MMKt 435 Test 3

the sum of impressions of a brand

the added value that accrues to a product as a result of investments in the marketing of the brand' an asset that represents the value created by the relationship between the brand and customer over time
- can be found on BALANCE SHEET
- warren buffet says that strong global brands have better brand equity

feature two or more company of product brands
-nutraSweet and Coca Cola
- Laundry detergent plus febreeze

physio, safety, social, esteem, self actualization
- provides framework for extending local products aborad

products that originate from a certain country often lead to attitudes and perceptions of that country.

discontinuing innovation- requires new consumption patterns
dynamically continuous innovation- something influences the consumption pattern
continuous innovation- least disruptive influence on consumption patterns
-you can also do line extensions like new sizes, flavors, low fat versions

setting a low price so as to penetrate the mkt quickly
- appropriate to saturate the mkt before imitation by competitor
- get your product out there the most so that people are loyal to you

an analysis of internal and external costs
- the price = how much it costs to make it (internal) and then the cost of getting it there and promo (external)

extension/ethnocentric- per unit price is the SAME everywhere. Importer pays for shipping. Fails to respond to individual markets
Adaptation/polycehtric- allows local mngrs to set prices. Creates gray mkting, but respons to local mkt.
Geocentric- local pricing, combination ethno/poly. Sets price according to local costs, income levels, competiion, and local mkt strategy

where licensed items are transferred to another country so they can be sold by UNAUTHORIZED dealers (overstock.com)

as defined by GAAT
sale of an imported item at a price lower than what they would normally sell it for in country of origin

when payment is made other than money
-barter system is a direct exchange of goods or services
- counterpurchase (agreement to do business w/ eachother)
- offset
-compensation trading or buyback
- switch trading ( triangular)

exist to create utility for customers

place utility- makes the location of a product convenient
time utility- product is available to the consumer when they want it
form utility- availibility of a product ready to use/eat
information utility- availability of info about the product/service

where a manufracturer sends out the product via another company's distribution channel
-products must be similar/complimentary and target same customer.

three basic elements
- manurfacturnig sales force
- dsitributor or agent
- wholesaler
manufacturers can have their own sales force (sell to wholesalers or directly to customers) they can sell to wholesalers without their sales force, or they can use an agent or distributor to call on wholesalers or direct customers

select distributors- dont let them select you
look for distributors that have the capabilities of creating a good mkt, rather than have a few good contacts
treat local distributors as long term partners, not just to get into the mkt
support market entry by committing financial, intellectual capital
from the start, maintain mkt strategy
make sure distributors provide you with mkt and financial data
build links among natinal distributors at the earliest opportnity

any activity that crosses national boundaries

department stores- different departments under one roof with few peeps staffed to run each one. (Macy's)
specialty stores- offer less variety than dept stores. narrowly focused, target particular target
supermarkets- one story store, deptmentalized, offer food and non food
convenient stores- same mix as supermarekts but emphasize high turnover items. (15-20% mark up)
discount stores- low prices
full line discounter- wal marts, lotta items, limited service
warehouse clubs- segment of disount retailing

hypermarkets- combination of discounter, supermkt, and warehouse clubs
supercenter- wide variety of grocery/general items. half size of hypermarket (kroger)
category killers- stores that specialize in one product category
outlet store- retails that have well known names that dispose of excess inventory.

acquiring a chain that exists in the country already
easiest, and culturally close (franchising)

advisable when it is culturally close and hard to enter

appropriate for when it is easy to enter but culturally different from your own

company uses its own resources to start its own store, or acquire just ONE site

the management process that ties all 4 keys of the activities to ensure a smoothe transaction of goods thru the supply chain

three parts :order entry, order handing (locating, assembling, and moving products into distribution), and order delivery

store goods until the order is needed to go thru to stores

ensures that you dont run out of inventory but at the same you do not incur costs of having too much inventory
-radio frequency tags help ensure this

seeing which mode of transportation would be the most effecient for a given situation

mode
reliability
cost
speed
accessibility
capacity
tracking

the use of the same advertising appeals, messages, art, copt etc., in multiple country segments
- no adaptation

only takes place TRULY when the meaning of a message is transferred from one to another.

message may not reach recipient (too much noise)
message may reach, not understood (eh?)
message reaches, understood, but doesn't prompt action
effectiveness of message is offset by too much noise

middle ground bt 100% standarization and 100% adaptation

communication efforts that relates to the motives of the target audiene

rational- depends on logic and speaks to audience's intellect
emotional- may tug at emotional aspects of decision making process
creative execution- the way they present the message of a ads

PR fosters goodwill and understanding
- generates favorable publicity
companies do not pay for the publicity (especially credible)
image adverstising- enhances public perception, creates goodwill
advocacy advertising- presents the company's POV on an issue

sales promotion- consumer/trade communication that is paid and has limited duration
- can have price and nonprice promotions
- builds long term awareness

in countries with low levels of economic development= low incomes, which means they inhibit promotional tools
local perception of a promotional tools vary as well
local regulations may rule out some tools
trade structure in the reatiling industry affecst use of sales promotions

coupons acct for 70% of consumer promotional spending
types
FSI- free standing inserts (sunday paper)
In- Pack- placed inside package
On-Pack - attached to, or part of package
cross coupons- distributed with one product but promotes diff product

prospect (referrals)
preapproach (looks at clipboard)
approach (handshake, intro)
needs assessment (fitness assesment)
presentation (tour)
handle objectives (sit down)
negotiation/close (rates)
FOLLOW UP

expatriates- posess high level of product knowledgem commitment to service, training for promotion, greater headquarters

economical, superior markt knokwledge, language skills, and superior knowledge of local culture, implementation is quicker

cultural sensitiviy, language skills, economical, allos regional sales coverage

stay local, not global
not everyone is americans, treat them as such
no such things as european
pick target, focus on country, do your homework
customers need to be able to return products locally, or believe there is a service locally

fastest growing outfdoors ads in the world

product placement,
transit (buses, taxis)
too much ads so the clutter hinders message effectiveness