Internationalization was a restricted enterprise for most of the companies till very recent times. Only big firms could afford to go international for the enormous cost involved in international ventures. However, the process of globalization, and coming in existence of regional and global trade bodies have created a level playing field for the companies to enter into global business. The entire world has become a common market with dilution of cross-national trade barriers. As a result the companies big and small are globalizing at an unprecedented scale. Profit motive is of course the prime consideration when a company decides to venture into an unexplored territory. However, there are a number of factors that have made the task easier. The nations across the world are constructing duty free zones, and exclusive economic zones offering unmatched infrastructural facilities to foreign and domestic businesses. The internet technology combined with revolutionary advances in telecommunications has facilitated the task of international marketing as never before. Small and medium businesses can now take full advantage of these technologies at a very low cost. However, going international despite the political, social, and technological changes in recent years, needs careful planning and strategizing to avoid unexpected and unforeseen consequences.
[...] Conclusion: The globalization process has opened new and innovative international marketing opportunities. While smaller domestic companies may be pushed into internationalization as a survival strategy, international marketing is gaining greater ascendancy as a norm for companies big or small for the opportunities offered by global expansion. Nevertheless, internationalization remains a strategic decision that calls for in-depth research as several factors might create barriers to internationalization resulting in losses difficult to sustain for smaller companies. References Advantages and Challenges of Exporting, Tekle, S., Viewed October
[...] Relationship Marketing theory when transferred from a domestic to an international context can lead to the emergence of various factors that may hinder the development of cross cultural business relationships. It is seen that psychic relationship has a direct bearing on RM strategy. The higher the level of psychic distance, the greater is the effort required. In other words, the level of psychic distance has a direct bearing on financial and psychological investment required to develop a successful RM strategy (Conway & Swift, 1999:1391). [...]
[...] International marketing is not a recent phenomenon. However, in the past only big companies (like Coke for instance) with huge marketing support running in billion dollars could successfully consider marketing internationally, while today the smaller and medium companies too are going international in large numbers. This has been possible due to crumbling of protectionist barriers in emerging markets around the world (Dawar & Frost, p.119). For instance, not only the big Japanese companies, but even the smaller ones have been stretching their operations to China for some time now. [...]
[...] Most of the companies have to face the tough challenge of going international to survive sometime or the other. This is not an easy decision in its practical application. This is best understood with the help of an example of a multi-billion dollar company conducting international business for decades. They sell a commodity product that is priced 40% more in Europe than in the United States. The price was about the same when dollar was at an all time high. [...]
[...] The success of any international marketing campaign depends on how cross cultural research insights translate into cross cultural strategies that can be effectively used. A new brand positioning strategy designed to assist international managers is based on globally shared meaning in an increasingly competitive market place (Alden, Steenkamp, & Batra). Brands such as Sony and Philips have used such strategies. McDonalds also uses similar strategies. Their slogans emphasize globally shared meaning in their advertisements. Smaller companies do not have enough resources to undertake mega marketing campaigns. [...]
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