CHAPTER 1

Scope, Concepts, and Drivers of International Marketing

1. Please Give the overview of Chapter 1

2. Please describe the Levels of International Marketing Involvement

3. What are the Drivers in the Business Environment?

4. Please mention some Obstacles to Internationalization

5. Please complete the following terms:

a. Domestic Marketing:

b. Global Marketing:

c Polycentric Orientation:

d Geocentric Orientation:

e Regiocentric Orientation:

Levels of International Marketing Involvement

1. Companies have different degrees of commitment to international involvement; the

four levels of commitment are:

a. Domestic marketing: The firm has the least commitment to international

marketing, with a focus solely on domestic consumers and on the home-

country environment. Yet, even the local company cannot avoid the impact

of the international environment on its operations: The home-country

environment is affected by events in the international environment and by

international competition.

b. Export marketing: The firm is indirectly or directly involved in exporting.

While the firm seeks international clients, it considers the international market

to be a simple extension of the domestic market.

c. International marketing: The firm has substantial focus on international

consumers in one or more countries. The firm has sales offices or

subsidiaries in different countries or is an active partner in alliances with local

companies. However, the firm’s international activities are not coordinated

across different countries. An international company has on of two

philosophies toward internationalization: polycentric (decentralized, no

coordination with firms in other countries) or regiocentric (with a region-wide

marketing approach).

d. Global marketing: The firm coordinates its marketing activities across

different countries without focusing primarily on national or regional

segmentation. The strategy is possible due to the emergence of uniform

global consumer segments and it entails an efficient global allocation of

company resources.