Professional Documents
Culture Documents
Marketing Globally
Introduction
A global marketing strategy is consistent with the mass production of a standardized output. Ignoring country
Oxford university.
Domestic marketing
A marketing restricted to the political boundaries of a
country, is called "Domestic Marketing".
International marketing
Economies of scale in production and distribution. Lower marketing costs. Power and scope. Consistency in brand image. Ability to leverage good ideas quickly and efficiently Uniformity of marketing practices Helps to establish relationships outside of the "political arena Helps to encourage ancillary industries to be set up to cater for the needs of the global player Benefits of e-Marketing over traditional marketing
Disadvantages: -
Differences in
1. 2. 3. 4.
Consumer needs, wants, and usage patterns for products Consumer response to marketing mix elements. Brand & product Legal environment, some of which may conflict with those of the home market
5.
Institutions available, some of which may call for the creation of entirely new ones (e.g. infrastructure).
6. 7. 8.
Administrative procedures. Product placement. Administrative procedures and product placement can occur.
MARKET SEGMENTATION:
geography,
demography,social-cultural
factors,
and
For example, Toyota uses its Lexus division to sell highprices luxury cars to high-income consumers.
PRODUCT ATTRIBUTES:
Cultural Differences
Ex- Cheetos, the bright orange and cheesy-tasting snack from
PepsiCos Frito-Lay unit, do not have a cheese taste in China
Economic Development:
features found in developed nations.
- Ex- Cars sold in less developed nations typically lack many of the
Product and Technical Standards: production and marketing of a standardized product. Ex- DVD equipment manufactured
DISTRIBUTION STRATEGY
A critical element of a firms marketing mix is its distribution strategy: the means it chooses for delivering the product to the consumer.
Difference between Countries: Retail concentration Channel length Channel exclusivity Channel quality.
Retail Distributor
Final Customer
COMMUNICATION STRATEGY:
A number of communication channels are available to a firmDirect selling, sales promotion, Direct marketing, Advertising.
A push strategy emphasized personal selling rather than mass media advertising in the promotional mix.
A pull strategy depends more on mass media advertising to communicate the marketing message to potential consumers
Factors that determine the relative attractiveness of push and pull strategies
Push strategies tend to be emphasized: - For industrial products and complex new products. - When distribution channels are short. - When few print or electronic media are available.
Pull strategies tend to emphasized: - For consumer goods. - When distribution channels are long - When sufficient print and electronic media are available to carry
BRANDING:
A brand is an identifying mark for products or services. When a company registers a brand legally, it is a
trademark.
Business Week magazine estimates- at least 100 global brands are worth at least a billion Dollars.
Global Advertising
One of the most successful standardized campaigns in history was Philip Morriss promotion of Marlboro cigarettes.
For Standardized Advertising: Against Standardized Advertising: Dealing with Country Differences: -
PRICING STRATEGY:
Price $
Output
Continued..
Strategic Pricing:
Predatory Pricing Multipoint Pricing Strategy Experience Curve Pricing
In 2002, Samsung emerged as the only non-Japanese brand from Asia to be listed in the global top 100 brands valued by
Interbrand Inc.
In 2003, 3rd Cell Phone company & Leaer in $24.9 billion memory chip market.
At Last
Samsung realized that to become a global brand, it had to