IMP

WHAT IS THE HEIGHT OF GLOBALIZATION?Princess Diana's death!

AnEnglishprincess with anEgyptianboyfriend crashes in aFrenchtunnel, driving aGermancar with a Dutchengine, driven by aBelgianwho was high onScottishwhiskey, followed closely byItalian Paparazzi, onJapanesemotorcycles, treated by anAmericandoctor, usingBrazilianmedicines! And I got that message via e-mail by aPakistani, using Bill Gates' technology, which he stole from the Japanese. And you are reading this on one of the IBM clones that useTaiwanese-made chips, andKoreanmade monitors, assembled byBangladeshiworkers in aSingaporeplant, transported by lorries driven byIndians, hijacked byIndonesiansand finally sold to you byChinamen!

IMPERATIVEglobalization

WHY GLOBAL MARKETING IS IMPERATIVE

GLOBALIZATION OF MARKETS: CONVERGENCE AND DIVERGENCE

EVOLUTION OF GLOBAL MARKETINGProducts have been traded across borders throughout recorded civilization, extending back beyond the Silk Road that once connected East with West from Xian (China) to Rome (Italy).Total world trade volume in goods and services grew from $6.5 trillion in 1998 to $21.6 trillion in 2013.

From Yesterday till todaySaturation of domestic markets: Domestic-market saturation in the industrialized parts of the world and marketing opportunities overseas are evident in global marketing.

The Emerging Markets: BRIC, BEMs, ASEAN

Global competition: Competition around the world and proliferation of the Internet are on the rise.

Need for global cooperation: Global competition brings global cooperation.

Why Global Marketing is ImperativeInternet revolution: The Internet and electronic commerce (e-commerce) are bringing major structural changes to the way companies operate worldwide.

The term global epitomizes both the competitive pressure and expanding market opportunities.

Whether a company operates domestically or across national boundaries, it can no longer avoid competitive pressures from around the world.

Why Global Marketing is Imperative

International trade consists of exports and imports.

International business includes international trade and foreign production.

Extensive international penetration of companies is called global reach.

International trade and foreign production activities are managed on a global basis.

Growth of Multinational Corporations (MNCs) and intra-firm trade is a major aspect of global markets.

Globalization of Markets: Convergence and DivergenceInternational trade versus international business: International trade consists of exports and imports.International business includes international business trade and foreign production.Who manages international trade? Intrafirm trade: Trade between MNCs and their affiliates.

Globalization of Markets: Convergence and DivergenceWhat is marketing? Marketing involves the planning and execution of the conception, pricing, promotion, and distribution of ideas, products, and services.

Marketing involves customer satisfaction and their current and future needs.Marketing is much more than selling and involves the entire company.

Within marketing strategies, companies are always under competitive pressure to move forward both reactively and proactively.

Evolution of Global MarketingDomestic Marketing (domestic focus; home country customers; ethnocentric orientation).

Export Marketing (indirect vs. direct exporting; country choice, exports; ethnocentric orientation; home country customers).

International Marketing (markets in many countries; polycentric orientation; use of multidomestic marketing when customer needs are different across national markets). Evolution of Global MarketingMultinational Marketing (many markets; consolidation on regional basis; regiocentric orientation; standardization within regions).

Global Marketing (international, multinational & geocentric orientation; companys willingness to adopt a global perspective; global products with local variations).Evolution of Global Marketing

Global Marketing: Global marketing refers to marketing activities that emphasize on Standardization efforts.Coordination across markets.Global integration.Evolution of Global MarketingIntroduction Stage A Pakistani company innovates on a new product in its home country.

Growth Stage Product standards emerge and mass production becomes feasible.

Maturity Stage Many Pakistani and foreign companies vie for market share in the international markets.

Decline Stage Companies in the developing countries also begin producing the product and marketing it in the rest of the world.International product life cycle