International Marketing Lecture 2

International strategic planning works the principles and

models are exactly the same as the ones you use
domestically. The input, evaluation and implementation
issues of management are much more complex. That is
what makes international planning far more difficult.
Proactive-external = company has formed a view that
there are opportunities in foreign markets (coca cola).
Reactive-external = unsolicited order or approach
(Tsunami Japan). Proactive-Internal = company didnt set
up with intention to be international, but it grew and
opened up to international opportunities (new vaccine).
Reactive-internal = reduce problems of seasonality
(Billabong).
Born Global Companies Different to the typical 5 steps to
internationalization for any firm. They also face special
challenges. International firms need to recognise what the
challenges in those steps are, go over them, learn.
International Strategy Considerations local to global
needs, independence to alliances (need to share the risk),
quantum leaps in customer expectations (Hungary
Telecom went from old fashion to extremely advanced) ,
protected to open markets (trade barriers falling NASQUE
International Strategy Considerations structure of world
trade (Aus is trying to form new trade relationship with
TPP), regional trade agreements (OZ free trade agreement
with Japan, China and South Korea cuts down processes
and admin function to get through), fads & fashions (selfie
sticks there are also issues such as Bill Clintons Oz
boots), national barriers to entry (Japanese almost 1000%
tariff on Australian rice), nationalism (we dont want you
here AFL racism issue)

 International Strategy Considerations Government

policies (Set up in Vietnam rather than trade to Vietnam as
an example, if there are trade issues).
International Strategy Considerations Managing for
unexpected events (MH17Europe, Ukraine, Russia (and
all other parties. Also MH370).
International Strategy Important Points to Note each
marketplace is different, strategy will need to adapt in
someway to suit the country, all are different, even Aus
and NZ. Product/service options may be different such as
struggle to get China market to enjoy breakfast cereal.
Different competitive positions (Kellogs), strategies to
achieve market needs will therefore be different.
This subject is made up of structures and processes
The strategic planning model always starts with a vision ,
then mission (Think Tom Cruise Mission Impossible, comes
up with a vision first/idea, then comes the mission).
The Market Schematic Model allows you to model
anything anwhere in the world
SWOT create a weighted SWOT. Key strengths with
Opportunities, and Weaknesses linked with market
Threats. (Example in slides). 100% in each of the four.
Much more evolved than Porters strategies now (see
slides 53+)