here Exploring co-operation, networks, and internationalization, this collection provides you with an indispensable framework for grasping the ongoing changes in global business. In addition, it includes a new, broad-based theory of international entrepreneurship that will help you master the intricacies of global marketing.
Global Marketing Co-Operation and Networks features both empirical research and conceptual studies. It provides you with important research findings about the impact of internationalization on entrepreneurs, smaller firms, and multinational giants. This valuable book contains up-to-date information from top researchers in entrepreneurship from Canada, the United States, the United Kingdom, Australia, New Zealand, and Singapore.
Global Marketing Co-Operation and Networks gives insight into the often confusing world of international business, explaining such difficult issues as: building networks to link smaller firms that have specialized knowledge and multinational firms that have marketing prowess establishing an international market presence with the help of supply and distribution networks that are already in place using group dynamics to establish successful networking choosing the best time to internationalize taking advantage of government-funded overseas trade missions to develop international markets Global Marketing Co-Operation and Networks is an essential resource for executives and entrepreneurs hoping to break into international business, as well as students and researchers interested in international economics, globalization, networking, and marketing strategies.
Product Details Table of Contents. Average Review. If you would like to replace it with a different purchasing option please remove the current eBook option from your cart. Paperback : Hardback : Add to Wish List. Description Contents Subjects. Description Learn how to compete in international markets! Offline Computer — Download Bookshelf software to your desktop so you can view your eBooks with or without Internet access. Product and communications strategies can be viewed within a framework that allows for combinations of three strategies: extension strategy, adaptation strategy, and creation strategy.
Five strategic alternatives are open to companies pursuing geographic expansion: product-communication extension; product extension-communication adaptation; product adaptation-communication extension; product-communication adaptation; and product invention innovation. The strategic alternative s that a particular company chooses will depend on the product and the need it serves, customer preferences and purchasing power, and the costs of adaptation versus standardization.
Product transformation occurs when a product that has been introduced into new country markets serves a different function or is used differently than originally intended. Global competition has put pressure on companies to excel at developing standardized product platforms that can serve as a foundation for cost-efficient adaptation.
New products can be classified as discontinuous, dynamically continuous, or continuous innovations. A successful product launch requires an understanding of how markets develop: sequentially over time or simultaneously. Today, many new products are launched in multiple national markets as product development cycles shorten and product development costs soar. Pricing decisions are a critical element of the marketing mix that must reflect costs, competitive factors, and customer perceptions regarding value of the product.
In a true global market, the law of one price would prevail. Pricing strategies include market skimming, market penetration, and market holding.
Novice exporters frequently use cost-plus pricing. International terms of a sale such as ex-works, F. These and other costs lead to export price escalation, the accumulation of costs that occurs when products are shipped from one country to another. Expectations regarding currency fluctuations, inflation, government controls, and the competitive situation must also be factored into pricing decisions. The introduction of the euro has impacted price strategies in the EU because of improved price transparency.
Global companies can maintain competitive prices in world markets by shifting production sources as business conditions change. Several additional pricing issues are related to global marketing. The issue of gray market goods arises because price variations between different countries lead to parallel imports. Dumping is another contentious issue that can result in strained relations between trading partners. Price fixing among companies is anticompetitive and illegal.
Transfer pricing is an issue because of the sheer monetary volume of intra-corporate sales and because country governments are anxious to generate as much tax revenue as possible. Barter, counterpurchase, offset, compensation trading, and switch trading are the main countertrade options. A channel of distribution is the network of agencies and institutions that links producers with users. Physical distribution is the movement of goods through channels. Business —to-consumer marketing uses consumer channels; business-to-business marketing employs industrial channels to deliver products to manufacturers or other types of organizations.
Peer-to-peer marketing via the Internet is another channel. Distributors and agents are key intermediaries in both channel types. Channel decisions are difficult to manage globally because of the variation in channel structures from country to country.
Marketing channels can create place utility, time utility, form utility, and information utility for buyers. The characteristics of customers, products, middlemen, and environment all affect channel design and strategy. Consumer channels may be relatively direct, utilizing direct mail or door-to-door selling, as well as manufacturer-owned stores.
A combination of manufacturers' sales force, agents-brokers, and wholesalers may also be used.
Learn how to compete in international markets! The nature of business has changed, and Global Marketing Co-Operation and Networks explains how and why. Global Marketing Co-operation And Networks. Leo Paul Dana. The Territorial Marketing Strategy - South-East Europe Learn how to compete in international.
Global retailing is a growing trend as successful retailers expand around the world in support of growth objectives. Retail operations takes many different forms, including department stores, specialty retailers, supermarkets, convenience stores, discount stores, warehouse clubs, hypermarkets, supercenters, category killers, and outlet malls. Selection, price, store location, and customer service are a few of the competencies that can be used strategically to enter a new market. It is possible to classify retailers in a matrix that distinguishes companies offering few product categories with an own-label focus; many categories-own-label focus; few categories-manufacturer-brand focus; and many categories-manufacturer-brand focus.
Global retail expansion can be achieved via organic growth, franchising, acquisition, and joint venture. Important activities include order processing, warehousing, and inventory management. To cut costs and improve efficiency, many companies are reconfiguring their supply chains by outsourcing some or all of these activities. Six transportation modes—air, truck, water, rail, pipeline, and Internet—are widely used in global distribution. Containerization was a key innovation in physical distribution that facilitates intermodal transportation.
Marketing communications—the promotion P of the marketing mix—includes advertising, public relations, sales promotion, and personal selling. When a company embraces integrated marketing communications IMC , it recognizes that the various elements of a company's communication strategy must be carefully coordinated. Advertising is a sponsored , paid message that is communicated through nonpersonal channels.
Global advertising consists of the same advertising appeals, messages, artwork, and copy in campaigns around the world. The effort required to create a global campaign forces a company to determine whether or not a global market exists for its product.
Some definitions are given here:. This is the reason that Gucci, for example, decided to align its offering in China to the various urban classes. Sponsorshipsand product placement are also becoming vital communication tools that can be used on a global basis. The involved enterprises tried to consolidate their positions in their respective sectors. That alone gives the apparel business a unique set of challenges. This chapter examines the environment for world trade, focusing on the institutions and regional cooperation agreements that affect trade patterns.
The trade-off between standardized and adapted advertising is often accomplished by means of pattern advertising, which can be used to create localized global advertising. Many advertising agencies are part of larger advertising organizations. Advertisers may place a single global agency in charge of worldwide advertising; it is also possible to use one or more agencies on a regional or local basis. The starting point in ad development is the creative strategy, a statement of what the message will say. The people who create ads often seek a big idea that can serve as the basis for memorable, effective messages.
The advertising appeal is the communication approach—rational or emotional—that best relates to buyer motives. Rational appeals speak to the mind: emotional appeals speak to the heart. The selling proposition is the promise that captures the reason for buying the product. The creative execution is the way an appeal or proposition is presented.
Art direction and copy must be created with cultural considerations in mind. Perceptions of humor, male-female relationships, and sexual imagery vary in different parts of the world. Media availability varies considerably from country to country. When selecting media, marketers are sometimes as constrained by laws and regulations as by literacy rates. A company utilizes public relations PR to foster goodwill and understanding among constituents both inside and outside the company.
In particular, the PR department attempts to generate favorable publicity about the company and its products and brands. The PR department must also manage corporate communications when responding to negative publicity. The most important PR tools are press releases, media kits, interviews, and tours.
Many global companies make use of various types of corporate advertising, including image advertising and advocacy advertising. Public relations is also responsible for providing accurate, timely information, especially in the event of a crisis. Sales promotion is any paid, short-term communication program that adds tangible value to a product or brand.
Consumer sales promotionsare targeted at ultimate consumers; trade sales promotions are used in business-to-business marketing. Sampling gives prospective customers a chance to try a product or service at no cost. A coupon is a certificate that entitles the bearer to a price reduction or other value-enhancing consideration when purchasing a product or service. Personal selling is face-to-face communication between a prospective buyer and a company representative. The model's five strategic steps call for developing a personal selling philosophy, a relationship strategy, a product strategy, a customer strategy, and a presentation strategy.
The six steps in the presentation plan are: approach; presentation; demonstration; negotiation; close; and servicing the sale. Successful global selling may require adaptation of one or more steps in the presentation plan.
An additional consideration in global selling is the composition of the sales force, which may include expatriates, host country natives, or sales agents. Several others forms of communication can be used in global marketing. These include direct marketing, a measurable system that uses one or more media to start or complete a sale.
One-to-one marketing is an updated approach to direct marketing that calls for treating each customer in a distinct way based on his or her previous purchase history or past interactions with the company. Direct mail, catalogs, infomercials, teleshopping, and interactive television are some of the direct marketing tools that have been successfully used on a global basis. Global marketers frequently try to place their products in blockbuster movies that will reach global audiences. Sponsorshipsand product placement are also becoming vital communication tools that can be used on a global basis.
The digital revolution has created a global electronic marketplace. The revolution has gained momentum over the course of plus years, during which time technological breakthroughs included the digital mainframe computer; the transistor; the integrated circuit; the personal computer; the spreadsheet, the PC operating system; and the Internet, which originated as an initiative of the Defense Advanced Research Projects Agency DARPA.
The digital revolution has resulted in a process known as convergence, meaning that previously separate industries and markets are coming together. Although leading firms in an industry often develop sustaining technologies that result in improved product performance, the revolution has also unleashed a wave of disruptive technologies that are creating new markets and reshaping industries and value networks. E-commerceis growing in importance for both consumer and industrial goods marketers. Generally, commercial Web sites can have a domestic or global focus; in addition, they can be classified as promotion sites, content sites, and transaction sites.