CH 1. Intro to Global MarketingCH 1. Intro to Global Marketing

Global MarketingGlobal MarketingValue ChainValue ChainBoundaryless Boundaryless MarketingMarketingValue=Benefits/PriceValue=Benefits/PriceCompetitive Competitive AdvantageAdvantage

Global MarketingGlobal MarketingWhat it is and What it is and What is notWhat is not

The Importance of The Importance of Global MarketingGlobal Marketing

Management Management OrientationsOrientations

Forces Affecting Global Forces Affecting Global IntegrationIntegration

Global MarketingGlobal Marketing

A company that engages in global A company that engages in global marketing focuses its resources on global marketing focuses its resources on global market opportunities and threats.market opportunities and threats.

Marketing, R& D, manufacturing, and Marketing, R& D, manufacturing, and other activities comprise a firm’s value other activities comprise a firm’s value chain.chain.

Strategic Focus and Competitive Strategic Focus and Competitive AdvantageAdvantage

The marketing mix, value chain, The marketing mix, value chain, competitive advantage, and focus are competitive advantage, and focus are universal in their applicability.universal in their applicability.

Companies that fail to pursue global Companies that fail to pursue global opportunities risk being pushed aside by opportunities risk being pushed aside by stronger global competitors.stronger global competitors.

Global MarketingGlobal Marketing

Global marketing does not necessarily Global marketing does not necessarily mean offering identical products to mean offering identical products to consumers and organizations in all parts consumers and organizations in all parts of the world.of the world.

Standardized vs. Localized Standardized vs. Localized ApproachApproach

Theodore LevittTheodore Levitt

Management OrientationsManagement Orientations

EthnocentricEthnocentric

PolycentricPolycentric

RegiocentricRegiocentric

GeocentricGeocentric

Driving and Restraining ForcesDriving and Restraining Forces

Driving ForcesDriving Forces– Regional economic Regional economic

agreementsagreements– Market needs and wantsMarket needs and wants– TechnologyTechnology– Transportation. & Transportation. &

communication communication ImprovementsImprovements

– Product development costsProduct development costs– World economic trendsWorld economic trends– LeverageLeverage

Restraining ForcesRestraining Forces– market differencesmarket differences– management myopiamanagement myopia– organizational cultureorganizational culture– national controls non- tariff national controls non- tariff

barriersbarriers