Future of international marketing

By – KIRTI BHUSHAN

SINGH YADAV

contentsIntroductionStages of international marketing

involvementReasons for going international marketingFuture of international marketingTrend in future of international marketingImportance of World TradeOpportunities and challenges in future of

international marketingSignificance of international marketing

Introduction“IM is the performance of business activities

designed to plan, price, promote and direct the flow of a company`s goods and services to

consumers or user in more than one nation for a profit.”

International marketing can, therefore, be

defined as, “ marketing carried on across national boundaries.”

Cont…“The process of planning and conducting

transactions across national borders to create exchanges that satisfy the objectives of individuals and organizations”

Stages of International Marketing Involvement1. No Direct Foreign Marketing

Company does not actively pursue customers in foreign markets, but receives them through unintended channels Products are bought abroad through domestic

wholesalers/distributors, website on the internet

2. Infrequent Foreign MarketingCompany sells to foreign markets only when a

temporary surplus of product exists Once surplus is gone, foreign activity is gone Few companies fit this model because of the need to

develop long term relationships in foreign countries

Cont………….3. Regular Foreign Marketing

Companies produce their products and services to primarily sell domestically, but also internationally Through domestic/foreign middlemen, sales force in

foreign countries

4. International MarketingCompanies are fully engaged in international

marketing strategies Companies are now international or multi-national

Cont………5. Global Marketing

Change from its marketing activities to all activities focused in a global perspective In most cases companies sales revenues are more

than ½ of its total revenues Treat the world as one market Market segment is no longer focused on national

borders, rather such things as income levels, usage patterns, or other factors are looked across borders

Reasons for going international marketingSaturated home market CompetitionExcess capacity Advantage in product, skill or technology Product life cycle differencesGeographical differencesOrganizational reasonsFinancial reasons

Future of international marketing

Prevailing trends that have the most impact on international business in the future:1. Growth of the World Trade Organization

and region free trade areas (NAFTA, European Union..)

2. Trend of developing countries (such as Asia, Latin America, Eastern Europe) accepting the “free market system”

3. Impact of the internet and other global media companies (CNN)

4. Mandate for companies to properly manage resources

Trend in future of international marketingInternationalization of U.S. marketsInternationalization of U.S. business Growth of regional trade arias EU, NAFTA, AFTA

APEC Move toward free market system by countries in

Latin America, Asia, Eastern EuropeLarge emerging market such Argentina Brazil,

China , South Korea, Poland, India .Evolving global middle income households GATT

and WTO the TRIAD birth of Euro the internet and global communications.

The Importance Of World Trade

World trade has grown from $200 billion to more than $70 trillion in the past three decades.

World trade was $ 16.9 trillion in 2000 and will exceed $70 trillion in 2009 .

The iron curtain is gone and capitalism has replaced the old economic doctrines.

Firms invest on a global scale and offshore production far exceeds exports.

New trading blocks (like NAFTA, EU) are emergingGlobal linkages bind countries, institutions, and

individuals more closely than ever.World trade opens up entirely new business horizons.

Opportunities And Challenges In future of International Marketing

International environment is dynamic and each of the changes require active reactivity sponge.

Firms and individuals must be capable of adapting to the environment.

Countries are interdependent and isolation is impossible today.

Interdependence and the global economyInternational may be crucial to a firm`s

survival and growth.

.

Significance of international marketingThe terms international marketing refers to

exchanges across national boundaries for the satisfaction of human needs and wants. International marketing affects consumers in many way, though its importance is neither well understood nor appreciated. the significance of international marketing may be explicitly discussed in order to dispel such nation.

International marketing significanceSurvival of the nations

Helpful of in the growth

Large potential of sales and profit

Benefits of diversification

Inflation and price modernisation

International marketing and standard of living

Thank you…..