Marketing Applications Essay

Which environmental forces sociocultural, economic, political, legal, regulatory social ethical, competitive, or technical, might a marketer need to consider when marketing the following products in the international marketplace and why? †¢Barbie Dolls †¢Beer †¢Financial Services †¢Televisions International Marketing involves developing and performing marketing activities across national boundaries. Marketing is the process of creating, distributing, promoting, and pricing goods, services and ideas to facilitate satisfying exchange relationships with customers and to develop and maintain favorable relationships with stakeholders in a dynamic environment. Therefore, I believe all the forces sociocultural, economic, political, legal, regulatory social ethical, competitive, or technical would apply to the above mentioned products. A marketer would need to recognize the products and services customers in the home country would want and need then provide them at the right price and place. A marketer should also be able to assess the risk involved and have the ability to function and spot opportunities and threats in business matters internationally. Sociocultural: it is vital that a marketer understand the country’s people and their attitudes, beliefs, values, customs, and lifestyles preferences. A marketer may need to change the product or product label to meet the conditions, wants or the wishes of the foreign country. Economic forces: considerations would include a country’s buying power and what resources it has at its immediate disposal such as money or the ability to trade. Unemployment, recession, and a willingness to buy products are international economic forces too. Other forces are currency fluctuations, Tariff Barriers and currency exchange rates. Changes in customer buying habits and labor costs around the world are forces as well. Political, Legal and Regulatory: Understanding how laws, policies, government regulations, and self regulatory agencies affect marketing forces is a necessity. A marketer would need to be educated on how certain laws (as well as a country’s interpretations of the laws) and compliances are enforced ,such as the Federal Food & Drug Administration, Federal Trade Commission and Government controls etc, before marketing internationally. Any obstacle that makes it difficult for a business to enter a product into an international market such as slow customs, Government regulations, natural barriers, bureaucratic inactivity in processing licenses means no productivity for a business. Socioethics; how a marketer deals with international issues has a considerable impact on the businesses success. A Marketers’ standards of conduct and moral values could make or break a business deal. The marketer should do business and behave ethically. Customer may be concerned about privacy, truth in pricing and advertizing be concerned how they market their products to children and young adults. Competitive: In order to be stay on top of international competition a marketer should totally understand why, how, where, and when to do business in specific international business markets. I believe it is important to know the company’s strategic mission, its strengths and its weaknesses too. A marketer should make the product stand out from the competitor’s products by creating competitive pricing and value. The product should also be difficult to duplicate or substitute and be able to meet differences in the country’s tastes and demands. Technology: A marketer needs to be able to build efficient connections with customers and suppliers and to have the awareness and tools i.e. computer, satellite, cell phones, voice mail and faxing to solve problems and perform the job more efficiently. Other businesses may not have the latest technological knowhow or the most up to date technology. A marketer would need to understand how to get around those types of problems or it could create barriers in marketing products. Marketing Applications # 3 The shoe manufacturer would need to establish a clearly defined competitive strategy to put their efforts into motion. They would need to learn about international markets and select an appropriate field to do business in. Since domestic marketing is doing business within the borders of the local or home market it would be a good idea to first attempt limited exporting as it is usually the first step before getting into the international arena. It is also a good way to practice and establish business relationships in a different country. Limited exporting can give the shoe manufacturer an idea for how the shoes will sell where. It will also give them a feel for international trends. Limited exporting is less risky when a company wants to expand with existing products and it requires the least amount of effort and obligation on the part of the shoe manufacturer’s resources. The next step of the shoe manufacturer going international is the initial entry where the shoe manufacturer hires foreign representation or contracts with foreign manufacturers. Then they should pursue international markets, at that point they may license or franchise to another company the right to use the shoe manufacturer’s brand name or other terms. When the shoe manufacturer decides to go global they should become more aggressive in their importing and exporting business. They should explore contract manufacturing and hire a broker or send employees to foreign countries as salespeople and build upon strategic alliances or joint ventures where the shoe manufacturer buys or joins a foreign company to create new entity.