Global Marketing Foreign Entry Local Marketing Global Management.
Global Marketing 1
-
Upload
annabrians -
Category
Documents
-
view
216 -
download
0
Transcript of Global Marketing 1
-
7/29/2019 Global Marketing 1
1/8
Global
MarketingGlobal EditionWarren J. Keegan Mark C. Green
Introduction to
Chapter 1
Copyright 2013, Pearson Education
Introduction toGlobal Marketing
Global Marketing(Global Edition)
2
Chapter topics:
The marketing concept
hree principles of marketingNontraditional marketing
Global marketing
Standardization vs. adaptation
Management orientations (EPRG)
Driving & restraining forces affecting global marketing
18 guiding principles of marketing companySTV model
2011 Pearson Education
Holistic marketing1-3
Global vs. Regular Marketing
Scope of activities are outside the home-country market
2011 Pearson Education
1-4
-
7/29/2019 Global Marketing 1
2/8
Concept has changed dramatically:
1950s: Focus on products
1960s: Development of marketing mix: product, price,
place, promotion (4Ps)
1990s:
Focus on customer in the context of the broader
Competition, government policy & regulation Focus on stakeholder value
2011 Pearson Education
Employees, customers, shareholders, society
Today:
wo ke tasks of marketin
Focus on customer & his/her environment
Shift towards
Positioning of firm in value chain to optimize
Profit as a measure of success, not an end in
2011 Pearson Education
The Three Principles ofMarketing
CUSTOMER VALUE
2011 Pearson Education
ause mar e ng
ven mar e ng
2011 Pearson Education
rgan za on mar e ng
-
7/29/2019 Global Marketing 1
3/8
Create value for customers byimproving benefits or reducing price Im rove the roduct
Find new distribution channels
Cut monetary and non-monetary costs andprices
2011 Pearson Education
1-9
Globalization is the inexorable integration of-,degree never witnessed beforein a way thatis enabling individuals, corporations andna on-s a es o reac aroun e worfarther, faster, deeper and cheaper than ever
,world to reach into individuals, corporations
and nation-states farther, faster, deeper andc eaper an ever e ore.
2011 Pearson Education
1-10
omas r e man
An industry is global to the extent that a companys
with its industry position in another country
Ratio of cross-border trade to total worldwide
Ratio of cross-border investment to total capitalinvestment
Proportion of industry revenue generated bycompanies that compete in key world regions
2011 Pearson Education
1-11
Comp Advantage, Globalization,and Global Industries
Focus Concentration and attention on core business and
competence
.are not running bicycle shops. Even in food we arenot in all fields. There are certain areas we do not
we will either buy Coca-Cola or we leave it alone.This is focus.
Helmut Maucher, former
2011 Pearson Education
1-12
-
7/29/2019 Global Marketing 1
4/8
Global Marketing: What It Isand What It Isnt
Single Country Global Marketingar e ng ra egy Target Market Strategy
Global Market Participation
Marketin Mix Develo ment Marketing Mix
Product 4Ps: Adapt or
Standardize?
r ce
Promotion
Activities
Coordination of Marketing
Integration of CompetitiveMoves
2011 Pearson Education
1-13
Standardization vs.Adaptation
Globalization (Standardization) Developing standardized products marketed
worldwide with a standardized marketing mix
ssence o mass mar et ng
Global localization (Adaptation) Mixing standardization and customization in a way
that minimizes costs while maximizing satisfaction Essence of segmentation
Think globally, act locally
2011 Pearson Education
1-14
Standardization vs.Adaptation
Arabicread right to left
Chinese
e icious appiness
2011 Pearson Education
1-15
The Faces of Coca-Cola Around the World
Marketing MixElement
Standardized(Extension)
Localized(Adaptation)
Product Big Mac McAloo Tikka potato burger(India)
Advertising Slogan
MakDo (Philippines)
McJoymagazine, Hawaii
Im Loving It Sur ing Hu a promotion(Japan)
-
Swiss rail system diningcars
2011 Pearson Education
1-16
Price Average price o Big Mac is$3.54 (US)
5.79 Norway
$1.83 (China)
-
7/29/2019 Global Marketing 1
5/8
The Importance ofGoing Global
For US companies, 75% of total world marketor goo s an serv ces s outs e t e country Coca-Cola earns 75% of operating income and 2/3
o pro ou s e o or mer ca
For Japanese companies, 85% of worldmar et is outsi e t e country
94% of market potential is outside ofGermany for its companies
2011 Pearson Education
1-17
Cigarettes $295
Cosmetics 200
ersona ompu ers
Flat-screen TVs 100
Bottled Water 100
Home Appliances 85Cell Phones 60
Video Games 43
2011 Pearson Education
1-18Recorded Music 32
Ethnocentric Orientation
Home country is superior to others
Assumes products and practices that
everywhere
ea s o a s an ar ze or ex ens onapproach
2011 Pearson Education
1-19
Polycentric Orientation
Each country is unique
business and marketing strategies
Leads to a localized or adaptation
approac a assumes pro uc s mus eadapted to local market conditions
2011 Pearson Education
1-20
-
7/29/2019 Global Marketing 1
6/8
Re iocentric OrientationA region is the relevant geographic unit
Some companies serve markets throughout,
Ex: General Motors had
2011 Pearson Education
1-21European Union
Geocentric Orientation n re wor s a po en a mar e Strives for integrated global strategies
Retains an association with the headquarterscountr
Pursues serving world markets from a single
country or sources globally to focus on selectcountry mar ets
Leads to a combination ofextension and
2011 Pearson Education
1-22
Driving Forces Affecting GlobalIntegration & Marketing
Multilateral trade
agreements Converging market needs
and wants and the infor-
Transportation and communication
Product development costs
2011 Pearson Education
1-23
Driving Forces Affecting GlobalIntegration & Marketing
Quality
R&D as a percentage of sales World economic trends
2008 global crisis
Growing middle class in China,India, Brazil, etc.
Rapid growth in China pre-2008
Movement to free marketsworldwide
2011 Pearson Education
1-24
-
7/29/2019 Global Marketing 1
7/8
Driving Forces Affecting GlobalIntegration & Marketing
Levera e Experience transfers
ca e econom es
Resource utilization
Global strategy
2011 Pearson Education
1-25
Restraining Forces AffectingGlobal Integration & Marketing
anagemen myop a
Or anizational culture
National controls
ppos t on to g o a zat on
2011 Pearson Education
1-26
Part 1: Introduction
Part 2: The Global Marketing
Part 3: Approaching Global Markets
Part 4: The Global Marketing Mix
Twenty-First Century
2011 Pearson Education
1-27
18 Guiding Principles of theMarketing Company
1. The Principle of the Company: Marketing is a Strategic BusinessConcept
2. The Principle of the Community: Marketing is EveryonesBusiness
.War
Topping4. The Principle ofRetention: Concentrate on Loyalty, Not Just
5. The Principle ofIntegration: Concentrate on Differences, NotJust Averages
2011 Pearson Education
6. The Principle ofAnticipation: Concentrate on Proactivity, NotJust Reactivity
-
7/29/2019 Global Marketing 1
8/8
18 Guiding Principles of theMarketing Company (contd)
7. The Principle ofBrand: Avoid the Commodity-like Trap8. The Principle ofService: Avoid the Business-Category Trap9. T e Princip e o Process: Avoi t e Function-Orientation
Trap
Strategy
10. The Principle ofSegmentation: View Your Market Creatively. e r nc p e o arge ng: oca e our esources ec ve y12. The Principle ofPositioning: Lead Your Customers Credibly
2011 Pearson Education
18 Guiding Principles of theMarketing Company (contd)
Tactics
13. The Principle ofDifferentiation: Integrate Your Content,on ex an n ras ruc ure14. The Principle of the Marketing Mix: Integrate Your Offer,
Price Lo istics and Communications15. The Principle ofSelling: Integrate Your Company, Customers
and Relationships
Implementation
16. The Principle ofTotality: Balance Your Strategy, Tactics andValue
17. The Principle ofAgility: Balance Your What, Why and How
2011 Pearson Education
. ,
2011 Pearson Education
PricePrice
2011 Pearson Education