Riley

Chapter 1

7) Differentiate among the three international marketing concepts. International marketing combines the marketing mix of plan, price, promotion and how to distribute the brand’s product or service to a much larger scale. Before company’s can even consider to penetrate into international markets, they first have to see if their internal and external operations are able to accomplish multiple marketing concepts. The first concept for a brand to enter the international market faster would be if the company had successful technology and a variety of resources that could easily aid distribution. The second would be for small and large home markets to that have successful internal production to consider manufacturing and shipping outside of their regular market. The last concept would be for a company’s running main manager to have close connections with those from other countries, so that way there is an easy international communication that can help the company for penetrating the market. (Cateora, Graham, Gilly & Money, 2020)

When penetrating the international market, it is important to have controllable product, price, promotion and research available for distributing. However, the domestic environment and foreign environment will be uncontrollable. This is when the company will have to modify the firm’s original characteristics to match the culture’s political forces, geography, competition, climate and economic climate. All of this goes into how the brand’s product and service will ultimately be viewed by the international market and ignoring these steps can result in failed marketing efforts. (Cateora, Graham, Gilly & Money, 2020)

9) Discuss the three factors necessary to achieve global awareness?

In today’s marketplace, it is crucial for businesses and brands to understand what it means to be globally aware, especially when marketing to other cultures to achieve global awareness. The first factor to achieve global awareness, is for a company to incorporate what it means to be globally aware. To be globally aware consists of being able to respect and tolerate one’s differences in their culture, compared to one’s own. It is important to respect these differences, otherwise there won’t be a clear way to communicate these differences in a precise way.

The second factor is to understand the history, culture and stay up-to-date on current news and politics. This all plays a role in how a company can begin to achieve global awareness for their brand because it keeps marketing messages relevant the ever-changing culture.

The last factor, is to create long-term business relationships with those of other cultures. A variety of people who come from different backgrounds and cultures should be made into a stable group of managers and directors. It is important to have these people ahead of marketing and creating new campaigns when entering a new global market. This diversity is important because they are a key asset to learning and becoming more immersed into what is currently happening with a specific culture, as well as will be able to communicate their knowledge effectively to an audience they understand. (Cateora, Graham, Gilly & Money, 2020)

Chapter 2:

7) What is the role of profit in international trade? Does profit replace or complement the regulatory function of pricing? Discuss. 


The role of profit in international trade determines whether more businesses will enter the industries’ market that is sourced out to another country or stay put and not expand. The higher the profit for a firm the more efficient their operations can run and the more products and campaigns they can create to continue to expand internationally. When profit is invested in failing marketing objectives, that can be a drawback for the company and for others who aspire to expand. (Pettinger, 2018)

Profit replaces and can contribute to how products and services are priced. When an investment is made using the excess profit, that can be put back into operations and therefore replaced into the business’s running systems. However, if a firm were to lose profit they may need to increase the price to make up for loses. (Sawyer, 1983)

17) Discuss the evolution of world trade that led to the formation of the WTO. It wasn’t until after World War II when the United States and other countries around the world wanted a system where they could trade internationally with the idea of being able to raise the economies of other countries. When the economic depression arrived in the 1930s, world trade had a massive decline due to the faster growing amount of people becoming unemployed. The hope for resources and a thriving economy balanced on the shoulders of the countries meeting to come up with a system that could put an end to a shortage of economic resources needed by other counties in times of need. The initial plan was created by the International Trade Organization to decrease barriers of trade and increase agreements for which resources can be brought to help aid running businesses. For which, GATT was established to set the rules and regulations for tariffs and trade in 1948, which then became the World Trade Organization with regulations that measure international trade today. (VanGrasstek, 2013)

Citation Page

Cateora, P. R., Money, R. B., Gilly, M. C., & Graham, J. L. (2020) International Marketing. (18th ed.) New York, NY: McGraw Hill.

Pettinger, T. (2018). The Role of Profit in an Economy. doi: https://www.economicshelp.org/blog/572/business/the-role-of-profit-in-an-economy/

Sawyer, M. C. (1983). Business Pricing and Inflation. Springer. doi: https://link.springer.com/content/pdf/bbm:978-1-349-03166-5/1.pdf

VanGrasstek, C. (2013). The History and Future of The World Trade Organization . World Trade Organization. doi: https://www.wto.org/english/res_e/booksp_e/historywto_e.pdf

Nathan

Chapter 1

“The marketer’s task is the same whether applied to Dimebox, Texas, or Dar es Salaam, Tanzania”. Discuss.

Let’s postulate that Dimebox, TX is home to Wild Bill’s Barbeque, a 4.9 star google-rated restaurant of some success. Let’s further assume Bill is doing so well, he’s contemplating selling his own Texas Hold ‘em beef rub. What are Bill and his wife going to have to do? How do they know if there’s there a market for that product? Do they need to hire a marketer? How many different brands and types of barbecue beef rub will Bill have to compete against? What is special about their product? What separates 17 Spice Texas Hold ‘em from all the rest? If research shows the product has a viable market, where are they going to produce it? How will he distribute? How far can or should his initial distribution reach? What must he do if he distributes across state lines? Can he guarantee enough placement to keep adequate cash flow? What’s a competitive retail cost?

These are all basic marketing questions that need to be answered. Add on to that the legal issues of indemnity, the wholesale agreements of current beef rub distributors, and possible direct competition with established beef rub producers and you have a very rough inventory of what Bill must contemplate for a local market. But what if Bill & Mrs. Bill wanted to sell rub to Dar Es Salaam? They would still have to do research (do they use rub in Tanzania?) They would still need to know if the product is viable, and decide on a distribution network, and determine the price point. But in Dar es Salaam, Bill & Mrs. Bill would have to deal with the foreign environment uncontrollables described by Cateora et al (Pg 11), as well as other unanticipated factors. Political turmoil could close down transportation. Would a local disease outbreak affect distribution? Would it be advantageous if his rub was certified kosher or halal? In the final analysis, the marketing goal for domestic or international commerce is much the same. International marketing, though, carries another layer of risks to account for.

Prepare your lifelong plan to be globally aware

Global awareness is both a willingness to learn about cultural differences, cultures, and their history. Important to this task is tolerance, acceptance, and understanding. These factors are generally acknowledged to be increased by knowledge, therefore, studying a foreign culture is important. So what drives the goal of being culturally and globally aware? Some motivators that come to mind are a sense of adventure, a commitment to lifelong learning, an optimism regarding the future, a natural interest in people and their way of life, a willingness to take risks, and a love of travel

I started my lifelong global awareness plan at the age of 17, when I enlisted in the army with the intent of traveling overseas. Perhaps my set of immigrant parents instilled this wanderlust in me. Forty seven years and 14 countries later, I’m just getting started. Interestingly, a study of American undergraduate students studying abroad by Mark H. Salisbury (Pg vi) found that the study abroad experience did not statistically increase the relative appreciation of cultural differences or comfort with diversity.

Travel is just one route, though. Knowledge can be gleaned from the local library, television, foreign newscasts such as Nippon News, BBC, or Al Jazeera, and finally, though chatting and conversing with people of other countries via Skype or other online means. Today, technology has shrunk the world considerably, and opportunities to meet and discuss events with people of other cultures have never been more available.

Chapter 2

Discuss the evolution of world trade that led to the formation of the WTO

After World War II, 23 nations - including the United States, signed the General Agreement on Tariffs and Trade. This agreement created a framework for nations to reduce tariffs and a governing body to serve as overseer. Since its initial agreement, the General Agreement on Tariffs and Trade has conducted eight sessions. The Tokyo session conducted in 1974 was remarkable for the number of non-tariff barriers it addressed. The last of these sessions was held in 1994 in Uruguay, which resulted in the member nations voting to create the World Trade Organization. Unlike the General Agreement on Tariffs and Trade, the World Trade Organization sets many trade rules and issues binding decisions (Cateora, et al., Pg 47)

What is the role of profit in international trade. Does profit replace or complement the regulatory function of pricing?