1. Chapter One Introduction to Global Marketing

2. Copyright © Houghton Mifflin Company. All rights reserved.Chapter 1 | Slide 2 Why Firms Seek Global Markets React to inquiry from abroad Seek more sales and profits Respond to a domestic competitive shock Pre-empt competitors’ expansion Follow major customers abroad Leverage economies of scale and scope

3. Copyright © Houghton Mifflin Company. All rights reserved.Chapter 1 | Slide 3 Standardization Adaptation Key Theme in the Global Marketing Challenge

4. Copyright © Houghton Mifflin Company. All rights reserved.Chapter 1 | Slide 4 Development Phases of Global Marketing Domestic marketing Export marketing Multinational marketing –Multinational corporation (MNC) Pan-regional marketing Global Marketing

5. Copyright © Houghton Mifflin Company. All rights reserved.Chapter 1 | Slide 5 Global Marketing A global marketing strategy involves the creation of a single strategy for a product, service, or company for the entire global market –“One product, one world” –But maintains the flexibility to adapt to local market conditions where necessary

6. Copyright © Houghton Mifflin Company. All rights reserved.Chapter 1 | Slide 6 A Need for Global Mindsets Knowledge of other countries, economies, languages, thought patterns and cultures Understanding of how the global economy works and how it impacts the domestic economy Ability to recognize and use ideas from foreign markets in domestic and foreign markets Perception of how to integrate actions taken in one national market with actions in other markets