This presentation is also on how globalization has or will affect the marketing philosophy by a company or business.

1. GLOBALIZATION AND MARKETING MANAGEMENT PHILOSOPHY
DEMONSTRATING MARTETING STRATEGIES & TACTICS
Course Code:
Moneague College (Main Campus)
Centre of Occupational Studies
Names and ID #:
Althea Watson-Brickliffe - 1871813006
Lecturer’s Name: Mr. Mullins
Due Date: March 16, 2020
Done in partial fulfillment of an Occupational Associate Degree in Business Process Outsourcing

2. 2
Table of Content
Abstract…………………………………………………………………….…………………3
The four (4) types of Market Segmentation…………………………………………………4
MARKETING GLOBALIZATION………………………………………………………….6
THE AFFECTS OF GLOBALIZATION ON THE MARKETING MANAGEMENT
PHILOSOPHIES?.........................................................................................................................7
How/Why globalization will affect the business……………………………………………….9
References……………………………………………………………………………………...10

3. 3
Abstract
Marketing concepts or marketing management philosophies are the philosophies use by the
business to guide their marketing efforts. Basically, marketing concepts relate to the philosophy
a business use to identify and fulfil the needs of its customers, benefiting both the customer and
the company. This presentation is also on how globalization has or will affect the marketing
philosophy by a company or business.

4. 4
The four (4) types of Market Segmentation.
1. Demographic segmentation.
Demographic segmentation is one of the simplest and widest type of market segmentation used.
Most companies use it to get the right people in using their products. Segmentation generally
divides a population based on variables. Thus, demographic segmentation too has its own
variables such as Age, gender, family size, income, occupation, religion, race and nationality.
Demographic segmentation can be seen applied in the automobile market. The automobile
market has different price ranges in which automobiles are manufactured. For example – Maruti
has the low-price range and therefore manufactures people driven cars. Audi and BMW have the
high price range, so it targets high end buyers. Therefore, in this case, the segmentation is being
done based on earnings which is a part of demography. Similarly, Age, life cycle stages, gender,
income etc. can be used for demographic type of market segmentation.
2. Behavioral segmentation.
This type of market segmentation divides the population based on their behavior, usage and
decision-making pattern. For example – young people will always prefer Dove as a soap,
whereas sports fan will use Lifebuoy. This is an example of behavior-based segmentation.
Based on the behavior of an individual, the product is marketed.
This type of market segmentation is in boom especially in the smart phone market. For
example – Blackberry was launched for users who were business people, Samsung was
launched for users who like android and like various applications for a free price, and Apple
was launched for the premium customers who want to be a part of a unique and popular
niche.

5. 5
3. Psychographic segmentation.
Psychographic segmentation is one which uses lifestyle of people, their activities, interests
as well as opinions to define a market segment. Psychographic segmentation is quite like
behavioral segmentation. But psychographic segmentation also takes the psychological
aspects of consumer buying behavior into accounts.
Application of psychographic segmentation can be seen across nowadays. For example –
Nike markets itself based on lifestyle, where customers who want the latest and differential
clothing can visit the Nike stores.
4. Geographic segmentation.
This type of market segmentation divides people based on geography. Your potential customers
will have different needs based on the geography they are located in. In the article on geographic
segmentation, this explained how people who are in non-urban areas might require a water
purifier whereas those located in urban areas might need only running water from the pipe or
tank. Thus, the need can vary based on geography.
This type of segmentation is the easiest, but it was used in the last decade where the industries
were new, and the reach was less. Today, the reach is high but still geographic segmentation
principles are used when you are expanding the business in more local areas as well as
international territories. (Bhasin, 2020)
In geography, globalization is defined as the set of processes/methods (economic, social,
cultural, technological, institutional) that provide to the connection between societies and

6. 6
individuals around the world. It is a progressive process by which exchanges and flows between
different parts of the world are intensified.
MARKETING GLOBALIZATION
Marketing globalization is a synergistic term combining the promotion and selling of goods and
services in an increasingly interdependent and integrated global economy. It makes companies
stateless, without walls, with the internet an integral marketing and cultural tool. Understanding
consumer needs within target countries helps formerly ethnocentric companies build a global
marketing mix in which product, price, place and promotion are geared toward a specific
country's needs. (Hosmer, 2018)
MARKETING MANAGEMENT PHILOSOPHY
Marketing management philosophies are the philosophies used by the businesses to guide their
marketing efforts. Basically, marketing concepts relate to the philosophy a business use to
identify and fulfil the needs of its customers, benefiting both the customer and the company.
Marketing Management Philosophies
The five marketing concepts are:
1. Production Concept
2. Product Concept
3. Selling Concept
4. Marketing Concept
5. Social Marketing Concept
A company should choose the right one according to their and their customers’ needs.

7. 7
THE AFFECTS OF GLOBALIZATION ON THE MARKETING MANAGEMENT
PHILOSOPHIES?
Affects of Globalization on Production Concept
Globalization may affect production concept because of an assumption that consumers prefer a
product which is inexpensive and widely available. However, if the product is low in cost
consumers will want to go for something which is more expensive and have more value.
Consumer will want a product that is not too popular on the market.
A low price may attract new customers, but the focus is just on production and not on product
quality. This may result in a decrease in sales if the product is not up to the standards. This
philosophy only works when the demand is more than the supply. Moreover, a customer not
always prefers an inexpensive product over others. There are many other factors which influence
his purchase decision.
Affects of Globalization on Product Concept
Globalization affects product concept because the assumption that customers prefer products of
‘greater quality’ and ‘price and availability’ doesn’t influence their purchase decision. Hence the
company devotes most of its time in developing a product of greater quality which usually turns
out to be expensive. Since the focus of the marketers is the product quality, they often lose or fail
to appeal to customers whose demands are driven by other factors like price, availability,
usability, etc.
Affects of Globalization on Selling Concept
Globalization affects selling concept because the production and product concept both focus on
production but selling concept focuses on making an actual sale of the product. Selling Concept
focuses on making every possible sale of the product, regardless of the quality of the product or
the need of the customer. The focus is to make money. This philosophy doesn’t include building

8. 8
relations with customers. Hence repeated sales are very less. Companies following this concept
may even try to deceive the customers to make them buy their product.
Companies which follow this philosophy have a short-sighted approach as they ‘try to sell what
they make rather than what market wants.’
 Companies with short-sighted profit goals. This often leads to marketing myopia.
 Fraudulent companies.
The previous sections argued that globalization can bring benefits through the
development of the domestic financial system. But globalization can also be associated
with crises and contagion (and with market segmentation). As discussed in Obstfeld
(1998), this is inescapable in a world of asymmetric information and imperfect contract
enforcement. Though many crises are triggered by domestic factors and countries have
had crises for a long time (even in periods of low financial integration), it is the case that
globalization can increase the vulnerability of countries to crises in selling concept. In open
economies, countries are subject to the reaction of both domestic and international markets,
which can trigger fundamental-based or self-fulfilling crises. Moreover, the cross-country
transmission of crises is characteristic of open economies. Completely closed economies should
be isolated from foreign shocks. But when a country integrates with the global economy, it
becomes exposed to contagion effects of different types and, more generally, to foreign shocks.
Is the link between globalization, crises, and contagion important enough to outweigh the
benefits of globalization with the selling concepts?

9. 9
Affects of Globalization on Marketing Concept
Globalization affects marketing concept because the selling concept cannot let a company last
long in the market. It’s a consumer’s market after all. To succeed in the 21st century, one must
produce a product to fulfil the needs of their customers. Hence, emerged the marketing concept.
This concept works on an assumption that consumers buy products which fulfil their needs.
Businesses following the marketing concept conduct research to know about customers’ needs
and wants and come out with products to fulfil the same better than the competitors. By doing so,
the business establishes a relationship with the customer and generate profits in the long run.
Affects of Globalization on Societal Marketing Concept
Globalization affects Societal Marketing Concept if the philosophy does not focus on society’s
well-being. If the business does not focus on how to fulfil the needs of the customer without
affecting the environment, natural resources and focusing on society’s well-being. This
philosophy will not believe that the business is a part of the society and hence will not take part
in social services like the elimination of poverty, illiteracy, and controlling explosive population
growth etc. and this will cause the economy lots of setback.
Many of the big companies have included corporate social responsibility as a part of their
marketing activities. (PAHWA, 2016)
How/Why globalization will affect the business.
Globalization, or the expansion of business across domestic boundaries, has numerous effects on
the way business is been done, including operations, marketing, distribution and partnerships.
Careful strategy and effective planning are critical to strong global business.

10. 10
Globalization at the business level relates to development of a worldwide business approach that
is integrated. A domestic company chooses to set up or operate its business around the world and
does so with a universal approach. Operations, marketing, advertising, sales and service are all
generally consistent from one country to the next when a multi-national company has a
globalized business strategy. (Kokemuller, 2017)
Global value chains (GVCs) powered the surge of international trade after 1990 and now account
for almost half of all trade. This shift enabled an unprecedented economic convergence: poor
countries grew rapidly and began to catch up with richer countries. Since the 2008 global
financial crisis, however, the growth of trade has been sluggish and the expansion of GVCs has
stalled. Meanwhile, serious threats have emerged to the model of trade-led growth. New
technologies could draw production closer to the consumer and reduce the demand for labor.
And conflicts among large countries could lead to a retrenchment or a segmentation of GVCs.
This book examines whether there is still a path to development through GVCs and trade. It
concludes that technological change is, at this stage, more a boon than a curse. GVCs can
continue to boost growth, create better jobs, and reduce poverty provided that developing
countries implement deeper reforms to promote GVC participation; industrial countries pursue
open, predictable policies; and all countries revive multilateral cooperation. (“World Bank.
2020.’’)
Even though net private capital flows to developing countries increased in recent
years, private capital does not flow to all countries equally. Some countries tend to
receive large amounts of inflows, while other countries receive little foreign capital.
This shows that while flows to developing countries increased in general, the top

11. 11
12 countries with the highest flows are receiving most of the net inflows. Moreover, the top 12
countries are the ones that experienced the most rapid
growth in private capital flows during the 1990s. Consequently, the share of flows
dedicated to low-income and middle-income countries (outside the top 12) has decreased
over time. This is important because if countries benefit from foreign capital, only a
small group of countries are the ones benefiting the most. The unequal distribution of
capital flows are consistent with the fact that income among developing countries is
diverging, although the causality is difficult to determine. (Benefits and Risks of Financial
Globalization: Challenges for Developing Countries, 2014)

12. 12
Reference
Benefits and Risks of Financial Globalization: Challenges for Developing Countries. (2014,
January). Retrieved from
https://www.researchgate.net/publication/239922690_Benefits_and_Risks_of_Financial_
Globalization_Challenges_for_Developing_Countries
Bhasin, H. (2020, February 1). 4 types of Market segmentation and how to segment with them?
Retrieved from https://www.marketing91.com/4-types-market-segmentation-segment/
Hosmer, C. (2018, November 12). What is Marketing Gobalization. Retrieved from Chron:
https://smallbusiness.chron.com/definition-marketing-globalization-25384.html
Kokemuller, N. (2017, September 26). How Does Globalization Affect the Way a Company Does
Business? Retrieved from bizfluent: https://bizfluent.com/info-8678424-globalization-
affect-way-company-business.html
PAHWA, A. (2016, AUGUST 9). Marketing Management Philosophies – 5 Marketing
Concepts. Retrieved from https://www.feedough.com/marketing-management-
philosophies-five-marketing-concepts-with-infographics/
“World Bank. 2020. World Development Report 2020: Trading for Development in the Age of
Global Value Chains. Washington, DC: World Bank. © World Bank.
https://openknowledge.worldbank.org/handle/10986/32437 License: CC BY 3.0 IGO.”