Global and Domestic Marketing
Essay Preview: Global and Domestic Marketing
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Solid Global Marketing decisions involve months of research. They also include a high degree of planning and internal strategizing. Factored accounts in the strategies are where the organization would like to be in three years, target audiences, spending and profit margins and eventually how to achieve the companies ultimate goals. Advanced planning gives a number of advantages:
* Helps coordinate activities
* Helps prepare for emergencies
* Gives activity continuity
* Integrates functions and activities
* Helps in a continuous review of operations.
While planning is an important part of any successful campaign, there are some considerations which are vital to the successful launch of a product domestically and globally. Some instances are identified in the following table:
Domestic Planning
International Planning
Single language and nationality
Multilingual/multinational/multicultural factors
Relatively homogeneous market
Fragmented and diverse markets
Data available, usually accurate and collection easy
Data collection a large task requiring significantly higher budgets and personnel allocation
Political factors relatively unimportant
Political factors frequently vital
Relative freedom from government interference
Involvement in national economic plans; government influences business decisions
Individual corporation has little effect on environment
“Gravitational” distortion by large companies
Chauvinism helps
Chauvinism hinders
Relatively stable business environment
Multiple environments, many of which are highly unstable (but may be highly profitable)
Uniform financial climate
Variety of financial climates ranging from over-conservative to wildly inflationary
Single currency
Currencies differing in stability and real value
Business “rules of the game” mature and understood
Rules diverse, changeable and unclear
Management generally accustomed to sharing responsibilities and using financial controls
Management frequently unautonomous and unfamiliar with budgets and controls
One of the factors identified in the above table was political. Political factors are an important aspect to be concerned with when controlling marketing decisions. The Iraqi war has been portrayed several different ways by the media, both in the US and around the world. Domestic marketing decisions are fueled by the post 9-11 and Iraqi War pro-America, pro-patriotism, and pro-military movements. (Allow me to specify there is an enormous difference in being pro-military and not pro-Iraqi War.) Many marketing geniuses took the time to say “thank you to our countrys troops with special military fares and discounts. One of these companies was Ford Motor Corporation. Ford offered a military discount which equaled the employee discount it is currently promoting. It was advertised in newspapers, on television, and highly visible on US military installations. However, this ad was based strictly in the continental United States. The decision against broadcasting it in European countries was based on the unpopularity of the Iraqi War, and more importantly the increasing lack of support of President Bush. Due to the wavering opinions abroad, Ford decided against taking the chance of promoting pro-military campaigns in foreign countries for fear of losing revenue.
A second external factor that would affect global and domestic marketing decisions differently would be the cultural aspect. The United States is a mecca of cultural intertwining. Products advertised in the US are, by majority, based on sex appeal. Victorias Secret promotes lean, toned, voluptuous women whose provocative modeling is required for campaigns. The sexier the campaign, the more revenue will be brought in.
Their ANGELS campaign from 2000 reportedly brought in $15M in new global business. (www.vs.com/corp/aff/7840)
However, if the same marketing was to occur in deeply religious nations like Turkey or the Philippines, Muslim and Catholic respectively, a public outcry