International Marketing

International marketing is marketing activities that are performed to compete beyond the domestic market. Marketing activities performed across national boundaries are usually significantly different from domestic marketing activities. International marketers must have a profound awareness of the foreign environment. The marketing strategy ordinarily is adjusted to meet the needs and desires of foreign markets.

The level of involvement in international marketing can range from casual exporting to globalization of markets. Casual or accidental exporting is the lowest level of commitment. For example, the products of a small medical supplies manufacturer might occasionally be purchased by hospitals or clinics in nearby countries. Full-scale international marketing involvement means that top management recognizes the importance of developing international marketing strategies to achieve the firm’s goal. Globalization of markets requires total commitment to international marketing; it embodies the view that the world is a single market.

Although most firms adjust their marketing mixes to differences in target markets, some firms are able to standardize their marketing efforts worldwide.

Traditional full-scale international marketing is based on products customized according to cultural, regional, and national differences. Globalization, however, involves developing marketing strategies as if the entire world (or regions of it) were a single entity, a globalized firm markets standardized products in the same way everywhere.

Marketers must understand the complexities of the international marketing environment before they can formulate a marketing mix. They therefore collect and analyze secondary and primary data about international markets.

Environmental aspects of special importance include cultural, social, economic, political and legal forces. Cultural aspects of the environment that are most important to international markets include customs, concepts, values, attitudes, morals, and knowledge. The most prominent economic forces that affect international marketing are those that can be measured by income and resources. Credit, buying power, and income distribution are aggregate measures of market potential. Political and legal forces include the political system, national laws, national pressure groups, and courts.

After a country’s environment has been analyzed, marketers must develop a marketing mix and decide whether to adapt product and promotion. There are five possible strategies for adapting product and promotion across national boundaries: (1) keep product and promotion the same worldwide; (2) adapt promotion only; (3) adapt product only; (4) adapt both product and promotion; (5) invent new products. But only if foreign marketing opportunities justify the risk will a company go to the expense of adapting the marketing mix.

Decisions about the distribution system and pricing policies are important in developing international marketing mix. Foreign distribution channels are nearly always different from domestic ones. The allocation of costs, transportation considerations or the costs of doing business in foreign nation will affect pricing.

There are several ways of getting involved in international marketing. Exporting is the easiest and most flexible method. Licensing is an alternative to direct investment; it may be necessitated by political and economic conditions. Joint ventures and strategic alliances are often appropriate when outside resources are needed, when there are governmental restrictions on foreign ownership. Direct ownership of foreign divisions or subsidiaries is the strongest commitment to international marketing and involves the greatest risk.

3. Answer the following questions:

1. What is international marketing?

2. How can the level of involvement range in international marketing?

3. What is full-scale international marketing based on?

4. What must marketers understand?

5. What do environmental aspects include?

6. How many possible strategies for adapting product do you know?

7. What will affect pricing?

8. What is exporting?

9. What is licensing?

10. What is the strongest commitment to international marketing?

4. Give Ukrainian equivalents of the following:

domestic market, beyond, boundaries, full-scale, nearby, medical supplies, to recognize, to achieve, single market, occasionally, profound, therefore, complexities, attitudes, entire world, primary data, although, market potential, legal forces, to affect, subsidiaries, awareness, casual.

5. Give English equivalents of the following:

конкурентні ціни, розподіл, важливість, втілювати, виробник, політичні сили, просування товару, досягати мети, сукупні заходи, цільовий ринок, потребувати, купівельна спроможність, вище керівництво, розподіл прямих витрат, зобов’язання, впливати на, економічні умови, спільне підприємство, гнучкий, відрізняти від, ціноутворення, прямі інвестиції, стратегічні об’єднання.

6. Match and learn the synonyms:

A: wishes and desires, prominent, to satisfy, costs, to perform, income, domestic, to purchase, significant, goal, profound awareness, casual;

B: famous, accidental, to fit, wants and needs, home, expenses, aim, deep knowledge, to buy, to carry out, profit, important.

7. Match and learn the opposites:

A: outside, everywhere, total, domestic, the strongest, flexible, to include, to develop, buying, different;

B: nowhere, single, the weakest, inside, to exclude, similar, selling, foreign, inflexible, to destroy.

8. Match terms in A with their explanation in B:

A	B
Exporting	the easiest and most flexible method of international marketing
Marketing	an alternative to direct investment
Licensing	the process of studying the wants and needs of others and then satisfying them
international marketing	means that top management recognizes the importance of developing international market strategies to achieve the goal
full-scale international marketing	marketing activities that are performed to compete beyond the domestic market

9. Complete the sentences with proper words given below:

cultural aspects, income distribution, a profound awareness, nearby countries, the domestic market, primary data, embodies, total commitment

1. Globalization of markets requires … … to international marketing; it … the view that the world is a single market. 2. Credit, buying power, and … … are aggregate measures of market potential. 3. The products of a small supplies manufacturer might occasionally be purchased by hospitals or clinics in … ….4. International marketers must have a … … of the foreign environment. 5. … … of the environments that are most important to international markets include customs, concepts, values, morals, and knowledge. 6. They therefore collect and analyze secondary and … … about international markets. 7. International marketing is marketing-activities that are performed to compete beyond … …..

10. Put questions to the words in the italics:

1. Casual or accidental exporting is the lowest level of commitment. 2. Companies have to indentify and satisfy the needs of particular market segments. 3. Much future growth will be in industrial marketing. 4. After a country’s environment has been analyzed, marketers must develop a marketing mix. 5. Marketers collect and analyze market information to determine what will be sold and who will buy it. 6. The most prominent economic forces can be measured by income and resources. 7. Place marketing refersto attempts to attract people to a particular area such as a city, state, or nation.

11. Translate into English:

1. Політичні та юридичні сили включають політичну систему, національні закони, суди і таке інше. 2. Маркетологи повинні розуміти всі складності міжнародного маркетингу, перш ніж сформулювати асортимент товарів як маркетингову стратегію. 3. Що може впливати на ціноутворення? 4. Прийняття рішень щодо системи розподілу та політики ціноутворення є важливим моментом у міжнародному маркетингу. 5. Стратегія маркетингу включає створення належного маркетингового комплексу. 6. Маркетинг вивчає людей у соціальному контексті. 7. Спільні підприємства та стратегічні об’єднання часто є доречними, коли зовнішні ресурси є необхідними. 8. Конкуренція серед продавців однакового товару та серед тих, хто бажає купити цей товар має місце на вільному ринку. 9. Рівень залучення на міжнародному ринку може коливатись від тимчасового експорту до глобалізації ринків. 10. Особливо важливими аспектами навколишнього середовища є культурні, соціальні, економічні, політичні та юридичні чинники.

Grammar: Appendix #7

v Adverbial Clauses of Time, Place, Manner

Exercise 12. Translate into English using adverbial clauses of manner, time and place:

1. We shall finish the project when (коли ми повернемось з відрядження). 2. (Поки ви будете обговорювати це питання), they will be reporting at the meeting. 3. The chief accountant will give instructions about the tender as soon as (він отримає всі папери). 4. I remember the points of the contract as if (я щойно прочитав його). 5. (Куди б ми не приїздили) we were welcome cordially. 6. He described the market situation in Poland as if (він побував там особисто). 7. They sent the goods to the warehouse (як тільки його було відвантажено).

Exercise 13. Read, translate and find the adverbial clause of place:

1. The secretary put the papers where she can find them again. 2. If you want, you can stay where you are. 3. Let’s go to where they asked us to wait. 4. Wherever you work, we’ll come to that place to negotiate.

5. We led the foreign guests, wherever they wanted to go. 6. Our building stands where the road turns to the left. 7. Our friends like to spend their leaves where they can shoot and fish.

Exercise 14. Read, translate and find the adverbial clause of time:

1. Do not talk while we are discussing this urgent point of the contract. 2. When I command this department, there will be good discipline. 3. We arrived from abroad after night had fallen. 4. After the law was passed, the company ceased its payments. 4. I have not been well, since I returned from New York. 5. Do everything, before you forget. 6. As the director came into the hall, all rose to their feet. 7. As soon as we heard the news, we sent the information to our partners.