DEFINITION OF 'DUMPING'
In international trade, the export by a country or company of a product at a price that is
lower in the foreign market than the price charged in the domestic market.
As dumping usually involves substantial export volumes of the product, it often has the
effect of endangering the financial viability of manufacturers or producers of the product in
the importing nation.
The delivery and payment terms agreed between a buyer and a
In international trade, terms of sale also set out
the rights and obligations of buyers and sellers as applicable in
the transportation of goods.
Terms of Sale
Physically moving products and establishing intermediary relationships to
support such movement.
• Physical Distribution (Logistics)
The activities of distribution involved in the physical relocation of products.
• Channel of Distribution
The system of intermediaries (business relationships) established to guide the
movement of a product.
The Role of Distribution Activities in Marketing
• Functions of Intermediaries
Perform the marketing function better.
Provide efficient distribution of the product.
Breaking bulk – sell to customers in smaller quantities.
Assorting – bringing together similar lines of goods.
Merchant middlemen - take title to the goods distributed.
Agents/brokers - distribute goods only.
Types of Distribution Channels
Direct marketing is a channel-agnostic form of advertising which
allows businesses and nonprofit organizations to communicate
straight to the customer
Structuring a Distribution Channel
• Important Factors in Building a Distribution Channel
Costs associated with establishing a direct channel distribution
Coverage is increased through the use of indirect channels of
Control is enhanced using a direct distribution channel.
• International promotion is promoting the business
internationally or world wide or it is the marketing
carried out by companies in overseas or across
• Key function - developing and spreading credible
communication about an offer (product / service).
What is International Promotion?
• Multi lingual advertisements.
• Wider platform for all the products and services.
• Wider brand awareness through different medias
(internet / magazines / tv/ radio).
• Advertising campaigns on a large scale
Features of international Promotion
Below the line promotion includes promotion methods which are more personal,
traditional and allow the company control. They can include:
•Public Relations- when a business communicates directly with it's public through
press releases and speaking at conferences
•Sales promotions - such as 50% extra free, buy one get one free or coupons.
•Sponsorship - where a business will pay to be associated with another product,
person or event. Sportspersons are often sponsored by sports companies.
•Direct sales - when a representative of the business will visit potential customers
Methods of international promotions
Above the line promotion includes promotion methods using "mass media", Such
techniques are usually seen as impersonal, designed to reach as many people at as
little cost as possible. They can include:
•TV, Radio and Cinema - allows businesses to target a large group of people
•Newspapers - allow advertisers to reach specific groups of people
•The web (internet)- allows businesses to reach a large international audience at a
very low cost.
•Outdoor/transport - advertisements on the side of busses, outside shops and on
Methods of international promotions
International promotion has many potential uses
Attract new customers
Encourage customer loyalty
Remind potential customers
Encourage new customers
Encourage brand switching
Position a product
Uses of international promotion
A push promotional strategy involves taking the product directly to the customer via
whatever means, ensuring the customer is aware of your brand at the point of
"Taking the product to the customer"
EXAMPLES OF PUSH TACTICS
Trade show promotions to encourage retailer demand
Direct selling to customers in showrooms or face to face
Negotiation with retailers to stock your product
Efficient supply chain allowing retailers an efficient supply
Packaging design to encourage purchase
Point of sale displays
• 2. PULL STRATEGY
• A pull strategy involves motivating customers to seek out your brand in an
• "Getting the customer to come to you"
• EXAMPLES OF PULL TACTICS
• Advertising and mass media promotion
• Word of mouth referrals
• Customer relationship management
• Sales promotions and discounts