Assessing Global Media Decisions Global media decisions are a big concern for global firms. For example, people in China believe red to be a lucky color and this color is also worn by Indian brides. Negotiations take place between the producers and the middlemen and then between the middlemen and the customers.
If inflation rates are rampant, setting prices and controlling costs require full dedication of marketing and financial divisions. Every side of promotional brief needs to be analyzed followed by planning.
How an organization chooses to promote its products and services can have a direct and substantial impact on its sales. Making cultural changes in product attributes is like introducing a new product in your home country.
In Mexico, McDonalds burgers is served with chili sauce. Anti-dumping laws should be considered when deciding global prices. This strategy should be chosen, according to what suits the nation the best. The diagram below illustrates the two options available to firms when they are devising their international marketing mix strategy.
The scale of media improvement and availability should also be analyzed and considered. They have information available in abundance, thanks to the Internet.
The diverse demand for products and services in the era of globalization is mind-blowing.
Choosing an Agency Choosing an ad agency may prove more effective due to their understanding of the country and market they are doing business in. This includes packaging, size, symbols depending on the culture prevailing in the country concernedcolour.
Pricing policies in international marketing mix Pricing involves the problem of price management on an international scale. International logistics plays major role in international sales and production activities. It takes into account the traditional price i. Is print media more popular than TV.
Product standardization - company introduces unchanged product on the foreign market. The arguments for standardisation state that the process of adapting the product to local markets does little more than add to the overall cost of producing the product and weakens the brand on the global scale.
A global marketer must be flexible enough to modify the attributes of its products in order to adapt to the legal, economic, political, technological or climatic needs of a local market.
The goals in terms of volume, market share, and profit margin. Control of the length and characteristics of the channels.
Lastly, it is essential to understand that a product or service is not just one "thing. Many American and European authors see international marketing as a simple extension of exporting, whereby the marketing mix is simply adapted in some way to take into account differences in consumers and segments.
In international markets this includes considering various factors like customer's cultural backgrounds, religion, buying habits and levels of personal disposable income. Examples include clearing arrangements, buybacks, counter purchases, switch trading, and offsets.
Example of companies using this strategy is IKEA. Factors Affecting Choice of Channels Channel of distribution or middlemen selection must precede the understanding of the characteristics of the foreign market and the established common system there. Promotion Unlike international product decisions, an enterprise can either accustom or standardize their promotional strategy and message.
In this case, the company carries out a global pricing strategywhen the processes of internationalization blur the differences between the various markets. Promotion As with international product decisions an organisation can either adapt or standardise their promotional strategy and message. International marketing is simply the application of marketing principles to more than one country.
View all posts by Tim Friesner Posted on. The level of media development and availability will also need to be taken into account. GIMC is meant to harmonize the promotional and communication disciplines in every way.
In some circumstances a firm adapts their product and marketing mix strategy to satisfy the local requirements and demands that cannot be changed. At its most complex level, it involves the firm in establishing manufacturing facilities overseas and coordinating marketing strategies across the globe.
Presence of industrialized and emerging markets, increasing purchasing power, and the growth of Internet has made the customers aware, smart, and more demanding. Product adaptation - involves adjustment of the product and its properties to the conditions prevailing on the particular market. Adaptation of the product requires large amount of capital and experience.
A promotional strategy used in one country could be offensive when used in another. Every aspect of promotional detail will require research and planning one example is the use of colour; red is lucky in China and worm by brides in India, whilst white is worn by mourners in India and China and brides in the United Kingdom.
The development of the marketing mix for that country requires international marketing.
This can be as straightforward as an extension of existing marketing strategies to a total customization of the marketing mix (product, price, place and promotion) for a specific country. Global Marketing Mix: Price Pricing is a crucial part of the marketing mix for international firms.
Pricing techniques play a critical role when a company wants to penetrate into a. 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. International marketing mix strategy involves use of different marketing instruments to achieve positive financial results by company operating on international or global markets.
These instruments include: product, price, distribution and promotion. Oct 18, · Welcome to the Vodcasts of the IUBH correspondence courses (makomamoa.com).
International Marketing explained by Dr. Caterine Fox. Find more. In this lesson, we will discuss how to adjust the marketing mix when pursuing an international market. Additionally, the Internet's impact on the marketing mix will be discussed.International marketing mix