SCHEME OF WORK MARKETING SS3 FIRST TERM
WEEKS TOPICS
1-4 International marketing
5-10 organizing for international marketing
week 1
International marketing involves the firm in making one or more
marketing mix decisions across national boundaries,
It is the total system of business activities designed to
plan,price,promote and distribute goods and services to potential
foreign customers,
It is the act of marketing goods and services of a country in another
country,
These different levels of marketing can be expressed in the following
terms;
1] Domestic marketing; This involves the company manipulating a
series of controllable variables such as price,advertising,distribution
and the product/service attributes in a largely uncontrollable external
environment that is made up of different economic
structures,competitors,cultural values and legal infrastructure within
specific political on geographic country boundaries.
2] International marketing; This involves operating across a number of
foreign country markets in which not only do the uncontrollable
variables differ significantly between on market and another,but the
controllable factors in the form of cost and price structures,
opportunities for advertising and distributive infrastructure are also
likely to differ significantly, it is these sort of differences that lead to
the complexities of international marketing,
3] Global marketing; Which is a larger and more complex international
operation ,here a company coordinates,integrates and controls a whole
series of marketing programmes into a substantial global effort,here
the primary objective of the company is to achieve a degree of synergy
in the overall operation,so that by taking advantage of different
exchangic rates,tax rates,labour rates,skill levels,and market
opportunities,the organization as a whole will be greater than the sum
of its parts
WEEK 2
REASONS FOR INTERNATIONAL TRADING BETWEEN COMPANIES
Amongst individual companies there is an increasing need for them to
expand their markets into the international arena for a number of
reasons,namely;
To increase the overall level of total profits,
Because the home market might be saturated,
To take advantage of an in novative world product or service
To enjoy the funding benefits from setting up the manufacturing and
assembly bases in certain overseas countries which might also offer
access to the trading block to which that country belongs
The reason a company might wish to enter the international arena is to
escape competition in the home market,
I MPORTANCE OF INTERNATIONAL MARKETING,
Counteract slowing Growth; companies in some industries have found
that the rate of growth of their traditional markets is slowing or even
stagnant,
To sustain the revenue growth which the company has achieved in the
past,it is necessary to build the international side of their business,
for companies which have gone public,slower growth in earnings per
share can result in a declining price for the companys stock
Entering markets before competitors do; A first to market advantage
means bringing your company’s goods to service to a new market
segment ahead of your competitors,over time a company may lose this
advantage domestically as new competitors arise and begin to gain
market share ,but international markets for these same goods or
services may not yet be exploited,The company can be a trailblazer in
the new international market and rapidly build revenues there,
Better utilize productive capacity; Building international sales allows a
manufacturing company to increase its factory utilization and lower its
unit production costs for the company as a whole,because fixed
operating costs are now spread over more units produced
Synergies between domestic and oversea operation; A successful
international marketing strategy brings about synergistic,benefits that
strengthen the organization as a whole,by establishing sales
operations overseas,the company may discover opportunities to save
costs by having some of the manufacturing or assembly of products
done in the foreign country where labour costs are lower,The
company’s international presence may open up opportunities to secure
raw materials at favorable prices for both its parent country and
international manufacturing activities,
International markets also makes goods and services produced in
domestic market available in foreign markets
INTERNATIONAL TRADE SYSTEM
Trade plays a vital role in shaping economic and social performance
and prospects of countries around the world,especially those of
developing countries,No country has grown without trade,however,the
contribution of trade to development depends a great deal on the
context of it works and the objectives it serves
In recent decades,a number of developing countries,most notably the
east asian newly industrializing countries,have been able to
purposefully use the elemental force of trade to boost growth and
development within a relatively short time span,
REASONS FOR INTERNATIONAL
Growth and profitability
Economic of scale
Risk diversification
Uniqueness of product or services
Spreading R and D costs
Resources and Ideas
Employment
FEATURES OF INTERNATIONAL MARKETING
Economic
political /legal
Social
Cultural
Financial
Demographic
CLASSWORK
What is international marketing?
differentiate between domestic marketing and international marketing
Give five reasons for international trading between companies
List and explain five importance of international marketing
Identify five features of international marketing
ASSIGNMENT
Explain how to organize for international marketing
