Chapter 21 - Tapping into global markets. In this chapter, we will address the following questions: What factors should a company review before deciding to go abroad? How can companies evaluate and select specific foreign markets to enter? What are the differences between marketing in a developing and a developed market? What are the major ways of entering a foreign market? | Kotler • Keller Phillip Kevin Lane Marketing Management • 14e Tapping into Global Markets Chapter 16 Discussion Questions What factors should a company review before deciding to go abroad? How can companies evaluate and select specific foreign markets to enter? What are the differences between marketing in a developing and a developed market? What are the major ways of entering a foreign market? Discussion Questions To what extent must the company adapt its products and marketing program to each foreign country? How do marketers influence country-of-origin effects? How should the company manage and organize its international activities? Competing on a Global Basis Otis Elevator Door system – France Small gear parts – Spain Electronics – Germany Motor drives – Japan Systems integration – . Global competition is intensifying in more product categories as new firms make their mark on the international stage. A global firm operates in more than one country and captures R&D, production, | Kotler • Keller Phillip Kevin Lane Marketing Management • 14e Tapping into Global Markets Chapter 16 Discussion Questions What factors should a company review before deciding to go abroad? How can companies evaluate and select specific foreign markets to enter? What are the differences between marketing in a developing and a developed market? What are the major ways of entering a foreign market? Discussion Questions To what extent must the company adapt its products and marketing program to each foreign country? How do marketers influence country-of-origin effects? How should the company manage and organize its international activities? Competing on a Global Basis Otis Elevator Door system – France Small gear parts – Spain Electronics – Germany Motor drives – Japan Systems integration – . Global competition is intensifying in more product categories as new firms make their mark on the international stage. A global firm operates in more than one country and captures R&D, production, logistical, marketing, and financial advantages not available to purely domestic competitors. Global firms plan, operate, and coordinate their activities on a worldwide basis. Otis Elevator uses door systems from France, small geared parts from Spain, electronics from Germany, and motor drives from Japan; systems integration happens in the United States. Figure Decisions in International Marketing Deciding whether to go abroad Deciding on the marketing program Deciding how to enter the market Deciding which markets to enter Deciding on the marketing organization Deciding Whether to Go Abroad Higher profit potential Economies of scale Reduce single market dependency Counterattack competitors Customers going abroad Most companies would prefer to remain domestic if their domestic market were large enough. Managers would not need to learn other languages and laws, deal with volatile currencies, face political and legal uncertainties, or redesign their products to suit different
