,Chapter 1: Global Marketing in the Firm...............................................................................................5
1.1 Comparison of Global Marketing and Management: SMEs vs LSEs.............................................5
1.2 Should the Company Internationalize?........................................................................................5
1.3 Development of the ‘Global Marketing’ Concept........................................................................5
1.5 The concept of the value chain....................................................................................................7
1.6 Value shop and the service value chain.......................................................................................7
1.7 Global experimental marketing...................................................................................................8
Chapter 2: Initiation of Internationalization..........................................................................................9
2.1 Internationalization motives........................................................................................................9
Chapter 3: Internationalization theories..............................................................................................10
3.1 The Uppsala Internationalization model....................................................................................10
3.2 Transaction Cost Analysis (TCA) Model......................................................................................10
3.3 Born Globals...............................................................................................................................11
Chapter 4: Development of the firm’s international competitiveness.................................................12
4.2 Competition analysis in an industry (Porter’s Five Forces).........................................................13
4.3 Value chain analysis...................................................................................................................13
4.4 Blue ocean strategy and value innovation.................................................................................14
Chapter 5 The political and economic environment............................................................................15
5.1 The political/legal environment.................................................................................................15
5.2 The political risk analysis procedure..........................................................................................16
5.3 The economic environment.......................................................................................................16
5.4 BRIC – Emerging economies face slowing growth......................................................................17
Chapter 6: The international market selection process.......................................................................18
6.1 International market selection: SMEs versus LSEs.....................................................................18
6.2 Building a model for international market selection..................................................................18
6.3 Market expansion strategies......................................................................................................19
6.4 The global product/market portfolio.........................................................................................20
Chapter 7: Some approaches to the choice of entry modes................................................................21
7.1 The transaction cost approach...................................................................................................21
7.2 Factors influencing entry mode choice......................................................................................21
Chapter 8: Export modes.....................................................................................................................22
8.1 Indirect export modes................................................................................................................22
8.2 Direct export modes..................................................................................................................23
8.3 Cooperative export modes/export marketing groups................................................................23
Chapter 9: Intermediate entry modes.................................................................................................24
9.1 Contract manufacturing.............................................................................................................24
, 9.2 Licensing....................................................................................................................................24
9.3 Franchising.................................................................................................................................24
9.4 Joint ventures/strategic alliances...............................................................................................25
Chapter 10: Hierarchical modes...........................................................................................................27
10.1 Domestic-based sales representative......................................................................................27
10.2 Resident sales representatives/foreign sales branch/foreign sales subsidiary........................27
10.3 Foreign divestment: withdrawing from a foreign market........................................................28
Chapter 11: International sourcing decisions and the role of the sub supplier...................................29
11.1 Reasons for international sourcing..........................................................................................29
11.2 A typology of subcontracting...................................................................................................29
Chapter 12: Product decisions.............................................................................................................30
12.1 The dimensions of the international product offer..................................................................30
12.2 The Product Life Cycle..............................................................................................................31
12.3 New Products for the international market.............................................................................32
12.4 Product positioning..................................................................................................................32
12.5 Brand equity............................................................................................................................32
12.6 Branding decisions...................................................................................................................33
Chapter 13 Pricing decisions and terms of doing business..................................................................33
13.1 Factors influencing international pricing decisions..................................................................34
13.2 International pricing strategies................................................................................................34
13.3 Prices.......................................................................................................................................35
13.4 Internet implications for pricing..............................................................................................36
Chapter 14: Distribution decisions.......................................................................................................38
14.2 The structure of the channel....................................................................................................38
14.3 Multiple channel strategy........................................................................................................39
14.4 Managing and controlling distribution channels......................................................................39
14.5 Channel power in international retailing.................................................................................40
14.6 Grey marketing (parallel importing).........................................................................................40
Chapter 15: Communication decisions (promotion strategies)...........................................................41
15.1 The communication process....................................................................................................41
15.2 Communication tools...............................................................................................................41
15.3 USP...........................................................................................................................................42
Chapter 16 - Social media marketing...................................................................................................45
16.1 The 6C model...........................................................................................................................45
Chapter 17: Organization and control of the global marketing programme........................................46
17.1 Organization of global marketing activities..............................................................................46
17.2 The global account management organization........................................................................46
17.3 Implementation of GAM..........................................................................................................46
,17.4 Dyadic development of GAM...................................................................................................47
17.5 Advantages and disadvantages of GAM from supplier’s view.................................................47
17.6 Controlling the global marketing programme..........................................................................48
17.7 The global marketing budget...................................................................................................48
, Chapter 1: Global Marketing in the Firm
Global marketing is a firm’s dedication to coordinating marketing across borders to better meet
global customer needs than competitors.
It involves:
Crafting strategies that leverage both market similarities and differences.
Spreading headquarters’ expertise worldwide through knowledge diffusion and adaptation.
Transferring best practices among international markets.
1.1 Comparison of Global Marketing and Management: SMEs vs LSEs
Aspect LSEs (250+ employees) SMEs (under 250 employees)
Resources Extensive, internal Limited, relies on outsourcing
Emergent, entrepreneurial led by
Strategy formation Deliberate, incremental planning
owner
Organisation Formal, hierarchical Informal, owner-centric
Risk-attitude Cautious, long-term focus Mixed—sometimes opportunistic
Flexibility Low High
Economies of
Fully exploited Only limited use
scale/scope
Advanced tools (databases, consultants, Informal, internal, low-cost
Information use
internet) sources
Strategic misalignment with market evolution may cause strategic drift. Economies of scale reduce
unit costs; economies of scope reuse resources across markets.
1.2 Should the Company Internationalize?
Globalization involves operating across most world regions.
Internationalization typically spans fewer regions (e.g., just Europe).
The “nine strategic windows” model maps industry globalism (externally driven) against the
firm’s preparedness (internal) for global expansion.
1.3 Development of the ‘Global Marketing’ Concept
The EPRG framework outlines four orientations:
1. Ethnocentric – Home-country bias; foreign units mirror headquarters.
2. Polycentric – Each country managed independently.
3. Regiocentric – Strategies customized regionally.
4. Geocentric (global) – Global products adapted locally: “glocalization.”
1.4 Forces for Global Integration vs Market Responsiveness
Global integration drivers include deregulation, global customers, network alliances,
standardized technology, global marketplaces, the “global village,” Internet commerce, and
1.1 Comparison of Global Marketing and Management: SMEs vs LSEs.............................................5
1.2 Should the Company Internationalize?........................................................................................5
1.3 Development of the ‘Global Marketing’ Concept........................................................................5
1.5 The concept of the value chain....................................................................................................7
1.6 Value shop and the service value chain.......................................................................................7
1.7 Global experimental marketing...................................................................................................8
Chapter 2: Initiation of Internationalization..........................................................................................9
2.1 Internationalization motives........................................................................................................9
Chapter 3: Internationalization theories..............................................................................................10
3.1 The Uppsala Internationalization model....................................................................................10
3.2 Transaction Cost Analysis (TCA) Model......................................................................................10
3.3 Born Globals...............................................................................................................................11
Chapter 4: Development of the firm’s international competitiveness.................................................12
4.2 Competition analysis in an industry (Porter’s Five Forces).........................................................13
4.3 Value chain analysis...................................................................................................................13
4.4 Blue ocean strategy and value innovation.................................................................................14
Chapter 5 The political and economic environment............................................................................15
5.1 The political/legal environment.................................................................................................15
5.2 The political risk analysis procedure..........................................................................................16
5.3 The economic environment.......................................................................................................16
5.4 BRIC – Emerging economies face slowing growth......................................................................17
Chapter 6: The international market selection process.......................................................................18
6.1 International market selection: SMEs versus LSEs.....................................................................18
6.2 Building a model for international market selection..................................................................18
6.3 Market expansion strategies......................................................................................................19
6.4 The global product/market portfolio.........................................................................................20
Chapter 7: Some approaches to the choice of entry modes................................................................21
7.1 The transaction cost approach...................................................................................................21
7.2 Factors influencing entry mode choice......................................................................................21
Chapter 8: Export modes.....................................................................................................................22
8.1 Indirect export modes................................................................................................................22
8.2 Direct export modes..................................................................................................................23
8.3 Cooperative export modes/export marketing groups................................................................23
Chapter 9: Intermediate entry modes.................................................................................................24
9.1 Contract manufacturing.............................................................................................................24
, 9.2 Licensing....................................................................................................................................24
9.3 Franchising.................................................................................................................................24
9.4 Joint ventures/strategic alliances...............................................................................................25
Chapter 10: Hierarchical modes...........................................................................................................27
10.1 Domestic-based sales representative......................................................................................27
10.2 Resident sales representatives/foreign sales branch/foreign sales subsidiary........................27
10.3 Foreign divestment: withdrawing from a foreign market........................................................28
Chapter 11: International sourcing decisions and the role of the sub supplier...................................29
11.1 Reasons for international sourcing..........................................................................................29
11.2 A typology of subcontracting...................................................................................................29
Chapter 12: Product decisions.............................................................................................................30
12.1 The dimensions of the international product offer..................................................................30
12.2 The Product Life Cycle..............................................................................................................31
12.3 New Products for the international market.............................................................................32
12.4 Product positioning..................................................................................................................32
12.5 Brand equity............................................................................................................................32
12.6 Branding decisions...................................................................................................................33
Chapter 13 Pricing decisions and terms of doing business..................................................................33
13.1 Factors influencing international pricing decisions..................................................................34
13.2 International pricing strategies................................................................................................34
13.3 Prices.......................................................................................................................................35
13.4 Internet implications for pricing..............................................................................................36
Chapter 14: Distribution decisions.......................................................................................................38
14.2 The structure of the channel....................................................................................................38
14.3 Multiple channel strategy........................................................................................................39
14.4 Managing and controlling distribution channels......................................................................39
14.5 Channel power in international retailing.................................................................................40
14.6 Grey marketing (parallel importing).........................................................................................40
Chapter 15: Communication decisions (promotion strategies)...........................................................41
15.1 The communication process....................................................................................................41
15.2 Communication tools...............................................................................................................41
15.3 USP...........................................................................................................................................42
Chapter 16 - Social media marketing...................................................................................................45
16.1 The 6C model...........................................................................................................................45
Chapter 17: Organization and control of the global marketing programme........................................46
17.1 Organization of global marketing activities..............................................................................46
17.2 The global account management organization........................................................................46
17.3 Implementation of GAM..........................................................................................................46
,17.4 Dyadic development of GAM...................................................................................................47
17.5 Advantages and disadvantages of GAM from supplier’s view.................................................47
17.6 Controlling the global marketing programme..........................................................................48
17.7 The global marketing budget...................................................................................................48
, Chapter 1: Global Marketing in the Firm
Global marketing is a firm’s dedication to coordinating marketing across borders to better meet
global customer needs than competitors.
It involves:
Crafting strategies that leverage both market similarities and differences.
Spreading headquarters’ expertise worldwide through knowledge diffusion and adaptation.
Transferring best practices among international markets.
1.1 Comparison of Global Marketing and Management: SMEs vs LSEs
Aspect LSEs (250+ employees) SMEs (under 250 employees)
Resources Extensive, internal Limited, relies on outsourcing
Emergent, entrepreneurial led by
Strategy formation Deliberate, incremental planning
owner
Organisation Formal, hierarchical Informal, owner-centric
Risk-attitude Cautious, long-term focus Mixed—sometimes opportunistic
Flexibility Low High
Economies of
Fully exploited Only limited use
scale/scope
Advanced tools (databases, consultants, Informal, internal, low-cost
Information use
internet) sources
Strategic misalignment with market evolution may cause strategic drift. Economies of scale reduce
unit costs; economies of scope reuse resources across markets.
1.2 Should the Company Internationalize?
Globalization involves operating across most world regions.
Internationalization typically spans fewer regions (e.g., just Europe).
The “nine strategic windows” model maps industry globalism (externally driven) against the
firm’s preparedness (internal) for global expansion.
1.3 Development of the ‘Global Marketing’ Concept
The EPRG framework outlines four orientations:
1. Ethnocentric – Home-country bias; foreign units mirror headquarters.
2. Polycentric – Each country managed independently.
3. Regiocentric – Strategies customized regionally.
4. Geocentric (global) – Global products adapted locally: “glocalization.”
1.4 Forces for Global Integration vs Market Responsiveness
Global integration drivers include deregulation, global customers, network alliances,
standardized technology, global marketplaces, the “global village,” Internet commerce, and
