International marketing and internationalization
A company that has developed a solid international marketing aimed at internationalization carries out continuous strategic and operational marketing activities in foreign markets.
It is no longer an additional activity to the national one, but a precise planning in an international key.
Companies that carry out integrated international marketing activities by planning overseas markets in a structured and organized way both at the distribution level and sometimes at the production level, up to becoming multinational companies.
This transformation requires technical skills, human and economic resources that are often not provided to an SME.
The next phase is global marketing: in this phase we no longer speak of the domestic market or foreign markets, we speak of the “world” as a global market and the domestic market is a part of this.
In fact, the borders are no longer traced by those of the states or by specific areas, but oriented on factors more related to the product and the buyer person.
Often it is not the product that adapts to the market but it is the market that accepts it for what it is (eg Coca Cola).
This happens when the product or service is so well established at an international level that the advantages of economies of scale, the strength of the brand and the worldwide diffusion allow the company to centralize all activities, as if it were a domestic market but of size of a world market.
This is a particular case in which companies have developed an international and global market but want to further strengthen their exports considering the decision-making factors that the individual markets have and which together make up the global market.
In this context, the company does not give up economies of scale (perhaps in a small part it must do so in some cases) but tries to enhance its products and services in a local key so as to reach wider, stable and profitable levels of penetration.
The decisions and the strategy are defined on a global level, but implemented locally and the terminal of the single country or area is the fundamental element of the “think global, act local” of the strategic vision.
In organizational terms and thinking about sovereign states, the global marketing approach is comparable to a centralized unitary state, while the glocal marketing approach is more like a federal state.
Where does your company stand with respect to these models?
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