Chapter 2 oldies Flashcards
What are the 4 possible consumer behaviors according to GCO concept? (Global Consumption Orientation)
-Assimilation (adoption of global
products to replace local
products)
-Hybridization (modified products
for local consumer)
-Marginalization (indifference to
gp to lp)
-Separation (rejection of gp in
favor of lp)
What are advantages of standardized ad campaigns?
-efficient planning
-simplified coordination
-lower development
costs
-uniform appearance of global
brand
What are the 7Cs that must be observed when implementing websites?
-context (layout & design)
-content (text, images, videos)
-community (possibilities for users
to contact each other
-customization (ability to meed
needs of different users)
-communication (between user &
provider)
-connection (extent of networking with other websites)
-commerce(commercial
transaction possibilities via
website)
What are problems in international marketing communication?
-problems of intercultural
communication
-regulatory differences
-advertising limitations
(may vary from market, national jurisdiction, social-culturally)
Why is adapted pricing policy advantageous?
-will likely to respond to local
economic conditions
-better exploit market potential
What are advantages of standardization on pricing policy?
-uncertainty & annoyance of
customers are avoided
-re-imports from one country to another are prevented
What is milieu?
-subsets of society that can be
distinguished on basis of certain
characteristics that may overlap
-milieus of different society=
different characteristics
-same milieu+different
country=similar purchasing
behavior
What are the 7 Ps model of marketing?
product, price, placement, promotion
personnel, process, policy of equipment
Requirements of successful international brand name?
-reflect utility aspects &
advantages of product
-unique with hight recognition
value
-easily translatable & not cause
negative associations in foreign
languages
-registered as trademark, not too
general
What are the 3 types of consumption alternatives using GCO concept? (Global Consumption Orientation)
-Global products are in demand in variety of national markets
-localized products have been tailored to meet demand
-hybrid form of global & localized products
What is supply chain management?
-efficient & smooth design of global supply chains from raw material suppliers to the processing industry & to end customer
What is the cultural dimension of indulgence vs restraint?
-describes extent of tolerance in acting out hedonistic desires
-has direct effect on decision to buy or refrain from consumption
What is dimension of short- /long- term orientation?
-examines thinking in different
horizons
-long-term oriented cultures (asia)
value placed long-term personal
relationships
-short-term oriented society (us)
aim for success achieved in short
time
What are the meso level contextual factors?
-regional
-economic (economic agglomeration)
-cultural (cultural tradition)
What are the micro level contextual factors?
-local population density
-local infrastructure
-locally available training facilities
& social institutions
-rural vs urban imprint
What are macro level contextual factors?
include general economic conditions or socio-cultural parameters
-gross national income per capita
-disposable household income
-values & social norms
-role of women
-degree of urbanization
-average level of education in country
-demographic factors: age structure, average household size, average children per household
What is same milieu + different country = same purchasing behavior
-Fragmentation of national
markets with simultaneous
international homogenization of behavior
Considerations when deciding brand owner
-manufacturer’s brand or private
label
-licensing models
-co-branding
5 different brand identities
-actual
-ideal
-communicated
-desired
-perceived
(can all be different / can contradict at times)
What are 3 pricing strategies?
-value based pricing: testing price
threshold
-cost-oriented pricing: break-even
analysis (ROI calculation)
-competitive pricing: price
comparison with competition
Contribution margin
-Amount of revenue to provide profit after selling a product; accounting for it’s associated costs
Example of communication mix
-digital communication
-digital marketing
-advertising
-public relations
-personal communication
How should communication measures be?
-effective
-efficient
-subject to cost control
Criteria for high value of brand
-high level of awareness
(company/brand)
-high degree brand loyalty
-positive associations that lead to
positive brand image
-patents, trademarks, private labels
