1.3 The impact of internationalization and globalization of business on marketing activities of companies

Marketing is a leading area of ​​economic management, which functions include: the management of all the company's activities related to the transformation of consumers' purchasing power into effective demand for specific products or services and to bring this to the buyer [5 c .64].

International marketing - marketing activities across national borders.

International marketing - marketing activities of the company in the markets of foreign countries, international development strategy. International marketing contributes not only growth but also the survival of firms [8 c .42].

Reasons for and objectives of the international marketing strategy of choice may be different, for example, extending the product life cycle, an increase in market potential to expand output and economies of scale, the comparative advantages of foreign markets in terms of competition, capacity, etc.

Basic forms of access to foreign markets - exports, direct investment, joint venture, franchising, licensing, establishment of branches of the parent company abroad, transfer of know-how.

In international marketing principles and marketing functions are preserved, but have features peculiar to different concepts of international marketing and associated with different national, cultural and other characteristics of foreign markets, with international trade rules, etc.

International marketing can be global and multinational.

If you select the target market, the company is focused on the similarities of individual characteristics of foreign markets, it selects the concept of global marketing. In this case, the complex is developed standardized marketing. Standardization covers goods, advertising, distribution channels, which naturally provides a significant cost reduction. Such companies are referred to as International.

As a rule, their international marketing based on the principle of ethnocentrism, ie the possibility of using the foreign markets the same methods as in the country of origin. In fact, these companies are expanding national market to international, and for that "one" of the market offer a standardized product.

Multinational concept is based on the features of each national market, in connection with what is necessary adaptation of the marketing mix to the conditions of each market. This concept is inherent in transnational corporations. Their geocentric orientation takes into account both similar and distinctive characteristics of foreign markets, whereby the marketing mix can be adapted, but where appropriate, - partially standardized.

For example, the promotion of standardized commodity may be accompanied by a fully tailored advertising or adaptation are subject to all the components of the marketing mix.

International Marketing largely be perceived through the prism of the motives inherent in companies that go global, they need to know, specifying the conceptual basis of the problem. Such areas can be identified.

1. Development of the internal market (goods market saturation, increased competitive pressures, depending on the growth of intermediary trade, especially in terms of quality, price, capital return and expansion of production), through which it is convenient to invest abroad,

2. Foreign competitor activity and its success in the domestic market are forced to find their own engagement. Not least due to the need to maintain its image at the appropriate level.

3. Overcoming depending on the internal market and "scattering" risk by conquering foreign markets.

4. Addressing firms depending on seasonal demand in the domestic market.

5. Improved loading of existing and created additional capacity.

6. Reduce the cost of wages, raw materials, transport, reduction of tax payments, in particular through the use of different forms of production abroad, including even reimport with corresponding price benefits for the domestic market,

7. Use of public assistance programs, which are accepted in their home country or country of residence.

8. Improving sales activities by strengthening its market positions, for example through the creation of offices, branches and subsidiaries, expanding the network of service points.

9. Compensation exchange rate fluctuations by arranging partial production and sales in their respective countries.

10. Gaining access to know-how, which is possible, provided a long engagement at the relevant foreign markets, for example in the form of partnerships with foreign companies.

11. The need to circumvent the tariff and administrative obstacles import using forms of direct engagement in the foreign market.

12. Ensuring the long term successful marketing and growth, respectively.

13. Reducing the overall risk by allocating it to a larger volume of products in the piece, part of which is made on their foreign firms.

14. The release of the qualified personnel to solve more complex problems in their own country by transferring abroad the production of certain products or accessories.

15. Stabilization or expansion of business policy framework for its implementation in the domestic and overseas markets using digression relative to the amount of products [8 c .33].

Features international marketing consist in the fact that his organization and methods of the need to consider factors such as the independence of national monetary systems, national legislation, economic policy, linguistic, cultural, religious, domestic and other customs. This means that the international marketing of a wider national, because it covers a large range of factors.

For comparison, we group the features of marketing in foreign markets, you need to consider our businesses.

First, to be successful in foreign markets must be reported greater concerted efforts, carefully adhere to the principles and methods of marketing than on the domestic market. Foreign markets have high demands for goods, their service, advertising, etc. This is explained by intense competition and the predominance of "buyer's market", ie appreciable excess of supply products over demand [6 c .31].

Secondly, the starting point in the export marketing activity is, the study of foreign markets and their opportunities, which is more complicated and time-consuming than the study of the internal market. Hence - the need to create exporting enterprises relevant research divisions and / or search in the country where he was going or expected exports, specialized consulting firms that provide for an appropriate fee information on commodity markets.

Third, for effective action in the foreign market need creative and flexible to use marketing techniques. Standard approaches here. Maintain direct links with overseas buyers to act through agent or firm to conduct exports or licenses for their production, to take part in the auction itself or as part of consortia to use leasing as a means of promoting exports or restrict the sale of traditional products - all these and many other forms of Export apply given the current conditions and forecasts of market development practices that formed there, the nature of exported goods, etc. [4 c .21].

Fourth, adhere to the requirements of the world market (or rather, the customer requirements) is not only the need to respect the conditions adopted there selling goods. Are crucial development and production of such export goods that even a few years after entering the market would differ very competitive.