international.ppt

Foundations of Marketing International Marketing Learning Objectives Describe the reasons why companies seek foreign markets Explain the factors that need to be taken into account in selecting foreign markets Describe and contrast the key market entry strategies and the factors influencing their choice Explain the influences on the degree of standardisation or adaptation Going international Saturated domestic markets Small domestic markets Low growth domestic markets Customer drivers Competitive forces Cost factors Portfolio balance Selecting foreign markets Foreign market entry strategies Selecting a foreign market entry mode Approaches to developing international marketing strategies Approaches to developing international marketing strategies * D Jobber, Principles and Practice of Marketing, ? 2004 McGraw-Hill Internationalisation Foreign market selection Economic Socio-cultural Political-legal Macroenvironmental issues Microenvironmental issues Market attractiveness Market size and growth rate Competition Costs of serving the market Market access Suppliers Company capability profile Skills Resources Product adaptation Competitive advantage Cooperative Licensing Joint ventures Direct investment New facilities Acquisitions Exporting Indirect Direct Foreign market entry Exporting Indirect domestic-based export merchants domestic-based export agents piggybacking cooperative organisations Direct foreign-based agents or distributors domestic-based sales representatives overseas sales/marketing office or subsidiary Risk of losing proprietary information Resources Control High Medium Low Factor Licensing Joint venture Exporting (own staff) Exporting (middlemen) Direct investment Direct investment Joint venture Exporting (own staff) Licensing Exporting (middlemen) Direct investment Exporting (own staff) Joint venture Licensing Exporting (middlemen) Level Undifferentiated Product Price Promotion Place Standardisation Advantages ? Disadvantages? Tar