1. © 2002 Thomson Learning, Inc. CHAPTER 13 International Marketing Text by Profs. M. Czinkota, I. Ronkainen, and M. Moffett Multimedia Presentation by Prof. Milton Pressley The University of New Orleans milton.pressley@uno.edu

2. © 2002 Thomson Learning, Inc. To suggest how markets for international expansion can be selected, their demand assessed, and appropriate strategies for their development devised To suggest how markets for international expansion can be selected, their demand assessed, and appropriate strategies for their development devised To describe how environmental differences generate new challenges for the international marketing manager To describe how environmental differences generate new challenges for the international marketing manager LEARNING OBJECTIVES

3. © 2002 Thomson Learning, Inc. To compare and contrast the merits of standardization versus localization strategies for country markets and of regional versus global marketing efforts To compare and contrast the merits of standardization versus localization strategies for country markets and of regional versus global marketing efforts To discuss market – specific and global challenges facing the marketing functions: product, price, distribution, and promotion within both the traditional and e-business dimensions To discuss market – specific and global challenges facing the marketing functions: product, price, distribution, and promotion within both the traditional and e-business dimensions LEARNING OBJECTIVES

4. © 2002 Thomson Learning, Inc. Target Market Selection Identification and Screening Identification and Screening © PhotoDisc

5. © 2002 Thomson Learning, Inc. Figure 13.1 – The Screening Process in Target Market Choice

6. © 2002 Thomson Learning, Inc. Target Market Selection Preliminary Screening Preliminary Screening Estimating Market Potential Estimating Market Potential Income Elasticity of Demand Income Elasticity of Demand Market Audit Market Audit Analogy Analogy Longitudinal Analysis Longitudinal Analysis Gap Analysis Gap Analysis Estimating Sales Potential Estimating Sales Potential Identifying Segments Identifying Segments © PhotoDisc

7. © 2002 Thomson Learning, Inc. Target Market Selection Concentration versus Diversification Concentration versus Diversification Expansion Alternatives Expansion Alternatives Factors Affecting Expansion Strategy Factors Affecting Expansion Strategy © PhotoDisc

8. © 2002 Thomson Learning, Inc.

9. Target Market Selection Market-Related Factors Market-Related Factors Mix-Related Factors Mix-Related Factors Company-Related Factors Company-Related Factors © PhotoDisc

10. © 2002 Thomson Learning, Inc. Marketing Management Standardization versus Adaptation Standardization versus Adaptation © PhotoDisc

11. © 2002 Thomson Learning, Inc.

12. Marketing Management Factors Affecting Adaptation Factors Affecting Adaptation Market(s) Targeted Market(s) Targeted Product and its Characteristics Product and its Characteristics Company Characteristics Company Characteristics Product Policy Product Policy Factors in Product Adaptation Factors in Product Adaptation © PhotoDisc

13. © 2002 Thomson Learning, Inc. Figure 13.2 – Factors Affecting Product Adaptation Decisions

14. © 2002 Thomson Learning, Inc. Marketing Management Regional, Country or Local Characteristics Regional, Country or Local Characteristics Positioning Positioning Backward Innovation Backward Innovation Product Characteristics Product Characteristics Company Considerations Company Considerations Product Line Management Product Line Management Centers of Excellence Centers of Excellence Product Counterfeiting Product Counterfeiting © PhotoDisc

15. © 2002 Thomson Learning, Inc. Marketing Management Pricing Policy Pricing Policy Export Pricing Export Pricing Standard world-wide pricing Standard world-wide pricing Dual pricing Dual pricing Cost-plus pricing Cost-plus pricing Marginal cost method Marginal cost method Market-differentiated pricing Market-differentiated pricing Price escalation Price escalation Dumping Dumping © PhotoDisc

16. © 2002 Thomson Learning, Inc. Marketing Management Foreign Market Pricing Foreign Market Pricing Price Coordination Price Coordination Gray Markets Gray Markets Transfer Pricing Transfer Pricing Arm’s Length Price Arm’s Length Price Distribution Policy Distribution Policy Channel Design Channel Design 11 C’s 11 C’s Selection and Screening of Intermediaries Selection and Screening of Intermediaries Managing the Channel Relationship Managing the Channel Relationship © PhotoDisc

17. © 2002 Thomson Learning, Inc.

18. Marketing Management E-Commerce E-Commerce © PhotoDisc

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20. Marketing Management Promotional Policy Promotional Policy Advertising Advertising Media Strategy Media Strategy Promotional Message Promotional Message © PhotoDisc

21. © 2002 Thomson Learning, Inc. Figure 13.3 – Global Advertising Campaign Approaches

22. © 2002 Thomson Learning, Inc. Marketing Management Personal Selling Personal Selling Sales Promotion Sales Promotion Public Relations Public Relations © PhotoDisc