International marketing is the promotion and marketing of a trademark in several countries outside the domestic market.
Saturation of the domestic market
For a company to continue its growth, they have to increase theirs sales. Industrialized countries have in many categories of products and services their saturated home markets and have turned to emerging countries to find new market opportunities. Companies in some developing economies have found an advantage in exporting products that are too expensive for local but considered cheap for developed countries.
Electronic Commerce
With the increased use of Internet and E-commerce (electronic commerce), if a business operates online, it becomes an international corporation. Given the increasing number of Internet users daily, this market is constantly growing. Consumers can come from anywhere. According to the book "Global Marketing Management", e-commerce business-to-business (business) is larger, growing faster and has fewer barriers on the geographical distribution as e-commerce business-to-consumer. The e-commerce does not require a
Solid front shop.
International Development Company
It is possible to consider the internationalization of the market through the life cycle; sequential process of growth and internationalization. Under the sequential approach, be strong in the domestic market is a prerequisite for export. To grow, the company passes from the local market to the global market. The internationalization is part of the natural process of growth. International lifecycle developed from the product life cycle represents some phases:
Export from the country of origin
The production is launched on the domestic market because the company must rely on intense communication with the market. This step is the introduction and part of the growth in the life cycle of the product.
The beginnings of foreign production constitute another step.
Importing markets experiencing rapid growth, the company opens markets innovative and transforming potential market demand. As they become familiar with the product sold in the area, some foreign productions are beginning to produce themselves. This phase corresponds to the end of growth and early maturity of the product.
Followers export
Attack of the foreign market through the innovative and international success of the product raises the reaction of the competition. Foreign manufacturers continue to increase domestic production to achieve productivity gains and begin to export. They returned to competition.
The country of origin is important
The growing volume of foreign production, cost, advantages of some countries allow their imitators to attack the country where the product was born. At this time, the country of origin becomes importer of the product he helped launch.
Standardization strategy
It is to adopt the same marketing in foreign markets.
This strategy is based on the assumption that the needs of consumers in different countries tend to be almost the same. It is based on the existence of homogeneous segments at the international level that allow the company to adopt the same marketing policy on different geographic markets.
In terms of advantages, it can reduce production costs and marketing strategy that is easy to implement, it can convey a unified image of the company worldwide. In terms of disadvantages, it does not take into account the specificities of local markets and therefore there is a high risk of not being able to properly meet the needs of consumers.
We find this strategy in the luxury sector, high technology or products that benefit from the effects of the image of the country of origin.
Adaptation strategy
This strategy focuses on the specificities of local markets. It focuses on the differences between consumers rather than their similarities.
The advantage of this strategy is that it helps to meet the needs of consumers in different countries. For against, there is a drawback, it entails additional costs that may be considerable.
This adaptation strategy is applied when a company operates on a limited number of contracts. This is the case of medium-sized enterprises SMEs involved in two or three geographical markets where local regulations require an adjustment of marketing. In some cases, this adaptation may be required, for example: technical standards.
Strategy adapted or standardized global marketing
This strategy takes into account globalization and the constraints of local or domestic market. We speak of Globalization and Localization. The combination of these two terms will "Globalisation" loves so well as emphasize the communicator Hugues Walter ALLECHI.C is standardizing marketing. It combines the benefits of a policy of standardization and policy adaptation. It helps to meet the requirements of local markets while limiting the additional costs of adaptation policy.
This strategy is common in the cosmetics sector and textiles. It allows players to remain competitive while meeting the needs of local consumers.