Edexcel- Global marketing 4.3

Question 1

Global marketing strategy

Answer 1

process of planning, producing, placing and promoting a businesses product or service to the global market.

Question 2

Glocalisation

Answer 2

Strategy where business aims to reach customers globally and take into consideration the needs of local markets.

Question 3

Domestic/ Ethnocentric

Answer 3

No changes to products for overseas customers and marketing is the same.

Question 4

Example of ethnocentric

Answer 4

Apple standardised all their products.

Question 5

Ethnocentric advantages

Answer 5

Businesses can benefit from economies of scale.
Costs are lower.

Question 6

Ethnocentric disadvantages

Answer 6

Businesses could loose sales.
Approach can lead to cultural insensitivity.

Question 7

Polycentric/International approach

Answer 7

Businesses adapt market strategy by tailoring their products to each local market.

Question 8

polycentric example

Answer 8

Kit Kat develop different adaptions for different consumers in international markets.

Question 9

Polycentric advantages

Answer 9

Sales are likely to increase.
Helps to develop brand image.

Question 10

Polycentric disadvantages

Answer 10

Product development may increase costs.
Additional costs for market research.

Question 11

Geocentric/Mixed approach:

Answer 11

Utilises standardised products but tailors to meet needs of local markets overseas.

Question 12

Geocentric example

Answer 12

McDonalds standardises products whilst tailoring to local needs.

Question 13

Geocentric advantages

Answer 13

Sales likely to increase
Develop brand image in overseas markets.

Question 14

Geocentric disadvantages

Answer 14

High costs with product development and menu changes.

Question 15

Place

Answer 15

Identify best channel of distribution to get to customer in particular market.
Consider available technology.

Question 16

Product

Answer 16

How much to modify or adapt products to meet overseas market.
Consider whether to take Polycentric, ethnocentric or geocentric approach.

Question 17

Price what must be considered?

Answer 17

Customer incomes
Cost of production
Taxes

Question 18

Price

Answer 18

Stage of product life cycle the product is at in the market.
State of economy.

Question 19

Promotion

Answer 19

Adapted to meet language and cultural differences.
Must choose most effective production method.

Question 20

Market penetration

Answer 20

Least risky
Existing products into existing markets

Question 21

Market development

Answer 21

Existing products into new markets
Low risk
Businesses adapt products to meet global needs.

Question 22

Diversification

Answer 22

New products for new markets
High risk if limited knowledge on market
Local marketing knowledge is needed

Question 23

Product development

Answer 23

New products into existing markets
Adapting marketing mix to ensure products resonate with local consumers.

Question 24

Barlett and Ghostal matrix

Answer 24

Indicates strategic options for businesses wanting to manage their international operations based on two factors.

Question 25

What two factors are the Barlett and Ghostal matrix based on?

Answer 25

Local responsiveness Global integration

Question 26

Global

Answer 26

Low pressure for local responsiveness High pressure for global integration

Question 27

Global example

Answer 27

Apple

Question 28

Transnational

Answer 28

High pressure for local responsiveness High pressure for global integration

Question 29

International

Answer 29

Low pressure for local responsiveness Low pressure for global integration

Question 30

Multi domestic

Answer 30

High pressure for local responsiveness Low pressure for local integration

Question 31

Global example

Answer 31

Apple

Question 32

Transnational example

Answer 32

Starbucks

Question 33

International example

Answer 33

McDonalds

Question 34

Multi domestic example

Answer 34

Nestle