WRITTEN

REPORT

Bonillo, Jessa R.
Mayandia, Mary Grace M.
Tadina, Chimera Gail O.
Yangga, Aireen Rose D.

CBET-17-408P
Wednesday 7:30a-10:30a
Bonillo, Jessa R.
CBET-17-408P
Wednesday (7:30-10:30 am)

The initial assessment of international market assessment is the potential. This is the
process of determining the basic need and potential of the MNEs goods and services in foreign
markets. This screening answers the question: Who might be interested in buying our output? A
company can assess a potential market by assessing the importation rules and policies of a
target country in the initial screening as well as determining the main goods and products that
are often consumed in the target country.
In the second step of assessment, the financial and economic conditions are put into
considerations. All potential markets identified in the initial screening are now eliminated
according to which financial and economic considerations the company can meet. This includes
inflation rates, expected returns on investment, consumer habits, and credit availability.
Elimination on this assessment part helps pick only those that are financially feasible.
Economic considerations relate to a variety of market demand influences, including
market indicators. Market indicators are used for measuring the relative market strengths of
various geographic areas, and focus on three important areas which are market size (relative
size of each market as a percentage of the total world market), market intensity ( richness of the
market), and market growth (annual increase in sales).
Quite often these data are analyzed using quantitative techniques such as trend
analysis, estimation by analogy, regression analysis, and cluster analysis. Trend analysis for
example, is the estimation of future demand either by extrapolating the growth over the last
three to five years and assuming that this trend will continue. A similar approach is estimation by
analogy, through which forecasters predict market demand or growth based on information
generated in other countries. The more data that is available, the better the estimate will be.
Mayandia, Mary Grace M.
CBET-17-408P
Wednesday (7:30-10:30 am)

International Market Assessment

Marketing Strategy – defined as the broad conception of how product, price, promotion and
distribution are to function in a coordinate way to overcome resistance to meeting marketing
goods.
Marketing Assessment – is detailed and objective evaluation of the potential of a new product,
new business idea or new investment. It is a comprehensive analysis of environment forces
market trends, entry barriers, competition, risks, opportunity and the company’s resources and
constraints.
3. Global Brands
Brand is the identification of every business that operate market weather local or
international. Through brands customer recognized the products that they want to patronize.
There are 3 different kinds of products such as:
1. Global Brands – those which are found in many countries around world, under the
same name for the same product and typically operating under the positioning
strategy.
2. Regional/Local Brands – are generally defined as those available in one country or
in a narrow geographical are, although these brands maybe owned by a local,
international and global firms.

It is very essential to a company to create their unique brand name because this will be
one of their strategy to attract customers that will give them profit.
Global Brand Strategy
1. Understand Customer Behavior – every country has their own culture and languages
therefore the brand name must be appropriate to their country to avoid disrespectful to
their culture or language.
2. Position Yourself Properly – the company must know the environment where they
launch their business and to know the competitors’ ability and weaknesses.
3. Know your Brand Translates – the company must know the meaning of their brand
name before launching it to a particular country.
4. Think Broadly – the brand names must be prone to changes that happen in a regional
market of a country.
5. Find Good Partners – one good asset of a business is a connection to other business
in a particular place or around the world where this connection will help them to run their
business in a legal way.
Global Pricing and Distribution
 New Product Pricing – Pricing strategy used for a new product is affected by the
product image desire, the amount competition and sales goals.

1. Competitive Pricing – if the new product has competition already on the

market, accompany may decide to sell its new product at a comparable
price.
2. Skim Pricing – attempts to attract buyers who are not concerned with
price while also quickly covering the research and development costs of
the new product.
3. Penetration Pricing – is the setting of a relatively low introductory price
of a new product.
 Psychological Pricing - attempt to persuade consumers to purchase a product or
service.

1. Promotional Pricing – advertised specials are a common marketing

activity.
2. Odd Even Pricing – companies have found that prices ending in 5 or 9
(odd numbers) present a bargain image.
3. Prestige Pricing – Extensive research has revealed that people believed
a higher priced item is better quality than the exact same item at a lower
price.
4. Price Lining – a store may offer all merchandize in a category at the
same price.
 Discount Pricing – Price reductions are one of the most common actions taken by
companies to attract and keep customers.
1. Seasonal Discounts – companies may reduce prices to sell the
remaining items in stock.
2. Cash Discounts – companies may reduce the price charged for items to
encourage customers to pay their bills quickly.
3. Quantity Discounts – To encourage customers to purchase more of an
item, business may offer a quantity discount.

Distribution channel – is the path taken by a good or service to get from the producer to the
final user.
Direct Distribution Channel – producers sell goods or services directly to the final user.
Indirect Distribution Channel – occurs when goods or services are sold with the use of one or
more intermediaries between the producer and the customer.
Distribution Channel Members
Intermediary – is any person or organization in the distribution channel that moves goods and
services from the producer to the customer.
 Agents – also referred as broker, brings together buyers and sellers but does not take
ownership of the products.
 Wholesalers – is a business that buys a large quantity of an item and resells them to a
retailer.
 Retailers – is a store or another business that sells directly to the final user.
 Direct Sellers
  Online Retailers
 Convenience stores etc.

Global Intermediaries
 Export Management Company – provides complete distribution services for business
that desire to sell in foreign markets.
 Export Trading Company – is a full-service global distribution intermediary.
 Freight Forwarder – ships goods to customers in other countries.
 Customs Broker – also called custom house broker, is an intermediary that specializes
in moving goods through the customs process.

Global Marketing Communication

- Marketing Communications strategy is the strategy used by a company or individual to
reach their target market through various types of communication.

3 Guiding Principles of Marketing Communication

1. Brand Alignment – whatever marketing channel you choose have the same brand
perception as yours.
2. Customer Alignment – Pick channels where your customers already active.
3. Budget Alignment – Choose a marketing channel that fit your budget

Steps in Creating Marketing Strategy

1. Understand your target audience
2. Define your unique selling proposition
3. Determine your marketing communication
4. Define branding elements (websites, apps, social platforms)
5. Define metrics success (number of mentions, number of websites)
6. Execution
https://www.criminallyprolific.com/marketing-communications-strategy/
https://onlinelibrary.wiley.com/doi/pdf/10.1002/9781444316568.wiem01024
https://study.com/academy/lesson/global-pricing-issues-strategies.html
https://prezi.com/4_9xc5scv4zq/international-market-assessment/
https://www.researchgate.net/publication/260772773_Global_vs_Local_Brands_How_Home_C
ountry_Bias_and_Price_Differences_Impact_Brand_Evaluations
https://opentext.wsu.edu/mktg360/chapter/12-2-introduction-to-global-pricing/
 Yangga, Aireen Rose D.
CBET-17-408P
Wednesday (7:30-10:30 am)

PRODUCT STRATEGIES
All great products start with a clear and effective strategy that is customer and market-
driven. A product strategy is the foundation of a product life cycle and often called as the
roadmap of a product. The strategy defines the direction of the product and what you want to
achieve. Establishing this first aligns the organization and keeps everyone focused on the work
that matters the most. The strategy helps your team focus on what will have the most significant
impact on your customers and the business.

Product strategies are established based on the chosen market and good to be sold. There
are products that can be produced and sold in the home country as well as in other countries
using the same strategies, while others need to be adjusted and then sold according to the
market’s country’s norms.
A. Little to no modification
 Industrial goods and technical services
 Alterations would be minor and would include such things as adapting the machine to
the appropriate electric voltage or changing the language used for its instructions and
labels.

B. Moderate to high modification

 Economics- it is important when the cost of a product is etiher too high or too low to
make it attractive in other country.
 Culture- product must sometimes be adapted to different ways of doing things.
 Local Laws- it is essential in order to meet environmental and safety requirements.
 Product Life Cycle
Key Elements to Consider

An effective product strategy will serve as a road map

and guide your business decisions. Its role is to help
you define and plan your company's activities and
ensure that your products will have the impact you
expect. Before getting started, make sure your strategy
covers the following aspects:

 Product design
 Features and key characteristics
 Quality
 Target audience
 Branding
 Positioning
 The strategy should align with your company's vision, branding efforts and product life
cycle. It should also meet customers' needs. Its core elements include your vision, goals and
initiatives.

Tadina, Chimera Gail O.

CBET 17- 408P
Wednesday (7:30-10:30 am)

Product Promotion
Promotion is the process of stimulating demand for a company’s goods and services. It
allows companies to expand into new markets via different strategies such as the Internet,
international distribution and competitive pricing. The specific approach used, however, will be
determined by the nature of product.

NATURE OF THE PRODUCT

Identical Product, Identical Message- This is when MNE feels that the product does
not need to be changed for it to be sold in other countries. Therefore, the product remains the
same in every country and so does the way it is promoted.
Example: Smartphones

Identical Product but different message- This is when MNE feels that the product
does not need to be changed for it to be sold in other countries. However, the message
conveyed to the consumers in the advertising and promotion may differ from country to country.
Example: Coca-Cola, they use different and unique promotional strategy in different
countries to appeal vastly different cultures.

Modified product but same message- With this method, a different version of the
product is produced for different country markets. Despite the requirements of different markets,
the needs of the consumer may be the same. Therefore, the advertising message is not
changed.
Example: Cars sold here in the Philippines are driven on the left side while in the United
Kingdom, it goes on right.

Modified products and modified message- This is adopted when the way that the
product is used in other countries is different and the buying habits have those consumers are
different. The product will need to be altered and so will the manner in which it is promoted.
Example: Kellogg’s, is an American cereal company and aims to enter the European
market through developing new versions of the cereal. However, many Europeans do not eat
cereal for breakfast, so the promotion campaign is geared toward changing eating habits rather
than getting consumers to switch product loyalty.
In terms of advertising, MNEs will often prefer to use the same advertising campaigns
worldwide as marketing costs are reduced significantly. However, there are times when
campaigns must be adjusted to suit the local market.
A lot of consumers are persuaded through personal selling most especially on
industrial products or those products that need to be explained furtherly. For example, a
smartphone company would hire salespeople to advertise their products through live
demonstration of how the smartphone works. Consumers then can ask questions regarding of
the product and may be assisted when he/she wants to buy the product.