IBDP Business 4.6

International marketing

marketing across the borders

Int. marketing advantages

chance to earn more and diversify risks

Int. marketing disadvantages

have to deal with and rely on foreign partners

Int. marketing examples

exports, e-commerce, external growth, FDI

Exports

sending products to another country for sale

Exports advantages

low reliance on foreign partners, and don’t need to invest in foreign country

Exports disadvantage

having to deal with distribution, quotas and tariffs, and reliance on exchange rates

E-commerce

buying and selling products online

E-commerce advantages

cost effective, use of established distribution channels

E-commerce disadvantages

competition, language and culture barriers, payment method difficulties

External growth

mergers and acquisitions, joint ventures, strategic alliances, franchising

External growth advantages

access to larger markets, EOS, can avoid tariffs and quotas

External growth disadvantages

new legal constraints, reliance on foreign partners, culture clash

FDI

purchase of an asset in another country, for example a factory

FDI advantages

long term orientation, avoid tariffs and quotas

FDI disadvantages

expensive, time consuming, repatriation of profits back to host country

Glocalisation

thinking globally and acting locally