Transcript Chapter Four

Chapter
Six
The International
Environment of
Internet Marketing
Chapter Six
Learning Objectives
• To learn how international orientation affects
internet marketing strategy
• To understand why marketing internationally is
more complex than solely domestic internet
marketing
• To determine the current status of major
international Internet markets
• To appreciate the importance of international
issues that concern Internet marketers
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6–2
International Orientation
• International Internet marketing
– International marketing in electronically mediated
environments
• Internet, web, intranets, extranets
• International strategy
– Exclusionary = solely domestic home-country
– Inclusionary = attempting to target, reach, interact,
and trade internationally
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6–3
International Orientation (cont’d)
Factors That Affect International Orientation
Current Strategy
Customer Demand
Market Offer
Orientation
Management
Competitors
Serendipity
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Domestic
Economic
Conditions
6–4
Figure 6-1: International Internet
Marketing Involvement
Selecting International Markets
• Desirability depends to a great extent on the
match between
– A business’s goals and resources
– The market’s potential and risks
• Target based on
–
–
–
–
Serendipity (unexpected buyers)
Current buyers
Economic factors
Internet readiness
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6–6
Selecting International Markets
(cont’d)
• Least-internet-ready areas (LIRAs)
– 2 billion people, 35 percent of world’s population
• Internet-ready areas (IRAs)
– 3+ billion people, 50 percent of world’s
population
• Internet leaders (ILs)
– 1 billion people, 15 percent of world’s population
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6–7
The International Internet
Population
• The Americas
– Internet leaders United States and Canada
– Slowly increasing in Mexico, Brazil
• Europe
– France, Germany, Netherlands, Italy,
Sweden, UK are 80 percent of European
Internet population
– Rapidly growing consumer and business
use
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6–8
The International Internet
Population (cont’d)
• Asia and Oceania
– Japan, China, South Korea, Australia, New
Zealand
– China expected to become dominant in the area
• Other regions
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6–9
International Issues
• Language
• Year 2000 marketed turning point for English
domination
• Importance of using local language
• U.S. Hispanic market very attractive
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6–10
International Issues (cont’d)
• Culture
• Behaviors, customs, beliefs, coping
mechanisms, art, rituals, language, other
factors
• Online culture is an extension of offline
culture
–
–
–
–
Look and feel of a web site
Acceptable colors
Measurements and standards
Acceptable promotions and pricing
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6–11
International Issues (cont’d)
• Sites can be culturally neutral
• Culturally local
• Culturally U.S.-Centric
• A fully internationalized web site
requires culturalization
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6–12
International Issues (cont’d)
•
•
•
•
•
•
•
Government intervention
Privacy standards
Regulation
Taxation
Censorship
Fraud
Other factors
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6–13