What is the importance of strategic planning in international marketing? Should international marketing strategy vary from country to country? Why or why not?
When speaking about the importance of strategic planning in international marketing, it is necessary to highlight the basic aim of so-called strategic planning. Thus, it should be pointed out that a marketing strategy is considered to be extremely important about the objectives international organizations are to achieve. In other words, it is obvious that marketing strategies are important to create competitiveness. In simple words, strategic planning in international marketing is significant for global market success.
I have to point out that “Much research has been done that denotes a direct correlation between profitability success and global market strategy success” (Larson, 2009, p. 4). In our days, nobody will deny the fact that business is growing fast; so, it is evident that global planning decisions seem to be essential to gain success.
Standardization, integration, and configuration-coordination are the most widespread perspectives of strategic planning. Marketing strategy decisions include business strategy decisions and product strategy decisions. The first strategy allows us to direct various business-level marketing activities, while the second one allows executing marketing activities.
Strategic planning in international marketing is essential in a modern competitive international marketplace. As far as the world is developing rapidly, therefore, business expanding and profits increasing is also growing; so, strategic planning is needed to survive.
When speaking about international marketing strategies in different countries, I must say that these differences vary, as every country has its own culture, political system, business approaches, etc. So, of course, international marketing strategies will be different. Taking into account the previous statement, one can conclude that the problems, which appear in different countries, require unique local solutions.
Can a product be priced differently for different buyers? Why or why not? What influence do governmental regulations and policies have on a company’s international pricing structure?
So, I must say that a product can be priced differently for different buyers. Of course, some persons think that different prices are mostly associated with certain differences in products’ costs. I would like to consider another point. Generally, I have to state that different prices depending upon the areas where certain products appear.
In other words, various locations determine various prices for a product. Of course, one can state that if the cost of offering seems to be fixed, any differences are possible. It is only the first impression, as it is necessary to take into account numerous aspects, including the season, the day, etc. One is to keep in mind that segmented pricing depends upon the degrees of demand.
Generally, “if different buyers have different demand curves for some commodity, a monopoly producer can profitably discriminate by charging more to those with a higher demand for the commodity and less to those with a lower demand” (Lipsey & Chrystal, 2007, p. 167).
When speaking about governmental regulations about international pricing structure, I would like to clarify some points. So, “when a government is a customer, or the marketer is confronted with strongly restrictive government regulations, the company often has only one alternative: accept the price or lose the customer’s business” (Mühlbacher, Leihs & Dahringer, 2006, p. 669). On the other hand, it is also important to understand that government policies determine whether or not to permit parallel imports. Generally, as “each country is an importer as well as an exporter, government policies must consider both consumer and producer interests, as opposed to only consumer interests” (Roy & Saggi, 2011, p. 7).
What are three examples of internal influences on consumer behavior? How do these influences affect marketing strategies? How might marketers use consumers’ values to position their product(s) or service(s)?
First of all, I would like to point out that there are three factors which influence consumer behavior. In other words, internal, situational, and social factors determine consumer behavior. Generally, the consumer decision-making process means a process we rely on to select and purchase certain goods or services. It should be pointed out that all decisions are different. It is the nature of the task, which determines a decision-making effort. Thus, there are habitual decision-making, limited problem-solving, and extended problem-solving.
Internal influences on consumers’ decision include perception, motivation, learning, attitudes, personality, age group, and lifestyle.
Perception determines the process we interpret information. When speaking about the ways perception affects marketing strategies, one is to keep in mind three factors, which are essential for perception. These factors include exposure, attention, and interpretation. So, to improve or develop marketing strategies, it is necessary to understand how consumers perceive products, brands, etc.
Motivation determines our desire to satisfy our needs, i.e., physiological, self-actualization, and other need types are to be considered when improving marketing strategies. Learning is divided into behavioral learning theories and cognitive learning theories. So, marketing strategies are to be developed according to relatively permanent changes in consumer behavior.
Emotional response, beliefs, and intentions are attitude components. These components are to be considered when developing marketing strategies.
As far as it is necessary to satisfy numerous needs of different personalities, there is a need to reason out the strategies. The same can be said about age.
Persons’ activities and interests also influence marketing strategies.
It is obvious that marketers are to take into consideration the values, tastes, and beliefs of people to succeed. When understanding the behavior of consumers, it is possible to “create products and services that provide consumers with more value. And then you can market those products and services in ways that the consumers understand. The whole point of studying consumer behavior is to motivate customers to purchase” (“Consumer Behavior: The Basics,” n.d.).
What are three examples of external influences that impact consumers? How do these influences affect marketing strategies? How might marketers use cultural influences to position their product(s) or service(s)?
When speaking about external influences on consumer behavior, there is a need to point out that these influences include organizational marketing efforts and socio-cultural environment.
Generally, the list of external influences can include numerous other points, namely, age, race, gender, education level, cross-cultural influences, sub-cultures, social status, expectations/habits/customs, etc. A consumer’s preferences in provisions, clothes are also recognized to be external factors that affect a consumer’s decision to buy numerous things. The culture the consumers live in, their interpersonal relations, social connections, and many other factors can be considered to be external influences.
Of course, all these influences affect marketing strategies. “The degree to which managers rely on external factors in implementing pricing decisions will be positively related to the level of internationalization employed by the firm” (Forman & Hunt, 2005, p. 137).
So, if marketers take into account cultural influences, their business sales will increase. Educational levels, as well as social statuses, are to be analyzed. Generally, I can conclude that cultural influences, as well as various other factors, determine the success of marketing strategies the company relies on. So, consumer’s values, expectations, hopes, beliefs, preferences, and tastes (cultural influences) seem to be extremely important.
References
Consumer Behavior: The Basics. (n.d.). Wiley. Web.
Forman, H. & Hunt, J. (2005). Managing the Influence of Internal and External Determinants on International Industrial Pricing Strategies.
Larson, R. (2009). Global Marketing Strategies and Implications for US Based Firms.
Lipsey, R. & Chrystal, K. (2007). Economics. Web.
Mühlbacher, H., Leihs, H. & Dahringer, L. (2006). International Marketing: A Global Perspective. Web.
Roy, S. & Saggi, K. (2011). Equilibrium Parallel Import Policies and International Market Structure. Web.