1. Export Marketing
Jibran Khan
MBA Program

2.  Welcome and Introduction
 Other administrative matters
 Class timings 6 – 9
 Class members introduce themselves
 Occupation/desired occupation

3.  International Marketing and Export Management by
Edwin Duerr | 6th edition
 Export Marketing by Dr. B.S. Rathor | 8th edition
 22 Immutable Laws of Marketing | Reference book

5. Market
 A market is anywhere where buyers and sellers come together to
transact with each other.
 Domestic marketing
Selling of a company products within a local market. It deals with
only one set of competition and economic issues which make it
more convenient to do.
 There are no language barriers in domestic marketing and obtaining
and interpreting data on local marketing trends and consumer
demands is easier and faster to do.
 It helps the company make decisions and develop marketing
strategies that are more effective and efficient. The risks are also
lesser with domestic marketing and it needs lesser financial
resources.
 Local markets are not as broad as the international market though
and most companies are aiming at doing business globally.

6. Promotion and sale of company products to consumers in different countries.
It is very complex and requires a huge amount of financial resources.
Marketing of goods, services and information across political boundaries.
Includes same element as of domestic marketing like:
 Planning
 Promoting
 Distributing
 Pricing
 Every country has its own laws on business and a company that aims at
entering into business in another country must first know about them.
 Consumer tastes and preferences may also differ so marketing strategies
must be formulated to cater to the needs of different consumers.
 International marketing requires more time and effort, not to mention its
being very risky too. The international market is very uncertain and a
company must always be ready for changes that may suddenly occur. It
requires a higher level of commitment to succeed in an international
market.

7. Differences in Foreign
Environment
Consumer
Taste
Economic Level
Laws and
Regulation
Market
Structure
Way of doing
business

9. STRATEGIC DECISION TACTICAL DECISION
 Choice of country
 Product market
 Target segment
 Modes of operation
 Timing of market entry
 Product Positioning
 Product Adaptation
 Advertising
 Media selection
 Promotion
 Pricing
 Distribution

10.  Competitive capability in the domestic market
 Motivation for going international
 Commitment of owners and top management
 Product readiness for foreign markets
 Skill, Knowledge and Resources
 Experience and Training

11. Goal
Program
Organization

12. Export
Markets
Identifying and
Measuring
Opportunity:
1. Priliminary
Screening
2. Estimating
market potential
3. Estimating Sales
Potential
4. Segmenting the
market
Developing an
export marketing
strategy
1. Setting export
objectives
2. Planning the
marketing mix.
Product, Price,
Placement and
Promotion
Making export
strategy
operational
Sales forecasts
Sales Budget
Sales quotas
Production
schedules
Inventory
control
Lbour
requirement
Promotional
budget
financial budget
Profit budget

13.  Negative Demand
The market is in a state of negative demand if; a major
part of the market dislikes the product and may even
pay a price to avoid it | for example Alcohol
 No Demand
Target consumers may be uninterested in the product.
Eg: Farmers may not be interested in new farming
methods.
College students may not be interested in a foreign
language course. The marketing task is to find ways to
connect the benefits of the products to the person’s
natural needs and interests.

14.  Latent Demand
Many consumers may share a strong need that cannot
be satisfied by any existing products.
Eg: Latent demand for harmless cigarettes. More fuel
efficient cars.
The marketing task is to measure the size of the
potential market and develop effective goods and
services that would satisfy the demand.

15.  Declining Demand
 A substantial drop in the demand for products. Eg: Boy
scout enrolment among Singapore students. The
marketing task is to:
 Analyze the cause of market decline.
 Determine whether the demand can be restimulated by
changing target markets, changing product features and
developing more effective goods.
 To reverse the declining demand through creative
remarketing of the product.

16.  Irregular Demand
Organizations face demand that varies on a seasonal,
daily or even hourly basis, causing problems of idle
capacity or overcrowded capacity.
Eg: Markets:- Visited on weekends, not on Weekdays.
Hospitals:- OT’s booked for early weak.

17.  Full Demand
Organizations face full demand when they are pleased
with there volume of business.
 The marketing task is to:
 Maintain the current level of demand in the face of
changing consumer preferences and increasing
competition.
 Quality should be improved.
 Continuously measure consumer satisfaction.
 Eg: Maruti at the time of bookings made open.

18.  Overfull Demand
 Some organizations face a demand level that is higher
then they can or want to handle.
 Marketing task is De-marketing which requires finding
ways to reduce the demand temporarily or permanently.
 Steps involved in de-marketing
 Raising prices.
 Reducing promotion and service.

19.  Unwholesome Demand
 Unwholesome products will attract organized effort to
discourage their consumption.
 Un-selling campaigns have been conducted against
cigarettes, alcohols, hard drugs, handguns and pirated
movies.

20.  Communication with foreign unit
 Lack of Export Training & Experience
 Lack of Market Information
 Controlling International Activities
 Documentation requirements
 Arranging transportation and packaging
 Providing services
 Higher than domestic risk
 Financing Sales

21.  Foreign Government attitude
 Foreign public attitude
 Trade barriers (quotas & tariffs)
 Local non controllable dimensions
 Financing Sales
 Non assistance from home government

22.  Look to existing customers
 Make a commitment
 Seek advice
 Use trade shows
 Pick market carefully
 Manage growth
 Use letters of credits (LC)
 Be Patient
 Choose partners carefully

23.  Why there has been such an increase in interest by
business firms in international and export marketing?
 Will this interest continue to increase?
 Why or why not?