Chapter Discussion

Understand why there are differences between domestic and international marketing.
Whether a policy or a technique is designed for global use or is first used in the home market and then used overseas, marketers must know where to look for possible differences between marketing domestically and marketing internationally. Sometimes there are great differences; sometimes there are none. Although the basic functions of marketing are the same for all marketing, international markets can differ greatly because of the variations in the uncontrollable environmental forces. The marketing manager must decide if the marketing program can be standardized worldwide, if some changes must be made, or if a completely different marketing mix must be prepared.

Explain why international marketing managers may wish to standardize the marketing mix.
International marketing managers prefer to standardize the marketing mix regionally or worldwide because there can be considerable cost savings from marketing the same product, using the same promotional material and the same advertising. A standardized marketing mix is easier to control, and less time is spent preparing the marketing plan.

Comprehend why it is often impossible to standardize the marketing mix worldwide.
A manager may not be able to standardize the marketing mix worldwide because of differences in the environmental forces. The amount of change depends considerably on the product type and the degree of market penetration desired by the manager.

Appreciate the importance of distinguishing among the total product, the physical product, and the brand name.
Much of the confusion about whether a global firm can have global products arises because the discussants do not differentiate between the physical and total products. A total product is easier than a physical product to standardize. A brand name or a product concept may be standardized even though the physical product varies among markets. Also, a firm may have to use a different brand name in a market because its present one has a bad connotation or because it may already be copyrighted by someone else.

Explain why consumer products generally require greater modification for international sales than industrial products or services.
Industrial products and services generally can be marketed globally with less change than consumer products because they are less sensitive to the foreign environment.

Discuss the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Six commonly used promotional strategies can be formulated by combining the three alternatives of marketing the same product everywhere, adapting it, or designing a new product with the same, adapted, or different message.

Explain “glocal” advertising strategies.
International advertising agencies will design an international program for an advertiser and then make local adjustments that local managers deem necessary. The programmed-management approach is an advertising strategy for combining inputs from global advertising advocates of the home office with the opinions of local managers.

Understand some of the effects of the Internet may have on international marketing.
Among those mentioned are (1) making more pricing data available worldwide, (2) potentially making traditional channel structures less important, and (3) making the offing much more personalized and therefore more in line with the marketing concept.

Discuss the distribution strategies of international marketers.
Although an international firm would prefer to standardize its distribution patterns internationally, the facts that the same kinds of channel members are not available everywhere and that environmental forces vary among markets make standardization difficult or impossible at times.