internal marketing

(noun)

the function responsible for effective communication or trade among participants within an organization, including states

Related Terms

Examples of internal marketing in the following topics:

  • The international marketing plan

    • It should be apparent by now that companies and organizations planning to compete effectively in world markets need a clear and well-focused international marketing plan that is based on a thorough understanding of the markets in which the company is introducing its products.
    • As such, the decision sequence in international marketing (see Exhibit 26) is much larger than that of domestic markets.
    • Thus, this stage is primarily concerned with the analysis of international markets.
    • This is particularly important in international markets; for example, customer brand loyalty may be much stronger in certain markets than others, and products may be at the end of their life in the domestic market but may be ideal for less sophisticated markets.
    • Undoubtedly, environmental factors have received the most attention from marketers considering international markets.

  • Reasons to avoid international markets

    • Despite attractive opportunities, most businesses do not enter foreign markets.
    • The reasons given for not going international are numerous.
    • The biggest barrier to entering foreign markets is seen to be a fear by these companies that their products are not marketable overseas, and a consequent preoccupation with the domestic market.
    • Kaynak, "An Empirical Investigation of the Differences Between Initiating and Continuing Exporters," European Journal of Marketers, Vol. 26, No.3, 1992. )
    • It is the combination of these factors that determines not only whether companies become involved in international markets, but also the degree of any involvement.

  • Reasons for entering international markets

    • Many marketers have found the international marketplace to be extremely hostile.
    • A study by Baker and Kynak, for example, found that less than 20 per cent of firms in Texas with export potential actually carried out business in international markets.
    • Kaynak, "An Empirical Investigation of the Differences Between Initiating and Continuing Exporters," European Journal of Marketers, Vol. 26, No.3, 1992. ) But although many firms view in markets with trepidation, others still make the decision to go international.
    • Other empirical studies over a number of years have pointed to a wide variety of reasons why companies initiate international involvement.
    • These include the saturation of the domestic market, which leads firms either to seek other less competitive markets or to take on the competitor in its home markets; the emergence of new markets, particularly in the developing world; government incentives to export; tax incentives offered by foreign governments to establish manufacturing plants in their countries in order to create jobs; the availability of cheaper or more skilled labor; and an attempt to minimize the risks of a recession in the home country and spread risk.

  • Defining international marketing

    • Perhaps partly because of the rapid evolution of international marketing, a vast array of terms have emerged that suggest various facets of international marketing.
    • Let us begin with the assumption that the marketing process outlined and discussed in Chapters 1-4 is just as applicable to domestic marketing as to international marketing.
    • At its simplest level, international marketing involves the firm in making one or more marketing decisions across national boundaries.
    • Thus, how international marketing is defined and interpreted depends on the level of involvement of the company in the international marketplace.
    • The principal reason for failure in international marketing results from a company not conducting the necessary research, and as a consequence, misunderstanding the differences and nuances of the marketing environment within the country that has been targeted.

  • Global marketing: assessing potential markets overseas

    • Second, international marketing, unlike domestic marketing, is understood to be carried out "across borders".
    • Third, international marketing is not synonymous with international trade (Perry, 1990).
    • Perhaps the best way to distinguish between the two is simply to focus on the textbook definition of international marketing.
    • In fact, the importance of cross-cultural study has inspired a definition separate from that of international marketing.
    • Many writers have reasoned that a standardized approach to international markets is the most desirable strategy.

  • Local, regional, national, international, and global marketers

    • Local marketers are concerned with customers that tend to be clustered tightly around the marketer.
    • Naturally, the total potential market is limited.
    • This type of marketing offers tremendous profit potential, but also exposes the marketer to new, aggressive competitors.
    • Global marketing differs from international marketing in some very definite ways.
    • Whereas international marketing means a company sells its goods or services in another country, it does not necessarily mean that the company has made any further commitments.

  • Discussion questions and references

    • How does marketing contribute to the creation of a competitive advantage?
    • What is the role of marketing in each stage of this process.
    • Dictionary of Marketing Terms, Peter D.
    • Bennett, Ed., American Marketing Association, 1988 p. 54.
    • Burnett, "The Macromarketing/Micro marketing Dichotomy: A Taxonomical Model," Journal of Marketing, Summer. 1982 pp. 11-26.

  • The social/cultural environment

    • A number of factors constitute the international environment: social, cultural, political, legal, competitive, economic, plus technology.
    • Each should be evaluated before a company makes a decision to go international.
    • Marketers who intend to market their products overseas may be very sensitive to foreign cultures.
    • While the differences between our cultural background in the United States and those of foreign nations may seem small, marketers who ignore these differences risk failure in implementing marketing programs.
    • A number of cultural differences can cause marketers problems in attempting to market their products overseas.

  • Functions of International Banks

    • Globalization influences the financial markets.
    • In the last 40 years, savers and borrowers have become linked through the international financial markets.
    • Thus, the savers can channel their funds into the international financial markets, pursuing greater returns abroad.Finally, international corporations produce products in one country and ship them to another.
    • After this chapter, students will understand why banks enter the international markets, and the methods a bank uses to enter a foreign market.
    • Second, international banks lower transaction costs by reducing information costs, lowering the risk of investments, and increasing the liquidity of financial markets.

  • Careers in Marketing

    • University students major in disciplines like business management, mass communications, and international marketing to prepare for entry- and mid-level careers at corporations, organizations or government institutions.
    • Marketing positions that support these functions include:
    • Brand manager roles touch all areas of marketing, including advertising, design, public relations, internal and external communications, and customer service.
    • Other marketing roles commonly found in organizations include marketing communications managers, marketing analysts, marketing and sales assistants, marketing writers, and internal communications specialists.
    • Some companies customize marketing positions according to organizational or market needs.