Identifying Global Buyers

1. • To begin to develop an strategy for
global markets, a firm must first
consider the type of markets which it
competes.
• Markets can comprise (cover) consumers,
businesses or Government's

2. Consumer Markets
To Understand a consumer market, have to follow
three aspects
•The Consumers ability to buy
•Consumer needs
•Consumer Behavior

3. Ability to buy
To Purchase a Product, a consumer must have the ability to buy
Important indicator of total consumer potential is Gross
National Production (GNP), Because it reflects the generation of
wealth in a country, which is an indictor of market Size
E.g.-
One of the main reason why Starbucks was attracted to Mexico
was its increasing income per capita

4. Consumer Needs

5. E.g. – Similarities and differences in consumer behavior in
attitudes towards color
Black and Red Signify happiness to the Chinese but in
Sri Lanka and India those colors use as most sacred colours

6. SEGMENTING MARKETS
Segmenting is important for two reasons
You do not need every consumer in a country to buy your
Product in order to be successful in that market
but you just need a large enough segment of the market to
be willing and able to buy
How and How Much
You Adapt your marketing mix (4P’s) in a national market will
depend on the segment you target in that market

7. Business Buyers around the world are much more
predictable and similar than consumers in their
purchasing behavior.
More Influenced by the economic consideration
of costs and product performances and less
affected by social and cultural factors

8.  National global buyers
Search the world for products used in a single market
Multinational global buyers
Search the world for products used throughout their global
operations
Global Account Management
Marketers Assign Special Executive Or Teams To Address
Demanding Global Buyers

9. Government Markets
Government Buying Processes tend to be highly
administrative
Negotiating with Foreign governments can be a very long
and formal process
Some contracts go to the lowest bidder
More sophisticated projects demand more complicated
bidding processes
Global marketers must pass through to secure large
government contracts in developing countries

10. Bribery and Government Markets
Bribery is giving something of value to an individual in
a position of trust to influence judgment or behavior
Government employees are trusted to do what’s best
for the public good
Government corruption is more established in
emerging markets

11. Prepared By