Title: GLOBAL MARKETING VERSUS DOMESTIC MARKETING: A CRITICAL EVALUATION
Research background
Global marketing in comparison to Domestic marketing as utilized by Indian based firms, possibly SMEs, marketing can be conceptualized in terms of extension of domestic marketing, collection of national marketing, manifestation of global marketing as the product of new international integrative order. These concepts will be expanded and updated.
Organization background
Many companies as IBM, Procter and Gamble as well as Unilever are transforming themselves to become global companies, they are changing from multi domestic functional management as there implies to globally-integrated marketing approach. SMEs in terms of business operations is being rationalized and they are now attempting to develop integrated global marketing by focusing on global brands and products, global advertising, and global distribution structures. To make such changes companies have to alter their organization structure as well as the roles and responsibilities of country and regional managers. In many cases, the immense autonomy hitherto enjoyed by country managers is curtailed and their responsibilities shift toward supporting integrated global marketing in their territories.
Rationale for the chosen topic
Research will show critical evaluation of global marketing in comparison to domestic marketing from such marketing standardisation within global marketing concept. A frame of analysis is described that can aid enterprises to decide whether global or domestic marketing can support SMEs in working out competitive advantages. The analysis step is concerned with the question of whether marketing standardisation is important for the branch or the market of SMEs in question. This is oriented to strategic factors of success, standardisation oriented segmentation concept will be discussed.
Research questions
Research objective
To be able to critically evaluate global marketing and domestic marketing in lieu to:
- marketing strategies of each type
- aspects and processes how the two types similar and different to each other
To be able to discuss salient points regarding global and domestic marketing along with secondary support base, critical evaluation of preliminary literature review
To recognize and execute cases relevant to global and domestic marketing
Literature review
Proponents of global marketing contend that, because market needs are becoming homogeneous, country differences are less relevant to international marketing planning ( and , 1992; , 1989). Yet others assert that the existence of global markets is myth, pointing many contradictory trends around the world suggesting stark differences in national markets and hence the need for adaptation and customization of international marketing based on individual country differences ( and , 1986; and , 1987). Thus, market homogeneity is expected to gain prominence with consequent global marketing activities. It therefore makes sense to search for global similarities rather than accentuate the differences across nations. By searching for similarities across nations, marketing offerings can be standardized and hopefully economies of scale achieved. Empirical research has shown that overall corporate performance improved in companies that adopted standardization in their international marketing strategy content (., 1993). The emerging paradigm of integrated global marketing has greater potential for theory development than the erstwhile international marketing approach anchored on contextual differences across countries.
Methodology
Case study integration as best supported by literature organization concerning the topic focus, and thus, the need to address controversy in the marketing literature about global and domestic marketing. The empirical investigation of differences between Indian firms that emphasize both marketing approaches as to be conducted within global and domestic context. Indicating Indian market coverage and capacity utilization as important considerations for firms emphasizing global marketing as compared to domestic. Although the viability of global marketing is disputed, the best opportunities for pursuing basically the same strategy across national borders are in industrial marketing. However, because of the disparities across world markets, segmentation is essential to assessing opportunities for a standardised marketing approach. Segmentation based on economic indicators represents the first step in identifying potential markets. For this study, 3 SMEs will be grouped into three segments. Implications for industrial marketers are to be presented, along with issues relating to using stages of economic development as basis for segmentation and using factor analysis and clustering approach to the segmentation of global marketing and domestic marketing.
References
Credit:ivythesis.typepad.com
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