensive distribution
• Why A Distribution Strategy? 


  • To make the right quantities of the right product or service available at the right place, at the right time.
• Digital distribution


  platforms are places consumers go to stream or buy content, such as films and music. They have a built-in audience in the form of either customers or subscribers. Some of the more popular digital distribution platforms include iTunes, Spotify, Pandora, Netflix, and Hulu.
• Selective distribution


  involves selling products at select outlets in specific locations.

  For instance, Sony TVs can be purchased at a number of outlets such as Circuit City, Best Buy, or Walmart, but the same models are generally not sold at all the outlets.
• Exclusive distribution is most useful for businesses that sell expensive or luxury products, as well as businesses who have heavy brand-name recognition.

  Apple products are a great example.
• Agents a person who acts on behalf of another person or group. "in the event of illness, a durable power of attorney enabled her nephew to act as her agent"
• Functional Efficiency

  This is all about the input and the output of the business.
• What does functional efficiency mean for the farmer?

  Functional efficiency essentially means animals capable of producing and reproducing from the veld, with the minimum effort, input cost and physical day-to- day work.
• Scale efficiency


  unit is scale efficient when its size of operations is optimal so that any modifications on its size will render the unit less efficient.
• Transaction efficiency


  refers to the transaction process - minimizing the waste of time, effort and money in the interactions between the parties and their advisors.
• International promotion strategies evoke the principles of international marketing communication.

  Global advertising influences; strategies and exec

  utions.opportunities in the international media, research, culture and legal aspects.
• Promotion is the element of the marketing mix to inform, persuade, and remind the market the existence of a product and selling it.
• In case of product adaptation and the consumers do not posses the necessary ability to pay for the product, new product invention and development of new marketing communication is required.
• Features of international Promotion

  • Multi lingual advertisements.
  • Wider platform for all the products and services.
  • Wider brand awareness through different medias (internet/magazines/tv/radio).
  • Advertising campaigns on a large scale
• Methods of International Promotions

  • Public Relations
  • Sales promotions
  • Sponsorship
  • Direct sales
• Public Relations


  • When a business communicates directly with its public through press releases and speaking at conferences