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Global Marketing ManagementGlobal Marketing Management
Mudji Rachmat [email protected] Manajemen FE UnilaBBS-Unilanet gd. PKM lt2http://unilanet.unila.ac.id/~muji
Global MarketingGlobal Marketing
Coordinated performance of marketing activities to create exchanges across countries that satisfy individual, organizational, and societal objectives.
Examples of Global Examples of Global MarketingMarketingProduct Design
Brand Name
Product Positioning
Packaging
Advertising Strategy
Sales Promotion
Distribution
Customer Service
Canon photocopier/McDonald’s/Toyota
Coke/Sony/BMW/
Colgate toothpaste
Gillette razors
Coca-Cola/Benetton
IBM
Benetton/Ikea
American Express
What is Unique about Global Marketing? What is Unique about Global Marketing?
Economic Environment– Fiscal policies - tax and government
expenditures– Monetary policies - regulate money supply
Financial Environment– Exchange rates and fluctuations– Foreign exchange reserves
What is Unique about Global Marketing?What is Unique about Global Marketing?
Political Environment– Tariff barriers– Nontariff barriers– Regulations
Cultural Environment– Values– Beliefs– Attitudes
Global Marketing EnvironmentGlobal Marketing Environment
GlobalGlobal
RegionalRegional
LocalLocal
Marketing MixMarketing Mix
EnvironmentEnvironment
Global Marketing EvolutionGlobal Marketing Evolution Domestic Marketing (domestic focus; home
country customers; ethnocentric orientation). Export Marketing (ethnocentric orientation;
products developed for home country customers). International Marketing (markets in many
countries; polycentric orientation; use of multidomestic marketing when customer needs are different across national markets).
Global Marketing EvolutionGlobal Marketing EvolutionMultinational Marketing (many markets;
consolidation on regional basis; regiocentric orientation; standardization within regions).
Global Marketing (international, multinational & geocentric orientation; company’s willingness to adopt a global perspective; global products with local variations).
Global MarketingGlobal MarketingStandardization Efforts--product offerings,
promotional mix, price, and channel structure.Coordination Across Markets—reducing cost
inefficiencies.Global Integration—participating in many
major world markets to gain competitive leverage, subsidize operations in some markets.
Global Marketing DecisionsGlobal Marketing Decisions
Internationalize Business?
Global Marketing Decisions
Market Entry Selection
Country Market Selection
Why Global Marketing?Why Global Marketing?
Exploiting Firm-Specific Capabilities– Technological innovations– Strong Trade Names
Lowering Cost Structure– Outsourcing– Hub and spokes model
Why Global Marketing?Why Global Marketing?Diversification and competitiveness
– Product/market portfolio– Cross-subsidization
Country market attractiveness– Income– Consumer preference
Technology and market globalization
Why Global MarketingWhy Global MarketingSaturation of domestic markets: Domestic
market saturation in the industrialized countries and growing marketing opportunities overseas.
Global competition: Competition around the world and proliferation of the Internet.
Need for global cooperation: Global competition brings global cooperation.
GLOBAL INTEGRATIONGLOBAL INTEGRATION
Restraining Forces
Technology
Culture
Market Needs
Cost
Free Markets
Economic Integration
Peace
Management Vision
Strategic Intent
Global Strategy and Action
Culture
Market Differences
Costs
National Controls
Nationalism
War
Management Myopia
Organization History
Domestic Focus
Driving Forces
Global Trade ImportanceGlobal Trade ImportanceWorld trade has grown from $200 billion to
more than $7 trillion in the past three decades.The Iron Curtain is gone and capitalism is the
new economic order.Firms invest on a global scale.Increasingly more difficult to define “where”
products come from.New trading blocs are emerging.
“If we distributed pictures only in the United States, we’d lose money. It takes the whole world now to make the economics of movie-making work.”
- William Mechanic
President, 20th Century Fox
“Half the people in the world have yet to take their first picture. The opportunity is huge, and it’s nothing fancy. We just have to sell yellow boxes of film.”
- George M.C. Fisher
CEO, Eastman Kodak Company
Thank You!Thank You!