International Marketing Mix and Market Segmentation

Flashcards for reviewing key concepts in international marketing and market segmentation.

What are the 4Ps of the Marketing Mix?

Product, Price, Place, Promotion

What adds complexity to International Marketing?

Differences in culture, economy, legal systems, and consumer behavior.

What is the core decision in Product Standardization vs. Adaptation?

Deciding whether to keep the product uniform or modify it for different markets.

What factors influence product adaptation in international markets?

Cultural preferences, climate variations, government regulations, and language differences.

What are key influencing factors for pricing strategies in international marketing?

Exchange rates, taxes and tariffs, and purchasing power differences.

What are common pricing strategies used in international markets?

Market penetration, market skimming, cost-plus pricing, and value-based pricing.

What are the two main types of distribution channels?

Direct vs. indirect distribution

What are the key factors influencing place (distribution) in international marketing?

Local infrastructure and retail systems, partnerships and logistics.

What are the main challenges in international promotion?

Cultural sensitivity, translation accuracy, and legal regulations.

What are effective strategies for international promotion?

Global message with localized execution, influencer partnerships, and multilingual content.

What is Market Segmentation?

Dividing a broad consumer base into smaller groups with shared characteristics to tailor marketing strategies.

What are the challenges in global market segmentation?

Cultural differences, economic disparities, language barriers, political and legal constraints, and data collection limitations.

What are the variables of Geographic Segmentation?

Country, region, climate, urban vs. rural

What are the variables of Demographic Segmentation?

Age, gender, income, education.

What are the variables of Psychographic Segmentation?

Interests, personality, beliefs.

What are the variables of Behavioral Segmentation?

Brand loyalty, usage frequency, purchasing habits.

What are the segments of Economic Segmentation?

Budget, mid-range, and premium markets.

What are the variables of Technological Segmentation?

Internet access, smartphone adoption.

What are emerging trends in market segmentation?

AI-driven segmentation, hyper-personalization, sustainable consumer targeting.

What is the future of market segmentation?

Increased use of data analytics, focus on customer experience, integration of digital and offline marketing.

How does culture impact product perceptions?

Culture shapes consumer preferences and how products are viewed, affecting adoption and success.

Why is cultural awareness important in advertising?

To avoid misinterpretations and ensure that advertising resonates positively with the target audience.

How can cultural dimensions affect business practices?

They influence communication styles, negotiation tactics, and overall business relationships.

What role does language play in international marketing?

Accurate translations and understanding of linguistic nuances are crucial for effective communication and branding.

What are key cultural differences in China that affect marketing?

Emphasis on relationships (Guanxi), collectivism, importance of face (Mianzi), and respect for hierarchy.

What are key cultural differences in Japan that affect marketing?

High context communication, emphasis on harmony, respect for elders, and strong brand loyalty.

What are key cultural differences in Brazil that affect marketing?

Emphasis on personal relationships, relaxed attitude toward time, importance of family, and high-context communication.

What is Exporting?

The process of entering a foreign market by exporting goods or services.

What is Licensing?

A contractual agreement where a company allows a foreign entity to use its trademarks, patents, and other proprietary knowledge.

What is a Joint Venture?

A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task.

What is Foreign Direct Investment (FDI)?

Establishing a physical presence by setting up production facilities or sales offices in a foreign country.

What is Outsourcing?

The act of a company contracting a specific business function to a third-party provider.

What is Exchange Rate Risk?

The risk associated with fluctuations in exchange rates between two currencies.

What are Tariffs?

Payments collected by a government on imported or exported goods.

What are Quotas?

Restrictions imposed by a government on the quantity or value of goods that can be imported or exported.