How should the company manage & organize its international activities?

Marketing Management : A South Asian Perspective 14th Edition (English) 14th Edition

Export department

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International division - Geographical organizations - World product groups - International subsidiariesGlobal Organizations

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Global Marketing

Advantages Economies of scale Lower marketing costs Power and scope Consistency in brand

image Ability to leverage Uniformity of marketing

practices

Disadvantages

Differences in consumer needs, wants, usage patterns

Differences in consumer response to marketing mix

Differences in brand development process

Differences in environment

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Red Bull Has 70% of Worldwide Energy Drink Market

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What Marketing Aspects Might Be Adapted for International Marketing?

Product features

Labeling

Colors

Materials

Sales promotion

Advertising media

Brand name

Packaging

Advertising execution

Prices

Advertising themes

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Cultural Dimensions

Individualism

vs.

Collectivism

Weak vs. Strong

Uncertainty

Avoidance

High vs. Low

Power Distance

Masculine

vs.

Feminine

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Commandments of Global Branding

Understand similarities and differences in the global branding landscape

Do not take shortcuts in brand building Establish a marketing infrastructure Embrace integrated marketing

communications Establish brand partnerships

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Commandments of Global Branding (cont.)

Balance standardization and customization Balance global and local control Establish operable guidelines Implement a global brand-equity

measurement system Leverage brand elements

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International Product and Communication Strategies

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Levels of Product Adaptation

Production of regional product versions

Production of country versions

Production of city versions

Production of retailer versions

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Haagen Dazs developed a Dulce de Leche ice-cream for Its Argentina market

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Communications

Communications adaptation

Dual adaptation

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Price Choices

• Set a uniform price everywhere

• Set a market-based price in each country

• Set a cost-based price in each country