Global Marketing Strategy

• Marketing strategy encompasses plans to achieve specific business objectives.
• Local takeaways may use marketing to become market leader in town.
• Global businesses use the marketing mix as part of their global strategy.

Price

• Pricing decisions must consider local incomes, taxes, rents, and costs.
• Businesses unlikely to charge the same price across all markets.
• Apple iPhones may be cheaper in India compared to the USA because of wage rates and taxes.

Product

• Businesses must decide how much to modify products for global markets.
• Ethnocentric, polycentric, and geocentric approaches can be taken.
• Domino's is an example of polycentric approach in overseas markets, and modifies pizza toppings for local tastes, like more vegetables and spices in India.

Promotion

• Businesses promoting in global markets must acknowledge language differences and cultural aspects.
• Marketers must know the values, beliefs, legal and sociocultural aspects of an environment.
• Common tactics for promotion include adapting product names per region.
• Mr. Clean® household cleaner has different names in different countries.
  • Maestro Limpio® in Mexico.
  • Don Limpio® in Spain.
  • Mastro Lindo® in Italy.
  • Meister Proper® in Germany.
  • Flash® in Ireland and the UK.

Place

• Businesses must consider how local customers purchase.
• Tesco Fresh & Easy stores did not appeal to US consumers who prefer larger supermarkets.
• Online selling helps retailers distribute goods worldwide.

Ansoff's Matrix

• Used as a strategic tool to achieve business growth in global markets.
• Applicable to a glocalization strategy, as used by Starbucks, Ford, and McDonald's.
• Ansoff's Matrix shows four strategies a business might adopt that involve risk.
• Risk can become greater as a firm extends from its existing products and into international markets since expertise of tastes might be less secure.
• Considers businesses entering new markets with new or existing products which may have national and cultural differences.

Market Penetration

• Involves adapting products for markets in which a business already operates
• Example of McDonald's launching the Teriyaki McBurger® in Japan, an existing market

Market Development

• Involves marketing existing products in new markets.
• Relies on understanding local habits, tastes, and needs of each region.
• Adaptation often necessary through language or labeling.
• Domino's adapts products in many countries such as India, to meet local tastes while maintaining customer service and delivery, exemplifying glocalization.

Product Development

• Promotions of new or modified products in existing markets.
• Suitable for businesses with short product life cycles, like fashion.

Diversification

• Development of new products for entirely new markets.
• Considered the riskiest strategy due to lack of experience in new markets.
• Tata Group in Mumbai is an example of a highly diversified business, in steel, car manufacturing, chemicals, beverages, perfume, financial services, hotels, and consultancy services.