Developing a Global Vision Global Marketing marketing that targets markets throughout the world Global Vision recognizing and reacting to international marketing opportunities using effective global marketing strategies and being aware of threats from foreign competitors in all markets Importance of global marketing US derives 12 of GDP from world trade More small companies are pursuing international markets Fear of trade and globalization Millions of Americans have lost their jobs job outsourcing Threat of outsourcing Vulnerability to operations moving offshore Multinational corporation a company that is heavily engaged in international trade beyond exporting and importing Benefits of globalization Expands economic freedom Spurs competition Raises productivity and living standards Offers access to foreign capital Promotes higher labor environmental standards Acts as a check on gov power many governments such as China Russia and Canada are blocking foreign purchases of factories land and companies Global Market Standardization production of uniform products that can be sold the same way all over the world External environments facing global markets Culture the common set of values shared by its citizens that determine what is socially acceptable o Language and cultural idioms o Customs and traditions o Values and expectations of sales and presentations Economic and technological development China and India o Have the 2 largest growth rates in the world o Have the world s largest populations o Among highest levels of income disparity o Great linguistic and cultural diversity Political structure Natural resources Demographic makeup Entering the Global Market Export sell domestically produced products to buyers in other countries Licensing legal process allowing use of manufacturing parents knowledge Contract manufacturing private label manufacturing by a foreign country Joint venture domestic firm buys joins a foreign company to create a new entity Direct investment active ownership of a foreign company manufacturing facility World Trade Organization trade organization that decides trade regulations replaced the General Agreement on Tariffs and Trade The Global marketing mix the first step in creating a marketing mix is developing a through understanding of the global target market however global marketing research is conducted in vastly different environments Impact of the internet opening an e commerce site puts company in the international marketplace Internet economy remains hindered by brick and mortar rules regulations and habits
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