Strategies For

International Marketing

Sanjay S. Kawade
Roll No.-16
 Global Marketing

 Among different countries, why and how:

– It makes sense to vary /change the attributes of
products
– Distribution strategy may vary /change

– Advertising and promotion strategies may vary

/change
– Pricing strategy may vary /change
 Globalization of Markets?

 Media, communications means have

– made consumers world-wide more aware of
their mutual preferences
– have contributed to creation of world brands
– have caused market segments to emerge
across some national markets--inter-market
segments
 Market Segmentation
 The process of identifying groups of consumers whose
purchasing behavior is unique in important ways
– Is based on demography, geography, social-cultural factors,
psychological factors
– Allows firms to adjust marketing mix to meet the needs of
separate market segments
 Marketing mix variables:
product-price-place (distribution)-promotion
 Market Segmentation

 Standardization: companies may

– Offer same products
– Adjust balance of marketing mix to market
segments with similar needs across countries
 Adaptation: companies may
– Offer different products
– Adjust balance of marketing mix to market
segments with differing needs across countries
International Marketing Mix: Product
 Product: a bundle of attributes
– Automobile: power, design, quality,
performance, comfort, size/capacity
 Attributes need to be adapted to satisfy
– Consumer preferences/tastes due to culture
– Economic development levels affect consumer
behavior
International Marketing Mix: Place
 Optimal channel a company chooses
to deliver the product
 The most locally responsive element
of marketing mix because
distribution channels vary
dramatically across countries
International Marketing Mix: Promotion

 How firm communicates the product

attributes / benefits to customers
 Barriers to international communication
– Political barriers
– Legal barriers
– Social effects
– Economic levels
 Standardized advertising strategy
possible; standardized advertising strategy
execution more difficult (culture, laws)
 International Marketing Mix:
Promotion
 Push vs pull strategies
– Push strategy: personal selling emphasis
 Industrial products; complex new products

 Short distribution channels

 Few print or electronic media

– Pull strategy: mass media advertising emphasis

 Consumer goods

 Long distribution channels

 Marketing message may be carried via print /

electronic media
International Marketing Mix: Price
Price discrimination: demand elasticity

Strategic pricing
– Predatory (quick share-of-market focus):
 lower prices to drive competitors out, then raise prices

– Multipoint pricing:
 pricing in one market may have an impact in another
market; subsidize low pricing in one market from
profits in another