International Mktg............

INTERNATIONAL MARKETING MARK 302 Lecture 1 14July 2005 KAPIL…

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Today’s Programme • Introduction – What is different about IM?

• The Course

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Introduction • • • • •

Why are you here? What do you expect? What is ‘International Marketing’? Building on 200-level Marketing Adding ‘International’ to ‘Marketing’ Marketing in a much more complex environment • Much more fun 3

Examples of Pitfalls Apocryphal stories of marketing blunders

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Coke gets it wrong • The name Coca-Cola in China was first rendered as Ke-kou-ke-la. Unfortunately, the Coke company did not discover until after thousands of signs had been printed that the phrase means “bite the wax tadpole” or “female horse stuffed with wax” depending on the dialect. 5

Coke gets it right? • Coke then researched 40,000 Chinese characters and found a close phonetic equivalent “ko-kou-ko-le”, which can be loosely translated as “happiness in the mouth”. • (competition in 1930s)

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Pepsi and KFC • In Taiwan, the translation of the Pepsi slogan “Come alive with the Pepsi Generation” came out as “Pepsi will bring your ancestors back from the dead.” • Also in Chinese, the Kentucky Fried Chicken slogan “finger-lickin’ good” came out as “eat your fingers off.” 7

Sex • Ford had a problem in Brazil when the Pinto flopped. The company found out that Pinto was Brazilian slang for “tiny male genitals”. Ford pried all the name plates off and substituted Corcel, which means horse.

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Sex, second instalment • When Parker Pen marketed a ballpoint pen in Mexico, its ads were supposed to say “It won’t leak in your pocket and embarrass you”. However, the company mistakenly thought the Spanish word “embararzar” meant embarrass. Instead the ads said that “It won’t leak in your pocket and make you pregnant”. 9

Sex, yet again • Chicken-man Frank Perdue’s slogan, “It takes a tough man to make a tender chicken”, got it terribly mangled in another Spanish translation. A photo of Perdue with one of his birds appeared on billboards all over Mexico with a caption that explained “It takes a hard man to make a chicken aroused”. 10

Divided by a common language • In an effort to boost orange juice sales in predominantly continental breakfast eating England, a campaign was devised to extol the drink’s eye-opening, pick-me-up qualities. Hence the slogan, “Orange juice. It gets your pecker up”.

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And just on the scene • What is this? • 谷歌

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Google in China • How Google became a rude word in China • Customers take to the web – http://www.NoGuge.com/

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What is different about IM? • Examples of linguistic problems • How many languages in the world? • Country<>language – USA - growth of Spanish – 1/4 population Hispanic in 20 years

• language >>>culture • translation relatively easy - culture more complex 14

Firm and International Marketing Environment • See Fig 1.4 in textbook, International marketing task • Diagram

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More than languages • Law – first aspect

• How does law affect marketing? • Prohibition – alcohol, tobacco, sex, GM foods

• Restrictions – children

• Obligations 16

Obligations • Packaging – contents, languages, child-proof

• Environmental standards – emissions, disposal

• Ownership and access to market – mandatory joint ventures

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Sanitary & Phytosanitary (SPS) regulations • sanitary (human and animal health) measures and phytosanitary (plant health) • Often used as non-tariff barrier (NTB) – eg fireblight – big dispute with Australia

• Essential to preserve good reputation of exports – Eg Listeria in NZ cheese to Holland

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Danger of litigation • US woman sues NZ Game Board because venison ‘caused’ her to have an abortion (Dominion 28/2/00)

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Laws not merely national • many laws are supra-national – European Union

• ‘International’ presumes nations • Nation states becoming less relevant • Globalisation

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The end of the nation state? Market <> country<>culture Most countries have a number of cultures Most cultures are found in a number of countries Distinction between IM and Marketing becoming increasingly blurred • Growth of global products • All marketing global marketing? • • • •

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What does this mean? • IM is marketing in a more complex environment • All aspects of market planning have to be reexamined • What works in one place MAY not work in another • Course adds knowledge of international business environment to your knowledge of marketing

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The Course • Approach to learning • MARK 302 coursepage/blackboard • Course outline

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Approach to learning • • • • •

Facilitate learning rather than prescribing Learn by doing Case studies, and projects>exam Group work, but do not neglect individual work Relevant - real issues rather than text book examples • Contemporary – up-to-date • Utilise technology – lots of video material 24

Technology • Caution - Sod’s Law in operation! • use Internet in lectures • MARK302 homepage - the coursepage

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Mark 302 Homepage • • • • • • • •

What’s on it? Course outline Notices Extra readings Links to websites (eg Tradenz) Lecture notes Let’s have a look MARK 302 coursepage 26

Blackboard • Another route to the same information • http://blackboard.vuw.ac.nz

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Course Outline • Why have a course outline? • Tells you want to expect – in terms of what the course covers – in terms of what we attempt to achieve – what is required

• Fairly long and comprehensive

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General • Applies 200 level marketing concepts to international arena • Introduction to global economy, structures and issues • Examines NZ issues • Environmental analysis • SWOT analysis • International Marketing Strategy 29

Course Information • Notice Board – Rutherford House mezzanine floor

• MARK302 coursepage/blackboard • Email

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Aims and Objectives • Understanding of marketing in the international environment • Analysing and communicating • Complexity, cultural and location specific factors • Opinions about theories and practices • Visiting speakers • Introduction to the Internet • Awareness of Asia 31

Competencies to be Achieved • Application of marketing concepts • Utilise information facilities for international markets • Understanding of the Web/ ICT • Environmental analysis • SWOT analysis • Strategic recommendation 32

Teaching Times • Weekly lecture • Tutorials – 10% of marks – wb 24 July

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Staff • Administration Assistant – Mrs Jessie Johnston, 11th floor Rutherford House

• Tutors – Yu Ge

– Anastasia Larionova • Class representative – Need candidates next Friday

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Visitors • Online databases/Commerce library/Endnote – Charlotte Clements • Assistant Commerce Librarian

• Educational services • Victoria International

• Pat English – China Market Manager, NZTE

• Ken Muramatsu, NZ Translation Centre 35

Textbook • Richard Fletcher and Linden Brown:  International Marketing, an Asia­Pacific  Perspective • 3rd edition 2005 – Australian

• Extra material on coursepage

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Case Studies • • • •

One will be assessed Others discussed in tutorials List on final page There will be a question on one of these industries in exam

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Assessment and Due Dates • Spread out • Friday 18 August: Wine Industry Case Study – 15 marks

• Friday 6 October: Research project – 35 marks

• Tutorials – 10 marks

• Exam – Registry open book, 2 hours, date tba – 40 marks 38

First assessment • Wine Industry case study – – – –

Statistics Information collecting Analysis due 18 August

• Feedback w/b 4 September (after break) • video 39

Major Project • Bringing together – – – –

materials from lectures skills and tools from preparatory exercises theoretical knowledge from textbook market knowledge from country sessions

• Education Services (product area) • Environmental analysis, SWOT and recommendations (strategy) 40

Educational Services • Growth area in long term – current difficulties

• Political, social, ethical, cultural issues, etc • Industry you are all familiar with

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Project Structure • Work in groups (form in tutorials) • Report to ‘client’ – VUW Victoria International

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Project Outputs • Environmental analysis • SWOT analysis • Strategic Recommendations

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Other Information • • • • •

Word limits Work Load (10 hours +) Plagiarism Grievances Class representative

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Schedule • Schedule on coursepage

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Tutorial schedule • List of topics on final page – – – –

You should read the case study Get additional information from web Be prepared to discuss the questions One case study will be used in the exam

• Tutorial information on coursepage

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What we did today • Difference between IM and Marketing – – – –

distinction increasingly blurred Globalisation Marketing in more complex environment Textbook (F&B) 1

• Course – MARK 302 coursepage/blackboard – Course outline 47

Next week • Getting information for IM – Charlotte Clements, Assistant Commerce Librarian

• Globalisation and the global economy – Textbook (F&B) 2,11 – Beal: the Asian Titans

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