International Marketing

International marketing is the application of marketing principles in more than one country, by
companies overseas or across national borders. International marketing is based on an extension of a
companys local marketing strategy, with special attention paid to marketing identification, targeting,
and decisions internationally.
According to the American Marketing Association (AMA) "international marketing is the multinational
process of planning and executing the conception, pricing, promotion and distribution of ideas, goods,
and services to create exchanges that satisfy individual and organizational objectives."
According to Kotler, "Global marketing is concerned with integrating and standardizing marketing
actions across a number of geographic markets."
According to Cateora and Graham, international marketing is the performance of business activities
designed to plan, price, promote and direct the flow of a companys goods and services to consumers
or users in more than one nation for a profit.
According to Terpstra and Sorathy, international marketing consists of finding and satisfying global
customer needs better than the competition, both domestic and international and of coordinating
marketing activities with in the constraints of the global environment.
Process of International Marketing
International Marketing Process comprises of following five steps:-

1. Motivation for International Marketing For an organisation the motivation for entering
international market can be any or all of the following:
Growth

Profitability

Economies of Scale, or

Risk Spread
2. Research and Analysis Market research is done to Analyse the organizations strength and
weakness, opportunities available in international markets, and threats in international markets.
3. Decision to enter International Markets After identification of potential opportunities in
international market decisions are taken to enter international market. Such decisions include
identification of potential buyers in international markets, demand measurement and forecasting,
market segmentation, market targeting and market positioning.
4. International Marketing Mix At this step international marketing mix is developed. Marketing mix
identifies four key areas Product, Price, Place, and Promotion for developing a well coordinated
marketing strategy.
5. Consolidate Marketing efforts - Developing a good marketing program is not enough a marketing
organisation need to manage the international marketing effort properly. Marketing organisations also
need proper analysis, planning, implementation and control of their marketing efforts.

Nature of International Marketing

1. Broader market is available Unlike domestic marketing the market is not restricted to national
population. Population of other countries can also be targeted in international marketing.
2. Involves at least two set of uncontrollable variables In domestic marketing the marketers
have to interact with only one set of uncontrollable variables. In international marketing at least two
set of uncontrollable variables are involved or more if the marketing organization deals in more
countries.
3. Requires broader competence Special management skills and broader competence is required
in international marketing/business.
4. Competition is intense An international marketing organization has to compete with both the
domestic competitors and the international competitors. Hence, the competition is intense in
international marketing.
5. Involve high risk and challenges International marketing is prove to various kinds of risk and
challenge like political risk, cultural differences, changes in fashion and style of foreign customers,
sudden war, changes in government rules and regulations, communication challenges due to
language and cultural barriers, etc,.

Scope of International Marketing

1. Export It is a function of international business whereby goods produced in one country are
shipped to another country for further sale or trade.
2. Import Goods or services brought into one country from another for use or sale.
3. Re-export Import of semi-finished goods, further processing, and export of finished goods.

4. Management of international operations

Operating marketing and sales facilities abroad,

Establishing production or assembly facilities in foreign countries, and

Monitoring the operations and practices of other MNCs and agencies.