INTERNATIONAL MARKETING ENVIRONMENT

By : Akhil Awasthi MBA (retail management) Roll no: 15003

INTERNATIONAL MARKETING
"At its simplest level, international marketing involves the firm in making one or more marketing mix decisions across national boundaries. At its most complex level, it involves the firm in establishing manufacturing facilities overseas and coordinating marketing strategies across the globe."

Its the difference in marketing environment which may make the international business strategy different from domestic marketing .

FACTORS OF INTERNATIONAL MARKETING

Controllable factors & uncontrollable factors

CONTROLLABLE FACTORS
Control will have to be defined with reference to a company's management. The company is in a position to control and design marketing mix elements i.e. product, price, export to any place by choosing any distribution channels and follow any promotional

methods.

UNCONTROLLABLE FACTORS
Social factors Political & government factors Economic factors

Demographic factor
Technological factor

SOCIAL FACTOR
Language. Will language be a barrier to communication for you? Does your host nation speak your national language? What is the meaning of your brand name in your host countrys language? Customs: what customs do you have to be aware of within the country? This is important. You need to make sure you do not offend while communicating your message. Social factors: What are the role of women and family within society? Religion: How does religion affect behaviour? Values: what are the values and attitudes of individuals within the market?

POLITICAL & GOVERNMENT FACTORS

The political stability of the nation. Is it a democracy, communist, or dictatorial regime? Monetary regulations. Will the seller be paid in a currency that they value or will payments only be accepted in the host nation currency?

ECONOMIC FACTORS
Consumer wealth and expenditure within the country. National interests and inflation rate.

Are quotas imposed on your product.

Are there import tariffs imposed.

Does the government offer subsidies to national players that make it difficult for you to compete?

DEMOGRAPHIC
Size of the population , population growth rate , age composition, family size, income level etc. have very significant implications for business. Size of the population is an important determent of demand for many products

TECHNOLOGICAL FACTORS
The technological infrastructure of the market. Do all homes have access to energy (electricity) Is there an Internet infrastructure. Does this infrastructure support broadband or dial up? Will your systems easily integrate with your host country's?

OTHER FACTORS
Competetion
Competition vis--vis producers in the importing country.

Logistics
The merchant has to seek the availability of required type of transport such

Competition vis--vis exporter from the competing countries.

Competition vis--vis other exporters from one's own country.

as sea, air freezer space, etc.

Cost of transportation.