Professional Documents
Culture Documents
International Marketing
International Marketing
Ch. 1: Scope and Challenge of International Marketing Ch.2: The Dynamic Environment of International Trade
Strategic Orientation: domestic, multidomestic, and global Marketing mix: 4 Ps Environmental forces: controllables vs. uncontrollables Environment and the marketing mix
1
Domestic environment (uncontrollable) (controllable)
Economic forces
7
Cultural forces
Price Promotion
Product
Channels of distribution
Environmental uncontrollables country market A Environmental uncontrollables country market B Environmental uncontrollables country market C
6
Geography and Infrastructure
Economic climate
Level of Technology
4
Structure of distribution
Price
Promotion
Place
Technological
Demographic Geographic Cultural Political/legal
Developing awareness Self-Reference Criterion (SRC) Adapting to local culture FPs Globalization Index Economic integration Personal contact Political engagement Technological connectivity
Global Governance
Politics/Peace- United Nations Trade- World Trade Organization (WTO) Money/Finance- International Monetary Fund
(IMF) Development- World Bank Overall- G8 Nations (USA, Canada, UK, France, Germany, Italy, Japan, and Russia) Other international institutions/bodies
Role of the organizations Easing trade restrictions Protest against globalization Multinationals in the global economy Role of American, European, Japanese, and Third World multinationals on a timeline
Quota and Import Licenses Domestic Subsidy and Economic Stimuli Standards and documentation requirements Boycotts and Embargoes Monetary barriers Antidumping Penalties
C. International Reserve
Gold, Silver, and Precious Metals Foreign Currency Special Drawing Rights (SDR)
B. Capital Account
Portfolio Investment Direct Investment Short term loans
2.
3. 4. 5.
6.
from domestic marketing? What is developing a mindset in international marketing? How is it related to self-reference criteria? What is protectionism? Is it good (or bad) for an economy? How? Explain how nontraiff barriers affect trade. What is subsidy? What is the effect of subsidy on trade and economy? What is a BOP account? Explain the four subheads of a BOP account. Why should an international marketing manager study the BOP account of a country?
The Nationality of the Worlds 100 Largest Industrial Corporations (by country of origin)
1963 1979 1984 1990 1993 1995 1996 2000
United States
Germany Britain France Japan Italy Netherlands-United Kingdom Netherlands Switzerland Argentina Belgium Brazil Canada India Kuwait Mexico Venezuela South Korea Sweden South Africa Spain Turkey China
67
13 7 4 3 2 2 1 1 ---------------
47
13 7 11 7 3 2 3 1 -1 1 2 --1 1 -------
47
8 5 5 12 3 2 1 2 1 1 -3 1 1 1 1 4 1 1 ----
33
12 6 10 18 4 2 1 3 --1 ---1 1 2 2 1 2 ---
32
14 4 6 23 4 2 1 3 --1 ---1 1 4 1 -2 1 --
24
14 1 12 37 3 2 2 3 --------2 ------
24
13 2 13 29 4 2 2 5 ------1 1 4 ------
36
12 5 11 22 3 -5 3 -1 -----------2
Merchandise Trade
a. Exports b. Imports c. Balance $201.8 268.9 -67.1 $219.9 $215.9 $224.0 $246.6 $319.9 $362.1 $389.3 $416.9 $440.4 332.4 338.1 368.5 409.9 446.4 477.4 498.3 491.0 -74.1 536.5 -96.1 $456.9 589.4 -132.5
Business Services
a. Exports b. Imports c. Balance 42.3 35.8 +6.6 44.3 42.3 +2.0 46.2 47.2 -1.0 51.8 51.0 +0.8 59.4 58.0 +1.4 69.1 63.2 +5.9 116.5 86.9 +29.6 136.6 98.7 +37.9 153.7 101.6 +52.1 164.4 104.4 +60.0 174.5 112.7 +61.8
Irwin/McGraw-Hill
SOURCES: Survey of Current Business, U.S. Department of Commerce, Bureau of Economic Analysis. http://www.stat-usa.gov/BEN/heal/sch.html. Februarly 1998
c. Balance
-36.8
-94.8 -100.1
-123.6 -140.5
-121.8
-76.7
-58.1
-13.7
-35.9
-71.7
-9.5
-12.2
-15.0
-15.3
-13.4
-13.6
-26.1
-33.7
+6.7
-31.9
-32.0
-46.2
-107.0 -115.1
-138.9 -153.9
-135.4
-102.8
-91.8
-7.0
-67.8 -103.7
SOURCES: Survey of Current Business, U.S. Department of Commerce, Bureau of Economic Analysis. http://www.stat-usa.gov/BEN/heal/sch.html. February 1998.
73.3
Bathrooms
Living space (sq.m.) Large appliances Televisions
32
1,200 16 24
116
4,350 58 87
Telephones
Cars
24
16
87
58
SOURCE: Bill Saporito, Where the Global Action Is. Fortune, Autumn-Winter 1993, p.64.
$27,000 6,800
640,000 9,000
42,000
$ 750,000
Autos
Dairy products Shipping Meat
5,800
5,500 3,000 1,800
55,000
25,000 11,000 11,000
$ 105,000
$ 220,000 $ 270,000 $ 160,000
SOURCE: Michael McFadden, Protectionism Cant Protect Jobs, Fortune, May11, 1987, pp. 125.