When we have good knowledge of concept of marketing then it is easier to understand about International Marketing.
International Marketing is the multinational process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organisational objectives.
The only difference in Marketing and International marketing definition is the multinational process, term used in the definition of international marketing.Multinational process whichimplies that the international marketing process is not a mere repetition of using identical strategies abroad. The four piece of marketing that is promotion, product, price and place must be integrated and coordinated. Marketing mix not only help in achieving higher growth. In order to achieve higher growth internal and external factors should be taken into consideration and put both in such a way that marketing objectives are achieved. Internal factors are controllable but external factors are not controllable. Internal factors include management, finance, strategy, marketing, human resource, legal compliances etc. External factors includecompetition, legal restraints, government controls, weather, fickle consumers, and any other elements of external factors which affect working and growth of firms because the environment within which external factors willimplement change from country to country.
Difficulties created by different environments are international marketer’s primary concerns. International marketing is more complex than domestic marketing because marketers face various external factors which are uncontrollable and which vary from country to country. The marketer must cope with different cultural, legal, political and monetary systems in international markets. A firm’s marketing mix is determined according to the uncontrollable factors of environment of different countries. So, for a better result firm should change their marketing mix according to country’s environment in which it has to implement.
Thus, difference between domestic and international marketing arise entirely by difference that exits in national and multinational environment.
International Marketing Concepts
Now we are going to discuss in detail about international marketing concepts
- Domestic Marketing – Marketing that is targeted exclusively at the home country’s market is called domestic marketing. When domestic firm started to achieve growth then it also started to diversifies into new market, products and technologies within the country despite of being entering foreign markets.
- Export Marketing – This is the first step for any firm which wants to expand their business outside the country. In export marketing, the main aim of firm is to expand its market size. Firm produces all its produce in the home country and export surplus products trough agents and there are no direct marketing efforts in the foreign markets. It makes full marketing efforts in the domestic country, but do not undertake any marketing activities in the foreign countries. Thus, in export marketing the emphasis is on the expanding the market size by exporting to the other countries, but not making full fledged marketing efforts in foreign countries.
- International Marketing – In international marketing, company establishes subsidiaries in the foreign countries to undertake marketing operations. These subsidiaries may be working either through direction come from headquarters, which are in domestic countries or independently. But the key positions in these companies are managed through domestic country’s nationals. When the firm decides to pursuing market opportunities outside the home country, it extends marketing, manufacturing and other activities outside the home country. The marketing strategies of the firm is to extend their business, means to expands their products, promotion, pricing and business practices that developed for the home country market are extended into markets around the world.
- Multinational Marketing – As we read above that in order to extend business in other countries firm extend marketing mix in other country but the problem arises here is that domestic marketing mix concept does not work effectively in other countries business environment because business environment of one country differ from domestic country. So, there is a need to modify marketing mix of domestic country in according to suitability of business environment of other country. This is known as multinational marketing approach.
- Global Marketing – In this stage firms realise that world is not as homogeneous market, the possibilities to identify the groups of consumers across the globe with similar values, needs and behaviour patterns who can be satisfied with a single standardised product and marketing mix. It is known as global marketing strategy. Under this strategy, world as a whole is viewed as single market. Thus it means that global marketing views, as an entire set of country as a single unit, identifying groups of buyers with similar issues and developed marketing plan which will cost and culturally effective.