Assignment 10

Export Marketing
15 Marks

Umar Farooq
17U00609

Q1. Strategic export planning requires the development of an effective marketing strategy,
including market selection and direction (development). What major implications does this
have for the company’s export manager?

Ans. Strategic planning has three main implications for the company’s export manager. These
are as following :

 The export manager must have to consider the role of each market, and the product which
the company is selling, to see how it is related to the target segment.
 Market selection should be done by focusing on both broader strategic issues, and issues
of segmentation and differentiation.
 The export manager needs to contribute to strategic planning, and provide strategic
analysis of foreign markets without neglecting the over-all view of the world.

Q2. Explain the difference between export market selection and export market direction.

Ans. Market selection is the process of evaluating opportunities according to the company’s
ability, so that to select the market which will be right for their product. However, market
direction is the process to determine about what should be done, like should they build, hold,
divest, or abandon its position in a given foreign market.

Q3. What is market segmentation, and why is it more complex for foreign markets than it
is for domestic markets?

Ans. Market segmentation means dividing the whole market in different groups according to
their specific characteristics and traits. For different products, there will be different
segmentations according to the specific needs of that product. However, it is more complex in
foreign markets because of totally different situations. Foreign markets have a very diverse
economic, cultural, and social environment which can be very different than the domestic
market.
For Example, if Bata is operating in Pakistan and they decide to expand in any foreign country
they will face many issues in segmenting the market. They don’t know anything about that
market before, so they will need a whole research to do that which is complex, time consuming,
and also quite costly.