MARKETING IN INTERNATIONAL BUSINESS

I. Introduction
- Lecturer: Nguyễn Phương Anh
- Rules: Being on time, 5 answers = 1 bonus point, after mid-term, 10 answers
= 1 bonus point
II. Knowledge: Introduction to marketing
1. Definition
Def 1

- Objects: goods and service

- Weekness:
 Not specify about the activities to do distribute goods
 The receivers are just the consumers
 Only one kind of activities: selling and buying -> just care about the
profit

Def 2:

- Characteristics:
 Marketing is no longer a single activity but a unified whole of
activities
 Objects: ideas, goods, services, non-commercial sector
 Ideas: agency, architecture comp, tech comp
  Non-commercial sector: ambassadors: communication, transfer
the right infor from the ambass to other people -> still need
marketing
 Focus on creating exchange
 Accomplish the goals of individuals and organizations

Def 3:

- Characteristics:
 A single activity or an institutional system, process
 Objects to perform marketing activities: anything of value to
customers, to partners, and to society in general
 Show responsibility towards the society: normally just big corps:
Vins group, TH true milk, … can cover most of the aspects:
protecting environment, charity work
 Objectives: raising brand awareness, create impact on the local
government -> get support from them, attract new investors
2. Key concepts
- Needs: “State of self-deprivation”
 Self-deprivation: feeling the lack of something
 Example: states: feeling of hungry, thirsty … (not eating, drinking) ->
just the state, not the action
 Tasks of enterprise:
 Understand and meet the needs of customers
 Triggering new needs
 Why Covid 19 vaccine is considered a case of triggering
the new needs of customers?
  Analyzation of Maslow’s hierarchy

 Vertical: when low level needs are satisfied, higher levels will
emerge -> analyze from low to high
 Horizontal: analyze each element based on different kinds and
characteristics of people (based on behaviors, psychology,etc)
 E.g. different modes of hostels when travelling based on income
levels
- Wants: the form human needs take as they are shaped by culture and
individual personality (Philip Kotler, 2017)

 Difference between need and want: want originates from need but may
differ from each other based on culture and individual personality

- Demand: human wants that are backed by buying power

  The most important point for businesses to analyze: based on the
characteristic of product

 Fields that people all have to pay regardless of income level: monopoly
fields (petrol, electricity, pharmacy, insurance)

- Evolution of marketing and marketing management orientations

 Traditional marketing (beginning of 20th century to 1945):

- Corporation => products => advertising & sales => objective customers

 Modern marketing (after 1945)

Customers => demands => marketing mix => objective + satisfy

customers’ needs

3. Marketing management orientation

 - Production concept

The idea that consumers will favor products that are available and highly affordable
and that the organization should therefore focus on improving production and
distribution efficiency

 Activities of business: improve + distribute

 Results: products are available and highly affordable

- Product concept

The idea that consumers will favor products that offer the most quality,
performance, and features and that the organization should therefore devote its
energy to making continuous product improvements

- Selling concept

The idea that consumers will not buy enough of the firm’s products unless it
undertakes a large-scale selling and promotion effort

- Marketing concept
 - Societal marketing concept

The idea that a company’s marketing decisions should consider consumers’ wants,
the company’s requirements, consumers’ long-run interests, and society’s long-run
interests

- Objectives and functions of marketing

 Profit under marketing activities should be optimal (following the modern

marketing due to high level of sustainability and long-term development)
III. Chap 3: Analyzing the marketing environment
III.1 Marketing environment
3.1.1. The company
- Company resources and departments have impact on the marketing activities
and department
- Such as: management, finance, HR, R&D, purchasing, operations, technology,
accounting and corporate culture.
 Functions of other departments to support the marketing department:
raise funds for the marketing campaign (finance), recruiting and
training, contract organization (HR), …
 When the company has a solid structure, how to help the company to
get more and more profit: efficient resource allocation
3.1.2. The suppliers
- Provide resources needed to produce goods and services for company
 If you are a production house, how many suppliers can you have:
machinery, packaging, banking, facilities, materials…
- Are an important link in the company’s overall customer “value delivery
network”
 Impacts of the suppliers on the company: supply chain disruptions
- Should be treated as partners
3.1.3. Marketing intermediaries
- Firm that help the company promote, sell and distribute its product to final
buyers
- Differences btw suppliers and intermediaries: suppliers help to produce the
products, marketing intermediaries helps to deliver these products to the
customers.
3.1.4. Competitors
- How many kinds could we have: direct and indirect
  Direct: same type of products, same segmentation
 Indirect: same industry, different types of products -> still have
potential to make the same type of product to become the direct
competitor
- Type of competitiveness:
 Brand competitiveness: Coca and Pepsi,
 Generic competitors
 Product competitors
3.1.5. Publics
- Any group that has an actual or potential interest in or impact on an
organization’s ability to achieve its objectives: 7 types of publics

 Why people need to care about the publics that don’t know about the
company: to raise the reputation of the company in the market
3.1.6. Custumer market
- 5 types:
3.2. SWOT ANALYSIS

3.3. THE MACRO ENVIRONMENT

3.3.1. The demographical environment
- Why we need to care?
 Market size: the range of customers that can approach your products
  Market penetration: how many people change their behaviors due to
aging
- Market penetration (percentage)
3.3.2. Economical environment
- Economic factors: (index)
 When you understand the index, how it helps you to sell the products
in the market: modify the price of products…
- Inflation rate
3.3.3. Natural and environmental environment
- Natural resources that are need
3.3.4. Technological environment
3.3.5. Political and social environment
3.3.6. Cultural environment