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International Marketing

International Marketing

Sean De Burca | Linden Brown | Richard Fletcher

(2004)

Additional Information

Book Details

Abstract

Unlike other international marketing texts, International Marketing, An SME Approach, takes a truly global approach that pulls in both Western and Asia-Pacific perspectives. SME refers to small and medium sized companies, therefore, the focus is firmly on the role of the transnational firm as an international competitor and the role in international activities of managers of their local subsidiary or branch operations.

"This book offers a unique theoretical practical approach to international marketing centered on the requirements of the growing firm. The authors offer innovative learning approaches including excellent web resources and case studies not found elsewhere."

Dr. Thomas O' Toole,

Head of School of Business

, Waterford Institute of Technology

Geared toward undergraduate and post-graduate students studying International Marketing, International Marketing, An SME Approach, blends rigorous theory with practice. The book places emphasis on the impact of technology on the international marketing landscape.

Other features include:

  • Real life examples on practical international marketing planning and strategy
  • Comprehensive coverage of the network perspective to international marketing
  • Case studies that represent problems and issues confronting managers
  • International Marketing Highlights in every chapter which provide a forum for classroom and tutorial discussion
  • Emphasis on environmentalism, ethics, electronic commerce and multilateral trade relations

To access the robust ancillary package which includes an Instructor’s Manual, Power Point slides, a test item file, additional case studies and two extra chapters on Winning International Projects and Coping with Countertrade, visit www.booksites.net/deBurca.

Dr. Sean de Burca is Professor of Marketing, University College Dublin, Ireland.

Dr. Richard Fletcher holds the Chair of Marketing and International Business at the University of Western Sydney.

Dr. Linden Brown is Adjunct Professor of Marketing and Director of the Market Strategy and Information Technology (M*SAT) Group at the University of Technology, Sydney, Australia.

 

 


Table of Contents

Section Title Page Action Price
Cover Cover
International Marketing i
Contents ix
Brief contents vii
Preface xxiv
About the authors xxxi
The International Marketing Environment 1
The rationale for international marketing 2
Learning objectives 3
The turbulent landscape of international trade 3
Introduction 4
International highlight: How to stay ahead of globalisation – Intel, AMD, Gucci and Levis 5
The international marketing imperative 5
Approaches to international marketing 9
From domestic to transnational 9
From indirect exporting to foreign direct investment 9
From an export focus to a holistic focus 10
Concepts underlying international marketing 11
Comparative advantage 11
Product life cycle extension 11
Internalisation 13
Relationships and networks 15
The wheel of international marketing 16
The hub 16
The spokes 17
The rim 17
The importance of world trade 17
Internet infusion 18
Summary, Ethics issues, Web workout, Websites, Discussion questions, References 20
Appreciating the international economic and financial environment 22
Learning objectives 23
End trade barriers to cut poverty 23
Economic environment 24
The global economic scene 24
International highlight: Stages of market development: China versus India 27
Marketing implications 39
Measuring markets 34
International highlight: Should we stay or should we go? 39
Financial environment 41
Foreign exchange issues 41
Financial management 43
The international financial system 46
Marketing implications 49
Internet infusion 50
Summary, Ethics issue, Web workout, Websites, Discussion questions, References 53
Catering for the cultural environment of international business 56
Learning objectives 57
Reinventing ice cream 57
Introduction 58
The impact of culture on international marketing 58
Culturally related factors which impact on marketing 59
Cultural universals 61
Elements of culture 61
Expressions of culture 63
Culture as a collective fingerprint 64
International highlight: Creating favourable conditions – feng shui 65
Levels at which culture operates 66
Cultural concepts and cultural differences 68
Key cultural concepts 68
Key cultural differences 72
International highlight: Differences in time and space 74
Culture and communication 78
Verbal communication 78
Non-verbal communication 78
Cultural adaptation and communication 79
Cross-cultural comparisons 80
Bilateral comparisons 80
Global comparisons 80
Social aspects of the conduct of international marketing 86
Social sensitivity 86
Good corporate citizenship 86
Ethical considerations 87
Culture and international negotiation 88
Background to negotiation 88
The environment of international negotiation 89
Culture and the conduct of negotiations 90
Preparing for international negotiation 90
Stages in international negotiation 92
The atmosphere of international negotiations 94
Internet infusion 96
Summary, Ethics issue, Web workout, Websites, Discussion questions, References 99
Avoiding the pitfalls of the international political and legal environment 102
Learning objectives 103
The success of capitalism 103
Introduction 104
The role of government in international marketing 104
Different types of national government 104
Role of government in the economy 105
International highlight: One country, two systems: getting business started in China 108
Political approaches in international marketing 108
Political stability and risk 109
Sources of political instability 109
Nature of political risk 111
Assessment 111
Managing the international political environment 113
Company behaviour 113
International highlight: China punishes firm over its use of the term ‘Taiwan’ 114
Home government actions 115
Contribution to the host country 115
Localisation of operations 115
Globalisation 116
Political risk insurance 116
Marketing implications – political 116
Internet infusion 117
The legal environment 118
International highlight: Gastronomic winds of change 118
Differing legal systems and jurisdictions 119
Legal systems 119
International law 120
Legal jurisdiction 121
Law and the international marketing mix 122
Product 122
Price 122
Distribution 123
Promotion 123
Extraterritorial application of law 124
The impact of law on international operations 124
Environment 124
Human resources 125
Intellectual property protection 125
International highlight: Drug giants told to reveal secrets 127
Reducing the impact 127
Transfer pricing 127
International countertrade 128
Dumping 128
Contracts and dispute resolution 128
Conciliation 128
Arbitration 129
Litigation 129
Marketing implications – legal 129
Internet infusion 130
Summary, Internet infusion, Web workout, Websites, Discussion questions, References 131
The information technology environment 134
Learning objectives: 135
What is happening in cyberspace? 135
Introduction 136
Infrastructure development and economic history – ‘techno-economic paradigms’ 137
Information and communication: the fifth techno-economic paradigm 138
The information revolution and the Internet 139
User access to the World Wide Web 141
International highlight Electronic networks and electronic commerce 143
Global markets and the new information infrastructure – the power of many, the power of three, or the power of lateral thinking? 145
Internet infusion 146
International highlight Global opportunities for SMEs through the Internet 148
The new information infrastructure in 2005 149
International highlight Bluetooth versus Wi-Fi – the new connectivity technology 155
Implications for international marketing 150
International highlight: The big gamble 150
International diffusion of innovation 152
Summary, Ethics issue, Web workout, Discussion questions, References 156
Researching international markets 158
Learning objectives 159
Common international research mistakes 159
Introduction 160
International research decisions 160
International market research 161
Stages 162
Issues 163
International research process 163
Problem formulation 164
Research design 164
Research in developing countries 169
Data collection 169
International highlight Market research booming in Russia 170
Secondary data 170
Primary data 174
International highlight Toyota makes design changes for the US female market 178
Interpretation 180
Other issues 182
Government export assistance 186
Internet infusion 187
Summary, Ethics issue, Web workout, Websites, Discussion questions, References 190
Case study 1 Inditex-Zara (1974–2002): from local to global Vicente A. López, 194
Case study 2 Jurys Doyle Hotel Group plc Mike Moroney, 201
Case study 3 The battle for the skies: Do low fare airline passengers expect low service quality? Gavin Lonergan MBS, 207
Case study 4 Marketing activities using B2B online technology in the pharmaceutical industry: the case of CiraNet in Egypt Khaled M. Shaker, 211
Case study 5 The cat that conquered the world: Hello Kitty and the spread of Nippon culture Jan Charbonneau, 214
Case study 6 HP-Compaq: a new beginning Seán de Búrca and Evelyn Roche, 219
The International Marketing Mix 223
International market selection and entry 224
Learning objectives 225
Small exporters lead the way 225
Introduction 226
Alternative approaches to market selection 226
Screening for market selection 228
Analysing the attractiveness of individual markets 228
A screening approach 228
Market selection in the new millennium 235
Modes of entering international markets 236
Export-based entry 236
International highlight: Starbucks enters China 237
Manufacturing-based entry 238
International highlight: Aventis – Bridging the gap between France and Germany 239
Relationship-based entry 240
Evaluation of entry modes 241
Theories of market entry 241
Dunning’s eclectic paradigm 241
Williamson’s transaction cost approach 243
Information for market entry and expansion 243
Approaches to internationalisation 246
A holistic view of internationalisation 249
Internet infusion 235
Summary 252
Ethics issue 252
Web workout 252
Modifying products for international markets 256
Learning objectives 257
McDonald’s rise in France 257
Introduction 258
The product 258
International product strategies 259
Tailoring products to suit international markets 266
Marketing industrial products internationally 274
Branding and packaging for international markets 277
Marketing services internationally 288
Learning objectives 289
Microsoft’s European battle 289
Introduction 290
The nature of services 290
Marketing services in the international marketplace 294
Promotion in international marketing 310
Learning objectives 311
Advertising in the nude 311
Introduction 312
Communication theory 312
Factors in international communication 316
Content of international communication 321
Pull strategies in international promotion 325
Push strategies 337
Communication in emerging markets 345
Issues 346
International pricing for profit 354
Learning objectives 355
Anti-dumping actions 355
Introduction 356
International pricing issues 356
International pricing strategy 361
International price setting 369
Constraints on setting prices 377
Global pricing strategies 380
Effective international distribution 388
Learning objectives 389
The elusive agent 389
Introduction 390
Distribution strategies 395
Distribution criteria 400
Managing international distribution 404
Global distribution issues 415
Physical distribution 418
Case study 7 Accenture: renamed, redefined, reborn John Brennan, Richard Burke, Declan Cahill and Chris Mulhall 426
Case study 8 Kylemore Abbey: branding an international tourism product Ann M. Torres 432
Case study 9 2003 Special Olympics World Summer Games: the contribution ofcommercial sponsors1 Peter McNamara, Garrett Murray, Carolin Grampp and Paul Brown 439
Case study 10 From exporters to global producers: the big four Australian wine companies Catherine Welch 447
Case study 11 Abrakebabra: capturing market share through food franchising Rosalind Beere and Peter McNamara 452
Case study 12 MCC – SMART Car Seán de Búrca and Evelyn Roche 457
International Marketing Strategy 461
Planning and strategy for international marketing 462
Learning objectives 463
Strategic moves of IBM and Sun Microsystems all depend on Linux 463
Introduction 464
The context of international strategic market planning 465
Steps in the international marketing planning process 469
Challenges to international marketing planning 484
Practical international marketing planning 486
Internet infusion 490
Summary 491
Ethics issue 492
References 493
Gaining international competitive advantage 494
Learning objectives 495
Technology makes the difference: Extended ERP 495
Introduction 496
National competitive advantage 496
Competitive advantage and generic strategies 502
Value chain analysis 505
Competitor analysis 508
Obtaining competitive intelligence 515
Leveraging capabilities 516
Internet infusion 516
Summary 519
References 520
International competitive marketing strategies and competitive position 522
Learning objectives 523
New EU regulations on anti-competitive behaviour 523
Introduction 524
Competitive position model 524
The dominant leader in international markets 529
The dominant firm profile 530
Strategies for the international dominant firm 531
Strategies for international market leadership 534
Strategies for the international challenger 537
Strategies for the international follower 542
Strategies for the international niche firm 545
Contemporary Challenges in International Marketing 637
Incorporating international trade relations into international marketing 638
Learning objectives 639
Working for manufacturers without factories 639
Introduction 640
Marketing context 640
Role of government 642
Multilateral trade relations 645
Regional trade groupings 649
Bilateral trade relations 655
Commodity agreements 660
Managed trade 660
Internet infusion 662
Summary 663
References 665
Electronic commerce in international marketing 666
Introduction 669
Overview of electronic commerce 671
Electronic commerce business models for international marketing 676
The Internet as a new international marketplace 680
The challenge of moving from ‘place’ to ‘space’ 686
Internet infusion 688
Summary 689
References 691
Index 705