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Lecture Global marketing: Contemporary theory, practice, and cases: Chapter 1 - Ilan Alon, Eugene Jaffe

Chapter 1, understanding global markets and marketing. The main contents of this chapter include all of the following: Globalization, global marketing, global markets, global marketing strategy, global vision. | Chapter 1- Understanding Global Markets and Marketing "Companies must learn to operate as if the world were one large market – ignoring superficial regional and national differences" Theodore Levitt McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. Outline Globalization Global Marketing Objectives Approach Global Markets CAGE Distance Framework EPRG Framework Global Marketing Strategy Global Vision Summary Markets Are Becoming Global Globalization - a process of interaction and integration among people, companies, and governments of many nations, is driven by international trade and investment and has resulted in what some call a global economy. Example 18-year-old Hanna logs on to a Canadian web site, orders the latest CD recorded by Madonna, and pays for it in Kroner, using a Danish credit card issued by her local bank. 1-3 Global Marketing Increasingly mobile workforce, more informative customers, and rapidly changing technologies and business models. Marketing strategy is the key to attaining competitive advantage in the global marketplace. How can a successful global marketing strategy be developed and sustained? Global Marketing Approach Requires the firm to focus its efforts world-wide, rather than developing marketing strategies on a country by country basis The objective: Coordination and integration of production, marketing and other functional activities across countries Global Markets Global markets: The idea that regional and/or world markets are converging, allowing for a more standardized marketing strategy. Implementing a global strategy depends on the distance (or closeness) between regions and countries The Cage Distance Framework Measured by 4 dimensions Cultural Language, ethnicities, religion, values, norms Administrative Laws, political risk, government structure Geographic Country size, infrastructure, climate, remoteness from neighboring countries. Economic Differences in national income, costs of . | Chapter 1- Understanding Global Markets and Marketing "Companies must learn to operate as if the world were one large market – ignoring superficial regional and national differences" Theodore Levitt McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. Outline Globalization Global Marketing Objectives Approach Global Markets CAGE Distance Framework EPRG Framework Global Marketing Strategy Global Vision Summary Markets Are Becoming Global Globalization - a process of interaction and integration among people, companies, and governments of many nations, is driven by international trade and investment and has resulted in what some call a global economy. Example 18-year-old Hanna logs on to a Canadian web site, orders the latest CD recorded by Madonna, and pays for it in Kroner, using a Danish credit card issued by her local bank. 1-3 Global Marketing Increasingly mobile workforce, more informative customers, and rapidly changing technologies and .