Factor affecting export marketing

Presented by : -

Anil prajapatiSarvesh upadhyay

Export marketing:-“Export marketing means marketing of goods and services beyond

the national boundaries”.Export marketing means exporting goods to other countriesof the world. It involves lengthy procedure and formalities. In exportmarketing, goods are sent abroad as per the procedures framed bythe exporting country as well as by the importing country. Export 2marketing is more complicated to domestic marketing due tointernational restrictions, global competition, lengthy proceduresand formalities and so on. Moreover, when a business crossed theborders of a nation, it becomes infinitely more complex. Along withthis, export marketing offers ample opportunities for earning hugeprofits and valuable foreign exchange.

Export marketing has wider economic significance as itoffers various advantages to the national economy. It promoteseconomic / business / industrial development, to earn foreignexchange and ensures optimum utilization of available resources.Every country takes various policy initiatives for promoting exportsand for meaningful participation in global marketing. Globalbusiness is a reality and every country has to participate in it formutual benefits. Every country has to open up its markets to othercountries and also try to enter in the markets of other countries inthe best possible manner. This is a normal rule which every countryhas to follow under the present global marketing environment. Inthe absence of such participation in global marketing, the processof economic development of the country comes in danger.

Factors:-Demographic/Physical Environment• Political Environment• Economic Environment• Social/Cultural Environment

Demographic/Physical Environment

i. Population size, growth, density

ii. Urban and rural distribution

iii. Climate and weather variations

iv. Shipping distance

v. Product-significant demographics

vi. Physical distribution and communication network

vii. Natural resources.

Political Environmenti. System of government

ii. Political stability and continuity

iii. Ideological orientation

iv. Government involvement in business

v. Attitudes toward foreign business (trade restrictions, tariffs, non-tariff

barriers, and bilateral trade agreements)

vi. National economic and developmental priorities.

Economic Environment

i. Overall level of development

ii. GNP, industrial sector

iii. Role of foreign trade in the economy

iv. Currency: Inflation rate, availability, controls, and stability of

exchange rate

v. Balance of payments

vi. Per capita income and distribution

vii. Disposable income and expenditure patterns.

Social/Cultural Environment

i. Literacy rate, educational level

ii. Existence of middle class

iii. Similarities and differences in relation to home

market

iv. Language and other cultural considerations.

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