1.01 Understand what drives the needs for international marketing.

International Marketing Series of activities that creates an exchange and satisfies individual customers across national borders. Identify Customer Needs Planning to Meet those Customer Needs More Complicated than Domestic Marketing: Cultural Differences Political/Legal Differences Geographic Differences Competitive Differences

Strategies (Market Entry) for International Marketing Import/Export Simplest and least risky strategy Contracting Contractual agreement to work with foreign business partner. Licensing Agreements/Franchising Agreement giving foreign companies the right to sell a company’s product for a fee. Joint Ventures Two or more businesses combine to create a new business. Direct Investment Purchasing business assets to run business in a foreign country.

Drivers of International Marketing Advanced Technology: Internet connects to customers and businesses worldwide. Same movies, television shows & internet content seen everywhere. Companies can use the same media to send messages around the globe. Improved Transportation: Faster than in the past. Sealed containers are available for ocean shipping. Satellite technology can be used to avoid bad weather. Numerous worldwide shipping companies. (ex. UPS & FedEx)

Drivers of International Marketing New Market Opportunities: Fall of iron curtain in 1989 opened Eastern Europe. (The Iron Curtain was the name for the boundary dividing Europe into two separate areas from the end of World War II in 1945 until the end of the Cold War in 1991) Opening of trade in China – largest market on earth. Economic development in South America, Africa, & Southeast Asia. Increased personal income worldwide.

Planning for International Marketing Increased risk increases the need for a marketing plan. Must create and deliver value to differing customers. Manage customer relationships. Create a profit. Understand how marketing activities differ in different cultural and political/legal environments.

International Professional Development Careers are diverse. They have a variety of requirements. (ex. Some require a college degree, some only a high school degree) Ability to communicate in a foreign language is helpful and can in some cases earn you a higher pay rate. Should develop a cultural understanding of the countries that you will work with. (ex. Beliefs and mannerisms) Global businesses require more technology skills. Experiences in traveling, studying or living abroad can be helpful in learning the different cultures.

Marketing Core Standards/Functions The following are involved in every transfer of goods and services to consumers: Distribution Marketing-Information Management Pricing Product-Service Management Promotion Selling Financing

Marketing Core Standards Distribution: Determining the best ways to allow customers to locate & obtain products and services of a business. Marketing-Information Management: Obtaining, managing, & using marketing information to improve business decision-making. Marketing research. Developing databases of product, customer, & competitive information.

Marketing Core Standards Pricing: Establishing a price for goods & services. Prices should be set low enough to encourage customer purchase & high enough to make a profit. Manage international currency exchange rates. Product-Service Management: Designing, developing, maintaining, improving, & acquiring products to meet consumer demand and needs.

Marketing Core Standards Promotion: Communicating to potential customers about products and services. Advertising Publicity/Public Relations Sales Promotion Personal Selling

Marketing Core Standards Selling: Communicating directly with prospective customers to assess & satisfy needs. 2-way interaction with customers. Interaction may be face-to-face, via telephone or through Internet tools. Financing: Budgeting for marketing activities. Obtaining funds for business operations. Developing payment & credit systems to help customers purchase goods & services.