Global, Marketing

GLOBAL
AND
INTERNATIONAL
MARKETING
TA M E E R
SANDEEP
ABHISHEK
DINESH
TOPICS
Introduction
Key Concepts
Challenges and Opportunities
Global Market Entry Strategies
Customization vs. Standardization
Conclusion
Introduction to Global Marketing
Global marketing is a strategy where

companies market their products or services
on a global scale, aiming for consistency
across countries, while recognizing and
adapting to international variations in
culture, regulations, and
consumer preferences.globally
Key Concepts in Global
Marketing
• Standardization
• Global Branding
• Market Segmentation
• Cultural Sensitivity
• Local Adaptation
• Global Expansion
• Global Competitive Analysis
• Market Research
• Risk Management
• Global Supply Chain
Challenges and Opportunities
CHALLENGES OPPORTUNITIES
Cultural Differences Increased Market Potential
Language Barriers Diversification
Legal and Regulatory Compliance Innovation and Learning
Economic Variability Brand Building
Competitive Landscape Economies of Scale
Supply Chain and Logistics Strategic Alliances
EXAMPLE: McDonald’s
Global Market Entry Strategies
Exporting:
Exporting is the simplest entry strategy and involves selling products or services to foreign customers from the
company's home country. This can be done directly or indirectly through distributors, agents, or intermediaries.
Exporting is a low-risk strategy but may limit control over the distribution and customer experience. Ex: Nike
exports its sports apparel and footwear to various countries
Licensing and Franchising:

Licensing allows a company to grant foreign entities the rights to use its intellectual property, such as trademarks,
patents, or technology, in exchange for royalties or fees. Franchising is a similar approach but involves replicating
an established business model. These strategies require less capital investment but may involve risks related to
brand reputation and control. Ex: Disney licensing its characters to international theme parks for local operations.
Joint Ventures and Strategic Alliances:

Companies can form joint ventures with local partners or enter into strategic alliances with foreign companies to
share resources, risks, and expertise. This approach can help navigate local regulations and cultural nuances while
benefiting from local knowledge and distribution channels. Ex: Sony and Ericsson forming a join venture to
produce mobile phones, leveraging each other’s strengths.
Wholly Owned Subsidiaries:
Establishing wholly owned subsidiaries in foreign markets involves complete ownership and control. This
strategy provides the most control over operations, but it often requires significant capital investment and
carries a higher degree of risk. Ex: Toyota establishing wholly-owned manufacturing plants in different
countries for global production.
Acquisitions and Mergers:

Companies can acquire existing businesses in the target market or engage in mergers with local companies.
This strategy can provide immediate access to local markets and established customer bases but may involve
integration challenges and cultural differences. Ex:Facebook acquiring WhatsApp to expand its user base and
gain a foothold in the messaging app market.
Strategic Alliances and Partnerships:

Forming partnerships and alliances with local companies or organizations can be a mutually beneficial way
to enter foreign markets. These partnerships can help in gaining market insights, access to local networks,
and leveraging existing customer bases. Ex: Starbucks forming a strategic alliance with Nestle to expand its
distribution and reach new international markets.
E-commerce and Online Marketplaces:

Leveraging e-commerce platforms and online marketplaces can provide a relatively low-cost way to access
global markets. Companies can sell their products or services directly to international customers through their
websites or platforms like Amazon, eBay, and Alibaba. Amazon expanding its online retail platform to serve
customers globally, adapting its website for different regions.
Customization
vs.
Standardization
Customization:
Customization involves tailoring products, services, and marketing strategies to the unique preferences,
cultural norms, and regulations of each target market. This approach recognizes and respects the differences
between markets and aims to create a local, personalized experience.Ex:Coca-Cola* adapts its marketing
campaigns and product offerings to cater to local tastes and cultural preferences in different countries. For
instance, offering unique flavors that appeal to specific regions.
Advantages of Customization:
Better alignment with local consumer preferences.
Increased cultural sensitivity and acceptance.
Enhanced customer satisfaction and loyalty.
Ability to address local regulations and market conditions.
Disadvantages of Customization:
Higher costs and resource requirements for product and marketing adaptation.
Complex supply chain management due to variations in products and services.
Slower time-to-market, as customization can be time-consuming.
Difficulty in maintaining a consistent global brand image.
Standardization:
Standardization involves offering the same products, services, and marketing
strategies in all or multiple international markets with minimal adaptation. This
approach focuses on economies of scale, cost-efficiency, and maintaining a
consistent global brand image.Ex*Apple* maintains a standardized design and
user interface across its products globally. The sleek and minimalist design of
iPhones and MacBooks remains consistent, irrespective of the market.:
Advantages of Standardization:
Lower production and marketing costs due to economies of scale.
Faster time-to-market, as there is minimal need for product adaptation.
Consistency in brand messaging and image across markets.
Simplified supply chain management and operational efficiency.
Disadvantages of Standardization:
This may lead to cultural insensitivity or misunderstandings in some markets.
May not fully address local consumer preferences or regulatory requirements.
Risk of reduced customer acceptance in markets where customization is
expected.
Potential loss of market share to competitors who adapt to local markets.
Conclusion
Global marketing presents a myriad of challenges and
opportunities for businesses seeking to expand their reach
beyond domestic markets. The success of global marketing
strategies hinges on the careful consideration of factors such
as cultural differences, legal and regulatory complexities,
economic variability, and the competitive landscape. While
these challenges can be daunting, they are counterbalanced by
numerous opportunities, including access to larger market
potentials, diversification, innovation, and economies of scale.

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GLOBAL

Global marketing is a strategy where

Cultural Differences Increased Market Potential

Language Barriers Diversification

Legal and Regulatory Compliance Innovation and Learning

Economic Variability Brand Building

Competitive Landscape Economies of Scale

Supply Chain and Logistics Strategic Alliances

Licensing and Franchising:

Joint Ventures and Strategic Alliances:

Acquisitions and Mergers:

Strategic Alliances and Partnerships:

E-commerce and Online Marketplaces:

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