2. Global Marketing Mix Strategy
How far should each aspect of the marketing mix
• Price
• Products
• Promotion
• Place
be standardised or varied locally?
8. • Most important element of the mix
• Must consider:
– product range
– new product development
– rate of acceptance
– product standardization or variation
– packaging, branding, after sales service
Product
9. Global price or local variations?
Global pricing
Advantage:
Simple, fair, removes possibility of grey markets.
Disadvantage:
Not responsive to local demand and market conditions
Local pricing
Advantage:
Market responsive, maximises revenues
Disadvantage:
Grey markets
Price
10. All forms of marketing communication that seek to
influence buying behaviour
Standardisation of promotion has advantages –
Economies of scale, uniform brand and image, spread of good ideas,
universal standards, use of global media
Disadvantages –
Cultural, linguistic, legal differences, high costs of co-ordination, ‘not
invented here’ syndrome
Promotions I
11. Factors determining extent of standardised promotion:
– corporate strategy - is it global?
– uniformity of the product
– how global is the brand?
– legal factors
– cultural factors
– socio-economic conditions
– uniformity of competitive situation
Promotions II