1. AB219 Marketing Unit Nine
Tonight ‘s Focus: The Global Marketplace, Social Responsibility and Ethics
In this unit we will discuss issues related to global marketing, corporate ethics and social responsibility to wrap up our course seminars.
Sadly, this is our last seminar for the term and I just want to mention how much I have enjoyed holding these with all of you over the past 9 weeks.

2. What do I have to do this week?
Unit 9 Work
Reading: Chapters 15 & 16.
Discussion: 4P’s & Getting an Overseas Job!
Quiz (Review): On Unit 8 & 9 material.
Evaluation: Let us know what you think!
Upcoming in Unit 10
U10 Discussion: Networking!
U10 Powerpoint Assignment (On the U8 Research Project)
Please Note: No credit given for work not submitted by the close of U10 (official end of term) and applicable under the late policy. U10 work must be submitted by close of unit 10 to receive credit for it.
Read Slide &
So, time management is critical to be successful on this research project!
- My recommendation is to do the research project over a number of days and do a response or two per day.

3. Discussion “Best Practices”
Major Discussion Requirements include:
1st detailed original response (answers discussion questions) no later than Saturday of unit.
EXCEED minimum 100 word initial post (usually will have to exceed this minimum to adequately respond to the question(s) asked .)
Post on at least 3 different days.
Respond least 2 of your classmates (These posts must also include the substance from our weekly focus and demonstrate your application of the material we are learning.)
Minimum 3 total posts for each unit (1st detailed original response, 2 peer responses).
Remember:
Relate Discussion to Reading & Weekly Focus.
Interactive discussions, so please answer any questions that I or classmates may ask.
Read Slide &:
Notice from past classes: Need to fully read the discussion overview & respond to the “question(s) asked” of you to respond to.
Making multiple posts to make up for not meeting 3 post, 3 different days & by Saturday, will not substitute for not meeting these guidelines.
You will typically see me make 1 -2 posts each day and will usually make posts to continue the discussion by Friday or Saturday of each week. This week is the major exception since just primarily introducing ourselves and talking about a motto that may reflect your beliefs or be a driving force in your life. (Note: Saying I do not have one will not satisfactorily meet responding to the initial response question.)

4. AB219 Unit 10 Powerpoint Assignment
Presentation of your U8 Research Project
The Marketing Mix (4P’s) & Expanding Internationally

5. U10 Assignment Instructions
Powerpoint Presentation (Version 2003 or higher) that Summarizes your U8 Research Project.
Completed by creating PowerPoint presentation consisting of 10 slides of content. (2 for each major section of the paper)
You will also have 2 additional APA formatted separate title and reference pages as the bookends of your presentation.
You will have 3 – 5 bulleted points on each “content” slide and put detailed notes in the Notes section.
Submit your presentation to the Dropbox before the close of Unit 10.

6. When Submitting Assignments & Projects for AB219
Save file to submit in this format:
NameU#Assgn
So & for example, I would save the U2 Assignment & submit it as:
DavidButlerU10Assgn

7. Major Slides you will Include:
Title Page (APA formatted)
Product (2 slides)
Price (2 slides)
Distribution/Place (2 slides)
Promotion (2 slides)
Expanding Internationally (2 slides)
Reference Page (APA formatted)
Total Slides = approx. 12 with separate title & reference pages.

8. A Partial U10 Powerpoint Presentation Example Follows

9. Joseph Student Unit 10 Assignment Marketing Professor David Butler
Special Note:
1st Page will be your separate title page for this and all Assignments or Research Projects.
Apple Iphone
Joseph Student
Unit 10 Assignment
Marketing
Professor David Butler

10. Product Consumer Goods (Shopping) Product Classification
Product Life Cycle – Growth to Maturity Stage.
Differentiated Product Positioning
- Different product lines or line extensions
exemplified by various versions of Iphone.
Unique Features and Benefits of the Iphone include design, app store, product support and warranty coverage.
Importance of Product Packaging
Being an Apple product, the quality and design of the product is backed by an iron-clad warranty that surpasses the competition. With many strategically placed Apple Retail Stores, customers have the option of getting their phone repaired or replaced on site or by contacting Apple's product specialists through AppleCare Support. The use of the iPhone is vast as each person can customize their iPhone for how they want to use it and have over 50,000 different applications to choose from that can add to their iPhone experience. These applications are produced by third-party companies to provide everything from entertainment to customer services to the consumer. You can check your , pay your bills, or play games using your device and the possibilities are endless.

11. Don’t Forget to include Notes!
If you are missing the section to include your notes: Go to the “view tab,” at top of window, and choose “normal” as the “presentation view.” Basically, can cut-and-paste applicable information from your U8 paper.
Don’t Forget to include Notes!

12. Special Note:
Last Page will be your reference page for this and all assignments or Research Projects. This page should be structured in APA format as shown here.
References
Armstrong, G., Kotler, P. (2010). Marketing: An Introduction,
Revised Global 10th Edition. (pg. 45, 77, 122). Upper Saddle
River, Pearson Education.
Apple Computers (2007). Apple.com. Retrieved from
The New York Times Magazine, James, R. (November 22, 2010).
Reaching Out, Apple Iphone. Retrieved from

13. Need Help ……. Contact Me!
Phone: (Please be kind & call before 9 pm EST)

14. Let’s Test our Knowledge!

15. U9.1: Consumers and business buyers benefit from Internet buying because it is convenient, interactive and immediate, offers a wealth of comparative information and ______ .
Provides access to a greater product selection.
Leads to quicker product delivery.
Filters out unethical vendors.
All of the above.
Answer is A …………… Provides access to a greater product selection.
Simply put, Web sellers from all over the globe can offer an almost unlimited selection of goods to consumers anywhere & this definitely leads to greater product selection.

16. U9.2: Suppose you wanted to sell custom-built cars to consumers using one of the major methods of direct marketing. Which do you think would be the most effective?
Telemarketing
Direct-mail marketing
Catalog marketing
Kiosk marketing
The answer is B …….. Direct Marketing.
Direct mail would be the most effective technique of those listed. However, the nature of the product is such that personal selling (another form of Promotion) will also be needed.
Just as important, all of the above are forms of direct marketing.

17. U9.3: Robert's Clothiers operates a downtown store and an e-tail site on the Web. Robert's is an example of a(n):
ISP  (Internet Service Provider)
Click-only company 
Click-and-mortar company 
Transaction site
Answer is C ……… Click-and-Mortar Company
So, a Click-and-mortar companies sell products both as an e-tailer over the Internet and in a traditional store setting.

18. Review of Unit Eight Just reviewed! Questions or concerns?
Lets start discussing Unit 9!
Last week we covered the last component of the promotional mix components- direct and online marketing.
Tonight we will look at entering the global marketplace, social responsibiltiy & ethics!
So, lets get started!!!!!!!!!!!!!!!!

19. Major International Marketing Decisions
Evaluate the global marketing environment
Make the decision to market internationally
Select the markets to enter
Decide how to enter the selected markets
Decide and develop the marketing program
Decide on the marketing organization to support effort
There is a basic process for the decisions a company should take when operating internationally.
Although this process seems straightforward, most companies get into international marketing slowly.
This can be the result of customer inquiries for products from abroad or a concerted effort to capitalize on new markets once the domestic market becomes saturated.
Regardless, proper analysis of a firms situation and its ability to undertake international marketing activities is warranted.

20. The Global Marketing Environment
The International Trading System
GATT
Group of countries that agree to certain rules and agree to a process for settling trade disputes so they do not spiral out of control. The WTO was created in the Uruguay Round of GATT to promote free trade.
Trade alliances and agreement
European Union: Higher form of agreement that joins member states in trying to develop a common economic partnership.
NAFTA: Trade agreement between Mexico, Canada and the US.
UNASUR: South American trade agreement
APEC: Asian alliance focused only on trade cooperation
Internationally, a system of international rules and regulations have developed that promotes stability in the way that countries trade with each other.
The cornerstone of this system is GATT (General Agreement on Trade and Tariffs) and is administered by the WTO (World Trade Organization).
The GATT is not based on a certain geographic area, but is composed of countries that agree to certain requirements for their imports and exports.
GATT also provides a mechanism for arbitrating trade disputes so they do not spiral out of control.
There are many trade agreements worldwide. Many are bilateral (between two countries only).
However, there are many agreements that involve many countries also.
These agreements can range from simple cooperation on trade matters to a seamless linking of different countries’ economies into one economy into an economic union.

21. The Global Marketing Environment
Many aspects of the marketing mix must often be changed to be successful in international markets due to the new microenvironmental & macroenvironmental factors.
The global marketing environment provides a totally new set of considerations for the marketer.
The micro-environmental & macro-environmental factors change.
As a consequence a new strategy and marketing mix need to be considered.
For now, we will look at the macroenvironment since this is a primary consideration in deciding whether to actually enter the international environment. – So, The microenvironment comes later, once the environment has been evaluated.
Many international marketing failures are due to marketers not ensuring that the marketing mix of their products conform to the requirements and expectations of the country they are trying to enter.
For Example:
The Nova in Mexico where the name means “no go.”
Special Nikes with an emblem that was considered blasphemous in the Middle East.
Wal-Mart opening stores in Argentina offered electronics in 110 volts when the country uses 220 volts.
So, Marketers must make sure that they analyze the marketing environment of every new market they enter- whether it is a domestic market, but even more importantly when it is an international market.

22. The Global Marketing Environment
Economic Environment
Industrial structure: the type of economy that a country has helps determine if products might be successful.
Even if the economy is not highly developed, marketer may see opportunity. For example: laundry detergents in single use sachets
Income distribution: How income is distributed can pose challenges, but also develop opportunity if product can be modified for lower (or higher) income earning groups.
The economic development level of an individual country is something that needs to be considered when evaluating a foreign market.
As I discuss this, I first wanted to mention an issue I have with our text.
It takes a somewhat simplistic view of national development.
Marketing opportunities need to be looked at in more detail than at just a national level.
So, many countries that fall into one classification may actually have viable markets for products if they are modified for the local conditions.
Countries also have different levels of development within one country.
For example: China has different levels of development throughout the country and represent different marketing opportunities depending on the locations.

23. The Global Marketing Environment
Political-Legal Environment
Legal requirements for operations and doing
business
Government bureaucracy
Regulations regarding money and domestic
participation
Political stability
Attitude of political and legal system towards foreign
companies
The text provides a very brief overview, but companies must thoroughly check out the type of legal and regulatory environment they will face in every country they want to market in.
The country you are incorporated in does not extend to other countries.
- Not protected by your home country laws in other countries.
Each country has jurisdiction over the business operations that take place in their country.
- Consequently, a company has to research the political and regulatory environment of a country they want to market in.
Many firms hire consultants that have expertise in the political and legal aspects of doing business in certain countries.
- They often can help the company understand the implications of going into the country.

24. The Global Marketing Environment
Cultural Environment
Extremely important to remember that products that are socially or culturally inappropriate are unlikely to be successful.
Competitive Environment
Established competitors often understand the markets and are more agile at thwarting new competition
Technological Environment
Will the local technology infrastructure be able to foster local operations AND will the products you are planning on selling work with the local technology?
Marketers need to be aware that going into a new country involves a change of culture.
For example, Marketers face this in the US also when they go from one region to another.
Internationally, cultural differences can be much more pronounced.
As a result, Making or trying to sell products that do not fit in with the local culture are unlikely to be successful.
Simply put, failure is likely if the local culture does not perceive the product as having benefits for them.
The competitive environment may also pose risks since local competitors often have a model that works in the local environment and can more easily thwart a new competitor coming into their established territory.
Technologically, the company must make sure that any technological needs that the business operation or the product requires are considered.
Factories that are to be built will likely need electricity, internet and machinery.
How difficult will it be to make sure this is built and maintained on a daily basis.
If the product requires refrigerated shipping, does the local distribution channel have this in place?
An example here, McDonald’s had to help farmers in Eastern Europe grow the correct potatoes for their french fries.
This shows or points out the importance that technology is not only computer-related, but involves any technology that facilitates the production of the product or the business’ operations.

25. Deciding to Expand Internationally
Why companies expand internationally:
Domestic or international competition might be very high in domestic markets
The domestic market might be saturated
Business customers might be expanding globally
Companies decide to expand internationally for a variety of reasons.
The domestic market might have many competitors.
- While competition is good, too much competition can provide for too little market share.
The company may find less competition in other countries.
- The domestic market might be saturated and picking up additional market share would be very expensive compared with entering a new and relatively unsaturated market.
3) Lastly, customers might be locating in other countries and movement to those countries would allow the firm to keep their customers.

26. Deciding to Expand Internationally
Risks in expanding internationally:
Can the company adapt to consumer behavior, wants and needs in other countries?
Will their products be attractive to consumer sin other countries or do they need to be modified?
Will the firm be able to adapt to the new environment?
Do the firm’s managers actually understand the international environment?
Have all aspects of the international environment been considered?
Although there are significant benefits of marketing internationally, there are also risks that might outweigh the benefits.
Many of the issues have to do with whether the company is actually prepared and has the correct attitude to be involved internationally.
The firm must realize that they are unlikely to change the market if their product significantly conflicts with the cultural, political, legal, economic and technological realities.
The external environment needs to be thoroughly evaluated and the management must have the ability to understand strategy development in the international environment.

27. Deciding Which Markets to Enter
Requires a thorough environmental analysis
Can the country provide the level of sales that is required?
Should one or more countries be considered?
Are there particular types of countries that provide a more attractive market segmentation than others?
A thorough market analysis must be done to assess which specific markets to enter.
We looked at segmentation previously and essentially, the firm needs to look at the available international segments that are available and the benefits they provide and balance those opportunities with any threats that the firm finds within specific countries.
Each country will have a different level of opportunity and risk, which makes some companies more attractive marketing opportunities than others. The next step is deciding on how to enter.

28. Entering an International Market
Exporting: Simplest and least risky way to get into international markets. Export from the domestic market.
Joint Venture: Bring in a partner. More risky, but you have a partner with experience and spread the risk.
Licensing and franchising
Contract manufacturing and services
Joint ownership
Direct Investment: The company assumes all risk by setting up operations in the country. As a result, this has the highest risk.
Entering an international market is often about the level of risk that a company is willing to assume.
Often, the evolution of a companies involvement begins with simple exporting.
Once they have gained experience with exporting, they will often enter at a higher level of doing business in an international marketplace by forming joint ventures (partnering up with other companies to spread the risk) or direct investment by setting up operations in a foreign country.

29. Specific Marketing Program Decisions
Standardized or adapted global marketing?
Considerations apply to the entire marketing mix.
Product
Promotion
Price
Place
Once the specific markets are determined, and the way they will be entered, the company needs to determine whether specific changes must be made to the product in all areas of the marketing mix.
As indicated earlier, many companies hire consultants that can analyze the risk factors associated with entering a market.
The same is true with the market mix considerations for each country.
Many times, companies must do marketing research and undertake a comprehensive review of how products will be accepted in foreign markets.
So, just like you would hire consultants to analyze risk factors, there are consulting and research firms that will undertake or assist in determining if the marketing mix is appropriately tailored for the specific country market.

30. Sustainable Marketing: Ethics and Social Responsibility
“Social responsibility is socially and environmentally responsible marketing that meets the present needs of consumers and businesses while also preserving or enhancing the ability of future generations to meet their needs.” (Armstrong, Kotler, 2010)

31. Social Criticism of Marketing
Creation of wants and high levels of consumerism
Lack of social goods
Cultural contamination
Deceptive or too aggressive sales practices
Low quality products and planned obsolescence
Some markets with real needs underserved
Many criticisms have been leveled against marketing. (As shown above)
Whether they are true or not is open to debate.
However, marketers can often become the object of concerted efforts that highlight their practices in a less than favorable way.
This is why companies have to be continually scanning the environment for social trends and influences that could impact their business.

32. Promotion of Sustainable Marketing by Consumers
Development of organized consumer activities
Recognition that sellers have rights in an open market
Making sure that consumers have rights to safe products and clear marketing practices
Out of the concerns that some have for marketing ( as we just touched on) a consumerism movement has developed to look out for the interests of all involved. (the above highlight the major points here)
So, Consumerism (consumer movement) tries to provide improved rights of consumers and government oversight agencies in relation to the rights of sellers in the marketplace.
The text outlines the different things that the consumer movement tries to ensure are put into place to balance the rights of the seller with the rights of consumers.

33. Promotion of Sustainable Marketing by Regulators
Many laws and regulations limit the ability of marketers to sell their products
These can vary depending on the location where business is being done
There are sometimes overlapping jurisdictions- National, state, county, local, etc.
Regulations are attempts to balance the needs of different groups in a society.
Different places have different laws and regulations that determine what those rights and responsibilities are for businesses and consumers in each locale they serve.
In many cases, there are several jurisdictions can pass laws and regulate marketing-related activities.

34. Promotion of Sustainable Marketing by Businesses
Principles of Sustainable Marketing
Consumer orientation
Integrating consumer values into marketing
Innovative marketing
Developing a sense of mission in marketing
Societal marketing
Businesses can take a leadership role by developing a sustainable marketing outlook and philosophy in the products they develop and in the actions they take.
This not only enhances current performance and makes their products more acceptable in society, but also sets the stage for ensuring that the issues they will face in the future are lessened.

35. Marketing Ethics
Ethics is the study of moral choices and what is considered to be right or wrong.
Applies to individuals and any organization
For marketers, it refers to evaluating what is right or wrong in the marketplace.
This short section in the text outlines the ethical issues that marketers face in the marketplace and in carrying out business activities.
Simply put & in addition to what is outlined above;
Ethical decision making involves many different aspects of marketing, particularly with regard to how companies interact with consumers and in the development and distribution of products.

36. Let’s Test our Knowledge!

37. U9.4: Before going abroad, a company should do all of the following EXCEPT:
Define its international marketing objectives and policies. 
Choose how many countries it wants to market to. 
Decide how it will reinvest the profits of its international venture. 
Decide the best mode of market entry.
Answer is c ……….. “Decide how it will reinvest the profits of its international venture” is not a consideration before deciding to go abroad.
So, Deciding how profits will be reinvested is not a critical decision that needs to be made prior to selling abroad.

38. U9.5: A firm’s first step in entering the global marketplace is often the creation of an:
Export department 
International division 
International subsidiary 
International headquarters
International Asset Sales
Answer is A …….. Export Dept.
After creating an export department, firms develop an international division, and finally become a global organization.

39. U9.6: Critics often argue that the American marketing system results in higher prices for consumers due to all EXCEPT which of the following?
High distribution costs 
Excessive mark-ups 
Replacement and repair costs stemming from poor product quality
High advertising and promotion costs
Answer is C ………. Replacement & Repair costs stemming from poor products not an issue for complaint,
Instead, Advertising, promotion, and distribution costs are most often criticized, along with mark-up levels.

40. U9.7: Some criticize marketers for introducing new technology that requires the replacement of old products that still work. This is called:
Deceptive practices
High pressure selling
Unethical behavior
Planned obsolescence
Upgradeable Introductions
Answer is D ………… Planned Obsolescence.
This means that Marketers have been accused of causing their products to become obsolete before they actually should need replacement.
- Personally, I see this to especially be the case with technology companies. They continuously introduce new computers, smartphones and even new ipods that are not that different from the older versions.

41. Use What You Learned in AB219!
Operational Recommendations will help you succeed as you move through Kaplan.
Apply the Micro & Macro Environmental Factors beyond marketing. So, in your future courses, business & life.
Applying Consumer Buying Behavior & Segmentation can be critical to making sound business decisions and business success.
The Marketing Mix (4P’s) are key to marketing yourself, your business or any product(s) or company you are involved with. (i.e. apply in social networking for your career or job search)
Bottomline: This course provided you a strong marketing foundation in which to use in your business and personal life. We live in a service and global economy and marketing is key to differentiating a business, product or yourself from the competition.
Good luck as you move on from this course and continue your education. I am always available as you move on from this class, so please feel free to reach out to me and even if it is to just let me know how you are doing.

42. What do I have to do this week?
Unit 9 Work
Reading: Chapters 15 & 16.
Discussion: 4P’s & Getting an Overseas Job!
Quiz (Review): On Unit 8 & 9 material.
Evaluation: Let us know what you think!
Upcoming in Unit 10
U10 Discussion: Networking!
U10 Powerpoint Assignment (On the U8 Research Project)
Please Note: No credit given for work not submitted by the close of U10 (official end of term) and applicable under the late policy. U10 work must be submitted by close of unit 10 to receive credit for it.
Read Slide &
So, time management is critical to be successful on this research project!
- My recommendation is to do the research project over a number of days and do a response or two per day.

43. Any Questions? Thank you for attending!
This is, sadly, our last seminar for the term. It was a pleasure interactively working with you in our seminars over the past 9 weeks!