Global Marketing

Introduction

The release of new products and services to the market daily has prompted the expansion of companies into new territories. This is achieved through global marketing which entails the marketing of products on a global scale through taking advantage of operational differences that exist globally in different countries.

Global marketing ensures the consistency of brand image across all regions. This builds brand loyalty in customers. The global scope in marketing has become so large that it’s turning into a unique experience. The modern-day technology and product outreach are wide. In international trade, (Czinkota & Ronkainen 2013) business has evolved from being the traditional buying and selling of commodities, but now new concepts in use such as outsourcing (Zou & Fu 2011). Outsourcing of some services is sometimes needed in particular business segments. In some countries, free trade with minimal restrictions on exports and imports is practiced. This has been beneficial to business. Low marketing cost globalization has brought completion in markets. There are varieties of products that one can choose. Production can only be sustained when the product is priced in the competitive brackets. Customers can dictate terms in large extents due to the ability of them being able to switch over to new producers bringing about affordable pricing.

International trade has given rise to intense competition in the markets. A commodity will fetch different options with different prices in different regions (Czinkota & Ronkainen 2013). Companies ensure product quality to retain their customers. The growing markets influence customers to compromise on the price range but never on the equality of a product. Poor quality products affect consumer satisfaction. Quick and efficient use of ideas can happen in the global enterprise that enables strategizing in marketing designs.

A disadvantage of global marketing is the inconsistency in consumer needs. Global marketing needs to adapt to the consumer needs of a given environment. The needs of an American consumer will differ from the needs of an African consumer (Czinkota & Ronkainen 2013). If a company fails to address these dynamics in consumer needs, then the efficiency of global marketing is greatly reduced. Differences in laws of various countries may affect the company policies in host countries making them vary from those created by the mother company. Consumer responses also vary differently from consumers in different countries (Zou & Fu 2011). The uniformity of global marketing may be hampered by the variance of infrastructure in different countries. This may cause success in other countries and failure in others.

Apple Inc. is an example of a multinational corporation that was co-founded by Jobs and Wozniak. The company designs and sells personal computers, mobile phones, entertainment electronics, and software. Apple has been successful with its iPhone in China, though failed to monopolize the computer market losing to other multinationals such as HP, Toshiba, and Dell. With the sophistication of technology, Apple continues to expand into global markets and target new markets. The company utilizes strategies such as outsourcing of certain business processes. This ensures low operational costs and maximization of profits in the new countries. In addition, the company employs a franchised business model where it gives licenses to resellers who act as product ambassadors and sell apple products in their specific countries.

Conclusion

The explosive expansion of the global markets prompts companies to globally expand into new markets. This is facilitated by global marketing. Companies, therefore, need to come up with strategies that will facilitate global marketing and penetration of their products and services into new regions. As the international market is growing, so are the consumer needs.

References

Czinkota, M. R., & Ronkainen, I. A. (2013). International marketing. Mason, OH: South-Western Cengage Learning.

Zou, S., & Fu, H. (2011). International marketing: Emerging markets. Bingley: Emerald Jai.