Developments achieved today as a result faster communication, transportation and technology has turned the world into a global village. Hence it is not uncommon to find a product produced in one country being consumed in other countries. International marketing has led the acceptance of a product in countries other than where it was produced.
International marketing is, therefore, defined as the frontiers of a marketing organization to carry its activities beyond the frontiers of its country. When marketing activities are performed to compete beyond the domestic market, then it is international marketing.
Although marketing principles are universal, the performance of marketing activities beyond national boundaries, can be significantly different from what marketing in the domestic market entails. There is, therefore need to make adjustment in a firm’s marketing strategies to be able to cope with international standards.
Why international marketing
Before you can go into international market, the first decision is to decide whether to go international or not. In making this decision, you must therefore understand why people go to market abroad in order to assess yourself whether you can go or not. Some of the factors usually adduced for going to market abroad include:
- Saturation of the domestic market: when the domestic market is saturated in terms of profit and sales potentials, you may decide to go abroad before decline sets in.
- Opportunities in foreign markets: when you identifies higher sales and profit opportunities in some foreign markets than domestic market you might decide to go international.
- Need to expand customer base: sometimes you may require expanding your customer base in order to enjoy the benefits of economies of scale and to fully utilize its large production capacity.
- Risk reduction: Decision to market abroad may be an effort to spread and reduce risk by concentrating or depending on a single (home) market.
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