SECTION-A

The various terms and key concepts associated with International Marketing:

● International marketing process

● International marketing environment

● International marketing mix

● International product planning

● The nature and scope of International Business

● International product life cycle

● International Positioning Strategies

● Extent, adapt, create: strategic alternatives in global marketing

● Target Market Selection

● Product support activities

● Basic concepts of branding: Brand image, Brand equity, co-branding, brand extensions

● Basic Product concepts including: Product types, Product Warranties, Packaging,

Labeling, Aesthetics

● Economic, Trade, Technological, Political, Social and Cultural and Legal environment.

● Product Adaptation

● Product Standardization

Section B

International marketing mix

When introducing a product into foreign markets, companies can utilize a standard marketing
strategy. This strategy should be chosen, according to what suits the nation the best.

The marketing mix strategy is a combination of the elements given below −

Product
General marketing concept describes how to sell more of a product with an aim to
meet the needs of our target market. In international markets this includes considering
various factors like customer's cultural backgrounds, religion, buying habits and levels
of personal disposable income.
In some circumstances a firm adapts their product and marketing mix strategy to
satisfy the local requirements and demands that cannot be changed. For example,
McDonalds is a global player anyways, their burgers are accustomed to local needs. In
India, where a cow is worshipped and is believed to be a sacred animal, their burgers
include chicken or fish but not beef. In Mexico, McDonalds burgers is served with chili
sauce. In some parts of the world, Coca-Cola tastes sweeter than in other places.
Place
This component of marketing mix is completely about product or service distribution to
the consumer, at the right place and at the right time. Distribution of goods in a
developed market like United States probably includes goods being shipped in a chain
from the producer to wholesalers and onto retailers for consumers to buy from.
In an international market, number of countries offering same products with different
varieties is more as compared to national market.
For example, in Japan there are probably five different types of wholesalers engaged in
the distribution chain. Businesses will be required to examine the distribution chains for
each nation they would like to work with. They will also need to analyze and verify who
they would like to sell their products and services to - businesses, retailers, wholesaler
or directly to customers.
Before designing an international marketing mix, an enterprise should conduct PEST
analysis for every participating nation they would like to operate in. This assists them in
identifying the major components of the marketing mix that can be standardized and
which components will need adjustments to suit local needs.
Pricing
Pricing on an international level is a very difficult task. It takes into account the
traditional price i.e. the cost of the product in the local market including fixed and
variable rates. It also determines the competition prevailing in the market between a
particular company’s products and similar products of other companies.
Apart from these factors, an enterprise should consider additional factors like −
 The cost of transport
 Tariffs or import duties
 Exchange rate fluctuations
 Personal disposal incomes of the target market
 The currency they want to be paid in and
 The general economic situation of the country and how this will influence pricing
The internet has created more difficulties for the sellers as customers can now
compare the prices of the products they are buying with similar products existing in the
market. This has increased the level of competition.
Promotion
Unlike international product decisions, an enterprise can either accustom or
standardize their promotional strategy and message. Promotional messages in
countries should be accustomed due to differences in language, political climate,
cultural attitudes and religious practices in different region. A promotional strategy used
in one country could be offensive when used in another. Every side of promotional brief
needs to be analyzed followed by planning.
For example, people in China believe red to be a lucky color and this color is also worn
by Indian brides. Similarly, white is worn by mourners in India whereas, brides in China
and United Kingdom wear white. Some companies accustom organization promotion
strategies to suit local markets as cultural backgrounds and activities affect what
appeals to consumers.
The scale of media improvement and availability should also be analyzed and
considered. Before framing promotional exercise for a foreign market, the company
should complete a PEST analysis. This would help the entrepreneur have a complete
understanding of the factors functioning in the foreign market before entering it.

Section C

International Marketing
Reaching a wider audience is what most of the businesses strive for and an internal marketing
process is what that may allow you to fill your dream. Since for any brand, larger the audience
means greater the chance of doing business. That’s why most of the companies try to target
international customers. Here the international marketing process starts and promotional
strategies become one of the primary objectives that company to pursue. International
marketing is also known as Global Marketing and has gained the utmost importance in the
business world.

Steps of International Marketing Process

1.Using Domestic Market to your Advantage

Promoting your brand at global level takes a lot of effort and budget. Those who become
successful in making their brand reputed in local markets. Actually find it a lot easier to promote
their brand outside that localization. Since they know the full potential of their brand.
Furthermore, you can use your local market to build up sales and boost up your resources.
Particularly which will prove to be a lot helpful for your international campaigns promotions.
Moreover to go further deep down to the end of that international marketing process.

2.Getting Familiar to Target Market

Knowing your target audience is as important as getting a know-how of your potential. Since it
is the targeted audience that determines your overall planning for the promotion of your brand.
Furthermore, as an exporter, it is important to understand that an active strategy is a lot better
than chasing for orders around the world. That’s why before setting up their steps in an
unfamiliar market, companies analyze the whole global market. Moreover by keeping the
strengths and weaknesses of their brand, they narrow down their targets to just three to four
markets.

It is a common observation that whenever a new company starts a global level business.
Hence it often tries to target a country with an almost similar working environment, legal
structures. Also most importantly, economic factors like Canadian companies preferring US
markets.

3. Testing the Market

According to the third step of the international marketing process, it is always a wise strategy to
start out small if you don’t know how to make a big thing work. Instead of jumping right into
the market and spending all of your resources at once, it is better to proceed step by step,
starting out from smaller investments and a lesser number of exports. This will help you in
getting a better view of that market. If successful, then you can increase the exports promptly.
By the time, chances of failure are diminished, and it is easier to make changes to strategy on
the go to improve it. Furthermore, favorable results from these timed exports also increase the
exporters confidence in dealing with exporting mechanics and as well as customer’s familiarity
with the brand.

4. Expanding the Exports

Successful initial sales lead to a lot of expansion chances. And that’s the actual result of that
intense market research planning that you did while staying awake at nights and missing your
meals. At this point and even earlier, your major focus should be on integrating your networks
in stronger forms and spreading them. Participate aggressively in major international trade
shows to gain more experience and create good relationships with other marketers while
increasing the exports you make. Well! It’s just like every other reputed brand. You make
negotiations with other potential partners to create a strong win-win relationship to strengthen
your brand. As time passes, your experience also grows and at the present stage, you will be
confident enough to take tougher decisions for the advantage of the brand in accordance with
the international marketing process.

5. Increasing the Investments in Foreign Markets

Once the brand grows its roots deep down in overseas markets, the profits become
encouraging which lead to even more compelling opportunities. And that’s where a company
has to choose whether to expand its effect in the target market or not?