INTERNATIONAL MARKTING IS

PERFORMANNCE OF BUSINESS
ACTIVITIES THAT DIRECT THE
FLOW OF GOODS AND SERVICES
TO THE CONSUMERS OR USERS
IN MORE THAN ONE NATION.
-Prof. HESS and EASTEORA
DIVERSITY
HETEROGENEITY
ROLE OF POLITICS
GOVERNMENT INTERVENTION
TRANSPORT COSTS
BUSINESS RISKS
MOBILITY OF FACTORS
REMITTANCES
PATRIOTISM
VARIED ECONOMIC CLIMATE
MULTIPLE CHAIN OF
INTERMEDIARIES
 MARKET SATURATION
 AMBITION TO RISE
 EXPANSION OF BUSINESS
 TO MAINTAIN MARKET SHARE
 TO UTILISE FULL CAPACITY
 TO TAKE ADVANTAGE OF TAX
CONCESSION
 TO EFFECT SAVING IN COST
 TO COMPETE COMPETITORS
 TO DEVELOP AND TEST NEW PRODUCT
 TO HAVE ACCESS TO INTERNATIONAL
TECHNOLOGY,RAW MATERIAL AND
ECONOMIC GROUPS
AMBITION TO RISE
EXPANSION OF BUSINESS
TO MAINTAIN MARKET SHARE
TO TEST AND DEVELOP NEW
PRODUCTS
– FOREIGN MARKETS PRESENT
HIGHER PROFITS THEN DOMESTIC
MARKET

– COMPANY NEEDS LARGE

CUSTOMERS

– COMPANY CUSTOMERS ARE

GOING ABROAD
 RISK INVOLVED
• CUSTOMERS PREFERENCES

• BUSINESS CULTURE

• LAWS AND REGULATIONS

 Ayal&zif have argued that a company should
enter fewer countries when

 Market entry and market control cost are high

 Product and communication adaption cost are
high
 Population and income size and growth are
high in the initial countries chosen.
 Dominant foreign firms can establish high
barrriers to entry
 FACTORS INFLUENCE
INTERNATIONAL
MARKETING
• ECONOMIC FACTORS

• SOCIAL AND CULTURAL FACTORS

• POLITICAL AND LEGAL FACTORS

• MARKET ATTRACTIVENESS

• CAPABILITY OF THE COMPANY

DIRECT INVESTMENT
JOINT VENTURES
LICENSING
DIRECT EXPORTING
INDIRECT EXPORTING
FRANCHISE
JOINT VENTURE
 FRANCHISE
•IT REFERS TO THE
METHODS OF
PRACTICING
rilevadaAND USING

ANOTHER PERSON’S
PHILOSOPHY OF
BUSINESS.
DECIDING ON MARKETING
ORGANISATION
•EXPORT DEPARTMENT
•INTERNATIONAL
DEVISIONS
•GLOBAL
ORGANISATIONS
HALLMARKS CARDS FAILED
WHEN THEY WERE
INTRODUCED IN EUROPEAN
COUNTRIES. THEY DISLIKE
SYRUPY SENTIMENTS AND
WRITING THEIR OWN CARDS.
 SC JHONSONS

SC JOHNSONS
wax floor polish
intially failed in
JAPAN.
 Reason is:

• People usually have wooden flooring

and they roam around with naked
feet so when polished appiled on
floor they slipped on it..
 TANG

TANG INITIALLY FAILED IN

FRANCE
BECAUSE

IT WAS POSITIONED AS A
SUBSTITUET FOR ORANGE JUICE
AT BREAKFAST.
 Latin American Toothpaste

• An American toothpaste maker ran an

advertisement in Latin America saying
that the firm’s toothpaste makes users
more "interesting". In Latin American
nations, the term "interesting"
suggests being pregnant. This of
course resulted in an unsuccessful.
 Locum

• Locum is a Swedish company. In 1991, they

sent Christmas cards to all of their
customers. They thought they would give
their logo a little holiday spirit, by
substituting a little heart for the letter "o".
For some reason, they also used all
lowercase letters. The lowercase "L" can
therefore be easily misunderstood to be an
"i", and the locum logo looked like one of
those "I love ..." bumper stickers, with an
unfortunate pornographic sentiment to it.
 Nike Air

• Nike offended Muslims in June, 1997

when the "flaming air" logo for its Nike
Air sneakers looked too similar to the
Arabic form of God's name, "Allah".
Nike pulled more than 38,000 pairs of
sneakers from the market.
 CONCLUSION
• international trade means exchanging goods and services across
international boundries. In international trade, goverments and other
organisations may impose restrictions on what goods can come and go
out of the country. This may be for a number of reasons. There are
disadvantages for international trade like when one country is importing
goods the emerging domestic company in the local market loses out and
is disadvantaged. however where there are disadvantages, there are also
benefits and some firms believe that benefits over the costs of
international trade.
International trade gives the firms a large platform

• to introduce their goods and services. They have access to a larger

market enabling them to take a greater advantage of economies of scale.
They will be able to purchase raw materials and other component parts
more easily and more cheaply. It is not only the producers that benefit
but also the consumers. They can purchase goods from other countries
in their local market . They have more variety to choose from. Because of
competition each consumer will benefit from low priced better quality
products. International trade increase world output.