Welcome to class of

Stages of International Marketing

and Strategic Orientation

by
Dr. Satyendra Singh
University of Winnipeg
Canada
Stages of International Marketing…
No Direct Foreign Marketing

Infrequent Foreign Marketing

Regular Foreign Marketing

International Marketing

Global Marketing
Stages of International Marketing…
• Stage 1: No Direct Foreign Marketing
– Not active foreign customer seekers
– Foreign markets via domestic wholesalers/distributors
– Unsolicited orders
– Internet
• Stage 2: Infrequent Foreign Marketing
– Variation in production levels or demands
– No commitment to foreign market representation
– If domestic demand , foreign activity 
– Foreign agents may approach
– Managers’ own foreign contacts
 Stages of International Marketing…
• Stage 3: Regular Foreign Marketing
– Dedicated production capacity to foreign markets
– Own sales force/subsidiaries in foreign markets
– Domestic market is still the prime focus, but as the
foreign demand , production/products are adapted to
meet those customer needs
– Depend on foreign sales to meet goal (vs. as a bonus)
• Stage 4: International Marketing
– Fully committed and involved in international marketing
– Planned productions for various foreign markets
– Production of goods in foreign markets as well
– At this stage, a firm is international or multi-national
 Stages of International Marketing
• Stage 5: Global Marketing
– Treats the world including home market as one
– Market segments are defined by demographic and
psychographic variables
– Half of its revenue should come from foreign market
– Global perspective is the focus
 Strategic Orientations
EPRG Schema Orientation

Ethnocentric Domestic Marketing

Extension

Multidomestic
Polycentric
Marketing

Regio/Geocentric Global Marketing

 Strategic Orientations…
• Domestic Market Extension Orientation (Stage 1/2)
– Extension of domestic products into foreign markets
– International markets are secondary
– Prime focus—market excess domestic products abroad
– Firm’s orientation is domestic
• Multi-Domestic Market Orientation (Stage 2/3)
– Realizes the difference b/w domestic & foreign markets
– Different countries need different products
– Separate marketing strategies for each country
– Subsidiaries operate independent of one another
– Products are adapted, advertising is localized
– Might not standardize products
 Strategic Orientations
• Regional/Global Orientation (Stage 4/5)
– Truly global – single market
– Emphasis on standardization—product/process
– Strive for efficiencies of scale by standardizing market
mix across national borders, whenever it is cost or
culture effective
– Pursue a global strategy for major brands or multi-
domestic strategy for other brands