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International Marketing

1500 words

AssessmentInformation

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Assessment 3 Information

Subject Code: MKT303

Subject Name: International Marketing

Assessment Title: International Marketing Plan

Assessment Type:
Length:

Individual, Written Report
1500 words (-/+ 10% allowable range)

Weighting: 40%

Total Marks:
Submission:

100
Online

Due Date: Week 13

Your task

Individually, you are required to prepare 1500 words international marketing plan exploring how the
Bundaberg Brewed Drinks Company can enter the market of the country that you have recommended
in the second assessment.

Assessment Description

The purpose of this assessment is to provide students with an opportunity to practice formulating
feasible international market entry strategies by developing an appropriate international marketing mix
in recognition of international opportunities.

Assessment Instructions

Presume that the Flemings family have agreed to expand into the country that you have recommended
in the second assessment. In recognition of your diligent efforts, they have now tasked you to develop
an international marketing plan to assist them with their business decision making to enter this country.

In preparing this plan, you are required to research the recommended country’s soft drink market to
determine the basis for market segmentation and to propose three suitable target segments. Based on
this, you are then required to configure the marketing mix to position the ginger beer in the
recommended country’s market and to explore a suitable market entry strategy.

The Flemings family has indicated that the proposed plan must consider how best to differentiate the
ginger beer from its direct/indirect competitors and respected cultural values. As such, any relevant
laws and regulations that should be considered before entering the recommended country’s soft drink
market must be included in your plan.

The findings presented in your plan must incorporate relevant theories/concepts that you have studied
in this subject.

Assessment Information

COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (‘Act’). The material
in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection
under the Act. Kaplan Business School is a part of Kaplan Inc., a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86 098 181 947 is a
registered higher education provider CRICOS Provider Code 02426B.

As you are preparing a professional marketing plan, please adhere to the following report structure in
presenting your findings to the Flemings family:

• Title Page

• Introduction: a brief overview of the recommended country and an outline of what you will
cover in the plan (not included in the word count of your submission).

• Segmentation and Target Markets: an analysis of the soft drinks market in the recommended
country, along with the identification of suitable target

markets.

• Positioning: the proposal and justification of the desired positioning of the ginger beer within
the recommended

country’s

market.

• Marketing Mix:
o Product – What modifications are required for this market, and why?
o Price – What pricing strategies should be adopted and why?
o Place – How will you get this product/service to customers, and why?
o Promotion – What promotional activities will be undertaken, and why?
o Process – What processes are needed to get the product/service to customers?
o People – What are the key people required for customer-facing activities?
o Physical Evidence – How do you reinforce the experience and why?

• Market Entry: Identification of the preferred modes of market entry accompanied by the
explanation of why this is the preferred options and an assessment of

its advantages and

disadvantages.

• Conclusion: a concise summary of the key findings that you’ve presented in the plan (not
included in the word count of your submission).

• Reference List (not included in the word count of your submission).

In composing this plan, you are required to have at least 8 sources of information to support
your analysis and reference these in accordance with Kaplan Harvard Referencing Style.
These may include websites, government publications, industry reports, census data, journal
articles, and newspaper articles. These references should be presented as in-text citations and a
reference list at the end of your plan.

Assessment Information
COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (‘Act’). The material
in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection
under the Act. Kaplan Business School is a part of Kaplan Inc., a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86 098 181 947 is a
registered higher education provider CRICOS Provider Code 02426B.

Assignment Submission
This file must be submitted as a ‘Word’ document to avoid any technical issues that may occur from
incorrect file format upload. Uploaded files with a virus will not be considered as a legitimate
submission. Turnitin will notify you if there is an issue with the submitted file. In this case, you must
contact your workshop facilitator via email and provide a brief description of the issue and a screenshot
of the Turnitin error message. You are also encouraged to submit your work well in advance of the
deadline to avoid any possible delay with the Turnitin similarity report or any other technical difficulties.

Late assignment submission penalties
Penalties will be imposed on late assignment submissions in accordance with Kaplan Business School

“late assignment submission penalties” policy.

Number of
days

Penalty

1* – 9 days 5% per day for each calendar day late deducted from the total marks
available

10 – 14 days 50% deducted from the total marks available.

After 14 days Assignments that are submitted more than 14 calendar days after the
due date will not be accepted, and the student will receive a mark of zero
for the assignment(s).

Note Notwithstanding the above penalty rules, assignments will also be given
a mark of zero if they are submitted after assignments have been
returned to students

*Assignments submitted at any stage within the first 24 hours after the deadline will be considered to
be one day late and therefore subject to the associated penalty

For more information, please read the full policy via https://www.kbs.edu.au/about-us/school-policies

https://www.kbs.edu.au/about-us/school-policies

Important Study Information

Academic Integrity Policy

KBS values academic integrity. All students must understand the meaning and consequences of
cheating, plagiarism and other academic offences under the Academic Integrity and Conduct Policy.

What is academic integrity and misconduct?
What are the penalties for academic misconduct?
What are the late penalties?
How can I appeal my grade?

Click here for answers to these questions:
http://www.kbs.edu.au/current-students/student-policies/.

Word Limits for Written Assessments

Submissions that exceed the word limit by more than 10% will cease to be marked from the point at
which that limit is exceeded.

Study Assistance

Students may seek study assistance from their local Academic Learning Advisor or refer to the
resources on the MyKBS Academic Success Centre page. Click here for this information.

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reproduction or communication of this material by you may be the subject of copyright protection under the Act. Kaplan Business School is a part of Kaplan Inc., a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86

098 181 947 is a registered higher education provider CRICOS Provider Code 02426B.

MKT303 Assessment 3 Marking Rubric – International Marketing Plan 40%

Marking

Criteria (__/100)

F (Fail)

0-49%

P (Pass)

50-64%

C (Credit)

65-74%

D (Distinction)

75-84%

HD (High Distinction)

85-100%
Segments and
markets

__/15 marks

You have provided incoherent or
no analysis of the soft drinks
market in the recommended

country, with incoherent or no
identification of suitable target

markets.

You have provided a basic analysis
of the soft drinks market in the

recommended country, with limited
identification of suitable target

markets.

You have provided an adequate
level of the soft drinks market
analysis in the recommended

country with a suitable identification
of the target markets.

You have provided a detailed
analysis of the soft drinks market in
the recommended country with a
suitable identification of the target

markets.

You have provided a comprehensive
analysis of the soft drinks market in
the recommended country with a

proficient identification of the target
markets.

Positioning

__/20 marks

You have provided incoherent or
no proposal with incoherent or
no justification of the desired
positioning of the ginger beer

within the recommended
country’s market.

You have provided a basic proposal
with a limited justification of the
desired positioning of the ginger
beer within the recommended

country’s market.

You have provided an adequate
proposal and justification of the
desired positioning of the ginger
beer within the recommended

country’s market.

You have provided a detailed
proposal and justification of the
desired positioning of the ginger
beer within the recommended

country’s market.

You have provided a comprehensive
proposal and justification of the

desired positioning of the ginger beer
within the recommended country’s

market.

Marketing Mix

__/20 marks

You have provided incoherent or
no coverage of the marketing

mix elements.

You have provided a somewhat
suitable coverage of the marketing
mix elements that demonstrated a

limited connection to the ginger
beers’

recommended position.

You have provided a mostly
suitable coverage of the marketing
mix elements by demonstrating a
connection to the ginger beers’

recommended position.

You have provided detailed
coverage of all marketing mix
elements by demonstrating a

connection to the ginger beers’
recommended position.

You have provided comprehensive
coverage of all marketing mix

elements by demonstrating a clear
connection to the ginger beers’

recommended position.

Market Entry

Mode

__/15 marks

You have identified incoherent
or no modes of market entry with

incoherent or no explanation,
incoherent or no assessment of

its advantages and
disadvantages.

You have identified the modes of
market entry by providing a vague

explanation of why this is the
preferred options and limited

assessment of its advantages and
disadvantages.

You have identified the preferred
modes of market entry by providing

an explanation of why this is the
preferred options and an adequate
assessment of its advantages and

disadvantages.
You have identified the preferred
modes of market entry by providing

a clear explanation of why this is
the preferred options and a detailed
assessment of its advantages and

disadvantages.

You have identified the preferred
modes of market entry by providing a
comprehensive explanation of why
this is the preferred options and a
comprehensive assessment of its
advantages and disadvantages.

Spelling and
Grammar

__/10 marks

Spelling and/or grammar is
consistently incorrect. It impacts

on the flow and readability of
your analysis.

Though there are some errors in
grammar and spelling, these do not
detract from the readability and flow

of your analysis.

Mostly correct grammar and
spelling but any errors do not

impact on the readability and flow of
your analysis.

Errors in grammar and spelling are
rare, which enhances the

readability and flow of your
analysis.

Perfect grammar and spelling
throughout, which enhances the

readability and flow of your analysis.

Report

Format

__/10 marks

The format chosen for your
report lacks thought and

consideration for the intended

audience.

The format chosen for your report is
satisfactory, but major improvements

would enhance its effectiveness.

The format chosen for your report is
appropriate, but quite a few

improvements would be needed for
a professional audience.

Your report is professionally
presented and has been submitted
in a format that, with some tweaks,
could be suitable for a professional

audience.

Your report is professionally
presented and has been submitted in

an entirely appropriate format.

In-text Citations

and Referencing

__/10 marks

Neither in-text referencing
and/or reference list adheres to

Kaplan Harvard Referencing
Style.

In-text referencing or the resultant
reference list adheres to Kaplan
Harvard Referencing Style, with

some errors.

Both, in-text referencing and the
resultant reference list adhere to

Kaplan Harvard Referencing Style,
with some errors.

Both, in-text referencing and the
resultant reference list adhere to

Kaplan Harvard Referencing Style,
with only occasional minor errors.

Both, in-text referencing and the
resultant reference list adhere strictly
to Kaplan Harvard Referencing Style,

with no errors.

Feedback and Grades will be released via MyKBS.

MKT303 International

Marketing

Study Week

Workshop 6

This material has been reproduced and communicated to you by or on behalf of

Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any

further reproduction or communication of this material by you may be the subject of

Do not remove this notice

Revision

Let’s review what you do and don’t know so far. Individually

you are required to review the content from weeks 1 to 5. In

your revision, you will need to identify what you do and

don’t know. Please use below table as an example.

Assessment 2 Overview

Please log into MyKBS>My

Subjects>MKT303>Assessments>Assessment 2

Next Week

Trade Relations

MKT303 International

Marketing
In-class Assessment

PESTEL Analysis

Workshop 5

This material has been reproduced and communicated to you by or on behalf of

Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any

further reproduction or communication of this material by you may be the subject of

Do not remove this notice

In-class Assessment

Form pairs and watch the video of ‘Why

Starbucks Failed in Australia’.

In-class Assessment Cont.

You and your partner have 70 minutes to collectively
discuss the main reasons why Starbucks was so

unsuccessful in entering the Australian coffee
market. In having this discussion, you are to

complete the PESTEL analysis of the Australian
market by using information presented in the video.

Based on this, you are then required to reflect on the
potential cultural challenges that Starbucks is going

to experience when they are entering the Italian
coffee market.

In-class Assessment Cont.

In completing this activity, you and your partner are required to
prepare a PowerPoint slide deck which you and your partner will
use to deliver a 10-minute presentation to the workshop
facilitator and classmates. More specifically, your slides should
include the following:

• PESTEL analysis of the Australian coffee market based on the
information presented in the video.

• Identification of the opportunities and threats that should have
been considered by Starbucks at the time of entering the
Australian coffee market.

• A proposal of how Starbucks should approach the Italian
coffee market in light of the lessons learned from the failed
market entry in Australia.

In-class Assessment Cont.

You and your partner will be

given 8 minutes (no more)

to present the key findings

to the workshop facilitator

and classmates with

additional 2 minutes

reserved for any questions

that your workshop

facilitator and classmates

might have.
Source: Photo by Alex Litvin on Unsplash

https://unsplash.com/@alexlitvin?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

https://unsplash.com/s/photos/presentation?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

Next Week

Study Week

Your attendance is compulsory

MKT303 International
Marketing

Getting the product to the
customer an international
approach
Workshop 10

69
WARNING

This material has been reproduced and communicated to you by or on behalf of
Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any
further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?

Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory).

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international market

12 Future of international marketing and ethics

Learning Outcomes

1. Identify how to sustain a competitive

advantage in new

markets

2. Explore distribution

strategies

for new

markets
3. Understand the role of global supply chains
4. Analyse suitable methods to distribute

products or services to customers
5. Assess potential options for distribution

strategies

Why am I learning this?

Getting your products or services to
customers successfully – can mean the
difference between success and failure

As marketers you need to consider these
factors.

Workshop Activity

Revision

What did we discuss last week? Identify the
three main points that you’ve learned during

last week’s class.

Share your thoughts with the rest of the
class.

This Topic’s Big Idea

“A product with better distribution
will win over a superior product with

poor distribution or customer
access”
Stephen Davis

Establish a Competitive
Advantage

Cost
Leadership Differentiation

Cost Focus Differentiation Focus

COST DIFFERENTIATION

B
R
O
A
D

N
A
R
R
O
W

Porter’s Generic Strategies

Apply this to the
Global Context

According to Hao Ma, author China Centre for Economic
Research, Peking University there are 4 determinants to
the achievement of Global Competitive Advantage.
The 4 Cs

Ma, H.,

04. Toward global competitive advantage:

Creation

, competition,
cooperation, and co-option. Management decision, 42(7), pp.907-9

Creation

Competition

Cooperation

Co-option

Creation
• Innovation is at the heart of

both strategy and
entrepreneurship

• Fostering innovation
requires:
– Managerial initiatives
– Innovative organisational

structures
– Organisational learning
– Supportive corporate culture
– Creative human resource

management
• Creates new products and

markets

• Watch the Google Office
example:
bit.ly/mkt303googlestaff

http://bit.ly/mkt303googlestaff

Competition
• When the iPod & iPad

were released, they were
first to the world
technology

• Use of patents and
trademarks to protect
intellectual property

• Pre-emptive competitive
advantage eliminates or
constraints rivals’ options

• It limits, reduces or
neutralizes rivals’ ability
to create customer value

Source: Apple

Cooperation
• Setting foothold in new

market/country
• Pooling resources and

sharing risks
• Sharing complementary

resources and skills
• Learning from partners
• Building alliances
• Weighing options in

multiple alliances

• Various market entry
modes allow foreign
companies to
cooperate with local
companies

• Blends
cultural/language
knowledge, contacts
and expertise

• Examples: Telstra and
Telkom Indonesia
forming telkomtelstra

Co-option
• Strategic co-option

attempts to align other
parties’ interests with
that of the focal firm

• Provides opportunities
by removing external
obstacles or
neutralizing threats

• Often via a third party
to influence the firm’s
fight with rivals

• Examples include joint
lobbying on changing
regulations or barriers
to entry

• In Victoria: Firms are
advocating to change
laws prohibiting
eScooters in
cooperation with the
RACV

In groups of four to five discuss:

What are the advantages and disadvantages
of these four options?

When would a firm consider their use?

Workshop Activity

• Price is one of the factors
that marketers can change

• Pricing strategies include:
• Competitive pricing –

Pricing based on what
competitors are charging

• Value Based pricing –
Pricing consumers are
prepared to pay based on
the perceived value placed
on products.

• Price penetration – Pricing
based on what competitors
are charging.

• Price skimming – Charging
a high price initially due to
the innovation benefits or
product uniqueness.

• Product line pricing – Sell
some product lines in the
product category cheaper to
stimulate sales &
differentiate quality between
products.

• Relationship pricing –
Flexibility to modify pricing
to develop long-term
relationship.

Set and Adjust Pricing

Marketing
Channels for
Consumer
Products

Manufacturer Manufacturer Manufacturer Manufacturer

Agents

Wholesalers Wholesalers

Retailers Retailers Retailers

Consumers Consumers Consumers Consumers

A B C D

Choose Suitable Distribution

Direct selling though retailers through wholesalers through agents, wholesalers
Eg. Online sales Eg. Clothing & retailers eg. Tourism & retailers eg. Tourism

manufacturer or supermarket items

Source: http://www.civilserviceindia.com/subject/Management/notes/designing-and-managing-marketing-channels.html

http://www.civilserviceindia.com/subject/Management/notes/designing-and-managing-marketing-channels.html

• Coordinating buyer demand with product
availability

• Facilitating negotiation between exporter and
importer

• Protecting both buyer and seller from
opportunistic behaviour by establishing trust

• Reducing transaction costs
• Matching buyers and sellers
• Facilitating transactions by providing relevant

information
• Providing physical distribution/logistical

support

Role of Channel
Intermediaries

Workshop Activity
In groups of four to five discuss:

Why would a firm modify its pricing for an
international market?

What are the advantages and
disadvantages of each method of

distribution?

Using Intermediaries

Advantages:
• Expertise in the marketplace
• Contacts to sell the organisation’s goods and

services
• Established retail system that increases exposure

Disadvantages:
• Commission
• Management time
• Favouring to sell competitors goods and services

at times

Distribution
Strategies: Intensive

1. Intensive distribution

For widespread exposure,
to place goods and
services via as many
distributors as possible.

Applies to lower priced
goods eg. FMCG
products

• Example Coca Cola

Distribution
Strategies: Selective

2. Selective distribution

With selective distribution,
the manufacturer aligns
with retailers that
represent their level of
brand positioning.

Fewer distribution
channels than Intensive

• Example – Just For
Pets

• Just For
Pets represents
independent retailers in
the pet industry
providing pet services.

• Pet Supplies, Pet
Care, Pet Food,
Pet Store, Domestic
Pets.

• https://justforpets.com.a
u/

https://justforpets.com.au/

Distribution
Strategies: Exclusive

3. Exclusive distribution

With exclusive
distribution, the
manufacturer will have
few distribution channels
that truly represent their
premium brand

Focus tends to be on
building the image of the
brand and its exclusivity

• Example – Luxury
products

A. Manufacturer to Customer

• Direct: Business to

Customer or Business
to Business
• The Internet has created

opportunities to reach
customers directly

• Can reduce time to
market and intermediary
costs

• Need strong promotional
campaign

• Require logistics to
service customers

•

B. Manufacturer, Retailer,
Customer

• Example: Australian Manufacturer makes the clothes and then
distributes through retail shops domestically and internationally

Inbound International Tourism
Distribution System

O/s Retailers

Airlines to
Australia

Hotels in
Australia

Australian
Theme
Parks

O/s Wholesalers

O/s Tourists

Inbound International Tourism
Distribution System Cont.

Overseas Retailers – sell the packages that
wholesalers distribute to them

Overseas Wholesalers – package up goods
and services that make an Australian holiday

Australian Tourism Products – eg. Airline,
hotels, restaurants & theme parks give a nett
rate to the wholesalers to include them in tour
packages

Workshop Activity

Lunar Park Sydney

Whale watching Hotels

Discuss distribution channels used by these Hospitality
and Tourism services – 10 minutes

Bridge climb Sydney

Agents

• Marketing
intermediaries

• Engaged by buyers or
sellers on an ongoing
contractual basis to
negotiate with other
parties on their behalf.

• Often will have rights or
exclusivity to represent
the buyer or seller

Examples:
• Manufacturers’ agents

– represent
manufacturers either in
domestic or
International markets
eg. College agents

• Selling agents – eg.
Agents buying property
for overseas buyers

Channel Design Decisions

• Analysing customer

needs
– Size
– Delivery times
– Spatial convenience
– Product variety
– Service backup
– Expected volume

• Establishing channel
objectives
– Costs
– Timeliness
– Available resources
– Trust of networks

Channel Design
Decisions Cont.

Identifying major channel alternatives

A channel alternative is described by three elements
• available business intermediaries
• number of intermediaries needed
• terms and responsibilities of each channel member
• types of target markets that channels attract.

Evaluating major channel alternatives

Workshop Activity
How the 4-7 Ps help to determine
the “Place or Distribution” of a
product or service.
• Case Study: Watch

bit.ly/mkt303frenchcakes and
answer following questions

Group discussion questions:
1. What are the market factors to

be considered according to the
YouTube about selling directly
to consumers by the roadside?

2. How does the consumer needs
and demand affect distribution
channel decision?

3. How does the perishability of
French Cakes affect the
distribution channel decision?

http://bit.ly/mkt303frenchcakes

International Distribution
Decisions

Direct distribution
(integrative) –
company has vertically
integrated overseas
distribution

Indirect distribution
(cooperative) – use of
external overseas
intermediaries

Advantages

-Direct control
-Level of customer
service
-Problems easily
identified & solved
– Save on
commission

Disadvantages

– Lower volumes of
sales
– Less exposure of
products
– High cost of
promotion

– Use Distributors’
expertise in market
– More exposure
– More sales

– Less control
– Pay commission
– Your company not
connected to the
market
– Dependency on
distributors

Next Week

Product management and surviving in an
international marketing.

MKT303 International Marketing

Copyright Notice
What will we be learning?
Learning Outcomes
Why am I learning this?
Workshop Activity
This Topic’s Big Idea

Establish a Competitive Advantage
Apply this to the� Global Context

Creation
Competition
Cooperation
Co-option

Slide Number 14
Slide Number 15

Choose Suitable Distribution

Slide Number 17

Workshop Activity
Using Intermediaries

Distribution �Strategies: Intensive
Distribution �Strategies: Selective
Distribution �Strategies: Exclusive

A. Manufacturer to Customer

B. Manufacturer, Retailer, Customer
Inbound International Tourism Distribution System
Inbound International Tourism Distribution System Cont.

Workshop Activity
Agents
Channel Design Decisions

Channel Design �Decisions Cont.

Workshop Activity

International Distribution�Decisions

Next Week

MKT303 International

Marketing
Legal and Environmental factors
impacting international marketing

Workshop 4

This material has been reproduced and communicated to you by or on behalf of

Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any

further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?
Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory)

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international marketing

12 Future of international marketing and ethics

Why am I learning this?

Understanding legal and environmental

issues lets you be aware of the potential

compliance requirements required to enter a

new markets, which is important when

managing partners or selling to new

international markets.

Workshop Activity

Revision

What did we discuss last week? Identify the

three main points that you’ve learned during

last week’s

class.

Share your thoughts with the rest of the

class.

This Topic’s Big Idea

“Earth provides enough to satisfy every

man’s needs, but not every man’s

greed.”

Mahatma Gandhi

Learning Outcomes

1. Explain how environmental factors
influence international marketing

2. Explore the context of legal factors and its
impact on international marketing

3. Explore the economic, technological and
socio-cultural factors and implications in
International business

4. Analyse the use of the PESTLE analysis
in international marketing

External factors

Organisation

Political

Economic

Social

Technological

Legal

Environmental

Cannot control

external factors

Legal

• Cover the laws within a country: Employment, Health

and Safety, consumer protection, discrimination

• Different countries have different laws and legal

frameworks,

• For example Australia’s legal frameworks can be found

here: https://www.imrg.org/australia-legalities/

https://www.imrg.org/australia-legalities/

Marketing Tobacco

in Australia

• Tobacco advertising has
been banned in Australia
since 1993

• In 2018 12.8% of
Australians smoked
cigarettes

• Australia prohibits the sale
of e-cigarettes, however
1.2% of the Australian
population undertakes
vaping as at 2016.

• Quit smoking an anti-
tobacco body in Australia
bit.ly/mkt303quit

Source: https://www.abc.net.au/news/2014-01-10/timeline3a-smoking-report-marks-50th-anniversary/5192838

http://bit.ly/mkt303quit

https://www.abc.net.au/news/2014-01-10/timeline3a-smoking-report-marks-50th-anniversary/5192838

Marketing Alcohol in India

• In 1995 a blanket ban

was imposed in India

• Alcohol brands have

been using social

media and digital

marketing to advertise

• Viral marketing has

also exposed alcohol

brands to the masses

Source: https://www.instagram.com/p/B9bIzxLJxwG/

https://www.instagram.com/p/B9bIzxLJxwG/

Workshop Activity

Debate

Is it OK for alcohol brands to use digital marketing

if other forms of advertising are banned? Chose

yes or no, and prepare an argument that justifies

your stance.

Share your thoughts with the rest of the class.

Foreign Ownership

• Laws govern foreign

ownership.

• In Australia many

ASX top 100 brands

have US ownership.

Source: https://www.smartcompany.com.au/finance/economy/chinese-us-influence/

Worried about Chinese influence? Take a peek at who owns Australia’s biggest companies

Workshop Activity

Brainstorm Session

What does it mean for Australian brands to be

foreign owned from a marketing context?

Share your thoughts with the rest of the class.

Should Brands

Change Laws?

• One of the core values of
The Body Shop is that it
does not test on animals

• The brand has advocated
for countries to ban testing
on animals since 1989.

• I has been successful in its
advocacy with a ban in the
UK being imposed in 1998
and the European Union in
2013

• Forever against animal
testing campaign:
bit.ly/mkt303bodyshop

Source: https://fsquaredtheblog.wordpress.com/2017/06/01/the-body-shop-forever-against-animal-testing/

http://bit.ly/mkt303bodyshop

The Body Shop: Forever Against Animal Testing

PESTLE – Environmental

Environmental

• Carbon emissions

•

Sustainability

• Corporate social

responsibility

• Ethical sourcing
Source: https://qz.com/1417078/global-carbon-emissions-are-set-to-rise-in-2018/

https://qz.com/1417078/global-carbon-emissions-are-set-to-rise-in-2018/

Carbon Emissions

• Carbon emissions are
causing global warming.

• The natural environment
is being impacted.

• Temperatures are rising.

• Sea levels are increasing.

• Causes of climate change
include the burning of
fossil fuels, construction,
food production and
farming.

Global Wine Industry

• Wine in France is

under threat due to

climate change:

bit.ly/mkt303wine

• The UK however has

benefited from climate

change and is now

producing more

quality wine, leading

to growth

Source: https://www.theenglishwinecollection.co.uk/collections/award-winners

http://bit.ly/mkt303wine

Award Winners

Workshop Activity

Brainstorming Session

How can French wine be marketed if there is

a decline in quality?

Share your thoughts with the rest of the
class.

Sustainability

• Balance between
competing needs

• Avoid or reduce the
depletion of natural
resources while still
making a profit

• Some brands have
sustainability plans:
https://www.unilever.co
m.au/sustainable-
living/ten-years-of-
sustainable-living-
achievement.html

Source: https://www.unilever.com.au/sustainable-living/

https://www.unilever.com.au/sustainable-living/ten-years-of-sustainable-living-achievement.html

https://www.unilever.com.au/sustainable-living/

Corporate

Social Responsibility

Corporate social responsibility, often abbreviated

“CSR,” is a corporation’s initiatives to assess and

take responsibility for the company’s effects on

environmental and social wellbeing. The term

generally applies to efforts that go beyond what

may be required by regulators or environmental

protection groups.

Fast Fashion

• The Fast Fashion
industry has enabled
consumers to purchase
on-trend clothing at low
prices

• However, most fast
fashion clothing has a
short life

• Fast Fashion is creating
waste:
bit.ly/mkt303fastfashion Source: https://www.pinterest.com.au/pin/565483296934845749/

http://bit.ly/mkt303fastfashion

Ethical Sourcing

• Many brands are

engaging in sourcing

products so that they

don’t damage the

environment.

• Ethical sourcing

involves the supply

chain being one that

minimises damage to

the environment

Nestle and its

use of Palm Oil

• Could your chocolate bar be
causing deforestation?:
bit.ly/mkt303nestle

• Nestle was banned for a
group that supports
sustainable palm oil
sourcing due to breaches:
https://www.abc.net.au/new
s/science/2018-06-
29/nestle-suspended-
sustainable-palm-
oil/9923238

• Will this change your
attitudes on purchasing a
chocolate bar?

Source: https://www.nestle.com/csv/raw-materials/palm-oil

http://bit.ly/mkt303nestle

https://www.abc.net.au/news/science/2018-06-29/nestle-suspended-sustainable-palm-oil/9923238

https://www.nestle.com/csv/raw-materials/palm-oil

Workshop Activity
Brainstorming Session

Should marketers work for brands that

damage the environment?

Share your thoughts with the rest of the
class.

Next Week

In-class Assessment.

Do not be late.

MKT303 International
Marketing

Market entry
Workshop 9

This material has been reproduced and communicated to you by or on behalf of
Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any
further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?

Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory).

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international market

12 Future of international marketing and ethics

Learning Objectives

1. Examine problems faced by firms in international business

when selecting a new international market
2. Assessing a country’s attractiveness in terms of its potential,

its membership of trading blocs, its competitive intensity and
its entry barriers

3. Create a portfolio of the most attractive foreign markets to
enter given the circumstances of the firm and the potential
offered by the market

4. Recognise the different available modes for entering an
international market and the advantages and disadvantages
of each

5. Explain the differences between export-based entry modes,
manufacturing-based entry modes and relationship-based
entry modes

Why am I learning this?

Market entry explores how you enter a new
market.

This is integral knowledge for any marketer
considering international opportunities.

Workshop Activity

Revision

What did we discuss last week? Identify the
three main points that you’ve learned during

last week’s class.

Share your thoughts with the rest of the
class.

This Topic’s Big Idea

“If your dreams don’t scare you,
they’re not big enough.”

Ellen Johnson Sirleaf

International
Market Selection

Two critical questions:
1. Which market?

• Which country and
why?

• What are the
advantage and
disadvantages?

2. How to enter?
• How do I serve this

market?
• What are the costs and

opportunities?

Microenvironment
(the firm)

Macroenvironment

Determine Suitable Markets

Stage 1: Domestic Regulation
and Management Preferences

• Which international
markets to exclude
regardless of their
apparent potential?

• Need to consider
regulation and policy and
what the organisation can
do in a country.

• Outcome: exclude
markets with
unfavourable Australian
regulations.

Examples

Trade restrictions between the
domestic country and international
(eg US and Iran)

Particular views of management
towards countries

Stage 2: Initial Entry
Assessment

• Which remaining
overseas markets have
the least attractive
political and social
environments?

• Which remaining
overseas markets are
least attractive because
of their nature and
potential size?

Examples
Is there political instability?
Do political processes make it too
difficult to do business?
Is the market size too small?

Stage 3: Competitive
Environment

• Consider the amount of
competitors in a country

• Eliminate overseas markets
with substantial trade
barriers.

• Countries protecting
domestic industry or
favouring other countries to
trade with.

• Overseas markets to avoid
when competitors are
saturating the market.

Examples
Are there too many competitors?
Do local subsidies exist?
Are there trade barriers through tariffs
or quotas?

Stage 4: Market
Responsiveness

• Which remaining
international markets
prohibit the presence of
your type of company?

• Which international
markets are unattractive
because of costs and
problems of reaching
them from the home
market?

Examples
Do laws or cultural values prohibit
operations? (eg alcohol in Saudi
Arabia)
Is it too difficult to get the
product/services to consumers due to
transport or other factors?

Stage 5: Internal
Trade-off Analysis

• Unattractive markets
due to commitment of
resources and
accessibility.

• Do any of the markets
still under
consideration fail to
meet the company’s
objectives or match its
competitive
advantages?

Examples
What costs are required to enter the
market?
Does the company have priorities
elsewhere?

Workshop Activity

In groups of three to four:

Recall the PESTLE
analysis – how would this
tool help you with these

five stages?

Share your discussion
with the rest of the class.

Depth of Entry

Answers the questions:
• Does the organisation

want to invest a
substantial amount of
resources?

• Should multiple
countries be entered at
once?

• What risks are the
organisation willing to
take?

• Timing?
Source: This Photo by Unknown Author is licensed under CC BY-NC

http://www all.com/globe-png

https://creativecommons.org/licenses/by-nc/3.0/

Incremental Entry

• Learn from previous
market and enter
based on these
learnings.

• Fewer resources and
risks; provides for
learning experiences;
may preclude
economies of scale.

Source: Disney

Disneyland believes in an incremental
expansion approach learning from each
city they open before stating another.
1954 – Anaheim
1965 – Orlando
1971 – Florida
1983 – Tokyo Disneyland
1995 – Disneyland Paris
2005 – Hong Kong Disneyland
2016 – Shanghai Disneyland

Simultaneous Entry

• Open in multiple
countries at the same
time.

• Resource intensive,
higher operating risk,
acquire overseas
experience rapidly,
facilitate economies
of scale.

Source: https://investor.uber.com/news-events/news/press-release-details/2020/Uber-Announces-Results-for-Fourth-Quarter-and-Full-Year-2019/

Uber
Between 2013 to 2014 Uber
accelerated its international expansion.
The company now operates in about
400 cities, up from fewer than 100 at
the start of 2014.
Uber’s international business made a
loss of $237 million in 2014.
2013 – loss was $32 million.
2019 – loss was $615 million

https://investor.uber.com/news-events/news/press-release-details/2020/Uber-Announces-Results-for-Fourth-Quarter-and-Full-Year-2019/

Concentrated Approach

• Resources
concentrated in
limited number of
markets, reduced
costs, operating risks,
economies of scale.

• Coca Cola is an
example of a brand
that uses a
concentrated
approach.

Source: Coca Cola

Diversified Approach

• Spreads risk
exposure, broadens
market knowledge,
strategic flexibility,
resources spread
thinly

• Virgin is a brand that
uses a diversified
approach

Source: http://marktruelson.com/a-branded-house-masterpiece/

A Branded House Masterpiece

Workshop Activity

Let’s watch this video:
bit.ly/mkt303virginbrands

Should Virgin continue the diversification
strategy?

http://bit.ly/mkt303virginbrands

Modes of Entering Foreign
Markets: Overview

1. Export-based entry
2. Manufacturing-based

entry
3. Contract

manufacturing,
offshoring and
countertrade

4. The ‘born global’
entry mode

1. Export-based Entry

• In indirect

exporting, a
manufacturer turns
international sales
over to a third party,

• while in direct
exporting, a
manufacturer
handles the export
process itself.

• Indirect export
– Minimum resources

commitment
– Third party distributor

• Direct exporting
– Greater resources/control
– Foreign agent
– End-user

• Establish sales
office in foreign
market

• Licensing
• Franchising

International Franchises

• A franchise is a type of license

• A party (franchisee) acquires the
license to have access to a
proprietary knowledge,
processes
and trademarks (franchiser)

• Allow the party to sell a product
or provide a service under the
business’s name.

• Increasing in importance
domestically and internationally

• Shifts costs to the franchisee
(average $500,000 in Australia)

Workshop Activity

• McDonald’s Franchise
• THE FOUNDER Official Trailer (2016)
• McDonald’s Franchise Movie HD:

bit.ly/mkt303founder

• Can you think of any other recently
successful franchise? Share it with the
person sitting next to you.

http://bit.ly/mkt303founder

2. Foreign Direct Investment

• Often referred to as foreign direct
investment (FDI)

• Can take a number of forms:
– Joint venture
– Consortia
– Acquisition
– Greenfield operation

• Balance risks and return

Joint Venture

• A joint venture (JV) is a

business arrangement in which
two or more parties agree to
pool their resources for a
specific project.

• This task can be a new project
or any other business activity.

• In a joint venture (JV), each of
the participants is responsible
for profits, losses and costs
associated with it.

• The venture is its own entity,
separate and apart from the
participants’ other business
interests.

Examples:
Queens Wharf in Brisbane – Joint
venture between Star
Entertainment Group, Chow Tai
Food and Far East Consortium.

Source: https://queenswharfbrisbane.com.au/news/destination-brisbane-consortium/

Who is Destination Brisbane Consortium?

Workshop Activity

• In groups research examples through of
the following modes of entry and then
share with the class.

• Australian export company
• Australian-China joint venture company
• Australian based franchise company

Consortia & Acquisition

Consortia
• A consortium is a group

made up of two or more
individuals, companies or
governments that work
together toward achieving
a chosen objective.

Acquisition
• An acquisition is a corporate

action in which a
company buys most, if not
all, of another firm’s
ownership stakes to
assume control of it. An
acquisition occurs when a
buying company obtains
more than 50% ownership
in a target company.

Greenfield Operation

Greenfield Operation
• A greenfield investment is a

form of foreign direct
investment where a parent
company builds its operations
in a foreign country from the
ground up.

• In addition to the construction
of new production facilities,
these projects can also include
the building of new distribution
hubs, offices and living
quarters.

3. Contract Manufacturing,
Offshoring and Countertrade

• Contract manufacturing
– Marketing firm contracts

the manufacturing of the
product to overseas
manufacturers but retains
control of the marketing of
the product

• Offshoring
– Involves the relocation to

another country of
business processes that
were previously
undertaken by the firm
itself

• Countertrade
– A foreign market entry

method that involves
linking of an import and an
export transaction in a
conditional manner

• Each option has
associated risks and
returns

• For example: Contact
manufacturing – what if
the overseas
manufacturer copies the
product?

4. Born Global

• Born global is designed with

a vision of becoming global
• Globalises rapidly without

any preceding long term
domestic or
internationalization period.

• Usually born global
companies are small
companies, technology
oriented companies that
operate in international
markets from the earliest
days of their establishment.

Source: Uber

Next Week

Getting the product to the customer – an
international approach.

MKT303 International Marketing

Copyright Notice
What will we be learning?
Learning Objectives
Why am I learning this?
Workshop Activity
This Topic’s Big Idea

International �Market Selection

Determine Suitable Markets

Stage 1: Domestic Regulation �and Management Preferences
Stage 2: Initial Entry �Assessment
Stage 3: Competitive �Environment
Stage 4: Market �Responsiveness
Stage 5: Internal �Trade-off Analysis

Workshop Activity
Depth of Entry
Incremental Entry
Simultaneous Entry
Concentrated Approach
Diversified Approach
Workshop Activity

Modes of Entering Foreign Markets: Overview

1. Export-based Entry
International Franchises
Workshop Activity
2. Foreign Direct Investment
Joint Venture
Workshop Activity
Consortia & Acquisition
Greenfield Operation

3. Contract Manufacturing, �Offshoring and Countertrade

4. Born Global
Next Week

MKT303 International
Marketing

Trade relations
Workshop 7

This material has been reproduced and communicated to you by or on behalf of
Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any
further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?

Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory).

7 Trade relations

Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international market

12 Future of international marketing and ethics

Why am I learning this?

Trade relations are integral to realising
market opportunities.

Knowing trade relations lets you identify
potential markets to build international

marketing opportunities.

Workshop Activity

Revision

What did we discuss last week? Identify the
three main points that you’ve learned during

last week’s class.

Share your thoughts with the rest of the
class.

This Topic’s Big Idea

“Global trade has advantages. For starters, it
allows those of us who live through winter to eat

fresh produce year-round.”

David Suzuki

Learning Outcomes

1. Understand the history of trade.
2. Gain context of Australia and how it conducts

trade with international trade partners.
3. Comprehend how international trade works.
4. Understand the role of key trade bodies.
5. Discuss key concepts such as imports, exports

and tariffs.

The History of Trade

• Trade has existed since the

foundations of humanity –
exchanging a surplus of
products for another

• Modern trade arrangements
began after World War II
(1945)
– General Agreement on

Tariffs and Trade (1947-
1994)

– World Trade Organisation
(1995 onwards)

• International trade was a
way to reduce potential for
conflict

Watch: bit.ly/mkt303wto

Source: https://www.wto.org/english/thewto_e/thewto_e.htm

https://bit.ly/mkt303wto

https://www.wto.org/english/thewto_e/thewto_e.htm

Workshop Activity

In groups of three to four discuss:

What are some of the advantages of
encouraging international trade?

What are some of the disadvantages of
international trade?

World Trade
Organisation (WTO)

• Global body that deals
with the rule of trade
between countries.

• Goal: “ensure that trade
flows smoothly,
predicably and as freely
as possible.”

• 160 are members of the
organisation representing
98% of total trade.

• Based in the Centre
William Rappard in
Switzerland.

Source: https://www.wto.org/english/thewto_e/thewto_e.htm

https://www.wto.org/english/thewto_e/thewto_e.htm

International
Monetary Fund (IMF)

• Maintains the stability of the
world’s monetary system.

• Founded in 1945
• Goal is to foster global

monetary cooperation.
• 189 members, some of these

countries provide funding for
loans that are given out by the
organisation.

• Undertakes:
– Economic surveillance
– Lending
– Capacity development

• Based in Washington DC, USA

World Bank

• 189 members
• Mission: “reduce extreme

poverty to 3% by 2030.
Promote share prosperity
by increasing incomes of
the poorest 40% of
people in every country”

• Provides funding and
knowledge

• Currently undertaking
over 12,000 development
projects around the world

• Headquartered in
Washington DC, USA

Workshop Activity

In groups of three to four pick one of these
international bodies and discuss how it has

helped in support international trade

What has the international organisation
done?

What more could it do?

Forms of Trade Protection

• Tariffs

– Taxes on imported
products or services

– Raises prices for
international goods making
them more expensive than
domestic

• Quotas
– Restrictions on the amount

of imported products or
services

– Limits the potential for
foreign products or
services to enter a market

• Subsidies
– Government support to

particular industries
– Not necessarily trade

protection but can help
these industries compete

• Regulations
– Laws or compliance

required to operate in a
market

– Not necessarily trade
protection but does place
requirements on
competition

Free Trade vs Protectionism

• Free trade is the removal

trade barriers
• Protectionism is the

increase of trade barriers
• But the reality is less

simple
– Varies between

countries
– Varies between

industries
• Countries trend towards

these two directions

World War I

•1914-1918
•Limited civilian
economies

‘Spanish
Flu’

•1918-1920
•Social isolation
•Restrictions on
travel

Great
Depression

•1930-1939
•Trade
protectionism

•Mass
unemployment

World War
II

•1939-1945
•Limited civilian
economies

Cold War

• 1945-1989
• Colonial independence
• Capitalism vs

Communism
• Creation of trading

blocs

Post-
Cold War

• 1989-2000
• Collapse of USSR
• Economic growth in

China
• Bilateral trade

agreements
• Expansion of EU

Internet
Era

• 2000-

2015

• Growth of Internet

access
• Use of e-commerce
• Reductions in trade

barriers
• Reduction of US

influence

Current

• 2015-onwards
• Brexit and US

protectionism
• Decline of US

influence
• COVID-19
• Travel restrictions

Workshop Activity
Since World War II the general trend has been

towards removing trade barriers

Yet the UK is leaving the European Union and
Donald Trump was elected to the US to impose

trade barriers. COVID-19 has also disrupted
global supply chains and trade

In groups of three to four discuss what you
think will be the general trends in global trade

over the next five to ten years.

Australia and Trade

Australia is dependent on global trade to bolster the

economy

Source: https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

Exports out of Australia

Source: https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

Imports to Australia

Source: https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

Workshop Activity
Cars in Australia used to be
manufactured in Australia,

however this is no longer the
case:

Watch: bit.ly/mkt303holden

In groups of three to four
discuss:

How did global trade impact
this decision?

Was this the right approach in
your view?

Source: General Motors

http://bit.ly/mkt303holden

Facilitating Global Trade

• Trade needs

agreement between
countries:
– Multilateral (many

countries)
– Regional (group of

countries)
– Bilateral (between two

countries)
• While the goal is ‘free

trade’ some barriers do
remain

Watch:
bit.ly/mkt303brookings

In groups discuss:

What are the advantages
and disadvantages of
trade agreements?

What is your view on this?

https://bit.ly/mkt303brookings

Regional Trading Blocs

• Group of countries that

protect themselves from
imports from non-member
countries.

• Trading Blocs are a form
of economic integration,
and increasingly shape the
pattern of world trade.

• There are 4 major types of
integration.
1. Free Trade Areas
2. Customs Unions
3. Common Markets
4. Monetary Unions

Gillespie, K. and Hennessey, H.D., 2010. Global
marketing. Cengage Learning.

Source: http://marketbusinessnews.com/financial-glossary/single-market/

http://marketbusinessnews.com/financial-glossary/single-market/

Economic Integration Types

3.Common
Markets

Same as free
trade areas but…
Agreed common
external tariff or
trade barrier to
non member
nations is
exercised.
Capital or labour
cannot be moved
freely between
member nations.

e.g. SACU

2.Customs
Unions

Simplest form of
integration.
* Nations agree
to drop all or
some barriers
among member
nations but can
still trade outside
of the group.
* Capital or
labour cannot be
moved freely
between member
nations.
e.g. NAFTA
e.g. ASEAN

1.Free Trade
Areas

4.Monetary/
Economic
Unions

Same as
common unions
but…
Free flow of
resources is
encouraged
amongst member
nations & capital
and labour are
able to move
freely.

e.g.EU

Same as
common
market but…
Member
nations no
longer regulate
their own
currencies.
They all
operate under
the one
currency
controlled by a
supranational
central bank.
e.g.EU

Gillespie, K. and Hennessey, H.D.,
2010. Global marketing. Cengage Learning.

European Union (EU)

• Promotes economic
growth for countries in
Europe.

• Peace within Europe
• Goal: “stability, a

single currency,
mobility and growth.”

• 27 members.
• Headquarters in

Brussels, Belgium.

Source: https://europa.eu/european-union/about-eu/eu-in-brief_en

https://europa.eu/european-union/about-eu/eu-in-brief_en

Recent Trade Blocs

• Regional Comprehensive

Economic Partnership (RCEP)
– Negotiations from: 2011
– Signed: 2020
– 15 Members
– India withdrew

• Comprehensive and
Progressive Agreement for
Trans-Pacific Partnership
(CoTPP)
– Negotiations from: 2015
– Signed: 2018
– The US withdrew

• Regional trade blocs
complement bilateral
agreements

Australian Free
Trade Agreements

Source: https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

https://www.dfat.gov.au/sites/default/files/trade-investment-glance-2020

Austrade

• The Australian Trade

and Investment
Commission (Austrade)

• Helps Australian
businesses expand
internationally through:
– Supporting foreign direct

investment
– Advice on export

markets
– Potential finance for

export development

Austrade | A case study
Published on 17 Sep

2015

Watch:
bit.ly/mkt303austrade

https://bit.ly/mkt303austrade

Workshop Activity

• BHP is one of the
largest companies in
Australia

• Focus is on global
resources and
worldwide mining
operations

• Think Big campaign:
bit.ly/mkt303bhp

In groups discuss what
do you think of BHP’s

approach to marketing,
taking a global

approach?

http://bit.ly/mkt303bhp

Next Week

Culture and communications

MKT303 International Marketing
Copyright Notice

What will we be learning?
Why am I learning this?
Workshop Activity
This Topic’s Big Idea
Learning Outcomes
The History of Trade
Workshop Activity

World Trade �Organisation (WTO)
International �Monetary Fund (IMF)

World Bank
Workshop Activity
Forms of Trade Protection
Free Trade vs Protectionism
Workshop Activity
Australia and Trade
Exports out of Australia
Imports to Australia
Workshop Activity
Facilitating Global Trade
Regional Trading Blocs
Economic Integration Types
European Union (EU)
Recent Trade Blocs

Australian Free �Trade Agreements

Austrade
Workshop Activity
Next Week

MKT303 International
Marketing

Product management and
surviving in an international
market
Workshop 11

This material has been reproduced and communicated to you by or on behalf of
Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any
further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?

Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory).

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international market

12 Future of international marketing and ethics

Learning Outcomes

1. Analyse the components of a product or

service.
2. Understand the concepts of product

management.
3. Assess the product lifecycle and understand

how this varies for international markets
4. Explore the role of branding in international

markets.
5. Comprehend the new product development

process.

Why am I learning this?

Adoption of products does not occur
uniformly across the world. Different markets

have differing rates of adoption.

These factors affect potential competition,
market demand and promotional strategies

and is required by any marketer

Workshop Activity

Revision

What did we discuss last week? Identify the
three main points that you’ve learned during

last week’s class.

Share your thoughts with the rest of the
class.

This Topic’s Big Idea

“You’ve got to start with the customer
experience and work back toward the

technology”

Steve Jobs

What is a Product?

• Core product: The

problem-solving core
benefits that consumers are
really buying when they
obtain a product

• Tangible (Actual) product:
A product’s parts, styling,
brand name and packaging
that combine to deliver the
core produced benefits

• Augmented product:
Additional customer
services and benefits that
are built around the core
and actual products and
support these offerings Source: Marketing Insider

Product Life Cycle

• Market entry and

promotional strategy
depend on the product
life cycle
– Introductory: tends to have

less competition, Need to
build need recognition

– Growth: Competition
increases, aim to build
market share and grow
with the market

– Maturity: Need to gain
market share from
competitors

– Decline: Consider new
opportunities or innovations

Remember that not all products will
have a uniform lifecycle –

For example: smartphones are a
mature market in Australia, but
growing in India.

Workshop Activity

• Consider the size of the

market and its rate of
growth – is it growing
faster than economic
growth rates?

• Is the level of
competition increasing?

• Consider the following
markets – what stage
are they? How could a
company compete?

Market:
$100
million

Market:
$154 million

Economic
growth: 5%

Market
growth: 3.3%

Market:
$150 million

Economic
growth: 5%

Market
growth: 50%

Product Adaption

and
Standardisation

• Adaption – change the product to meet the cultural,
social, political and economic norms within a country

• Standardisation – offer the same product in all
countries.

Same
Product

Adapted
Product

Same Promotion Straight
Extension

Product
Adaption Product

development
New

Promotion

Adapted
Promotion

Promotion
Adaptation

Dual
Adaptation

Straight Extension

• Straight extension –

Here the same product
and promotion is
extended to foreign
countries.

• Many luxury brands
and products fall into
this category:
bit.ly/mkt303luxury

• Electronics are also
products that can be
marketed this way. Source: Louis Vuitton Instagram

http://bit.ly/mkt303luxury

Workshop Activity

In a group find two brands that have taken
the straight extension approach to

international marketing.

Discuss your findings with the class.

Product Adaption
• Product is adapted to

meet the needs of the
country.

• Promotion follows
similar base to
promotion across
different countries.

• McDonalds, Dominos
and Dunkin Donuts are
examples of brands
that have adapted this
strategy.

Source: McDonalds

Promotion Adaption Cont.

• Product remains the
same, however the
promotion is changed
to meet the needs of
the market.

• Factors considered
are socio-cultural
norms, value system
and also media types
and availability.

Dual Adaption

• The product and the
promotions are
adapted to the
country.

• The US chips brand
Lays is called Thins in
Australia

• Often has Australian
only flavours that are
sold in Australia.

Source: Thins

Workshop Activity

Discuss the strengths and weaknesses of
the dual approach. What kind of businesses

do you think would adopt this?

Discuss your findings with the class.

New Product
Development/Promotion

• An entirely new product
is developed for
different markets and
promotion is also new
for this product

• Bottom of pyramid
products often fall into
this category

• Microcredit is an
example in developing
countries to provide
lending opportunities

A product bundle from Johnson and
Johnson offered in Ghana

Modifying Products
for International Markets

Reasons for product modification:
Competitive Reasons

Legal Reasons

Linguistic Reasons

Fiscal Reasons Economic Reasons

Cultural Reasons

Political Reasons

Activity:
Are there any other
reasons for product
modification?

Discuss why these
reasons are factors.

The Process of
Developing a New Product

Source: Kozak and Smyczek, 2015

Developing Products for
International Markets

When considering the implications for developing products
for international markets, a few factors may impact on the
product design:

Technical skills Labour costs Literacy

Income Interest rates Maintenance

Climate Isolation Different standards

Packaging

• Functions of packaging in foreign

markets is similar to domestic markets:
– Product identification and branding
– Maintaining consumer

characteristics of goods;
– Conveying information

• The main factors to consider when
creating and using packaging in foreign
markets are:

1. Compliance with the requirements of
consumer pack size of individual
countries;

2. Availability with respect to local
custom packaging design;

3. Existing legal requirements in the
package;

4. Feasibility of establishing the
conditions under which goods will be
recognisable to its potential buyers;

Labelling

• Labelling laws varies from

country to country
• Prices are required to be printed

on the labels in India,
• In Chile it is illegal to put prices

on labels or in any way suggest
retail prices.

• Coca-Cola ran into a legal
problem in Brazil with its Diet
Coke.

• Brazilian law interprets ‘diet’ to
have medicinal qualities. Under
the law, producers must give
daily-recommended
consumption on the labels of all
medicines.

• Coke had to get special
approval to get around this
restriction.

Workshop Activity

In groups of three to four watch the video:
bit.ly/mkt303cosmetics

Discuss: what should Australian cosmetics
brands be aware of when entering Hong Kong?

How does this differ to Australia?

http://bit.ly/mkt303cosmetics

Branding

• Brand is an important strategic resource of a company

operating in conditions of internationalisation and
globalisation of economy.

• For companies operating on the international market,
branding of their products can be more complicated than a
domestic market.

• Need to consider using a locally created brand or maintain
consistency with a global brand.

Source: Górska-Warsewicz and Pałaszewska-Reindl, 2002

Branding Cont.

A company operating on the international market and using
its own brand may consider four kinds of activities.
1. Using one brand on all markets (global brand or multinational

brand),
2. Using one brand modified for individual markets (global brand

portfolio)
3. Using the company’s name or a single brand as an umbrella brand

under which brands of individual products appear (umbrella brand
strategy)

4. Using various local brands on different markets (portfolio of local
brands).

Source: Wiktor, Oczkowska and Żbikowska, 2008

Workshop Activity

Read this article:
https://www.theatlantic.com/business/archiv

e/2015/04/setting-the-symbolic-golden-
arches-aflame/390708/

Should McDonald’s not brand itself as a
western company?

https://www.theatlantic.com/business/archive/2015/04/setting-the-symbolic-golden-arches-aflame/390708/

Country of Origin Effects

• Country of origin (COO) effect

can be defined as any
influence that the country of
manufacture has on a
consumer’s perception of a
product.

• Country of origin may have
positive or negative affect.

• Some countries have good
reputations and others have
bad reputations for certain
products.

• Countries are also
stereotyped on the basis of
whether they are
industrialised or developing.

Activity 1: What are the reputable
COOs for the following products?

Activity 2: What are the Australia’s
reputable product categories?

Next Week

Future of international marketing and
marketing ethics.

MKT303 International Marketing

Copyright Notice
What will we be learning?
Learning Outcomes
Why am I learning this?
Workshop Activity
This Topic’s Big Idea
What is a Product?
Product Life Cycle
Workshop Activity

Product Adaption and Standardisation

Straight Extension
Workshop Activity
Product Adaption
Promotion Adaption Cont.
Dual Adaption
Workshop Activity

New Product Development/Promotion
Modifying Products �for International Markets
The Process of �Developing a New Product
Developing Products for� International Markets

Packaging
Labelling
Workshop Activity
Branding
Branding Cont.
Workshop Activity
Country of Origin Effects
Next Week

MKT303 International

Marketing

Introduction to International Marketing

Workshop 1

This material has been reproduced and communicated to you by or on behalf of

Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any

further reproduction or communication of this material by you may be the subject of

Do not remove this notice

Icon Meaning

Activity

Take notes These are important points and you
should take notes.

You will be required to know this

information.

Individual

Activity

Students complete an individual task.

Group Activity Students discuss/ complete activities in
groups and report back to the class.

Research

required

You will need to research this and do

some reading before the next class.

Important

Concept

You MUST understand this concept to

successfully complete the subject. Seek

help if you don’t understand.

Practice

Questions

Students will complete these questions as

practice.

Getting to know you

• Name

• Where are you from?

• Why are you studying
this course?

• One thing that you
are most interested in
learning

• Which country would
you like to visit and
why?

Introduction to your workshop

facilitator

• Workshop Facilitator

Background

• Courses I teach at

KBS

• Teaching & work

experience

• Career development

• Areas of focus in this

subject

Source: Kaplan Business School

Workshop Style

• Workshop style – meaning
that you should ask questions
and proactively participate.
Interact, network and learn.

• Ask questions

• Proactively participate –
draw from examples in your
own life and don’t be afraid to
question what you are
learning.

• Remember to justify and
explain what you say.

• Please be courteous to
students and the lecturer
when they are speaking.

Source: Photo by mentatdgt from Pexels

https://www.pexels.com/@mentatdgt-330508?utm_content=attributionCopyText&utm_medium=referral&utm_source=pexels

https://www.pexels.com/photo/two-woman-chatting-1311518/?utm_content=attributionCopyText&utm_medium=referral&utm_source=pexels

How to Succeed in this Course

• Attend class ☺

• Draw from your own
experiences

• Be punctual

• Plan ahead – read the
lecture slides before class,

• Ensure you have enough
time to do the assessments

• Submit assessments on
time

• Take notes

• Ask questions

• Engage with your peers

• Be curious

Source: https://josephranseth.com/gandhi-didnt-say-be-the-change-you-want-to-see-in-the-world/

Gandhi didn’t actually ever say “Be the change you want to see in the world.” Here’s the real quote…

Know your learning style

• We all have different

ways we

learn

• The workshop has

been designed to

facilitate a range of

learning styles

• Be aware of how you

learn

Source: https://www.uow.edu.au/student/learning-co-op/effective-studying/identify-your-learning-style/

https://www.uow.edu.au/student/learning-co-op/effective-studying/identify-your-learning-style/

What will we be learning?
Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international

marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory)

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the

customer

– international context

11 Product management and surviving in an international marketing

12 Future of international marketing and ethics

Visual Depiction of Course

Macroenvironment

Firm
(microenvironment)

PESTLE

Market entry

Product management

Ethics

Future of

international

marketing

Communications

Getting

product to

customer

This Topic’s Big Idea

“All you need is the best product in the

world, the most efficient production in

the world and global marketing.”

Akio Marita

Learning Objectives

1. Define what is International Marketing

2. Understand the fundamental concepts of

international markets

3. Explore the broader scope of international

marketing and different agencies

4. Understand and apply the concept of

corporate social responsibility

Why am I learning this?

Globalisation has resulted in increased trade
between countries, coupled with technological

advancements make it possible to serve customers
around the world.

International markets are often a logical
consideration for growth.

As a marketer you will need to consider new market
opportunities to achieve growth, including

international possibilities.

Why do some international

brands

market like this?

Source: McDonalds

While others

market like this?

Sources: Chanel

Workshop activity

Brainstorming Session

Why do global brands market themselves in

different ways?

Share your thoughts with the rest of the

class.

Defining

International Marketing

“International marketing
is the process of
planning and
undertaking
transactions across
national boundaries that
involve exchange”

(Fletcher & Craword,
2013)

Microenvironment

(the firm)

Macroenvironment

Marketing Mix

• The marketing mix can be
applied to an international
context.

• The marketing mix is the
foundation from which an
international marketing
strategy is created.

• Contains the tools a
marketer uses to build
value and increase
profitability.

• You will need to influence
decisions around these
tools.

Source: https://www.leadagency.com.au/marketing-mix-best-practice-effective-examples-of-the-seven-ps/

Marketing Mix Best Practices – Effective Examples of the Seven P’s

COVID-19

• The impact of the
COVID-19 pandemic
may lead to a decline in
the statistics discussed.

• International marketers
may have to develop
new ways of marketing
to global audiences.

• A world after COVID-19
what will happen?:
bit.ly/mkt303covid19

Source: New Scientist

http://bit.ly/mkt303covid19

International Brands

Source: https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/

https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/

No size fits all

No “one size fits all” approach in international
marketing

• Global versus local approach

• Asia-Pacific region is dominated by exporters who
are:

– Indigenous small and medium-scale exporters
(SMEs)

– Local subsidiaries of transnational firms

• How do we adapt to local and global markets?

Workshop Activity

In pairs or small groups brainstorm some

ideas on how marketing is different at a

domestic and international level.

Share your thought with the class.

Did you think of the following

differences?
• Service or Product

offering

• Marketing personnel

• Marketing Budget

• Promotion tactics

• Marketing Autonomy

• Use of Social Media

• Customers’ engagement

• Advertising

• R&D and marketing
research Source: Unsplash

Apple

Apple’s

Global Marketing

• Same strategy across

the globe

• Advertisements are

used across countries

• Value proposition has

not changed:

bit.ly/mkt303apple

Source: Apple

http://bit.ly/mkt303apple

Google

Source: https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/google/

https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/google/

Google’s Global Marketing

• Diverse portfolio of

brands

• Operate within Google

ecosystem

• Products have different

marketing strategies

and purposes

• Google has its own

campus:

bit.ly/mkt303google Source: https://about.google/products/

http://bit.ly/mkt303google

https://about.google/products/

Disney

Source: https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/disney/

https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/disney/

Disney’s Global Marketing

• Follows similar

strategy to Apple

• Content is similar

across

the world

• Focuses on core

products: Disney+,

merchandise, movies,

TGV shows, events

and theme parks. Source: https://www.disney.com.au/

https://www.disney.com.au/

Louis Vuitt

Source: https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/louisvuitton/

https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/louisvuitton/

Louis Vuitton’s

Global Marketing

• Number one fashion

and luxury brand in

the world

• Part of Louis Vuitton

Moet Hennessey

• How Louis Vuitton

became successful:

bit.ly/mkt303louisvuitt

Source: https://medium.com/@christinejohn12345/invested-secoo-lvmh-plans-to-roll-out-luxury-e-commerce-f077b0beca85

https://bit.ly/mkt303louisvuitton

https://medium.com/@christinejohn12345/invested-secoo-lvmh-plans-to-roll-out-luxury-e-commerce-f077b0beca85

Workshop Activity

Brainstorming Session

How would you compare the marketing of
Apple, Google, Disney and Louis Vuitton?

What is similar?

What is different?

Why have they undertaken these approaches?

Assessments Overview

Please log into MyKBS>My

Subjects>MKT303>Assessments

Next Week

Political and economic factors impacting

international marketing.

MKT303 International

Marketing
Political and economic factors
impacting international

marketing

Workshop 2

This material has been reproduced and communicated to you by or on behalf of

Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any

further reproduction or communication of this material by you may be the subject of

Do not remove this notice

Icon Meaning

Activity

Take notes These are important points and you
should take notes.

You will be required to know this

information.

Individual

Activity

Students complete an individual task.

Group Activity Students discuss/ complete activities in
groups and report back to the class.

Research

required

You will need to research this and do

some reading before the next class.

Important

Concept

You MUST understand this concept to

successfully complete the subject. Seek

help if you don’t understand.

Practice

Questions

Students will complete these questions as

practice.

What will we be learning?
Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory)

7 Trade

relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international marketing

12 Future of international marketing and ethics

Workshop Activity

Revision

What did we discuss last week? Identify the

three main points that you’ve learned during

last week’s

class.

Share your thoughts with the rest of the

class.

Why am I learning this?

Understanding the political and economic

context of an international market allows you

to explore the market potential and ease of

doing business.

This Topic’s Big Idea

“If goods don’t cross borders,

armies will”

Frédéric Bastiat (1801-1850)

Learning Outcomes

1. Explain the functions of government in terms

of its effect on international marketing

2. Identify those aspects of the political

environment that affect a firm’s international

marketing

3. Understanding economic conditions and its

impact on international marketing

4. Explore the role of the PESTEL (PESTLE)

analysis

Internal Factors to a Business

• An organisation has
direct control of internal
factors.

• An organisation can
determine the following in
terms of marketing:
– Marketing plan

– Marketing budget

– Brand strategy

– Culture

– Structure

– Operations

– Employees

– Shareholders

Source: Unsplash

External Factors – PESTLE

Organisation

Political

Economic

Social

Technological

Legal

Environmental

You cannot control external factors

How to consider the external

environment

• Considers the political, economic, social,
technological, legal and environmental
factors that impact an organisati

on.

• These are factors outside your direct
control but may have an impact (either
positive or negative) on your organisation

• Defining a PESTLE:
https://www.youtube.com/watch?v=bYn4C
yL3r5w

Workshop Activity

In pairs or small groups discuss why is it

important to know the macroeconomic

environment if you cannot control it?

Provide a list of reasons and share your

thoughts with the rest of the class.

The PESTLE

POLITICAL

• Government policies

• Government stability

• Methods of governance

• Taxation policies

• Policies being debated
politically

• Global trade
agreements and
restrictions

Photo by Marco Oriolesi on Unsplash

https://unsplash.com/@marcooriolesi?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

https://unsplash.com/s/photos/politics?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

Government Policies

• The vision and direction
of government.

• What policies is
government proposing?

• How could it affect your
business or market?

• Domestic and
international policies

• International policies
include trade, security,
conduct with international
organisations, treaties

See Australia’s international policies

here:

https://www.dfat.gov.au/international-

relations/Pages/international-

relations

https://www.dfat.gov.au/international-relations/Pages/international-relations

Types of Government

Democratic (representative)

Absolutist
(Autocratic)

Citizens vote for government

Citizens can influence government policy

Typically a parliamentary style government

Government or selected groups determines policy

Dictatorships and absolute monarchies are

examples of absolutist governments

Parliamentary Government

– United States

Source: https://www.usa.gov/branches-of-government#item-211477

https://www.usa.gov/branches-of-government#item-211477

Parliamentary Democracy

– Australia

Source: http://www.abc.net.au/ra/federasi/tema1/aust_pol_system.htm

http://www.abc.net.au/ra/federasi/tema1/aust_pol_system.htm

Absolutist – North Korea

• Has a defined leader
currently Kin Jong-un

• 25 million citizens

• Government has controls
over what citizens see,
foreign broadcasts are
banned

• Travel around and in/out of
the country is difficult.

• Little knowledge of the
world outside North Korea.

• Life in North Korea:
bit.ly/mkt303northkorea

Source: https://www.bbc.co.uk/newsround/20692214

https://bit.ly/mkt303northkorea

https://www.bbc.co.uk/newsround/20692214

Internet/Tech

Companies in China

• Do American Tech
Companies Keep
Failing in China?

• Watch:
bit.ly/mkt303ustech

• What are the 3
reasons that web
based companies find
it hard to succeed in
China?

Source: https://www.lonelyplanet.com/china

http://bit.ly/mkt303ustech

https://www.lonelyplanet.com/china

What about Australia?

Source: http://peoplepower1001.weebly.com/the-three-levels-of-law-making.html

http://peoplepower1001.weebly.com/the-three-levels-of-law-making.html

Government Stability

Countries with the most stability Countries with the least stability

Source: https://www.theglobaleconomy.com/

https://www.theglobaleconomy.com/

Workshop Activity

Brainstorming Session

Why is political stability important from a
marketing perspective?

Is political stability more important than the type
of government?

Share your thoughts with the rest of the class.

Taxation Policies

• Australia has:
– Personal income tax – if

you work for a business as
an employee then your
income is taxed.

– Business tax – company
tax, GST, capital gains tax
and other business taxes.

• Australia has taxation
treaties with more than
40 countries with the aim
to reduce double taxation
and cooperation between
taxation authorities.

Source: https://www.etsy.com/au/listing/634135043/wooden-tropical-earrings?ref=finds_l&cns=1

https://www.etsy.com/au/listing/634135043/wooden-tropical-earrings?ref=finds_l&cns=1

Industry Regulations

• Industry regulations
impact who is in a
market.

• Industry regulations in
Australia cover subjects
such as:
– Intellectual property

– Business and environment

– Export and import laws

– Acceptable trading

– Financial reporting

• Aldi and the retail
industry: bit.ly/mkt303aldi

Source: ABC

Source: https://www.abc.net.au/news/2018-08-02/aldi-supermarket-coles-woolworths/10065018

https://bit.ly/mkt303aldi

https://www.abc.net.au/news/2018-08-02/aldi-supermarket-coles-woolworths/10065018

Global Trade Agreements

• Agreements between
countries on the trade
of goods and services

• Australia has free trade
agreements with a
range of countries:
www.abf.gov.au/importi
ng-exporting-and-
manufacturing/free-
trade-agreements

• Trade agreements:
bit.ly/mkt303trade

Source: https://www.dfat.gov.au/sites/default/files/trade-balance-feburary-2020

https://www.abf.gov.au/importing-exporting-and-manufacturing/free-trade-agreements

https://bit.ly/mkt303trade

https://www.dfat.gov.au/sites/default/files/trade-balance-feburary-2020

Workshop Activity

In pairs or small groups discuss why do you

need to know about taxation and regulations

from a marketing perspective?

Share your thoughts with the rest of the
class.

The PESTLE – Economic

Economic

• Economic growth/
decline

• Exchange rages

• Cost of living

•

Inflation

• Labour costs

• Consumer spending

• Interest rates
Source: Photo by Christine Roy on Unsplash

https://unsplash.com/@agent_illustrateur?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

https://unsplash.com/s/photos/money?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

Economic Growth/ Decline

• Measured using gross domestic product

(GDP)

• What is GDP: bit.ly/mkt303gdp

https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&met_y=ny_gdp_mktp_cd&idim=country:AUS:CAN:IND&hl=en&d

l=en#!ctype=l&strail=false&bcs=d&nselm=h&met_y=ny_gdp_mktp_cd&scale_y=lin&ind_y=false&rdim=world&idim=country:AUS:I

ND:USA:CHN&ifdim=world&hl=en_US&dl=en&ind=false

https://bit.ly/mkt303gdp

https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&met_y=ny_gdp_mktp_cd&idim=country:AUS:CAN:IND&hl=en&dl=en#!ctype=l&strail=false&bcs=d&nselm=h&met_y=ny_gdp_mktp_cd&scale_y=lin&ind_y=false&rdim=world&idim=country:AUS:IND:USA:CHN&ifdim=world&hl=en_US&dl=en&ind=false

GDP Growth in Australia

https://www.rba.gov.au/chart-pack/pdf/chart-pack

Exchange Rates

• Exchange rate = value of
a currency when it is
exchanged for another

• Typically fixed or floating

• Fixed – Government sets
the currency to a fixed
rate.

• Floating – where the rate
is influenced by demand
and economic conditions

• Australia has a floating
exchange rate

https://www.rba.gov.au/statistics/frequency/exchange-rates.html

Cost of Living

• The cost to live in a
country within that
country.

• Helps identify social
classes.

• In groups of three to
four discuss why is for
marketers to know the
cost of living?

Student living costs in Australia

Source: https://www.studyinaustralia.gov.au/english/live-in-australia/living-costs

https://www.studyinaustralia.gov.au/english/live-in-australia/living-costs

Inflation

• The rate in which
prices increase over
time.

• Some inflation is
preferred

• Excessive inflation
devalues currency
and living standards

• What is inflation:
bit.ly/mkt303inflation

Source: Photo by Jason Leung on Unsplash

https://bit.ly/mkt303inflation

https://unsplash.com/@ninjason?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

https://unsplash.com/s/photos/money?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

Labour Costs

• Labour costs vary from country to country

• Australia has some of the highest labour costs in

the world

Source: https://data.oecd.org/earnwage/average-wages.htm

https://data.oecd.org/earnwage/average-wages.htm

Consumer Spending

• What individuals and

organisations spend

on.

• Includes a range of

different categories.

• Marketers can impact

consumer spending.

Source: https://moneysmart.gov.au/australian-spending-habits

https://moneysmart.gov.au/australian-spending-habits

Workshop Activity

In groups of three to four discuss why do you

think economic factors are important in

considering international markets?

What does the data tell you?

Share your thoughts with the rest of the class.

Next Week

Social and technological factors impacting

international marketing.

MKT303 International
Marketing

Culture

and communications
Workshop 8

This material has been reproduced and communicated to you by or on behalf of
Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any
further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?

Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory).

7 Trade relations

8 Culture and communications

Market entry

– an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international market

12 Future of international marketing and ethics

Learning Outcomes

1. Understand the concept of culture.
2. Explore the components of culture and

how this shapes values and beliefs.
3. Apply a cultural understanding of

communication.
4. Analyse cultural dimensions to appreciate

differences between cultures.
5. Explore how to create culturally relevant

communications.

Why am I learning this?

Marketers need to be aware of cultures to
share marketing communications and

messages

A lack of cultural understanding can lead to
failed outcomes

Workshop Activity

Revision

What did we discuss last week? Identify the
three main points that you’ve learned during

last week’s class.

Share your thoughts with the rest of the
class.

This Topic’s Big Idea

“Every human is like all other humans, some other
humans, and no other human”

Clyde Kluckhon

Culture
• A set of:

–

Values

,
– Ideas,
– Artifacts,
– and other meaningful

symbols
• Helps individuals

communicate, interpret,
and evaluate as
member of society.

• Culture is the
personality of a society

Organisation

Political

Economic

Social

Technological

Legal

Environmental

Workshop Activity

Brainstorming Session

In groups of three to four discuss your own
culture, how did it shape your values and

ideas?

What artefacts or symbols hold meaning to
you?

The Marketing Mix

• The toolkit available
to marketers

• Ensure consistency
across each element
of the marketing mix

• Need to ensure it is
relevant to
international markets

Source: https://www.leadagency.com.au/marketing-mix-best-practice-effective-examples-of-the-seven-ps/

The Components of Culture

Culture represents our:
•

Ideas

–

Beliefs

–

Values

– Institutions

• Behaviours
–

Customs

– Habits
– Dress
– Foods
– Leisure

• Objects
– Literature
– Art
– Music
– Artefacts

Ideas

BehavioursObjects

Beliefs
• Ideas/concepts that are

held by a culture
• Examples include

religion, traditions
• A culture can have

many beliefs
• Influences:

– Our moral views: what is
and wrong

– Life aspirations
• Shapes other elements

of culture
Source: http://www.medialocate.com/2015/09/3-reasons-why-your-website-may-sink-your-international-profits/

Values

• Beliefs set culturally
appropriate behaviours

• Often difficult to change
• Not tied to specific

objects and situations
• Widely accepted by

members of society
• Shapes our views on

gender, age, social
status

Spiritual
Values

Use Values

Lifestyle
Values

Place
Values

Ethical
Values

Adapted from: https://www.macfound.org/media/files/CSD_Culture_White_Paper

https://www.macfound.org/media/files/CSD_Culture_White_Paper

Customs
• Models of behaviour

that are acceptable by
society in specific
situations

• Conduct between
family, friends and
strangers

• Mannerisms and
behaviours

• Examples: Tipping in
the US, bowing your
head entering a
courtroom in Australia Source: https://www.eidi-results.org/what-is-eid/

https://www.eidi-results.org/what-is-eid/

Subculture

• Group within a culture

who differ on some
influential dimensions
from the broader culture

• In Melbourne, Australia
hipsters became a
subculture that spanned
the inner city suburbs.

• Subcultures can also be
formed around music,
sport, fashion and other
interests Source: https://www.smithstreetbooks.com/books/how-to-spot-a-hipster/

https://www.smithstreetbooks.com/books/how-to-spot-a-hipster/

Workshop Activity
Brainstorming Session

Do subcultures occur outside of one
country? Are there differences between how

one country interprets a subculture
compared to another?

Share your thoughts with the rest of the
class.

Communication and Culture

• Marketers use the
integrated marketing
communications mix
to provide consistent
messages to
consumers

• These messages
need to be aware of
cultures within an
international market

Workshop Activity
Brainstorming Session

In groups of three to four discuss:

Why is it important for brands to be aware of
cultures when exploring international markets?

Do you have examples of where this went right
or wrong for brands?

Christmas in Japan

• In Japan KFC is

commonly eaten at
Christmas

• Started in the 1970s as
an American Christmas
food and replacement
for turkey

• Only 1% of the
population in Japan
identifies as Christian

• Ad for KFC Japan:
bit.ly/kt303kfcjapan

Source: https://edition.cnn.com/travel/article/kfc-christmas-tradition-japan/index.html

http://bit.ly/kt303kfcjapan

https://edition.cnn.com/travel/article/kfc-christmas-tradition-japan/index.html

Hofstede’s
Cultural Dimensions

• Theory that analysed
cultures based on
1.

Power Distance

2. Masculinity vs

Femininity
3. Collectivism vs

Individualism
4. Uncertainty avoidance
5. Long-term orientation
6.

Indulgence vs Restraint

Broad criteria that
explores the values of a
culture

Hofstede’s Cultural
Dimensions Video:
Explained With Examples
of Each Dimension:

Watch:
bit.ly/mkt303hofstede

http://bit.ly/mkt303hofstede

Power Distance

Cultural considerations in International
Marketing

American Korean
How would an Australian
react to this?

Masculinity vs Femininity

• In Japan and Korea,

females may dominate
the household but in
public, males are typically
the key decision maker

• In America & the UK
women often take part in
key family decisions and
are strong leaders within
the family and society

Collectivism vs Individualism

Mexicans are very collectivist

and often live in extended
family situations

Australians are individualistic
so tend to live mainly in

nuclear families

Uncertainty Avoidance

Uncertainty avoidance
• Japanese workers like to

ensure they are never late for
work

• The Tokyo Rush Hour where
trains pack workers in, even
though trains arrive every few
seconds – workers unwilling
to take the risk to be late for
work

• Americans will take a risk on
an idea – stimulating
entrepreneurship

Japanese Rush Hour

Long-term Orientation

• Long Term
Orientation
– Focus on the future
– Thrift and effort is

largely encouraged
– Values perseverance

in achieving results
– Ability to adapt

traditions and change

• Short Term Normative
– Traditions and norms

are more important
– Suspicious of societal

change
– Focus on achieving

quick results

Indulgence vs Restraint

• Indulgence
– Focus on enjoying life

and having fun
– Priorities are leisure

and spending money
as they wish

– Higher levels of
optimism

• Restraint
– Limit desires and

gratification
– Unnecessary

indulgence is
discouraged

– Higher levels of
cynicism and
pessimism

Workshop Activity
Visit the website below:

www.hofstede-insights.com/product/compare-
countries/

Then in groups of 3 or 4 apply Hofstede’s
theories to compare any culture with the

Australian culture.

Do you agree with the results?

https://www.hofstede-insights.com/product/compare-countries/

Tanning or Whitening?

Skin whitening in India:
bit.ly/mkt303skin

Source: Loreal

http://bit.ly/mkt303skin

Workshop Activity
Brainstorming Session

Is it ethical for global brands to market skin
whitening and tanning products?

Share your thoughts with the rest of the
class.

Racism in Global Marketing

• Gucci’s made a $800+

balaclava that depicted
blackface.

• Received global
criticism given
sensitivity of the African
American population for
these types of
depictions

• Made a public apology
blamed Italian culture
for lack of
understanding

Source: Gucci

Workshop Activity
Brainstorming Session

How should a marketer respond if marketing
material they have released is deemed by

the public to be racist?

Share your thoughts with the rest of the
class.

Lost in Translation

• When Mercedes Benz

first entered the
Chinese market it
called itself Bensi which
in Chinese translated to
rush to die

• When KFC first entered
China in the 1980s their
slogan ‘finger licking
good’ was translated to
‘bite your fingers off’

Source: KFC

Lack of Context

• Pampers created

confusion in Japan when
the advertisement they
put out contained a stalk.

• In Western culture stalks
are associated with
delivering babies
however this folklore is
not the case in Japan.

• This mistake was only
discovered when market
research was undertaken.

Source: https://thunderbird.asu.edu/knowledge-network/its-peach-not-stork-how-pg-turned-around-its-pampers-fail-japan

https://thunderbird.asu.edu/knowledge-network/its-peach-not-stork-how-pg-turned-around-its-pampers-fail-japan

Workshop Activity
Brainstorming Session

In groups of three to four find an example of
an international campaign that went wrong.

What was the cause?
How could it have been avoided?

What was the result?

Next Week

Market entry

MKT303 International Marketing

Copyright Notice
What will we be learning?
Learning Outcomes
Why am I learning this?
Workshop Activity
This Topic’s Big Idea
Culture
Workshop Activity
The Marketing Mix
The Components of Culture
Beliefs
Values
Customs
Subculture
Workshop Activity
Communication and Culture
Workshop Activity
Christmas in Japan

Hofstede’s �Cultural Dimensions

Power Distance
Masculinity vs Femininity
Collectivism vs Individualism
Uncertainty Avoidance
Long-term Orientation
Indulgence vs Restraint
Workshop Activity
Tanning or Whitening?
Workshop Activity
Racism in Global Marketing
Workshop Activity
Lost in Translation
Lack of Context
Workshop Activity
Next Week

MKT303 International

Marketing
Social and technological factors
impacting international marketing

Workshop 3

This material has been reproduced and communicated to you by or on behalf of

Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any

further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?
Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory).

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international marketing

12 Future of international marketing and ethics

Why am I learning this?

Building a cultural understanding through

social factors is essential to building success

in an international market. Similarly,

technology can impact how you enter and

sustain a market presence.

Workshop Activity

Revision

What did we discuss last week? Identify the

three main points that you’ve learned during

last week’s

class.

Share your thoughts with the rest of the

class.

This Topic’s Big Idea

“Media play a powerful role in

establishing and perpetuating

social norms.”

Jackson Katz

Learning Outcomes

1. Identify social factors that are relevant in
international marketing

2. Explore the impact of technology in
international marketing decisions

3. Build an understanding of the
macroenvironment and its impact on
marketing

4. Examine how changing attitudes alter
marketing perception

External Factors

Organisation

Political

Economic

Social

Technological

Legal

Environmental

Cannot control

external factors

Social Factors

Social

• Demographics –

trends that exist

within a population

• Culture – customs,

values, beliefs that

exist within a group.

Source: Photo by Priscilla Du Preez on Unsplash

https://unsplash.com/@priscilladupreez?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

https://unsplash.com/s/photos/social?utm_source=unsplash&utm_medium=referral&utm_content=creditCopyText

Demographics

• Data that relates to a specific population

• Demographic data includes: population growth
rate, age distribution, gender distribution, income
levels, consumer spending

• In Australia demographic data is freely available
through the Australian Bureau of Statistics:
https://www.abs.gov.au/websitedbs/censushome.n
sf/home/quickstats?opendocument&navpos=220

• The World Bank has a range of global datasets:
https://data.worldbank.org/indicator

https://www.abs.gov.au/websitedbs/censushome.nsf/home/quickstats?opendocument&navpos=220

https://data.worldbank.org/indicator

Is the world getting better?

Is the world getting

better? View

http://bit.ly/mkt303world

Global population

Source: https://data.worldbank.org/indicator/sp.pop.totl

http://bit.ly/mkt303world

https://data.worldbank.org/indicator/sp.pop.totl

Poverty is Declining

• There has been a
decline in the levels of
global poverty leading
to increased quality of
life.

• With poverty reducing
consumers can
purchase more.

• We have more time
for leisure.

Life Expectancy

is Increasing

• People are living

longer.

• Child mobility rates

have been declining.

• Women are less likely

to die during

childbirth.

We are

becoming

more educated

• People around

the world are

becoming

smarter

• More education

means that

people have

the ability to

make informed

decisions.

Economic Growth is Faster

• Economic growth in

developing countries

has been exponential.

• We are earning more

income.

Source: https://www.bbc.com/future/article/20190111-seven-reasons-why-the-world-is-improving

https://www.bbc.com/future/article/20190111-seven-reasons-why-the-world-is-improving

COVID-19 has impacted the

economy

• In a post COVID-`9

environment

economic growth has

slowed.

• The graph depicts the

2020 March quarter.

Source: https://www.bbc.com/future/article/20190111-seven-reasons-why-the-world-is-improving

https://www.bbc.com/future/article/20190111-seven-reasons-why-the-world-is-improving

Conflicts are Declining

• Global conflicts are in

decline.

• Countries around the

world are becoming

more cooperative.

• Globalisation is

becoming prominent.

Source: https://www.un.org/development/desa/dpad/wp-content/uploads/sites/45/publication/SDO_BP_Cederman_Pengl

https://www.un.org/development/desa/dpad/wp-content/uploads/sites/45/publication/SDO_BP_Cederman_Pengl

Workshop Activity

Brainstorm Session

If the world is becoming a better place, how

can marketers take advantage of this?

Share your thoughts with the rest of the
class.

Gucci

Marketing to Millennials

• Gucci has been able

to market to

millennials globally

• View

bit.ly/mkt303gucci

Source: https://www.businessinsider.com.au/gucci-millennials-teens-love-designer-comeback-2018-11?r=US&IR=T

http://bit.ly/mkt303gucci

https://www.businessinsider.com.au/gucci-millennials-teens-love-designer-comeback-2018-11?r=US&IR=T

India Undertaking

Luxury Marketing

• The Maharani of Manhattan: https://bit.ly/mkt303india
Targets wealthy American audiences

https://bit.ly/mkt303india

Dove:

Marketing to ‘Real’ Women

• Started in 2004

• Use of diverse women
in advertising

• $2.5 to $4 billion in first
10 years of the
campaign

• Dove became
Unileaver’s best
product worldwide.

• Watch
bit.ly/mkt303dovebeaut
y

Source: https://www.effie.org/case_database/case/5F50_2019_E-335-405

http://bit.ly/mkt303dovebeauty

https://www.effie.org/case_database/case/5F50_2019_E-335-405

Brands must be Careful

• Facebook ad for Dove
in 2017 cause
controversy

• Black woman
becoming a white
woman

• Social media uproar
about advertisement

• Dove made public
apology

Source: https://www.nytimes.com/2017/10/08/business/dove-ad-racist.html

Workshop Activity

Brainstorming Session

In groups of three to four discuss why do

brands need to be aware of social values?

What examples can you find of where this right

or wrong?

Share your thoughts with the rest of the class.

Coca Cola and

American values

• One of the biggest fails in
marketing history – 23 April
1985

• Reformulated Coke – occurred
due to Pepsi taste test
challenge and Coca Cola
losing market share

• 200,000 consumers tested
New Coke

• 1,500 phone calls a day about
the issue

• July 1985 – old Coke returns

• For more info:
https://www.coca-
colacompany.com/news/the-
story-of-one-of-the-most-
memorable-marketing-
blunders-ever

Source: Coca Cola

https://www.coca-colacompany.com/news/the-story-of-one-of-the-most-memorable-marketing-blunders-ever

Advertising a Country

It is culture that helps to

market a country

Source: https://www.instagram.com/italiait/ Source: https://www.instagram.com/australia/?hl=en

https://www.instagram.com/italiait/

https://www.instagram.com/australia/?hl=en

Workshop Activity
Brainstorming Session

If you were to market Australia what would

you focus on?

Share your thoughts with the rest of the
class.

PESTLE

Technological
• Most dramatic force transforming the international

environment

• Provides for new markets and opportunities

• Development of a wide range of new technologies

• Increase in international trade in technology-related products
and services

• Improved communication and better access to
communication

• Reduced costs of doing business

We are living in an

increasingly Digital World

Source: https://wearesocial.com/digital-2020

Source: https://ourworldindata.org/

https://wearesocial.com/digital-2020

https://ourworldindata.org/

Technology and opportunities

for International Marketers

• Supporting infrastructure:
– Access to reliable electricity supplies

– Availability of maintenance and repair
facilities

– Skills and knowledge

• Creates Opportunities
– New markets in international domain

– Assists small to medium-sized enterprises

– Reduces impact of national boundaries

Online Retail

• The retail environment is
rapidly changing.

• Ecommerce retailers are
becoming more
acceptable as a way to
purchase goods.

• COVID-19 has caused a
change in consumption
behaviour including a
shift to greater online
shopping.

• The story of Amazon:
bit.ly/mkt303amazon

Source:https://www.abc.net.au/news/2020-04-22/retail-sales-surge-in-march-toilet-paper-rise-

pasta-sales-double/12172606

http://bit.ly/mkt303amazon

https://www.abc.net.au/news/2020-04-22/retail-sales-surge-in-march-toilet-paper-rise-pasta-sales-double/12172606

Online Shopping

in Australia

• More than 73% of

Australian households

shopped online in

2018

Source: https://auspost.com.au/content/dam/auspost_corp/media/documents/inside-australian-online-shopping-ecommerce-report

https://auspost.com.au/content/dam/auspost_corp/media/documents/inside-australian-online-shopping-ecommerce-report

Alipay

http://bit.ly/mkt303alipay

http://bit.ly/mkt303alipay2

Sourcehttps://intl.alipay.com/:

http://bit.ly/mkt303alipay

http://bit.ly/mkt303alipay2

https://intl.alipay.com/

Workshop Activity
Brainstorming Session

How can Alipay market to Australian

audiences?

Share your thoughts with the rest of the
class.

Next Week

Legal and environmental factors impacting

international marketing.

MKT303 International
Marketing

Future of international marketing
and marketing ethics
Workshop 12

This material has been reproduced and communicated to you by or on behalf of
Kaplan Higher Education pursuant to Part VB of the Copyright Act 1968 (the Act).

The material in this communication may be subject to copyright under the Act. Any
further reproduction or communication of this material by you may be the subject of

Do not remove this notice

What will we be learning?

Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory).

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international market

12 Future of international marketing and ethics

Learning Outcomes

1. Assess the future of international
marketing.

2. Understand the role of ethics in
international marketing.

3. Recall trends in globalisation
4. Analyse future possibilities for

globalisation and international marketing.
5. Review the key concepts across the

subject.

Workshop Activity

Revision

What did we discuss last week? Identify the
three main points that you’ve learned during

last week’s class.

Share your thoughts with the rest of the
class.

This Topic’s Big Idea

“

Globalisation

is a not a monolithic force, but an
evolving set of consequences – some good, some

bad and some unintended”

John B Larson

Globalisation
• “Globalisation is where

countries are increasingly
trading with each other and
businesses operate across
borders.

• Technology has hastened
globalisation and provided
vital platforms & processes
for marketing
communications.

• Global competition brings
many benefits both
economic and social, but
also many costs.

Globalisation: Objectives

• Serve the world as one

market.
• Maximise the capabilities

and advantages of
individual countries.

• Organise the firm’s
operations, organisational
structure, capabilities,
people and resources.

• Strategic decisions –
technology, people and
alliance partners – no
nationality bias.

• Build a global competitive
advantage. Source: The Gateway

Workshop Activity

In groups of three to four discuss:

What are some of the advantages and
disadvantages of globalisation?

What are your views on globalisation and its
impact?

Definition of
Ethical Marketing

‘Ethical marketing refers to practices that
emphasise transparent, trustworthy, and

responsible personal and/or organisational
marketing policies and actions that exhibit integrity

as well as fairness to consumers and other
stakeholders.’

Murphy et al, 2012, Ethics in Marketing: International Cases and
Perspectives

Seven Basic Perspectives

1. Puts people first.
2. Must achieve a behaviour

standard above the law.
3. Marketers are responsible

for whatever they intend
4. Marketing organisations

should cultivate better
(i.e. higher) moral
imagination.

5. Marketers should
articulate and embrace a
core set of ethical actions.

6. Adoption of a stakeholder
orientation is essential.

7. Need an ethical decision
making protocol.

Source: Tiley, 2005

Business Perspective #1

• Societal benefit:
Ethical marketing puts
people first
– Do not treat people as a

means to a profitable
end.

– But can add costs
through wage expenses,
etc

• Is it ethical to outsource
to save costs?

This Photo by Unknown Author is licensed under CC BY

-NC

https://creativecommons.org/licenses/by-nc/3.0/

Workshop Activity

Watch this video: bit.ly/mkt303applefactory

Do you think that Apple is providing a social
benefit to employees of this factory?

http://bit.ly/mkt303applefactory

Net benefit to who?

• Society or the
individual consumer?
– Tobacco
– Credit cards
– Alcohol
– Video games
– Food

• Who decides what is
beneficial or harmful?

This Photo by Unknown Author is licensed under
CC BY-SA

https://en.wikipedia.org/wiki/Tobacco

https://creativecommons.org/licenses/by-sa/3.0/

Workshop Activity

Watch this video: http://bit.ly/mkt303tobacco

What can tobacco marketers do in Indonesia
to prevent children smoking?

Is it their responsibility to do this?

http://bit.ly/mkt303tobacco

Business Perspective #2

• Ethical expectations for

marketing must exceed
legal requirements
– The law represents the

lowest common
denominator of expected
behaviour.

– The formalisation of
restrictions by law
typically lags behind
public opinion.

• Ethics and the law are
connected but are not
the same thing

Source: Tiley, 2005

Workshop Activity

Watch: bit.ly/mkt303ausday

Why is Australia Day divisive?

Should businesses show their support for
ethical issues? Why/why not?

http://bit.ly/mkt303ausday

Marketing Responsibility

• Marketers need to be
aware of unintended
consequences

• What happens if
someone uses a
product or service
that causes harmful
effects?

• What responsibilities
does the business
have?

Social Media

• Social media is an area

that can have unintended
consequences
– Influencers promoting

unrealistic ideals
– Fake news or

misinformation being
circulated

– An echo chamber
reinforcing established
views

– Addiction of social media
platforms

• Is there a responsibility
on the platforms?

This Photo by Unknown Author is licensed under CC BY

http://mediacause.org/social-media-for-nonprofits-7-common-misconceptions/

https://creativecommons.org/licenses/by/3.0/

Workshop Activity

Watch: bit.ly/mkt303fakenews

In groups of three to four find a recent issue
where businesses took a stance before laws

were changed.

Why do you think businesses want to
demonstrate ethics?

http://bit.ly/mkt303fakenews

Higher Moral Imagination

• Envisaging a full range of

possibilities in a particular
situation (Johnson, 1993)

• The need to consider the
consequences of actions and
activities

• Nestle
– Reduced sugar content to

create healthier products for
children

– A higher moral imagination of
providing healthy snacks

– Criticised for aggressively
promoting baby formula in
developing countries due to
health concerns

• Do companies have differing
morals between counties?

Source: https://www.tradebrains.in/12-companies-with-highest-share-price-in-india/nestle-products/

Nestle Products

Ethical Actions

• Maintain a shared

understanding of ethics
– Establish a standard of

truth
– Advertise without being

sensationalist
– Be transparent with

endorsements
– Protect privacy

• Adhere to government
standards and regulations

• Adhere to Codes of
Conduct

This Photo by Unknown Author is licensed under CC
BY-SA

http://www.tameyourassets.com/tag/professional-ethics/

https://creativecommons.org/licenses/by-sa/3.0/

Codes of Conduct

• Codes of Conduct outline

acceptable behaviours for
members in an industry

• Often self-regulated –
organisations need to
investigate breaches

• Who will report a beach?
• How will it be

investigated?
• What are the

consequences?

Stakeholder Orientation

• Think beyond the

customer
• Fostering positive work

environments
• Facilitating investment
• Engaging media
• Treating suppliers fairly
• Supporting

communities
• Adhering to

government
requirements

Source: https://www.bluelabeltelecoms.co.za/online_reports/ar2015/gov-relations.php

https://www.bluelabeltelecoms.co.za/online_reports/ar2015/gov-relations.php

Workshop Activity
• In groups of three to

four pick one of the the
following stakeholders
and discuss how a
business could support
this stakeholder

• Why is this stakeholder
important?

• What are the benefits to
the business?

Source: https://www.bluelabeltelecoms.co.za/online_reports/ar2015/gov-relations.php

https://www.bluelabeltelecoms.co.za/online_reports/ar2015/gov-relations.php

Ethical Decision Making

• Ethics needs to be at the

forefront of decision
making – not an
afterthought

• Choose best options from
economic, social,
environmental and
purpose

• Ethics can also generate
a positive return

• What do you choose
when profit or ethics are
in conflict?

Source: https://aurora.dawn.com/news/1140893

https://aurora.dawn.com/news/1140893

Final Overview

• You need to use the

knowledge gained
throughout this subject
for assessment three.

• In groups discuss:
• What is the one thing

you want to know
more?

• What has been a
highlight of this
subject?

Week Topic
1 Introduction to International Marketing
2 Political and economic factors impacting international marketing
3 Social and technological factors impacting international marketing
4 Legal and environmental factors impacting international marketing
5 Assignment presentations
6 Study week (Attendance is compulsory).
7 Trade relations
8 Culture and communications
9 Market entry – an international marketing approach
10 Getting a product to the customer – international context
11 Product management and surviving in an international market
12 Future of international marketing and ethics

Thank You

All the best for your future.

Hope that you can take the learnings in this course and
apply them in your professional career.

MKT303 International Marketing

Copyright Notice
What will we be learning?
Learning Outcomes
Workshop Activity
This Topic’s Big Idea
Globalisation
Globalisation: Objectives
Workshop Activity

Definition of �Ethical Marketing

Seven Basic Perspectives
Business Perspective #1
Workshop Activity
Net benefit to who?
Workshop Activity
Business Perspective #2
Workshop Activity
Marketing Responsibility
Social Media
Workshop Activity
Higher Moral Imagination
Ethical Actions
Codes of Conduct
Stakeholder Orientation
Workshop Activity
Ethical Decision Making
Final Overview
Thank You

International Marketing

Generally, brewed drinks refer to those drinks which are usually made from either hops or malt through the process of infusion, boiling, and also fermentation. The company of Bundaberg brewed drinks pegs its operations into the production of soft drinks and other beverages. According to Mason et al. (2018, p.78), It deals with mocktails and cocktails drinks, such as ginger beer, apple cider, sodas, and grapefruit. This paper aims to determine the most suitable country between Russia and Saudi Arabia to extend its iconic ginger beer product. This shall be achieved by the implementation of the framework of Hofstede Cultural Dimensions.

Starting with Saudi Arabia, the market of iconic ginger beer is limited because the rules of this country prohibit anything alcoholic. This is confirmed because the foreign office gives a stern warning to Britons on not flouting the rules. Additionally, being an Arabic country, the word beer can never be used as it is not acceptable in their culture. The intake of intoxicants is not allowed in the soil of Arabs where most citizens are Islam’s who highly bid and respect the sharia and Muslim laws differently. Secondly, due to limited employment, the most significant population in the section of less-skilled labor. This translates to them having less income. They practically use much of their earnings to purchase food and other basics while reminding them back to their home countries, leaving themselves with no cash for luxuries, including beer.

Additionally, during Ramadan, Muslims tend to fast for long hours, prohibiting a large percentage from either taking food or drinks. Considering this, venturing into this market may highly affect the sales of iconic ginger beer during that specific month negatively. In summary, having looked into the culture and beliefs in Saudi Arabia, it proves not to be the best place for the international market expansion of the iconic ginger beer.

On the other hand, Russia happens to have a favorable environment to venture into beer sales. This is attributed to many factors; beer has been the primary source of revenue for the Russian government for a long time, basically, in reference to Alfaleh (2019, p.79). Unlike in Saudi Arabia, Russia has a lengthy and rich cultural history pegged on ballet, literature, classical music, and paintings. Russia takes vodka as its best alcoholic beverage by culture. For instance, Baltika Breweries is a company in Russia that concentrates on the selling of alcoholic beverages. According to Valeriya (2017, p. 7), Baltika breweries understands that marketing strategy is understood to contribute a vital role in its company as it creates excellent value for a company’s chosen clients.

Ideally, Baltika breweries have adopted marketing strategies, including introducing new brands into the market and packings that are affordable to a wide range of customers. Through this strategy, the company has been able to take the lead in this sector by making sure it accommodates every client’s needs. Considering the strategy used by the competitor, Bundaberg Brewed Drinks Company should adopt strategies such as repacking its product into smaller containers. This shall translate to them selling the quantity held in that container at a much lower price, thus attracting more consumers.

In summary, it is notable that by implementing the correct marketing strategies, Bundaberg Brewed Drinks Company can positively welcome the ready and growing market in the better part of Russia.

Reference List

Alfaleh, S.A., 2019. Cultural and Societal Beliefs and Taboos in Saudi Arabia.

International Journal of Humanities and Cultural Studies (IJHCS) ISSN

2356-5926, 5(4), p.918.

Eliasson, R.A., 2003. Bravo Heineken! The impact of foreign direct investment in

the case of the beer industry in Russia (Doctoral dissertation).

Mason, J., Cole, G., Fraser, A., Abdul, P., and Beermann, M., 2018, October. A

short history of beverage crops. In II International Symposium on

Beverage Crops, 1274 (pp. 29-40).

SVERDLOV, L., Cultural Aspects of the Social Attitudes Toward Alcohol in

Russia.

TAUFAN IMADUDDIN, M.U.H.A.M.M.A.D., 2019. Pembuatan Homemade

Ginger Beer Berbahan Baku Jahe Sunti Lokal.

Teece, D.J., 2010. Business models, business strategy, and innovation. Long-range

planning, 43(2-3), pp.172-194.

Tekin, E., 2004. Employment, wages, and alcohol consumption in Russia.

Southern Economic Journal, pp.397-417.

Valeriya, K., 2017. The improvement of warehouse practices for Baltika Breweries.

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