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Chapter 1
Nature of International
Marketing
Challenges and Opportunities
 Process of International Marketing
 International Dimensions of Marketing
 Domestic Marketing vs. International Marketing
 Multinational Corporations (MNCs)
- Pros and Cons
- Multinationality and Market Performance
- Characteristics of MNCs
 The Process of Internationalization
 Benefits of International Marketing
Definition of International Marketing
 Multinational process of planning and
executing the conception, pricing, promotion,
and distribution of ideas, goods, and services
and to create exchanges that satisfy
individual and organizational objectives
Dimensions of Marketing
 Consumer Marketing vs. Business-to-Business
Marketing
 Domestic Marketing vs. Foreign Marketing
 Comparative Marketing
 International Marketing vs. Global/Multinational
Marketing
 Domestic Marketing vs. International Marketing
- similar in nature but not in scope (scale)?
- different in degree but not in kind?
MNCs (MULTINATIONAL
CORPORATIONS)
 Cons
- Exploitation
- Erosion of a Nation's Sovereignty
 Pros
- Power and Prestige
- Social Responsibility
- Market Performance
Characteristics of MNCs
 Definition by Size
- market value
- sales
- profits
- assets
- number of employees
Characteristics of MNCs
 Definition by Structure
- number of countries in which the firm does
business
- citizenship of corporate owners and top
managers
Characteristics of MNCs
 Definition by Performance
- commitment of corporate resources to foreign
operations
- amount of rewards from that commitment
Characteristics of MNCs
 Definition by Behavior
- ethnocentricity
- polycentricity
- geocentricity
Behavior/ Attitude
 Ethnocentricity
- orientation toward home country
- centralization of decision making
- efficient but not effective
Behavior/ Attitude
 Polycentricity
- strong orientation to host country
- decentralization of decision making
- effective but not efficient
Behavior/ Attitude
 Geocentricity
- world orientation
- centralization + decentralization +
coordination
- efficient and effective
Benefits of International Marketing
 Survival and Growth
 Sales and Profits
 Diversification
 Inflation and Price Moderation
 Employment
 Standards of Living
 Understanding of Marketing Process

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Nature of international marketing

  • 1. Chapter 1 Nature of International Marketing
  • 2. Challenges and Opportunities  Process of International Marketing  International Dimensions of Marketing  Domestic Marketing vs. International Marketing  Multinational Corporations (MNCs) - Pros and Cons - Multinationality and Market Performance - Characteristics of MNCs  The Process of Internationalization  Benefits of International Marketing
  • 3. Definition of International Marketing  Multinational process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services and to create exchanges that satisfy individual and organizational objectives
  • 4. Dimensions of Marketing  Consumer Marketing vs. Business-to-Business Marketing  Domestic Marketing vs. Foreign Marketing  Comparative Marketing  International Marketing vs. Global/Multinational Marketing  Domestic Marketing vs. International Marketing - similar in nature but not in scope (scale)? - different in degree but not in kind?
  • 5. MNCs (MULTINATIONAL CORPORATIONS)  Cons - Exploitation - Erosion of a Nation's Sovereignty  Pros - Power and Prestige - Social Responsibility - Market Performance
  • 6. Characteristics of MNCs  Definition by Size - market value - sales - profits - assets - number of employees
  • 7. Characteristics of MNCs  Definition by Structure - number of countries in which the firm does business - citizenship of corporate owners and top managers
  • 8. Characteristics of MNCs  Definition by Performance - commitment of corporate resources to foreign operations - amount of rewards from that commitment
  • 9. Characteristics of MNCs  Definition by Behavior - ethnocentricity - polycentricity - geocentricity
  • 10. Behavior/ Attitude  Ethnocentricity - orientation toward home country - centralization of decision making - efficient but not effective
  • 11. Behavior/ Attitude  Polycentricity - strong orientation to host country - decentralization of decision making - effective but not efficient
  • 12. Behavior/ Attitude  Geocentricity - world orientation - centralization + decentralization + coordination - efficient and effective
  • 13. Benefits of International Marketing  Survival and Growth  Sales and Profits  Diversification  Inflation and Price Moderation  Employment  Standards of Living  Understanding of Marketing Process