11/8/2013
Mod 6
International Marketing
Units 19 - 22
Key Concepts of International
Marketing
1
, 11/8/2013
The US Scenario
• 1 out of every 3 U.S. farm acres is producing for export
• 1 of every 6 U.S. manufacturing jobs produces for export
• $1 of every $7 of U.S. sales goes abroad
• 1 of every 3 cars, 9 out of 10 TVs, 2 out of 3 suits, and
every CD Player sold in the U.S. is imported.
• Travel and tourism is the #1 source of U.S. foreign
exchange.
• $1 of every $4 of U.S. bonds & notes is issued to
foreigners.
International Marketing
• Scope and Challenge
• International Marketing - is concerned with planning
and conducting transactions across international
borders to satisfy the objectives of individuals and
organizations.
• “Identifying and satisfying consumer needs abroad;
better than the national and international competitors,
under the constraints of the internationalization stage
of the firm and the global environment” - Nathalie
Prime
• Some Governments pursue economic policies aimed at
increasing export earnings on a national scale.
2
, 11/8/2013
Rationale Behind International
Marketing
• There is a trend toward a global economy.
• Excess Capacity
• Competitive Pressures
• Markets across the world being sought after by
more competitors
• Explosion of international trade
• Global linkages are becoming important
• Economies of scale and scope
• Saturated markets in the home country
• New trade agreements
International Marketing
• “If we only distributed pictures in the U.S., we’d
lose money. It takes the whole world now to
make the economics of movie-making work”
- William Mechanic
President, 20th Century Fox
• “Half the people in the world have yet to take their first
picture. The opportunity is huge, and it’s nothing fancy.
We just have to sell yellow boxes of film.”
- George M.C. Fisher
CEO, Eastman Kodak Company
3
Mod 6
International Marketing
Units 19 - 22
Key Concepts of International
Marketing
1
, 11/8/2013
The US Scenario
• 1 out of every 3 U.S. farm acres is producing for export
• 1 of every 6 U.S. manufacturing jobs produces for export
• $1 of every $7 of U.S. sales goes abroad
• 1 of every 3 cars, 9 out of 10 TVs, 2 out of 3 suits, and
every CD Player sold in the U.S. is imported.
• Travel and tourism is the #1 source of U.S. foreign
exchange.
• $1 of every $4 of U.S. bonds & notes is issued to
foreigners.
International Marketing
• Scope and Challenge
• International Marketing - is concerned with planning
and conducting transactions across international
borders to satisfy the objectives of individuals and
organizations.
• “Identifying and satisfying consumer needs abroad;
better than the national and international competitors,
under the constraints of the internationalization stage
of the firm and the global environment” - Nathalie
Prime
• Some Governments pursue economic policies aimed at
increasing export earnings on a national scale.
2
, 11/8/2013
Rationale Behind International
Marketing
• There is a trend toward a global economy.
• Excess Capacity
• Competitive Pressures
• Markets across the world being sought after by
more competitors
• Explosion of international trade
• Global linkages are becoming important
• Economies of scale and scope
• Saturated markets in the home country
• New trade agreements
International Marketing
• “If we only distributed pictures in the U.S., we’d
lose money. It takes the whole world now to
make the economics of movie-making work”
- William Mechanic
President, 20th Century Fox
• “Half the people in the world have yet to take their first
picture. The opportunity is huge, and it’s nothing fancy.
We just have to sell yellow boxes of film.”
- George M.C. Fisher
CEO, Eastman Kodak Company
3
