Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

Chapter 11 – International Marketing

11.1 – International Marketing Strategies

Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

Marketing

• Marketing Definition:– Planning pricing promotion, distribution

& sale of goods & services to satisfy consumers’ needs & wants

• Key Marketing Strategies1. Centralized vs. Decentralized Strategy2. Push vs. Pull3. Brand Acquisition vs. Brand

Development

Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

Centralized vs. Decentralized Marketing Strategies

• Centralized Marketing Strategy– Production & Sales from one central

location.– “Think local, act global.”– Eg. Web-based businesses often do

this– Companies divide work by region

Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

Advantages of the Centralized Marketing

Strategy1. Brand Building (global brands)

• Brand Equity – making a brand recognized throughout the world & giving the brand a positive image.

• Consistent promotion, packaging & product features

2. Synergy – two forces work together to produce more together than the two could produce individually

• R&D, advertising, sales, international campaigns

3. Cost Benefits (Economies of Scale)

Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

Decentralized Marketing Strategy

• “Think global, act local” philosophy

• Use local production facilities, distribution, advertising, market research, sales, etc.

• Multinationals that do this are called Glocal companies

Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

Advantages of using the Decentralized Marketing

Strategy1. Proximity to Markets2. Flexibility

• Spot trends quickly

3. Cultural Sensitivity

• Flagship Brand– The product that carries the corporate

name (eg. Coca-Cola)

Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

2. Push & Pull

• Channels of Distribution– How a company connect its product

or service to its target market

• Push Strategy– Focusing selling efforts on retailers

(or wholesales) and NOT the consumer

Chapter 11 – International MarketingMr. M. Goldberg, Martingrove C.I., 2012

The End.