This document discusses the challenges of international sales and marketing. It begins by defining international sales and marketing as business activities designed to plan, price, promote and direct the flow of goods and services to consumers in multiple countries. While marketing concepts are universal, international marketing requires considering additional uncontrollable environmental factors like legal systems, culture and weather in different countries. The document then discusses how globalization has increased the importance of international marketing and outlines the tasks involved, including developing marketing plans that account for domestic and foreign environments. It also notes potential obstacles like ethnocentrism and the need for cultural understanding. The document concludes by classifying the various documentation required for international sales and marketing.

1. The Challenges in
International Sales &
Marketing
Presented by,
Praveen Jalaraddi
Regional Marketing Officer
Future Robo System

2. International Sales and Marketing?
Definition of International Sales & Marketing:
“The performance of business activities designed to plan,
price, promote and direct the company’s flow of goods and
services to consumers or users in more than one nation for
a profit” (4 P’s)
What is the difference between marketing
domestically and internationally
Marketing concepts are universal (goal is to make a profit)
Difference is that in international marketing ALL
environments have to be taken into consideration when the
marketing plan is developed and executed
• Must consider the legal environment, governmental controls,
climate & weather, cultural beliefs, buyer behavior…
(uncontrollable elements)

3. Globalization of Markets
Why international marketing is so important:
Companies can no longer ignore the effects of
internationally marketing
• Competition no longer exists just from domestic
companies
• In order to sustain profitability and growth margins of the
past, companies have to look for alternative methods of
marketing their products and services
– “In a study conducted on U.S. manufacturing companies of
all sizes, it was found that multinational companies
outperformed their strictly domestic U.S. counterparts by
more than twice as fast in sales and earned much greater
returns on equity and assets..”

4. International Sales & Marketing
Task
The Tasks
Marketing Plan (controllable)
• Price, Promotion, Product, Place (distribution)
Domestic Environment (uncontrollable)
• Political/legal, competition, economy
Foreign Environment (uncontrollable)
• Structure of distribution, geography and infrastructure,
culture, political/legal, economy, competition, level of
technology…

5. International Sales & Marketing
Task
Importance of “uncontrollable elements”
In order to succeed internationally a company
must understand the impact of the uncontrollable
elements that make up that country’s culture
• “Cultural understanding is like an iceberg – we are not
aware of nine-tenths of it”
• In order to be successful in adapting to the international
markets, the market plan needs to incorporate strategies
to anticipate as much of the uncontrollable factors that
influence both the foreign and domestic markets and
allow for maximum flexibility to adjust for future changes

6. International Sales & Marketing
Task
Obstacles to success in international
marketing:
“SRC” – Self-reliance criterion & ethnocentrism:
• Using one’s culture, values, experiences as a basis for
decisions in international situations
– By reacting to situations in this manner, cultural differences
are ignored, and behavior might be offensive
– The less ego-centric a company is, the greater success it
will have in marketing it’s products and services

7. Developing Global Awareness
To be globally aware, a company must
have the following
Objectivity
Tolerance of cultural differences
Knowledge of cultures, history, world
market potential, and global economic,
social, and political trends

8. Stages of International
Marketing Involvement
1. No Direct Foreign Marketing
Company does not actively pursue customers in
foreign markets, but receives them thru
unintended channels
• Products are bought abroad through domestic
wholesalers/distributors, website on the internet
2. Infrequent Foreign Marketing
Company sells to foreign markets only when a
temporary surplus of product exists
• Once surplus is gone, foreign activity is gone
• Few companies fit this model because of the need to
develop long term relationships in foreign countries

9. Stages of International
Marketing Involvement
3. Regular Foreign Marketing
Companies produce their products and services to
primarily sell domestically, but also internationally
• Through domestic/foreign middlemen, sales force in
foreign countries
4. International Marketing
Companies are fully engaged in international
marketing strategies
• Companies are now international or multi-national

10. Stages of International
Marketing Involvement
5. Global Marketing Importance
Change from its marketing activities to all
activities focused in a global perspective
• Treat the world as one market
• Market segment is no longer focused on
national borders, rather such things as income
levels, usage patterns, or other factors are
looked across borders

11. Strategic Approaches to
Marketing Internationally
1. Domestic Market Extension Orientation
International markets are secondary to its
domestic markets
2. Multidomestic Market Orientation
Each country has a specific and separate
marketing plan to adjust to differences
3. Global Marketing Orientation
Marketing activities are global
Strives for efficiencies of scale through
standardization

12. DOCUMENTATION REQUIRED FOR
INTERNATIONAL SALES AND MARKETING
Export documentation is complex in nature as the
number of documents to be filled-in is very large, so
also is the number of the concerned authorities to
whom the relevant documents to be submitted. It is,
therefore, advisable to take the help of shipping and
forwarding agents who will obtain and fill out the
documents correctly as well as arrange for
transportation.
There are buyers and exporters, buying agents, RBI,
authorized dealers (where the exporter has his bank
Account), buyer’s bank (foreign bank), Customs and
Port Authorities, VAT and Excise Authorities,
Insurance Companies, Inspection Agencies, Clearing
and Forwarding Agents, Shipping Companies/Airlines
and Inland Carriers etc

13. Classification of Export Documents
Export Documents can be classified into following
four categories:
(1) Commercial Documents
(2) Regulatory Documents
(3) Export Assistance Documents
(4) Documents Required by Importing Countries
(1) Commercial Documents: These documents are
used by exporters/importers to discharge their
respective legal and other incidental responsibilities
under sales contract.

14. Classification of Export Documents
Commercial documents can be further sub-divided into:
(i) Principal Commercial Documents
(ii) Auxiliary Commercial Documents
(i) Principal Commercial Documents: These
documents serves the following purposes:
(a) To effect physical transfer of goods and title of the
goods from exporter to the buyer.
(b) To realize export sales proceeds.

15. Classification of Export Documents
Principal Documents include:
• Commercial Invoice (and the invoice prescribed by
the importer)
• Packing list
• Certificate of Inspection
• Certificate of Insurance/Insurance Policy
• Bill of Lading/Airway bill/Combined Transport
Documents
• Certificate of Origin
• Bill of Exchange
• Shipment Advice

16. Classification of Export Documents
2) Regulatory Documents: These are prescribed by various
Government Departments/Bodies for compliance of formalities
under relevant laws governing export transactions. These
include:
(i) Exchange Control Declaration Form-GR Form
(ii) Freight Payment Certificate
(iii) Insurance Premium Payment Certificate
(iv) ARE I/ARE II Forms
(v) Shipping Bill/Bill of Export
(vi) Port Trust Copy of Shipping Bill/Export Application/Dock
Challan
(vii) Receipt of Payment of Port Charges
(viii) Vehicle Ticket.

17. Classification of Export Documents
(3) Export Assistance Documents: These are the
documents which are required for claiming
assistance under the various export assistance
measures as may be in operation from to time.
Currently, these refer to drawbacks of central excise
and customs duties, packing credit facilities etc
(4) Documentation required by Importing
Countries: These are the documents which are
required by the importer in order to satisfy the
requirements of his Government. These include
certificates of origin, consular invoice, quality control
certificate etc.

18. THANK YOU