4.6 Marketing INTERNATIONAL Flashcards
(7 cards)
Define international marketing
marketing of an organisation’s products in overseas markets.
It involves identifying + meeting the needs of foreign target markets profitably by designing a global marketing mix that is customised to local preferences
Define opportunities
external factors in the business environment that provide prospects for growth + ⬆️ profitability when entering international markets.
What are 6 key opportunities of operating internationally
1- Lower costs: cheaper labour/materials abroad
2 - Economies of scale: spread fixed costs over global sales
3 - Financial incentives - tax allowances from foreign gov’s to attract multinational companies
4 - Spreading risks: less reliance on 1 market
5 - Favourable laws: fewer regulations on labour laws or lower minimum wages, can = ⬇️ costs
6 - Higher profits: global reach = more customer + brand strength
What are 7 threats of entering and operating internationally
1)trade barriers: tariffs/quotas ⬆️ export costs
2)Legal differences: laws vary between countries = complexity
3)Operational costs: research, logistics, training = expensive
4)Local competitions: established rivals may dominate
5)Currency risk: fluctuations ⬇️ revenue or ⬆️ prices
6)Cultural issues: misunderstood messaging may offend
7)Promotional mistakes: unadapted campaigns can fail or backfire
What are 5 factors businesses should review before entering a foreign market
Infrastructure: Roads, internet, logistics reliability.
Ease of business: Regulations, permits, credit access.
Economy: Income levels, demand, inflation.
Exchange rates: Currency stability for pricing/profit.
Political stability: Less risk of disruption or policy changes.
What are some cultural & social considerations businesses should review when operating internationally
Culture: Respect values, customs, religion, norms.
Preferences: Match local tastes and buying habits.
Language: Translate clearly; avoid confusion or offence.
Symbols: Colours/images can have different meanings.
Promotion fit: Avoid humour or themes that don’t translate well.
Conduct steeple analysis in international marketing
Social: Culture, demographics, education.
Technological: Digital access, automation.
Economic: Growth, income, employment.
Environmental: Climate impact, eco-regulations.
Political: Stability, gov’t policy.
Legal: Copyright, labour laws, standards.
Ethical: CSR, fair trade, transparency.
