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International Marketing Research | Meaning, Significance and Process

What is international marketing research.

International marketing research involves studying and analyzing markets outside a company’s domestic boundaries to make informed decisions for global business expansion. International marketing research requires a deep understanding of diverse cultures, as consumer behavior, preferences, and market dynamics can vary significantly across countries. International marketing research helps in identifying viable entry strategies for international markets. This involves assessing the regulatory environment, and competition, and understanding the economic landscape.

Geeky Takeaways:

  • The procedures, methods, tools, and techniques of conducting marketing research are conceptually the same for both domestic marketing and international marketing.
  • The scope, coverage, cost, and intricacies of international marketing make it a highly specialized, complex, and complicated activity.
  • The international marketing researcher must develop the ability for imaginative and smart application of tried and tested techniques in sometimes totally new settings.

international-marketing-copy

According to B.S. Rathore, B.M, Jani and J.S. Rathore, “International marketing research is the systematic gathering, recording, analysis and interpretation of data on international marketing problems. It consists of specific studies required to develop, implement and evaluate export marketing strategies. Answers are sought to such questions as: (i) What is the potential market for a product overseas? (ii) Who are the present and potential customers across the boundaries of a nation? (iii) How can the international marketer best appeal to this market? (iv) How successful is the international marketing programme?; and (v) What are the weak areas in the international marketing programmes?”

Table of Content

Significance of International Marketing Research

Process of international marketing research.

1. Global Market Understanding: International marketing research provides businesses with a comprehensive understanding of the global marketplace. It helps identify and analyze diverse consumer preferences, cultural variations, economic conditions, and regulatory landscapes. This understanding is essential for tailoring products, services, and marketing strategies to specific international markets.

2. Informed Decision Making: Informed decision-making is a cornerstone of successful international expansion. Through thorough research, companies can gather data on market potential, competition, and consumer behavior in different countries. This information allows businesses to make strategic decisions related to market entry, product adaptation, pricing strategies, and promotional activities.

3. Risk Mitigation: International markets come with inherent risks, including political instability, economic volatility, and legal complexities. Marketing research enables companies to assess and anticipate these risks, allowing them to develop strategies for risk mitigation. This proactive approach enhances the chances of success and minimizes the impact of unforeseen challenges.

4. Resource Optimization: Conducting international marketing research helps in optimizing resource allocation. It allows companies to allocate resources more efficiently by focusing on markets with the highest potential for success. This includes identifying target demographics, understanding consumer needs, and aligning products and marketing messages with the preferences of the target audience.

The following steps are involved in carrying out international marketing research,

1. Defining the Research Problem

The first step in the marketing research process is defining the research problem. This denotes that the objective or purpose of the research study should be clearly laid down. This is essential to give a clear direction to research and to avoid confusion. The research process thus begins with defining the research problem and establishing specific research objectives. Market researcher must be sure that the problem definition is sufficiently broad enough to cover the entire range of response possibilities, and not be clouded by his self-reference criterion. Defining the research problem is vital in collecting the required information, avoiding gathering irrelevant information, and analysing and interpreting data. Thus, defining the research problem may be the pivotal task in the entire study. In defining the problem, two important considerations are taken into account, that is market structure and product concept. Market structure denotes the size of the market, its stage of development, the number of competitors and their market shares, and the channels through which the market is reached. The meaning of the product in a particular environment refers to the Product Concept.

2. Carrying out Situational Analysis

Situational analysis helps in defining the research problem more clearly and may also enable the formulation of the research hypothesis. Situational analysis is particularly significant when marketing research is conducted by an outside agency, because the situational analysis is intended to familiarise the researcher with the company and its environment, hence making the problem more comprehensible to the researcher. The researcher analyses the situation by obtaining relevant information about the company, its competitors, and other information pertinent to the problem.

3. Conducting Informal Investigation

This stage is in fact an extension of the previous stage. Situational analysis is mainly confined to information from company sources, but in this stage, the researcher collects more information from external sources, such as competitors, middlemen, advertising agencies, customers, etc. In some cases of research problems, the required information will be obtained by this step so that it will not be necessary to continue the research. But, if the formal investigation reveals the necessity for a further investigation, the next step will have to be taken; i.e., formulating a research design.

4. Formulating a Research Design

A research design is the specification of methods and procedures for obtaining the required information. It is the overall pattern of the framework of the research project that stipulates what information is to be gathered from which sources and by what procedures. A research design thus spells out the type of information required, the sources of the information, and the methods or techniques of data collection.

5. Collection of Information

As the research design states the information requirements, sources of information, and methods of data collection, the next step taken will be the collection of data. The marketer’s lack of familiarity with a country’s basic socio-economic and cultural patterns results in a huge demand for information, which can be available both from primary as well as secondary sources. Availability, reliability, comparability, and validating of data are some of the problems encountered with secondary data. Most countries do not have governmental agencies that collect data on a regular basis which might be needed by a marketer.

6. Processing, Analysis and Interpretation of Data

Once the data have been collected, the next step in the research process is the analysis and interpretation of findings in light of marketing problems in order to produce meaningful guides for management decisions. Presentation of research findings is the final step, for which the data must be analysed and interpreted. The raw data collected have to be processed and presented in an appropriate form, such as tables to make them easily amenable to analysis. Analysis should be followed by interpretation, which consists of expressing the findings in more meaningful terms, such as percentages, and drawing useful inferences from them.

7. Presentation of Research Findings

The information extracted from the respondents will not serve the intended purpose unless provided to decision-makers in a timely manner. High-quality international information systems design will be an increasingly significant competitive tool as businesses are going international and resources must be invested accordingly. The research findings should be presented in an appropriate form depending upon a number of factors like the nature of research, its purpose and use, the persons who use them, etc.

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International Marketing: Definition, Examples, and Strategies

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Main International Marketing Takeaways:

  • International marketing refers to any marketing activity that occurs across borders.
  • Types of international marketing include export, licensing, franchising, joint venture, and foreign direct investment.
  • Global marketing aims to satisfy the needs of global customers.
  • International marketing enables the effective utilization of surplus production.
  • International marketing can help create bigger and better opportunities for business expansion.
  • Along with a broader customer base, global marketing also protects against potential economic downturns.
  • Cultural restrictions between the home and host countries could hinder international marketing strategies .
  • Other downsides of international marketing include high competition, government restrictions, and war situations.

International marketing is now a viable option for businesses, thanks to advancements in communication, transportation, and financial flow. According to the World Trade Organization , the volume of international merchandise trade increased  33 times between 1951 and 2010 .

People are now accepting brands and products that originate from other countries. And this comes with a lot of opportunities and challenges.

What is International Marketing?

International marketing , also known as global marketing , involves marketing products to people across the world. In other words, it’s any marketing activity that occurs across borders. According to the American Marketing Association , international marketing is a multinational process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create an exchange that satisfies individual and organizational objectives.

It’s somewhat similar to export management. However, export management only involves managing the flow of goods and services from the host country to the guest country.

International marketing , on the other hand, covers production, finance, and personnel activities. It also entails several post-sales activities.

What are the Characteristics of International Marketing?

All the features of modern marketing apply to international marketing. However, the latter aims to satisfy the needs of global customers. So, it takes place across borders.

As a result, international marketing has specific characteristics, such as:

  • It involves two or more countries
  • Unique marketing strategies for specific countries
  • It enables exchange between a company and foreign customers
  • Decisions are taken with reference to the global business environment

As you may have guessed, global marketing offers attractive opportunities to companies that are successful at it. However, it also comes with several threats and challenges.

Before we consider the benefits and challenges of international marketing , let’s address an equally important question.

What are the Types of International Marketing?

Illustration containing pie chart, bar charts, and other statistics

International businesses looking to sell their products or service in a new country usually start with export  or licensing . Besides these options, other international marketing types include contract manufacturing , joint venture , and foreign direct investment (FID) .

Let’s delve a little deeper.

Exporting refers to the practice of shipping goods directly to a foreign country. Manufacturers looking to expand their business to other countries often consider exporting first. And that’s not surprising.

Compared to the other international marketing types on this list, exporting entails the lowest risk. It also has the least impact on the company’s human resource management.

2. Licensing

Licensing is an agreement whereby a company, known as the licensor , grants a foreign firm the right to use its intellectual property. It’s usually for a specific period, and the licensor receives royalty in return.

You’ll find several examples of licensing of intellectual property across the United States . These include patents, copyrights, manufacturing processes, and trade names.

Some top global licensors include Disney, Iconix Brand Group, and Warner Bros , to name a few.

3. Franchising

Like licensing, franchising involves a parent company granting a foreign firm the right to do business in its name. However, franchises usually have to follow stricter guidelines in running the business than licensing.

This type of international marketing is also more prevalent among service firms, such as hotels, rental services, and restaurants. On the other hand, licensing is usually restricted to manufacturing .

4. Joint Venture

A joint venture describes the combined effort of two businesses from different countries to their mutual benefit. It’s the participation of two or more companies jointly in an enterprise in which each company:

  • Contributes assets
  • Owns the entity to some degree
  • Shares risk

Perhaps the most popular international joint venture to date is Sony-Ericsson . It’s a partnership between a Japanese electronics company, Sony , and Swedish telecom company Ericsson .

5. Foreign Direct Investment (FID)

In FID , a company places a fixed asset in a foreign country to manufacture a product abroad.

Unlike joint ventures, the foreign company wholly owns the subsidiary . As a result, it establishes either effective control or substantial influence over the decision-making process.

Examples of foreign direct investment include mergers, acquisitions, retail, services, logistics, among others.

Several companies in the United States use these international marketing methods to sell their products and services globally. Here are some examples.

What is International Marketing examples?

There’s no one-size-fits-all approach to international marketing . As such, brands usually have to adopt various global marketing strategies to appeal to their diverse audience . It includes adjusting menus, translating across multiple languages, and adapting to the social system to avoid blunders. For example, Pepsi used the slogan “Come Alive with Pepsi” in Taiwan, or so they thought. Meanwhile, it actually translates as “Pepsi brings your ancestors back from the dead.”

This post will consider five brands that are enjoying success in global marketing — AirBnB, Nike, Coca-Cola, Apple, and Spotify .

An image of Airbnb in app in an apartment background

In 2008, Brian Chesky and two other friends founded Airbnb , an online marketplace for vacation rentals in San Francisco . Since then, the company has grown to over 1,500,000 listings in more than 34,000 cities worldwide.

So, what’s responsible for the meteoric growth?

Airbnb created a dedicated localization department to make its site accessible around the globe. It also uses the power of local storytelling to foster trust and a sense of community between hosts and travelers.

For example, Airbnb launched a social media campaign with the hashtag #OneLessStranger in January 2015. It encouraged locals to perform random acts of hospitality for strangers and share on social media.

The campaign was a success!

Three weeks after #OneLessStranger launched, over three million people worldwide were either creating content or talking about the campaign.

international marketing image shows a pair of Nike sneakers on a feet

Nike has managed to increase its global presence over the years through international sponsorships . An example of such is its previous long-standing arrangement with the English soccer club, Manchester United .

Besides international sponsorships, Nike have several other strategies to make its products appealing to the global market .

For instance, the NikeID co-creation platform puts the power of design in the consumer’s hands. It’s a quick way for the brand to deliver products that address cultural differences and styles.

3. Coca-Cola

Image shows a can of coca-cola with the message

Coca-Cola is one of the biggest brands in the world and for good reasons. It’s an excellent example of a brand with a brilliant international marketing strategy .

The company gave local operations slack to adjust the soda’s taste to fit the market’s cultural preferences. Besides, advertising , promotion, distribution, and pricing are also adapted to suit specific demands.

Coca-Cola focuses on universal values, such as sharing and happiness. However, the brand also localizes campaigns using cultural references and endorsement deals with local celebrities.

Global marketing image shows an iPhone with Apple logo

Apple ‘s primary global marketing strategy is to maintain a consistent brand across cultures.

The company’s products, ads, and websites use the same clean, minimalist design in different parts of the world. Also, the visuals on the website are the same, regardless of the country or language.

In other words, the iPhone makers focus on providing a consistent brand and customer experience .

Note that the one-size-fits-all approach may not work for most brands. However, it seems to work for Apple. In fact, Interbrand chose the iPhone maker as one of the  best global brands in 2019 .

Image shows Spotify's three stripes logo against a green background.

Swedish-based audio streaming and media service provider Spotify launched twelve years ago.

Today, Spotify has a total of 299 million users and 17 offices around the world. What’s more, the company made Interbrand ‘s list of the best global companies in 2019.

So, how did Spotify quickly expand from Sweden to the rest of the world? The answer lies in how it describes its content.

Rather than music genre, the streaming service gets users to focus on a habit or lifestyle that people share worldwide. For example, you could select a Workout, Sleepy, or Study music preferences.

As a result, international artists whose content falls in a specific category can quickly gain listeners from other countries.

What are the Benefits of International Marketing?

International marketing can help create bigger and better opportunities for business expansion. Not only does it offer a broader customer base, but it’s can also protect against a potential economic downturn. Global marketing also enables the effective utilization of surplus production and helps build relationships with other businesses worldwide. Besides, it also provides employment opportunities for the host country.

Here are some benefits of international marketing .

1. Market Expansion

One primary advantage of international marketing is market expansion. It’s an opportunity to extend a brand’s customer base.

Two decades ago, the idea of marketing a product or service was too expensive for small businesses to consider. But that’s no longer the case, thanks to new communication channels such as Google and Facebook .

Now, small businesses can access a more extensive customer base overseas without breaking their budget. Not only does it increase profit, but international marketing also boosts brand awareness .

2. Protects Against Economic Downturn

Unexpected economic events and catastrophes can wreak havoc on a company’s fortune.

However, revenue from selling to an overseas audience can offset possible downturns. As a result, your business will be able to weather the tough times and make up for losses suffered at home.

With only $45.5 million at the U.S. box office, The Great Wall failed to earn even one-third of its $150 million budget. However, the action movie was a mega-hit in China, where it earned $170 million.

It earned a total of $289.4 million at the international box office.

3. Effective Utilization of Surplus Production

International marketing helps manufacturers to utilize excess production effectively.

It involves shipping goods produced in surplus in one country to another. That way, foreign exchange of products between the importing and exporting countries can meet each specific needs.

In other words, surplus raw materials, goods, or services in domestic production can be shipped to foreign markets.

4. Provides Competitive Advantages

Besides increasing revenue and diversifying asset, international marketing also provides competitive advantages.

By expanding abroad, you can access new customers and visibility that your competitors might not have. This is especially true when the home market is already saturated.

Global marketing allows you to remain ahead of the competition.

5. Employment opportunities

Global marketing increases employment opportunities in a foreign country.

International marketing provides access to specialized talent that may not be available in a brand’s home country. These include marketing managers, marketing coordinators, and translators, among others.

As a result, companies usually hire workers with a unique skill set that may prove useful at home.

For instance, over  71 percent of advertisers believe that some of the best ad campaigns are being developed abroad. So, applying a similar strategy at home could convey a competitive advantage.

What are the Disadvantages of International Marketing?

Despite its benefits, global marketing comes with specific downsides. For one, cultural restrictions between the home and host country could hinder the marketing strategy. Other disadvantages of international marketing include government restrictions, high competition, potential infrastructure issues, and war in the host country.

1. Cultural Differences

The varying culture and norms across the globe could lead to various marketing challenges. These include differences in consumer needs and usage patterns as well as response to marketing mix elements.

Also, foreign countries sometimes have institutions that may call for creating an entirely new marketing strategy.

For example, Muslim culture considers dogs to be dirty creatures. That means a message that describes a dog as “man’s best friend” won’t work in Middle Eastern countries.

2. Government Restrictions

International marketing entail following various strict rules and regulations that the host country’s government imposes. These usually include high taxes, as well as duties to import and export goods.

In the end, these restrictions can impact a company’s profitability and continuity. Sometimes, companies may find it challenging to follow these foreign regulations and be forced to leave.

3. War Situations

Tensions and war-like situations among nations can severely impact international marketing.

As a result, the ability to sell products and services in other countries is subject to diplomatic relations. Trade will proceed smoothly as long as these countries remain friendly.

However, any tension in the host country could lead to huge losses. In some cases, it could lead to a complete shutdown of operations.

4. High Competition

Brands that are entering a foreign market usually have to compete with both local companies and international brands. As a result, the degree of competition in global marketing is generally high.

Final Word: How do you do International Marketing?

Admittedly, it can be challenging for small or medium-sized businesses to build a successful international marketing strategy . That’s because they usually lack the expertise or budget to launch such a campaign.

However, smaller companies can partner with other businesses in the local market to build cultural research . Another option is to hire marketing experts with knowledge of foreign markets.

Whichever option you may choose, the most crucial facet for a successful global marketing campaign is research. Not only will it inform decisions, but it’ll allow companies to maximize potentials in new markets.

Finally, it’s essential to make regular tweaks to remain competitive in the foreign market . For instance, you could review your marketing strategy every quarter.

Read More:  Marketing Objectives: How To Define, Measure, And Achieve Them

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  • International Marketing

International Marketing Research: Best Practices and Considerations

  • November 13, 2019

International Marketing and Global Expansion

In today’s interconnected world, expanding your business globally is no longer just an option—it’s a necessity. But with a wide range of cultural differences, languages, and consumer behaviors to navigate, how do you know where to start? The answer lies in international marketing research. By conducting research into the market conditions and consumer preferences in your target regions, you’ll gain a deeper understanding of your target audience and be better equipped to create a successful marketing strategy.

Understanding the Importance of International Marketing Research

International marketing research is the process of gathering, analyzing, and interpreting information about foreign markets. This information can help businesses make informed decisions about product development, pricing, advertising, and distribution strategies in foreign markets.

This kind of research is essential for companies looking to expand globally because it provides valuable insights into local market conditions, consumer preferences, and cultural differences. By conducting research, businesses can identify new opportunities, assess risks, and avoid costly mistakes.

Developing a Research Plan

International marketing research is a crucial component of expanding your business globally. Before starting your research, it’s important to develop a comprehensive plan that outlines your objectives, target regions, research methods, and budget.

Here is a 10-step guide on how to develop an international marketing research plan:

  • Identify research objectives — Clearly define what information you hope to gather about your target markets and what your goals are for expanding globally.
  • Target regions — Choose the countries you’re interested in expanding into and determine the languages spoken in these regions.
  • Research methods — Decide on the research methods you’ll use to gather information about your target markets. This may include online surveys, focus groups, and secondary research.
  • Budget — Determine the budget you have available for international marketing research.
  • Timeline — Establish a timeline for completing your research and ensure you allocate enough time for each step.
  • Resource allocation — Determine the resources you’ll need to complete your research, including personnel and equipment.
  • Data collection — Develop a strategy for collecting and analyzing data, including how you’ll collect, store, and process the data.
  • Collaboration — Consider working with a translation agency to help you navigate cultural and linguistic differences in your target markets.
  • Data analysis — Determine how you’ll analyze the data you collect and how you’ll use the results to inform your marketing strategies.
  • Communication — Develop a plan for communicating your research results to relevant stakeholders, including your marketing and sales teams.

It quickly becomes obvious that developing an international marketing research plan is a critical step in expanding your business globally. By taking the time to outline your objectives, target regions, research methods, and budget, you’ll be able to conduct effective international marketing research and make informed decisions about your marketing strategies. And don’t forget to collaborate with a translation agency to ensure success in navigating cultural and linguistic differences.

Conducting International Marketing Research

Conducting international marketing research is an important step in expanding your business globally. By gathering information about consumer preferences and behaviors in your target markets, you’ll be able to make informed decisions about your marketing strategies.

Here are 7 ideas on how to conduct international marketing research:

  • Online surveys — Utilize online surveys as a cost-effective and efficient way to gather information about consumer preferences and behaviors.
  • Focus groups — Conduct focus groups to gain valuable insights into consumer preferences and behaviors by bringing together a small group of consumers and asking them questions about your product or service.
  • Secondary research — Conduct secondary research by gathering information from existing sources, such as market reports, industry publications, and government websites.
  • Personal interviews — Conduct personal interviews with consumers, industry experts, and business leaders in your target markets to gain in-depth insights into consumer preferences and behaviors.
  • Observational research — Observe consumer behavior in your target markets to gain a deeper understanding of consumer preferences and behaviors.
  • Social media listening — Monitor social media in your target markets to gather information about consumer preferences, behaviors, and opinions.
  • Cultural immersion — Immersing yourself in the culture of your target markets will help you gain a deeper understanding of consumer preferences and behaviors.

As you can see, conducting international marketing research is a crucial step in expanding your business globally. By utilizing a variety of research methods, including online surveys, focus groups, and secondary research, you’ll be able to gather valuable information about consumer preferences and behaviors in your target markets and make informed decisions about your marketing strategies.

Using Your Results

Using the results of your international marketing research, you can make informed decisions that will help you succeed in new markets. Here are 8 examples of how businesses have used the results of their international marketing research to succeed globally:

  • Product development — Apple Inc. used international marketing research to identify consumer preferences for tablet computers in China. Based on this research, Apple developed the iPad mini , a smaller and more affordable version of the iPad, which was well received by Chinese consumers.
  • Pricing strategies — Nike Inc. used marketing research to assess consumer attitudes towards pricing in India. Based on this research, Nike was able to adjust its pricing strategies, which helped the company increase sales in India.
  • Advertising — Coca-Cola used international marketing research to understand cultural differences in the way consumers respond to advertising in different countries. Based on this research, Coca-Cola was able to develop culturally-sensitive advertising campaigns that resonated with consumers in different regions.
  • Distribution — McDonald’s used marketing research to assess the feasibility of expanding its operations in India. Based on this research, McDonald’s was able to identify potential distribution channels and partners, which helped the company establish a successful presence in India.
  • Market entry — Tesla Inc. used international marketing research to assess the potential for electric vehicles in Europe. Based on this research, Tesla was able to identify the most promising markets for electric vehicles and to develop a market entry strategy that was well-suited to European consumers.
  • Customer segmentation — Amazon.com used international marketing research to segment its customers in different countries. Based on this research, Amazon was able to develop targeted marketing campaigns and customized product offerings that were well-suited to the needs of different customer segments.
  • Brand awareness — Procter & Gamble used marketing research to assess the level of brand awareness of its products in different countries. Based on this research, Procter & Gamble was able to develop targeted marketing campaigns that increased brand awareness in different regions.
  • Working with a translation agency — It’s important to work with a professional translation and localization agency when conducting international marketing research. This will help ensure that your research is translated accurately and that the results are culturally relevant to your target markets.

By using the results of your international marketing research, you can make informed decisions that will help you succeed in new markets. Whether you’re expanding your product line, entering new markets, or developing new marketing strategies, international marketing research is an essential tool for success.

How International Marketing Can Help Your Business Succeed

In conclusion, international marketing research is essential for businesses looking to expand globally. By gathering and analyzing information about foreign markets, you’ll gain a deeper understanding of your target audience, identify new opportunities, and make informed decisions about your marketing strategy. So, whether you’re just starting to explore new markets or you’re ready to take your business to the next level, make sure you invest in international marketing research to ensure your success.

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How to conduct international market research: 4 methods for global insights

These international market research methods help your business go global by reaching the audiences who will love your product in multiple target countries.

Why conduct international market research?

Primary vs secondary international market research, what to consider before starting the global market research process, faqs about market research in foreign markets.

Are you planning on taking the world by storm with your new brand, product or service? Do some international market research first, to make sure you understand the nuances of different global markets, and create a comprehensive picture of your new target market.

You could use international market research to get a clear picture of the risks and business opportunities that lie ahead in countries you plan to export or expand to. It can include competitive analysis, research into how to resonate with consumers in different countries, as well as drilling down into legal, cultural, political and logistical aspects.

objectives of international marketing research

There can be huge differences between each different foreign marketplace that you might not have thought of or realized as an outsider looking in. For any international business, it’s important that you get quality primary data in all the countries you operate in, to make sure you’re not tone-deaf, and are able to optimize your products, processes, and promotion for each specific market.

Here’s a fantastic example of how international market research pays off. 

We’ve seen first-hand how companies like Klarna have benefited from doing thorough research and copy testing before expanding to new markets. Their qualitative research in Belgium uncovered a crucial piece of information: Belgian consumers didn’t like the name of the product they intended to launch there.  

Klarna turned to Attest to do a quantitative study, and created a survey to test different product names and to see what would convert best. In the end, a suitable name popped up out of the data and Klarna went ahead with a successful launch,

That’s just one way international market research can benefit your business. But of course, there’s more, so keep on reading.

Minimize risks when entering overseas markets

As with any type of market research, one of the main objectives is minimizing risk. 

You wouldn’t walk into a porcelain shop wearing a blindfold; you’d study the room, and move accordingly. 

Use market research to minimize the risk of entering a market that is already saturated, or where there’s no demand, or where you wouldn’t make a profit at the price point you’re offering… The world is your oyster. 

objectives of international marketing research

Get to know customers across different cultures

The world is getting more and more connected. There’s a surge of ‘digital nomads’ and people who say they are ‘citizens of the world’ when you ask them where they’re from. But, there are still plenty of cultural differences you should be aware of when it comes to selling products or services.

Studying consumer behavior in foreign markets is crucial for international market research. You could wonder about questions like:

  • Who shops online more, Italians or Germans? And what does this mean for our localized online stores?
  • Do car buyers in the US conduct their research differently than UK car buyers?
  • Is getting your groceries delivered as big a thing in Spain as it is in Norway?

Don’t just assume there’ll be enough overlap between countries. You could be surprised by the difference in results. For instance, a passionate Italian grandmother might approach buying pasta very differently from a student in Budapest—so adjust your pricing, global market research , international marketing , distribution channels and more accordingly.

Identify business opportunities and market potential

Which countries still don’t have a product as awesome as yours? In which target markets are people currently buying large quantities of the product you’re selling—so much that the current producers can’t keep up? What emerging markets should you enter right now?

International market research helps you spot new business opportunities. You find out how large potential markets are, who your competitors are and how you could steal market share from them.

Don’t just look forward: look back too to see how the market has developed. What market trends have passed, and how did people react to them? What are the usual growth rates for businesses like yours?

Identifying the fastest growing markets and familiarizing yourself with the players in those will help you figure out your own competitive advantages, so you can enter new markets with confidence, being able to lead—not just follow. 

Not sure where to start? Say hello to our market analysis template ! With this we offer you a clear idea of the type of questions you can ask. Use it as a starting point and tailor it to your needs to really get to know your market.

Start with Attest for free

Get inspired with our market analysis survey template. And launch your first survey for free!

Optimize spending and margins

It’s very likely that you have to tweak your usual strategies a little, depending on the market. In other countries there will be different distribution channels, production options and costs for selling. Getting insight into this before entering is crucial.

Look into which channels are available and gather information on suppliers, manufacturers and other partners you need. Having this info ready before launch will mean you can fuel your export plan with valuable strategic insights, ensuring you maximize your profit, and can deliver your products on time.

Make sure you’re compliant

We can’t stress enough how important it is that you get all the legal insights ready before entering a new market. Every country has different rules and standards, and not being compliant could be an expensive mistake. 

Find out what the required certifications and standards are, and what tests your products have to endure. Check if products or packaging need to be altered for specific markets with specific rules. 

Your international market research should be a mix of primary and secondary data, mixed to compliment each other to give you a thorough understanding of a new market.

Each research method comes with its own benefits, but combining the two gives you the best of both worlds. 

Secondary market research

Secondary market research is great to lay the groundwork in the market research process: you can use data and quantitative research that you can find online to get a good understanding of the market. Think market data and trade data, and specific trade statistics for a country or a product. 

The benefit of using secondary market research for this part is that it’s relatively quick, and cost-efficient. However, it can only be used for part of your research objectives, because the information is generic, not specified to your product and might not be up-to-date.

Primary market research

In comes primary market research. This is often done using online surveys, or by talking to experts in the foreign market you’re looking into. This is great to study your target customers from up close, or learn about the current market conditions from local experts. You can also use primary research to talk to local suppliers, for more successful export planning.

Every form of market research should be done with care—international or not. After all, you’re going to be basing important business decisions on the outcomes of your research, so best be careful, right? Right. Here are some extra words of advice, to not let your adventure abroad be an expensive waste of time.

  • Markets change: bear in mind that if you do international market research just once, you’ll online have a static picture of what the market was once like. Markets are dynamic, and international markets react to each other—so make sure you keep an eye on relevant trends and market conditions, and follow up on your research regularly.
  • Inside information is best: when it comes to international market research, make sure you speak to the right people. A survey group that looks exactly like your target market, but ‘just’ has different nationalities, is likely not a good representation of who you are trying to research.
  • Be willing to act on the results, not just analyze them: allow the data you’ve collected to influence your decision-making process. This will help you create more defined objectives for your research, and make your approach to the research a lot more practical. It can help to make important stakeholders part of the research process.

objectives of international marketing research

How to conduct international market research: 4 strategies

1. talk to local experts in potential markets.

Sometimes you can have a long hard look at the data, but still not get a good feeling of what is actually happening inside a market. In those cases, it can be incredibly helpful to talk to local experts to add some qualitative flavor to your research dish. These can be suppliers, manufacturers, economic experts, business journalists or anyone else who can make the data you see come to life.

2. Dive into secondary data from governments

While we don’t recommend using only secondary research as a source for your market intelligence, it sometimes simply is the only option, especially if your budget is limited. In that case, make sure you pick the right sources. 

We recommend you start with government trade data and economic statistics, which are usually up-to-date and the most accurate. Be wary of sources from websites that could have tainted the stats for financial gain, or for PR or SEO purposes.

3. Talk to consumers using online surveys

How can you possibly talk to all those potential buyers in your target markets, let alone track your brand , without booking expensive plane tickets there? We’ll let you in on a secret: use Attest.

If you’re sending online surveys, you want to have the peace of mind that it is being completed by people who are in your target group. We’ve made sure of that, by giving you access to an audience of 125 million people in 59 countries. Using Attest, you can very specifically segment your audience for hyper relevant results.

4. Use focus groups for more data

If you want to test some ideas or supplement your primary research insights with more qualitative market research data, focus groups can be a great way to move forward. Make sure that before flying out there you make sure you’re talking to relevant people who fit your target group description to a T.

Access more consumers with overseas market research

Set yourself up for success, wherever you choose to go. If your business is ready to expand overseas and is crossing borders, make the most out of our international market research platform . And if you’re in the States, here’s how the top market research companies in the US stack up.

Uncover your global market insights

Reach 125m consumers in 58 countries with Attest. It’s the best of both worlds in market research: cutting-edge tech meets human expertise

Start with setting a goal and defining what you want to know. Then create a research plan including your research methods. Choose the right research tools (like Attest’s  market analysis software ) for that, and then start conducting the research. Analyze all the data and pin it together. Finally, present the data and take action based on your new insights.

In international market research, we recommend you dig into your competitors, the market size and market trends over time. Analyze cultural differences, be aware of legal and political factors and make sure you get to know your suppliers and distribution channels.

You don’t just minimize risk, you also learn how to maximize your success. You learn how to adapt your marketing to fit local markets, position your company’s product successfully and operate at the most beneficial prices.

objectives of international marketing research

Customer Research Lead 

Nick joined Attest in 2021, with more than 10 years' experience in market research and consumer insights on both agency and brand sides. As part of the Customer Research Team team, Nick takes a hands-on role supporting customers uncover insights and opportunities for growth.

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What is International Marketing? Definition, Objective, Challenges

  • Post last modified: 20 April 2021
  • Reading time: 8 mins read
  • Post category: Marketing Essentials

objectives of international marketing research

What is International Marketing?

International marketing is the performance of business activities that direct the flow of goods and services to consumers or users in more than one nation.

Table of Content

  • 1 What is International Marketing?
  • 2 International Marketing Definition
  • 3 Framework of International Marketing
  • 4 Objectives of International Marketing
  • 5 Scope of International Marketing
  • 6 Challenges in International Marketing
  • 7 Opportunities in International Marketing
  • 8 Difference between Domestic and International Marketing

International Marketing Definition

Framework of international marketing.

International marketing is all about identifying and satisfying global customers’ needs better than the competitors, both domestic and international, and co-coordinating marketing activities within the constraints of the global environment.

Thus, international marketing would involve:

  • Identifying needs and wants of customers in international markets.
  • Taking marketing mix decisions related to product, pricing, distribution, and communication keeping in view the diverse consumer and market behavior across different countries.
  • Penetrating into international markets using various modes of entry, and
  • Taking decisions in view of dynamic international marketing environment which is highly dynamic. The environmental challenges are beyond the control of a marketer, the key to success in international markets lies in responding competitively by adopting an effective marketing strategy.

Objectives of International Marketing

  • Bringing countries closer for trading purpose and to encourage large scale-free trade among the countries of the world and integration of economies of different countries and thereby to facilitate the process of globalization of trade. For Ex: A free trade agreement (NAFTA) between US, Canada and Mexico has removed most of the barriers to trade and investments.
  • Establishing and strengthening trade relations among the nations and thereby to maintain cordial relations among nations for maintaining world peace.
  • To facilitates and encourage social and cultural exchange among different countries of the world. For example in country like India we love to consume Mexican, Chinese, Italian food which is a fine example of socio-cultural exchange.
  • To provide better life and welfare to people from different countries of the world. In addition, to provide assistance to countries facing natural calamities and other emergency situations.
  • To provide assistance to developing countries in their economic and industrial growth and thereby to remove the gap between the developed and developing countries.
  • To ensure optimum utilization of resources (including surplus production) at global level.
  • To encourage world export trade and to provide benefits of the same to all participating countries.
  • To offer the benefits of comparative cost advantage to all countries participating in international marketing.
  • To keep international trade free and fair to all countries by avoiding trade barriers.

Scope of International Marketing

International marketing has a broader connotation in marketing literature. It also means entry into international markets by:

  • Opening a branch/subsidiary abroad for processing, packaging, assembly or even complete manufacturing through direct investment.
  • Negotiating licensing/franchising arrangements whereby foreign enterprises are granted the right to use the exporting company’s know-how. viz. patents, processes or trademarks, with or without financial investment
  • Establishing joint ventures in foreign countries for manufacturing and/or marketing
  • Offering consultancy services and undertaking turnkey projects abroad
  • Sub-contracting and countertrade and
  • Importing for export production.

Challenges in International Marketing

Challenges in international marketing are:

  • Awareness of global developments and understanding diversified and changing consumer attitudes
  • Adaptation to market conditions
  • Anticipating the actions of global competitors
  • Developing new strategies involving – Technological innovation, process improvements and creativity.

Opportunities in International Marketing

Opportunities in international marketing are:

  • Market needs are high and diverse.
  • Reaching more customers
  • Consumers have more variety
  • Avoiding market saturation
  • Outperforming domestic counterparts
  • Lowering insolvency risk

Difference between Domestic and International Marketing

The significant differences between domestic and international marketing are as follows:

S.NoDomestic MarketingInternational Marketing
1The activities of production, promotion, advertising, distribution, selling and customer satisfaction within one’s own country.Marketing activities are undertaken across the globe.
2There is less government influenceCompanies have to deal with rules and regulations of various countries.
3More reliance on indigenous technology.There is an advantage that the business organizations can have access to the latest technology of numerous countries
4Cultural adjustment issues are less challengingCross cultural adjustment issues are very challenging
5The risk factor and challenges are comparatively less in the case of domestic marketing.The risk involved and challenges in case of international marketing are very high due to some factors like socio-cultural differences, exchange rates, setting an international price for the product and so on.
6Requires less investment for acquiring resources and involves less research due to the familiarity of the market.Requires huge capital investment and in-depth research of the foreign markets

Marketing Management

( Click on Topic to Read )

  • What Is Market Segmentation?
  • What Is Marketing Mix?
  • Marketing Concept
  • Marketing Management Process
  • What Is Marketing Environment?
  • What Is Consumer Behaviour?
  • Business Buyer Behaviour
  • Demand Forecasting
  • 7 Stages Of New Product Development
  • Methods Of Pricing
  • What Is Public Relations?
  • What Is Marketing Management?
  • What Is Sales Promotion?
  • Types Of Sales Promotion
  • Techniques Of Sales Promotion
  • What Is Personal Selling?
  • What Is Advertising?
  • Market Entry Strategy
  • What Is Marketing Planning?
  • Segmentation Targeting And Positioning
  • Brand Building Process
  • Kotler Five Product Level Model
  • Classification Of Products
  • Types Of Logistics
  • What Is Consumer Research?
  • What Is DAGMAR?
  • Consumer Behaviour Models
  • What Is Green Marketing?
  • What Is Electronic Commerce?
  • Agricultural Cooperative Marketing
  • What Is Marketing Control?
  • What Is Marketing Communication?
  • What Is Pricing?
  • Models Of Communication

Sales Management

  • What is Sales Management?
  • Objectives of Sales Management
  • Responsibilities and Skills of Sales Manager
  • Theories of Personal Selling
  • What is Sales Forecasting?
  • Methods of Sales Forecasting
  • Purpose of Sales Budgeting
  • Methods of Sales Budgeting
  • Types of Sales Budgeting
  • Sales Budgeting Process
  • What is Sales Quotas?
  • What is Selling by Objectives (SBO) ?
  • What is Sales Organisation?
  • Types of Sales Force Structure
  • Recruiting and Selecting Sales Personnel
  • Training and Development of Salesforce
  • Compensating the Sales Force
  • Time and Territory Management
  • What Is Logistics?
  • What Is Logistics System?
  • Technologies in Logistics
  • What Is Distribution Management?
  • What Is Marketing Intermediaries?
  • Conventional Distribution System
  • Functions of Distribution Channels
  • What is Channel Design?
  • Types of Wholesalers and Retailers
  • What is Vertical Marketing Systems?

Marketing Essentials

  • What i s Marketing?
  • What i s A BCG Matrix?
  • 5 M'S Of Advertising
  • What i s Direct Marketing?
  • Marketing Mix For Services
  • What Market Intelligence System?
  • What i s Trade Union?
  • What Is International Marketing?
  • World Trade Organization (WTO)
  • What i s International Marketing Research?
  • What is Exporting?
  • What is Licensing?
  • What is Franchising?
  • What is Joint Venture?
  • What is Turnkey Projects?
  • What is Management Contracts?
  • What is Foreign Direct Investment?
  • Factors That Influence Entry Mode Choice In Foreign Markets
  • What is Price Escalations?
  • What is Transfer Pricing?
  • Integrated Marketing Communication (IMC)
  • What is Promotion Mix?
  • Factors Affecting Promotion Mix
  • Functions & Role Of Advertising
  • What is Database Marketing?
  • What is Advertising Budget?
  • What is Advertising Agency?
  • What is Market Intelligence?
  • What is Industrial Marketing?
  • What is Customer Value

Consumer Behaviour

  • What is Consumer Behaviour?
  • What Is Personality?
  • What Is Perception?
  • What Is Learning?
  • What Is Attitude?
  • What Is Motivation?
  • Consumer Imagery
  • Consumer Attitude Formation
  • What Is Culture?
  • Consumer Decision Making Process
  • Applications of Consumer Behaviour in Marketing
  • Motivational Research
  • Theoretical Approaches to Study of Consumer Behaviour
  • Consumer Involvement
  • Consumer Lifestyle
  • Theories of Personality
  • Outlet Selection
  • Organizational Buying Behaviour
  • Reference Groups
  • Consumer Protection Act, 1986
  • Diffusion of Innovation
  • Opinion Leaders

Business Communication

  • What is Business Communication?
  • What is Communication?
  • Types of Communication
  • 7 C of Communication
  • Barriers To Business Communication
  • Oral Communication
  • Types Of Non Verbal Communication
  • What is Written Communication?
  • What are Soft Skills?
  • Interpersonal vs Intrapersonal communication
  • Barriers to Communication
  • Importance of Communication Skills
  • Listening in Communication
  • Causes of Miscommunication
  • What is Johari Window?
  • What is Presentation?
  • Communication Styles
  • Channels of Communication
  • Hofstede’s Dimensions of Cultural Differences and Benett’s Stages of Intercultural Sensitivity
  • Organisational Communication
  • Horizontal C ommunication
  • Grapevine Communication
  • Downward Communication
  • Verbal Communication Skills
  • Upward Communication
  • Flow of Communication
  • What is Emotional Intelligence?
  • What is Public Speaking?
  • Upward vs Downward Communication
  • Internal vs External Communication
  • What is Group Discussion?
  • What is Interview?
  • What is Negotiation?
  • What is Digital Communication?
  • What is Letter Writing?
  • Resume and Covering Letter
  • What is Report Writing?
  • What is Business Meeting?
  • What is Public Relations?

Business Law

  • What is Business Law?
  • Indian Contract Act 1872
  • Essential Elements of a Valid Contract
  • Types of Contract
  • What is Discharge of Contract?
  • Performance of Contract
  • Sales of Goods Act 1930
  • Goods & Price: Contract of Sale
  • Conditions and Warranties
  • Doctrine of Caveat Emptor
  • Transfer of Property
  • Rights of Unpaid Seller
  • Negotiable Instruments Act 1881
  • Types of Negotiable Instruments
  • Types of Endorsement
  • What is Promissory Note?
  • What is Cheque?
  • What is Crossing of Cheque?
  • What is Bill of Exchange?
  • What is Offer?
  • Limited Liability Partnership Act 2008
  • Memorandum of Association
  • Articles of Association
  • What is Director?
  • Trade Unions Act, 1926
  • Industrial Disputes Act 1947
  • Employee State Insurance Act 1948
  • Payment of Wages Act 1936
  • Payment of Bonus Act 1965
  • Labour Law in India

Brand Management

  • What is Brand Management?
  • 4 Steps of Strategic Brand Management Process
  • Customer Based Brand Equity
  • What is Brand Equity?

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39 International Marketing Research

Vishal Kumar

1.  Learning Objectives:

After completing this, module students will be able to:

i.   Understand the meaning and concept of International Marketing Research

ii.  Understand the evolution of marketing research

iii. Know about the nature and objectives of International Marketing Research and also

iv.  Understand the importance of International Marketing Research

2.  Introduction: The fundamental objective of MNCs is to achieve its goal by satisfying the needs and wants of the consumer from different countries. In this context marketing attains the core position in the international business operations and its activities. The complexity in the marketplace has increased many folds in recent years and related decision making also has got complex. This dynamism of the market affects marketing continuously because of the continuous change in the international business environment. The decision maker is finding it difficult to take decision in today’s environment because of such changes. For example, changing character of the market, growing concern for environmental quality, increase in competition, growing shortage of raw materials, volatility of the political relationships, rapidly changing technology and shift in international economy power give rise to the growing difficulties in making efficient marketing decisions.

As these complexities in market increase, the decision makers feel increasing need for understanding the market and its players be it customers, suppliers or any other stakeholder. Managers must know who their customers are, what they want, what their competitors are doing, if they are to make sound decisions. Due to the increase in complexity each right or wrong decision may cost company a fortune.

Marketing Research is a critical part of marketing decision making in international business operations. It helps in improving management decision making by providing relevant, accurate, and timely information. Every decision poses unique needs for information, and relevant strategies can be developed based on the information gathered through marketing research in action. Too often, marketing research is considered narrowly as the  gathering and analyzing of data for someone else to use. However, firms can actually achieve and sustain a competitive advantage through the creative use of market information generated by marketing research. Hence, marketing research is defined as information input to decisions, not simply the evaluation of decisions that have been made. Market research alone, however, does not guarantee success; the intelligent use of market research is the key to business achievement. A competitive edge is the result of how information is used than who does or does not have the information.

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3.  Evolution of Marketing Research

The successful entrepreneurs always make an effort to search for information and identify newer ways to create, communicate and deliver value to their markets. So far the history of marketing research is apprehensive, the role and impact of industrial revolution is ineradicable. Consequently, the paradigm shift in the ways of production and management had shown the seeds of market research of modern days. Though before the beginning of industrial revolution some cases of marketing research were reported, yet the beginning of marketing research as an organized business activity began between 1910 and 1920. It is believed that in 1911, the appointment of Charles Collidge Parlin as the manager of the Commercial research division of the  advertising department of the Curtis Publishing Company marked the beginning of organized marketing research.

After the World War II, there seems to be a dramatic rise in the area of marketing research. Though by the 1950s and 1960s, television became the part of life and with came the era of television advertisement. Further, the revolution in the area of Information and Communication Technology and the process of globalization has intensely influenced the marketing research activities.

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The marketing research activities in India also got thrust in the post economic liberalization scenario. Till the 1990s, marketing research was given much importance and used to be carried out as a custom activity and not on a challenging basis. The real changes in marketing research activities started taking place with the large scale entry of many Multinational Companies to India. These MNCs used the market research for making better business and strategic decisions.  This led the many Indian companies to realize the significance of marketing  research, which resulted in the growth of marketing research industry in India. The following factors are responsible for the development of marketing research:-

  • Shift in philosophy of business: Till 1930 the emphasis of business was on production and development of quality goods only. After the great depression an oversupply of goods and services led to the steadily shift in the emphasis from production to market. Today market is accepted as managerial philosophy and businesses are more attuned to satisfy the consumers need.
  • Change in cost structure: The fixed cost component of organization has increased with the process of computerization. To justify the huge capital investment high and quality production are needed.
  • Shift from price to non-price competition: The non-price competition such as advertising, product differentiation, branding and packaging etc. are playing significant role in the realm of marketing.
  • Expansion of production processes: The specialization in the area of labour has led to a lengthening the production process. The production process that was expected to be controlled by one manufacturer is now split among various manufacturers; each specialized in the part of the process.
  • Increase in the discretionary buying power: With the increase in the income and standard of living of consumer’s spending on unnecessary and luxury goods has increased as well. As competition is high, the organization needed to be well notified about market and other factors affecting industry.
  • High cost of marketing : Marketing activities are not limited to the local or domestic area rather it has crossed the national boundaries. This requires the huge investment as marketing operations has to cover wide geographical area. So marketing research provides the information about the market and assist in the reduction of cost.
  • Emergence of professional manager: The development in the speciality of professional management also led to the development of marketing research.

4.  Definitions of Marketing Research

1.  According to American Marketing Association (AMA), MR is “The systematic gathering, recording, and analyzing of data about problems relating to the marketing of goods and services.”

2.  According to Richard D. Crisp, MR is “The systematic, objective and exhaustive search for and study of the facts relevant to any problem in the field of marketing.”

3.  According to Philip Kotler , “Marketing research is systematic problem analysis, model building and fact-finding for the purpose of improved decision-king and control in the marketing of goods and services.”

4.  According to Paul Green and Donald Tull, “Marketing research is the systematic and objective search  for, and analysis of, information relevant to the identification and solution of any problem in the field of marketing.”

On the basis of all these definitions, it can be concluded that marketing research is the systematic, scientific and objective identification, collection, analysis, dissemination and use of information for the rationale of improving decision-making related to the identification and solution of problems and connecting the opportunities and facing the threats in marketing. The process of Marketing research has following steps:-

  • Defining the marketing problem.
  • Collection of required information systematically and scientifically.
  • Collection of data which involves the process of editing, coding, classification and tabulation.
  • Analysis of data by applying the various statistical techniques.
  • Interpretation of results in the light of prevailing circumstances and problem of the business.
  • Findings of the research are communicated to the management of organization, who will take ultimate decision in the light of these findings.

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5.  The Concept of International Marketing Research

One of the most striking developments of recent decades has been the globalization of business. The growth of international trade requires more information about foreign markets and companies which expand into new and unknown markets and must possess the information about the  demand and conditions of these markets. Companies invade not only into such developed markets as Europe, US and Japan, but also into the unstable but growing markets of Latin America, the politically uncertain markets of the Middle East and Russia, and the rapidly changing markets of South East Asia and the emerging African markets. The development of new communication and information technologies change the lifestyle, consumption behavior and purchasing patterns of different nations. All this indicates that the marketing research in global environment has become essential.

Marketing research practices and techniques have become truly global. International marketing managers make the same basic types of decisions as the decisions taken by the mangers working in the domestic country. Of course, they make these decisions in a more complicated environment. As with marketing decisions, the basic function of marketing research and the research process does not differ between domestic and multinational research. However, the process is complicated almost exponentially as more and more countries are involved in the same decision.

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6.  Nature of International Marketing Research:

After the analysis of above facts  about international marketing research,  the following points have been developed to understand the nature and characteristics of research:-

  • It is a systematic study: International Marketing research is a rational and organised activity. There is definite procedure in which research is conducted. Right from defining the marketing problem to possible solution, there is a succession of operation with logical arrangement.
  • It is a scientific study: International Marketing research establishes the cause and effect relationship between two or more variables. The various statistical tools and techniques are employed to study the association between variables. The researcher should have the scientific attitude and also follow the scientific methodology of research.
  • It is a managerial tool: Management of a company has to take many decisions to solve the problems with minimum cost and time. The hallmark of effective decision is to select the best substitute. It is  marketing  research  that  can  help  the management  to  take  sound  decision  based  on  scientific methodology.

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  • Purpose: The first step in the marketing research is to define the problem. In formulating the research problem, the researcher should methodically understand the problem and reshaping the same into meaningful terms from study point of view.
  • Solution: Marketing r esearch is solution oriented. All steps and actions are directed towards finding the solution of the problem. For this purpose appropriate data is collected, analysed and interpreted to arrive at right conclusion.
  • Generalization : Marketing research is particular and general. General principles are applied to arrive at the particular theory and particular theory is applied in the general situation to develop the right viewpoint towards defining the research problem. Hence, research highlights to the development of theories, concept, principles and generalization.
  • Empirical: Marketing research is a orderly and scientific enquiry of facts to reach at the truth. In this way research is always based on apparent experiences, discernible evidences and empirical proofs.
  • Patience: Patience and equanimity are the core qualities of the research. Researcher must have these two qualities to think over the problem and find out the right solutions than jumping into conclusions.
  • Description: Marketing research involves concrete observation from the reliable and authentic sources.  The data is accurately analysed and presented with the use of various statistical and mathematical measures.
  • Knowledge: Researcher should be experienced and properly trained person. He must have full knowledge of problem under study. He also must be thoroughly convergent with the various statistical methods for analyzing the collected information.
  • Replication : The design, procedures and conclusions of the research should be used by any person other than researcher, who can appraise the validity of research. Thus, the conclusions of one research can be used by other researchers.
  • Skill: Marketing research requires proper training and careful skill in collecting, analyzing, interpreting and reporting the data.

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7.  Objectives of International Marketing Research:

The following are the main objectives of the international marketing research:-

  • Formulation of marketing plans: International Marketing Research is used in the formulation of all marketing plans, policies, programmes and procedure.
  • Control of plans: It is working for control and evaluation of business plans and policies etc.
  • Reduction of costs: It is used in curtailing all marketing costs, like, selling, advertising, promotion and distribution costs.
  • Solution of marketing problems: Marketing problems demanding the best solution through market research system and it can be classified under the major heads: (a) problems relating to o the product itself; product include branding, packaging and labelling and services. (b) Problem relating to consumer markets. (c) Problem relating to each phase of the entire marketing process.
  • Essential for the growth of business: Programmes of marketing research incidentally provide insurance cover for the survival and growth of the business in a dynamic economy.
  • Right selection of Marketing mix: Marketing management through marketing research can bring about the sale of right product throughout right channels to right customers at right places and at right prices by developing right plans, policies and programmes with the help of right employees.

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  • Right decision of production: The main objective of marketing research is to enable entrepreneurs to produce goods satisfactory and saleable and to ensure that they reach the market easily, quickly, cheaply and profitably without sacrificing the consumer’s interest.
  • Management of risk and uncertainty: International Marketing research helps in the minimization of risk and uncertainly and maximization of sales revenue of MNCs.
  • Expansion of Market: Helpful in the expansion of market with improved product and will augment revenue and profit of business.
  • Research knowledge helpful in many ways: With adequate knowledge obtained by marketing research help the business in many ways such as: producers need not make unwanted goods, need not offer those through wrong passages to persons who are not interested; traders need not stack unwanted goods, offer them at the wrong season in the wrong quantities or at wrong pieces; advertisers need not make mistake in what they say, to whom they appeal, and how they appeal to audience.
  • Understating of economic environment: International Marketing research help in understanding the dynamic economic environment i.e., understanding the nature of business cycles. This will make companies capable to face the challenges of market by making its SWOT analysis.
  • Helpful in sales forecasting: It helps in attaining information that could help to formulate short -range and long range forecasts.

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  • Evaluation of Foreign Market: Companies can use marketing research to evaluate new product opportunities and acceptance, and to test existing product relative to competitors’ products.
  • Evaluation of Marketing Efforts: It is also helpful to evaluate the effectiveness of marketing activities and to call attention to the presence of a potential problem.

On the basis of this discussion it can be concluded that international marketing research facilitates producers, merchants, distributors and advertisers to avoid mistakes either in manufacturing or in marketing. To that extent it can minimize business failures and maximize profitability of multinational corporations.

8.  Importance of International Marketing Research:

Marketing research is fast growing in its importance due to increasing competition, fast moving technological developments and changing consumer needs, expectations and attitudes. The importance of marketing research is universally accepted. The status of marketing research in business management is identical to the position of brain in a human body. The following points suggest the importance of marketing research:-

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  • Knowledge of Market and consumers: Market is the group of present and potential consumers. Growing market required numerous middlemen between producer and consumer. Each middleman erected a variety of wall which blocked the backward flow of communication regarding consumer needs and dealer needs to the manufacturer. Size and specialisation within the business unit and interference of abundant middlemen between producers and consumers created a gap of communication. The broadening of communication gap is the chief single factor for increasing importance of marketing research to fill up the communication gap between the consumer and producer. Marketing research alone can provide first-hand knowledge of consumers and changes in the outline of the market.
  • Formulation of marketing strategy: Emergence of buyer’s market and increasing competition demanded unremitting need of marketing research to ensure maximum consumer satisfaction and repeated purchases. Marketing research is helpful in invent the appropriate marketing strategies to meet competition, to survive and grow in a competitive market.
  • Valuable tool for MNCs: Marketing research has become the corner-stone of the marketing concept. No business firm can be market- oriented or customer-centered without the effective use of marketing research. The moment customer become the centre of the marketing activities, the marketing research imagine unique importance and it becomes an invaluable management tool in the formulation of  accurate and realistic marketing plans and programmes, advertising and sales promotion based on pragmatic information of consumer demand-changing tastes preferences, whims, fancies etc.

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  • Helpful in coping with change: Changing is a perpetual phenomenon. Change is the common denominator in planning, organising, motivating and controlling marketing activity. Marketing research enables management to predict, meet and adapt change and creativity and accelerate conditions of change, particularly in consumer demand. The real challenge to marketing management is to firmly believe that change in business-finding its new role, new customer, new product, new market is even more important than efficient operations of the business.
  • Helpful in understanding the international business environment: In a dynamic environment, marketing information and research helps forward looking marketer to manages all challenges and problems fashioned by environment forces.
  • Solution of international marketing problems: Marketing research can solve the problem brought about by unparalleled growth of science and technology. It helps management to bring about prompt alteration and innovations in product design, packaging, advertising, sales promotion and distribution policies so that the business can keep itself up-to-date in the marketplace.

9.  Summary: In this module, we have discussed the meaning and concept of international marketing research. International marketing research is the systematic design, collection, recording, analysis, interpretation, and reporting of information relating to a particular marketing decision facing a company operating internationally.

The international marketing research process has some peculiarities such as the national differences between countries arising out of political, legal, economic, social and cultural differences and, the comparability of research results due to these differences. A company performing the international marketing research may experience several problems. Firstly, there is a complexity of research design due to operation in a multi country, multicultural, and multi linguistic environment. Secondly, the availability of secondary data varies widely from country to country. On some markets, especially emerging and unstable, the data is neither available nor reliable. Thirdly, the costs of collecting primary data are much higher in foreign developing markets as there is the lack of an appropriate marketing research infrastructure. The module has also highlighted the objectives, nature and scope of international marketing research.

Suggested Readings

  • Sundharam K.P.M. and Datt Ruddar (2010). Indian Economy, S. Chand & Sons, New Delhi.
  • Sharan Vyptakesh (2003). International Business: Concept, Environment and Strategy. Pearson Education, New Delhi
  • Cullen. (2010). International Business. Routledge.
  • Bennett Roger (2011). International Business. Pearson Education, New Delhi
  • Paul Justin (2010). Business Environment-Text and Cases. Tata McGraw Hill, New Delhi.
  • Cherunilam Francis (2010). International Business. Prentice Hall of India Private Limited. New Delhi.
  • Cherunilam Francis (2013). Global Economy and Business Environment. Himalaya Publishing House, New Delhi.
  • Levi MauriceD. (2009). International Finance. Routledge.
  • Conklin David w. (2011). The Global Environment of Business. Sage Publications.
  • Mithani D M. (2009). Economics of Global Trade and Finance. Himalaya Publishing House New Delhi.
  • Cherunilam Francis (2011). International Business Environment. Himalaya Publishing House, New Delhi.
  • Saleem Shaikh (2010). Business Environment. Pearson Education, New Delhi.

GeoPoll

The International Marketing Research Process : A Guide

Njeri wangari | mar. 23, 2018 | 6 min. read.

objectives of international marketing research

Since GeoPoll’s launch, we have grown to now facilitate research in over 60 countries, including 25 countries in Africa alone. During this time, GeoPoll’s team has amassed a trove of knowledge on best practices when carrying out international marketing research. We have also encountered some challenges, and with them, invaluable learnings regarding international research. Based on these learnings, we have put together a how-to guide on the marketing research process , including tips on regional nuances to look out for as well as the dos and don’ts when engaging a research agency, and how to understand basic research terms and get the most value out of the data you are gathering. We hope you find this useful as you start your own marketing research process. If you have specific questions about embarking on a new project feel free to contact us.

Getting Started With Your Marketing Research Process

A. conduct preliminary research.

Carry out some preliminary research by going online and searching for existing survey reports on your topic of interest. There might not be much especially if you are looking for very specific information, but you might find something close either for a different country or a report that gives you some ideas on how to go about your primary research.

While gathering international research data has been difficult in the past, in the last 10 years, information about Africa and other regions is more available online. Governments, the private sector, and international development organisations throughout the world are continuously churning out research data. One example of this can be seen on GeoPoll’s  very own blog,  which contains troves of research reports on various topics on commercial and international development research. This secondary data can be used to help structure your research brief.

b. Develop a Research Brief

To get the most out of your marketing research project, put together a brief with the objectives of your data collection. What exactly do you want to understand better? Be as specific as possible, for example: “What percentage of adult working females aged between 25 and above living in urban areas use my product brand?”

Which aspects of the  4 Ps of marketing (Product, Price, Place, and Promotion)  do you want to best understand? The more detail you can provide the better. This helps later when designing the project. A brief document should contain the following information: Company background, the business objectives, the research objectives, your target market, your competition, the geographical focus and your research project budget.

c. Identify the Right Marketing Research Agency

Research agencies come in all shapes and sizes. It often helps to understand an agency’s main data collection method which, more often than not, tells you what their strengths are. What you will note is that many of the international marketing research agencies have wide-ranging capabilities in data collection and use multiple data collection modes. However, often the cost for these agencies is higher than for agencies that only specialize in one data collection method. For you as the consumer, the scope of your project will determine which agency you will work with.

When talking to various research agencies, counter check their website and social media pages to look for any published reports online, which will give you an idea of the quality of their research and topic areas they focus in. Another crucial due diligence aspect of deciding on what agency to work with is their capabilities and country coverage – too many companies claim to be in markets that they are not in, and they end up sub-contracting. This practice means you are further removed from the data collection process and can also result in a higher cost.

You can verify the company’s coverage by requesting for a copy of their panel book; this is a comprehensive document that gives you details of the agency’s research panel and includes their geographical coverage as well as the demographic details of the panel. Also request copies of case studies, either of projects on the same topic or in the same geographical location, to further assess their past experience in the area you are interested in.

Last but not least, confirm that the agency is a member of either local, regional or international research accreditation bodies based on the geographical scope of your project. These associations have strict policies around marketing research ethics and how data is collected from respondents. GeoPoll is a proud corporate member of  ESOMAR,    PAMRO, and  MSRA .

d. Determine Your Data Collection Mode

Once you have listed your objectives, deciding on which of the following research methodologies to utilize becomes easier. Deciding on which type of research to run also helps further narrow down the agency best suited based on their capabilities. The data collection mode you use will impact both the type of data you collect and how it is collected.

Data is generally grouped into two categories,  qualitative and quantitative . Simply put, qualitative data is unstructured and is often exploratory by nature. When analyzed, responses may be grouped into similar categories but they cannot be ranked in the same way quantitative data can.

Quantitative research is the mathematical approach to collecting data, which can more clearly be measured and structured. Quantitative data includes survey data where respondents have a clear choice of answers, and quantitative questions often appear with radio buttons, check boxes and Likert scales which are easy to measure and compare. The two data collection methods are often referred to as simply quant and qual. It is important to note that qualitative research tends to be more expensive than quantitative research, as it requires more manual data analysis.

Different research modes will often lend themselves more easily to quantitative or qualitative data collection. Focus groups, unstructured interviews, and open-ended questions are typically collecting qualitative data, while surveys with answer choices collect quantitative data. Understanding the different modes and what type of data they can collect is important: Text message surveys can collect some qualitative data, but perform better with quantitative questions that are easily answered from a list of choices.

You also need to consider how robust and agile the different modes of data collection are. Can your selected mode work across multiple countries and languages? How much data are you looking to collect and in what time-frame? The level of scalability of the mode is important, especially if your project will entail a multi-country survey. In addition, some modes will collect data more slowly than others.

Some examples of different modes of data collection include: • Face-to-face • Text message (SMS) survey • Online survey • Mobile web survey • Mobile application survey or passive data collection • CATI (Computer Assisted Telephone Interviews) • CAPI (Computer Assisted Personal Interview) • Focus groups

Marketing research agencies can often give you guidance on what modes would be best for your project, and you should also consider if the agency has experience in that type of data collection. Another question to consider is how relevant each methodology is to your needs – if you are looking for a lot of exploratory data, a focus group may be your best bet, but if you want to reach a wide group of respondents in emerging areas, text message surveys would be a better mode.

e. Conduct Data Analysis

The most important aspect of market research is being able to analyze the data once it has been collected. A thorough analysis should guide you on how to act on the insights you have gathered. It is therefore crucial that the research agency, through their insights report, address the questions you had set out at the start of your survey. For example: What is my product’s current position in the market, who are my actual customers, and which aspects of my 4 Ps do I need to work on? Analysis capabilities of the agency and the tools being used by the analysts and if they meet your needs

f. Complete A Post Project Review

Having a session with the research team after completion of your project to share feedback and discuss the project execution is sometimes overlooked. Such an undertaking involves various departments but is important to understand why a project did or did not go as smoothly as planned. A post-project review session helps in both parties knowing what areas worked and which ones the agency or the client will need to improve for their next project.

Conducting international marketing research is often a large undertaking and there are various details you need to consider before embarking on your project. Language, infrastructure, internet penetration, and the type of data you are looking to collect all have an impact on your project and how easily data will be collected from your target population. To be successful, you must engage the right company: One that has a wide range of experience in the area you are researching can utilize multiple modes with ease and can give you advice on questionnaire design, regional nuances, and more.

GeoPoll has a team of experts in collecting data around the globe, and specifically in emerging markets in Africa, Asia, and the Middle East. We are always happy to advise you on your data collection needs: To ask a question or contact us about an upcoming project, please get in touch with us 

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  • Tags collecting data emerging markets , conducting international market research , international market research process , international marketing research , market research africa , market research process , marketing research process

Global business

Speaking Your Customer’s Language: A Complete Guide to International Marketing

objectives of international marketing research

Read time: 10 min

Stakeholder management blog post featured image | Phrase

When brands aim to target multiple markets worldwide, effective international marketing allows them to seamlessly integrate with local cultures. Take, for example, Dunkin’ Donuts. In its 2013 Donut Day campaign, the company provided tailored widgets for 24 different markets, offering consumers a localized feel with unique menus and messaging adapted to each language and culture.

  View this post on Instagram   A post shared by Dunkin’ Donuts Singapore (@dunkindonuts_sg)

The campaign became so popular that the company made Donut Day an annual event. Customers worldwide now celebrate National Donut Day in their local markets, eagerly anticipating Dunkin’ Donuts’ brand festivities and exciting offers. This is just one example of how powerful international marketing can be in promoting offers within a local context. Discover how to make it work for you in our complete guide.

What is international marketing?

International marketing promotes products or services in different target markets by adapting them to local needs, preferences, and expectations.

The key objective of international marketing is to create a global brand presence while tailoring marketing strategies to each specific region’s culture, demographics, and consumer behavior.

Unlike domestic marketing, where the focus is on a single local market, international marketing involves a broader scope, requiring businesses to adapt to the diverse needs, preferences, and regulations of multiple markets.

This adaptation process is known as marketing localization and stands as the core difference between international and global marketing. More on that later.

How international marketing works

The essence of international marketing lies in its adaptability.  Companies must be agile enough to reimagine the entire marketing mix—product, price, place, and promotion—to align with local market dynamics.

The 4 Ps of marketing | Phrase

  • Cultural sensitivity:  Understanding local customs and values is essential for crafting campaigns that connect with local audiences. This can help you in aligning product color schemes with cultural symbolism, transcreating slogans to prevent unintended meanings or connotations, etc.
  • Legal compliance:  Each country has its unique rules governing product standards, advertising ethics, and consumer rights. Therefore, businesses must become well-versed in the laws of each market they enter, often requiring collaboration with local experts to avoid fines or legal actions.

What is transcreation?

The art of balancing creativity and cultural sensitivity is key to crafting marketing messages that resonate with audiences in diverse target markets.

Explore transcreation

For example, a fast-food chain may offer a vegetarian menu in India due to religious considerations, while in the United States, the focus might be on quick, meat-based meals. Similarly, a skincare brand may offer lighter formulations for humid climates and richer products for colder regions.

How is international marketing different from global marketing?

One common misconception is that international marketing and global marketing are interchangeable terms. While both involve marketing across borders, they differ fundamentally in their approach to market adaptation.

In international marketing, the focus is on customizing the entire marketing mix to suit the specific needs and preferences of each local market.

This could mean altering the product features, adapting the advertising language and visuals, or even changing the pricing strategy to match local economic conditions. The aim is to resonate with the local consumer base while maintaining the core brand identity.

Global marketing adopts a “one-size-fits-all” approach, where the same products and marketing strategies are applied uniformly across all markets with minimal intervention.

The idea is to create a consistent brand image worldwide—capitalizing on economies of scale and scope. While this approach may work for products with universal appeal, it often overlooks the nuances of local cultures, consumer behaviors, and market conditions.

Here’s a detailed overview of the differences between international and global marketing:

International marketing Global marketing
Adaptive and localized Standardized and uniform
Multiple markets with local adaptations One-size-fits-all strategy
Adapted to local preferences and needs Same product for all markets
Varies based on local economy Generally consistent across markets
Tailored distribution channels Uniform distribution strategy
Marketing campaigns adapted to local cultures Single marketing campaign for all markets
High, due to focus on local customs and behaviors Low, as the focus is on a uniform brand image
Must comply with local laws and regulations Focus on international laws and standards
Lower, due to market diversification Higher, due to uniform approach
Higher, due to localization efforts Lower, due to economies of scale
Higher, due to localized approach May vary, as the strategy may not resonate locally

For example, a global marketing strategy might involve launching a single advertising campaign worldwide, with minimal changes to the content. This could be effective for a software company selling a device with universal functionalities. However, for a food and beverage company, such a strategy could backfire if the product features flavors that aren’t universally accepted in every target market.

Marketing localization ebook cover | Phrase

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Key international marketing types

Understanding the different types of international marketing is crucial for businesses looking to expand their reach beyond domestic borders.

Each type offers its own set of advantages and challenges, so the choice will often depend on the company’s resources and global expansion strategy .

Let’s take a look at some key types of international marketing.

Export marketing

The simplest form of international marketing involves exporting products to foreign markets.

This approach requires minimal investment and allows companies to test the waters before committing to more extensive strategies.

However, businesses must navigate trade regulations, tariffs, and local distribution networks.

Franchising

Franchising allows businesses to license their brand and business model to local operators in foreign countries.

This reduces the financial risk and operational burden on the parent company, but it also requires a strong, universally appealing brand that can be easily adapted to local markets.

Joint ventures and partnerships

In this model, a company collaborates with a local business to share the costs, risks, and profits of the international operation.

Joint ventures and partnerships offer the advantage of local market knowledge but may involve complex negotiations and shared decision-making.

Direct investment

Direct investment involves establishing a physical presence in the foreign market, such as opening a subsidiary, manufacturing facility, or retail store.

While this approach offers the most control, it also requires significant investment and exposes the company to higher risks, including political instability and currency fluctuations.

Licensing involves granting permission to a foreign entity to use your intellectual property, such as trademarks, patents, or technology, in exchange for royalties or fees.

It allows companies to generate revenue from their intellectual assets without the need for significant investment or direct involvement in foreign operations. However, it requires careful monitoring to protect intellectual property rights.

As we can see, each type of international marketing comes with its own benefits and drawbacks, so it’s advisable to choose the right mix of these strategies—tailored to the company’s capabilities and the specific needs of each target market.

For example, a restaurant chain expanding into new markets may benefit from following a joint venture, partnership, or franchise model, allowing the company to decentralize its cost burden and incorporate local management and leadership into operations within each market.

Benefits of international marketing

Marketing products and services in international markets offers many advantages that can significantly impact a company’s bottom line. Let’s review some key benefits that can make a difference for your business:

Increased market share

One of the most obvious advantages of international marketing is the expansion of the customer base. By entering new markets, companies can tap into a larger pool of potential consumers, increasing their market share, and strengthening their resilience and stability. 

Diversification

Relying solely on a domestic market can be risky, especially during economic downturns. International marketing allows for diversification, spreading the risk across multiple markets. If one market faces challenges, your business can still capitalize on opportunities in another market. 

Competitive advantage

Companies that successfully market their products internationally often enjoy a stronger brand image and recognition—which can be leveraged to gain market share even in highly competitive environments.

Because competitive advantage can be multiplied through international marketing, your business gains enhanced standing across individual markets.

Your company is then in a position to leverage a strong global position as well as strengths in each market one-on-one. 

Innovation and learning

The experience gained from international marketing can provide valuable insights into consumer behavior, market trends, and operational efficiencies. With a more robust knowledge foundation, your company is better equipped for future global expansion and operations.

Seasonal fluctuations

Seasonal fluctuations can pose challenges for businesses that rely on specific selling seasons. International marketing can help balance these fluctuations by selling products in markets with different seasonal cycles.

For example, a clothing company can sell summer wear in both the Northern and Southern Hemispheres, effectively doubling the selling season.

By mitigating the impact of seasonal fluctuations, international marketing enhances business resilience, ensuring a more consistent and predictable revenue flow.

Enhanced brand image

Successfully marketing products or services internationally can enhance a brand’s image, increasing its appeal even in the domestic market.

The perception of being an international brand adds prestige and attracts a wider customer base. A strong domestic brand reputation can extend internationally, fostering trust and reliability.

Regulatory benefits

In some cases, international markets may offer better regulatory conditions like tax breaks or reduced tariffs, which can boost profitability. Still, it’s crucial to do your homework and follow local laws to avoid legal trouble and damage to your brand.

Since differing regulations can make or break international marketing success, knowing how to handle them can give your company a competitive edge.

What makes an international marketing strategy

An international marketing strategy serves the same purpose for international expansion as a roadmap does for a journey. It’s a plan that outlines where you want to go, how you’re going to get there, what challenges you might experience along the way, and how you will address them.

And just like with journeys, it’s not impossible to get to your destination without a plan—but you’re much more likely to encounter issues along the way and arrive at your destination later than you had hoped—if you arrive there at all.

That’s why any international marketing endeavor should rest on a solid strategy from the very beginning. Creating an international marketing strategy will be different from one company to another, but it generally involves 3 stages:

  • Analysis (diagnosis)
  • Choice (guiding policy)
  • Execution (coherent action)

Let’s break down these three stages one by one.

Stage 1: Analysis

Result: In-depth understanding of the target market and the best entry strategy.

Goal setting

Establish specific objectives and targets that will guide the development of the international marketing strategy, ensuring alignment with the company’s expansion goals.

Market research

Begin by conducting thorough market research . Gather data on market size, growth potential, customer demographics, and trends. For each target market, understand the cultural nuances and legal requirements, including language, customs, regulations, and any potential barriers to entry.

Competitive analysis

Analyze competitors in the target market. Identify their strengths, weaknesses, market share, and strategies. This will help in positioning your company effectively.

SWOT analysis

Conduct a SWOT analysis (strengths, weaknesses, opportunities, threats) to assess your company’s internal capabilities and external factors that may impact your international expansion.

Market entry assessment

Evaluate various market entry options such as exporting, licensing, joint ventures, or establishing a wholly-owned subsidiary. Select the most suitable entry strategy based on your analysis.

Stage 2: Choice

Result: Clear strategic direction, target audience, value proposition, positioning, pricing, and distribution strategy.

Target market segmentation

Define your target audience within the international market. Segment the market based on demographics, psychographics, and behavioral factors.

Value proposition

Develop a unique value proposition tailored to each target market. Highlight how your product or service meets the specific needs and preferences of the target audience.

Positioning strategy

Determine how you want your brand to be perceived in the international market. Create a market positioning strategy that sets you apart from competitors.

Pricing strategy

Establish a pricing strategy that factors in local market conditions, competitive pricing, and cost considerations. Ensure it aligns with your value proposition.

Distribution and promotion channels

Carefully select the channels for promoting your product to ensure effective reach to your target audience.This may involve partnerships with local distributors or the use of e-commerce platforms.

Stage 3: Execution

Result: Effective implementation of strategy, localization, marketing, sales, monitoring, and risk management for successful expansion.

Localization

Tailor your product, marketing materials, and communication to align seamlessly with the local culture and language. Localization is a nuanced process with many moving parts, including translating content and customizing product features if needed.

Marketing and promotion

Execute marketing campaigns tailored to the international market. This may involve digital marketing, advertising, social media, and other relevant channels.

Implement your chosen distribution strategy. Ensure your product is readily available to customers through your chosen channels.

Continuously monitor the performance of your international marketing efforts. Gather feedback, track key performance indicators (KPIs), and be prepared to make adjustments as needed.

Compliance and risk management

Stay compliant with local laws and regulations. Develop a risk management plan to address potential challenges such as currency fluctuations, political instability, or supply chain disruptions.

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Find out why localization isn’t the same as translation and how it can support companies in expanding the global footprint of their business.

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International marketing examples to learn from

In the world of international marketing, real-life examples offer valuable lessons. By delving into both successful and unsuccessful international marketing campaigns, businesses can gain precious insights into handling the intricacies of various markets, cultures, and consumer behaviors, helping companies fine-tune their international marketing strategies and steer clear of typical pitfalls along the way.

BMW: Understanding local norms

On the flip side, BMW’s international marketing campaign in the United Arab Emirates (UAE) serves as a cautionary tale. The campaign used the market’s national anthem in a commercial, sparking local complaints and leading to the withdrawal of the campaign. The lesson here is the importance of cultural sensitivity and understanding local norms when crafting international marketing strategies.

Lay’s: Adapting to local tastes

Lay’s potato chips offer another example of successful international marketing. Known by different names like “Walkers,” “Smiths,” “Sabritas,” and “Margarita” in various parts of the world, Lay’s also adapts its flavors to local tastes. For instance, you’ll find ‘Masala’ flavored Lay’s in India and ‘Nori Seaweed’ in Japan. This adaptation to local preferences has helped Lay’s maintain a strong global presence while appealing to local tastes.

Dolce & Gabbana: Cultural sensitivity

Dolce & Gabbana faced significant backlash for a series of ads released in China that were considered culturally insensitive. The ads featured a Chinese model struggling to eat pizza and spaghetti with chopsticks, leading to public outrage and calls for a boycott of the brand. This example underscores the potential pitfalls of not adequately researching and understanding the cultural context of your target markets.

Last updated on December 20, 2023.

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Brand Excellence: The Key to Global Success

The overarching role of international marketing: Relevance and centrality in research and practice

  • Published: 18 May 2021
  • Volume 52 , pages 1429–1444, ( 2021 )

Cite this article

objectives of international marketing research

  • Saeed Samiee 1 ,
  • Constantine S. Katsikeas 2 &
  • G. Tomas M. Hult 3  

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Classic business literature asserts the central role of marketing as foundational to the existence of organizations, and further notes that marketing must permeate all areas of a business enterprise. Leveraging this premise, we examine marketing scholars’ contributions to the international business (IB) literature – specifically notable works in exporting and market entry. Despite the overarching role of marketing in business, our systematic examination of published works in JIBS identified only 11 marketing contributions among the top 100 most frequently cited publications. More recent Web of Science data for the most cited contributions since 2015 demonstrate a decline in the number of international marketing (IM) and IB-related contributions by marketing scholars. Our goal in this editorial is to re-emphasize marketing’s critical importance and centrality in IB research, especially with reference to its dominant role in such areas as exporting and market entry decisions, customer acquisition, and relationship management. This special issue is intended to highlight IM and to motivate more contributions by IM scholars, as well as to call for greater integration of marketing thought in IB research.

La littérature classique en management affirme le rôle central du marketing comme fondement de l'existence des organisations, et souligne en outre que le marketing doit imprégner tous les domaines d'une entreprise. Nous appuyant sur cette prémisse, nous examinons les contributions des chercheurs en marketing à la littérature du commerce international (IB – International Business ), plus spécifiquement, les travaux importants portés sur l’exportation et l’entrée sur les marchés. Malgré le rôle fondamental du marketing dans les affaires, notre examen systématique des travaux publiés dans la revue JIBS n'a identifié que 11 contributions liées au marketing parmi les 100 publications les plus fréquemment citées. Les données plus récentes sur le Web of Science liées aux contributions les plus citées depuis 2015 montrent une baisse du nombre de contributions relatives au marketing international (IM – International Marketing ) et au IB par les chercheurs en marketing. Dans cet éditorial, notre objectif est de souligner à nouveau l’importance critique et la centralité du marketing dans la recherche en IB, notamment par rapport à son rôle dominant dans les domaines tels que les décisions d’exportation et d’entrée sur les marchés, l’acquisition de clients et la gestion des relations. Ce numéro spécial a pour but de mettre en valeur le IM, de stimuler davantage de contributions de la part des chercheurs en IM, ainsi que d'appeler à une plus grande intégration de la pensée marketing dans la recherche en IB.

La literatura empresarial clásica reivindica el papel del marketing como primordial a la existencia de las organizaciones y además nota que el marketing debe permear todas las áreas de una empresa. Apalancándonos en esta premisa, examinamos las contribuciones de los académicos de marketing a la literatura de negocios internacionales – específicamente los trabajos más destacados sobre la exportación y la entrada del mercado. A pesar del papel global del marketing en los negocios, nuestro examen sistemático de los trabajos publicados en JIBS identificamos sólo 11 contribuciones de marketing entre las 100 publicaciones más citadas. Los datos más recientes de Web of Science de las contribuciones más citadas desde el 2015 demuestran una disminución en el numero de contribuciones relacionadas con marketing y negocios internacionales por parte de los estudiosos de marketing. Nuestra meta con este editorial es hacer hincapié a importancia fundamental del marketing y su centralidad en la investigación de negocios internacionales, especialmente con referencia a su papel dominante en áreas como la exportación y las decisiones de entrada al mercado, la adquisición de clientes y la gestión de relaciones. Esta edición especial busca resaltar el marketing internacional y motivar más contribuciones de académicos de marketing internacional, y también hacer un llamado a una mayor integración del pensamiento de marketing en la investigación de negocios internacionales.

A literatura clássica de negócios afirma o papel central do marketing como fundamental para a existência de organizações e, além disso, observa que o marketing deve permear todas as áreas de uma empresa. Aproveitando essa premissa, examinamos contribuições dos acadêmicos de marketing para a literatura de negócios internacionais (IB), especificamente trabalhos notáveis em exportação e entrada no mercado. Apesar do papel abrangente do marketing nos negócios, nosso exame sistemático de trabalhos publicados no JIBS identificou apenas 11 contribuições de marketing entre as 100 publicações mais citadas. Dados mais recentes da Web of Science para as contribuições mais citadas desde 2015 demonstram um declínio no número de contribuições de marketing internacional (IM) e relacionadas a IB por acadêmicos de marketing. Nosso objetivo neste editorial é reenfatizar a importância crítica e centralidade do marketing na pesquisa em IB, especialmente com referência ao seu papel dominante em áreas como exportação e decisões de entrada no mercado, aquisição de clientes e gerenciamento de relacionamento. Esta edição especial tem como objetivo destacar o IM e motivar mais contribuições de acadêmicos de IM, bem como pedir uma maior integração do pensamento de marketing na pesquisa de IB.

经典的商业文献断言市场营销对组织存在有着基础的中心的作用, 并进一步指出, 市场营销必须渗透到商业企业的所有领域。 利用这一前提, 我们研究了市场营销学者对国际商务 (IB) 文献的贡献, 特别是在出口和市场准入方面的著名作品。 尽管市场营销在商业中起着举足轻重的作用, 我们对JIBS发表的作品的系统检查发现, 在最常被引用的前100篇文章中只有11篇是市场营销的贡献。最新的Web of Science数据 (自2015年以来被引用最多的数据) 表明, 市场营销学者对国际市场营销 (IM) 和与IB相关的贡献数量有所下降。 我们这篇社论的目标是重新强调市场营销在IB研究中的至关重要性和中心地位, 尤其是参考市场营销在出口和进入市场决策、客户获取以及关系管理等领域的主导作用。 本期专刊旨在突出IM和激发IM学者做出更多的贡献, 并呼吁将市场营销思想与IB研究有更大的整合。

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INTRODUCTION

Marketing is the raison d’etre and the force that drives organizations. Among the many axioms advanced by Peter Drucker, the father of modern management, are that the purpose of a business is “to create customers”, and that an organization has only two functions: one role relates to marketing (i.e., innovation) and the other is marketing (Drucker, 1954 , p. 37; Trout, 2006 ; Webster, 2009 ). Drucker further observed that only innovation and marketing produce results (i.e., revenue streams); the rest are costs (Cohen, 2013 ). Product innovation is a key marketing strategy component and an important means of creating and keeping customers, and, hence, a central element of a successful competitive strategy. This marketing-based view is also shared by other management thought leaders. Ted Levitt ( 2006 , p. 129), for example, notes that “the entire corporation must be viewed as a customer-creating and customer-satisfying organism.”

The “marketing-based” position held by seasoned management opinion leaders underscores the “overarching” role and centrality of marketing as a philosophy that should drive virtually all organizations. In fact, McKenna ( 1991 ) takes this notion even further by claiming “…successful companies are becoming market driven, adapting their products to fit their customers’ strategies” (p. 66). Adopting market orientation and becoming a market-driven organization, in turn, require marketing to “permeate” all aspects of organizational decision-making, inclusive of international business activities, before a product is produced or externally sourced. Parenthetically, since marketing represents the interface of all businesses with their customers, it should be expected to play a central role in published academic works in business, including international business (IB) – the focus of attention in this editorial.

Many studies have examined research themes covered in IB journals. One such effort surveyed academic publications in the six leading IB-related journals, and identified and classified 112 articles with at least 20 citations each for the 1996–2006 period (Griffith, Cavusgil, & Xu, 2008 ). Collectively, with over 22% of the most-cited publications, marketing was identified as having the largest number of publications. 1 In keeping with business thought leaders’ position on the purpose of an enterprise, one would expect a higher proportion of (1) internationally oriented marketing topics and/or (2) published works on other topics, such as IB, that actively include marketing in some meaningful way. Surprisingly, much of the published research in IB excludes marketing considerations. As an example, in examining foreign market entry and expansion modes [e.g., foreign direct investment (FDI)], the ultimate goal – beyond the theoretical lens in use, efficiencies, drivers, order of market entry, and resultant models and theories – is to gain or create new customers and/or better serve current customers in markets worldwide. Such an approach constitutes a marketing-centric view of FDI.

The IB literature has demonstrated that firms engaging in FDI invest more in research and development (R&D) and innovation (e.g., Anand & Kogut, 1997 ); however, the IB literature is not explicit about why firms invest in innovation in the first place. 2 A marketing-centric view (e.g., Ellis, 2000 ; Knight & Cavusgil, 2004 ; Leonidou & Katsikeas, 1996 ) does not imply a necessity to include marketing in every (e.g., market entry) project. Rather, it consists of a researcher mindset that conceives of and fine-tunes research projects in light of the ultimate purpose of an organization (per Drucker, Levitt, and McKenna) when marketing is not an explicit aspect of the study. The business worldview from within the marketing discipline is that marketing permeates the entire organization (including innovation). IB scholars recognize the integrated nature of marketing across various firm activities in specific sectors (e.g., in the services industry per Rugman & Verbeke, 2008 , p. 409), however, creating and serving customers necessitate the broadening of this perspective across all industries, as predicated in marketing. Stated differently, framing marketing as a single value chain function, or adopting a strictly downstream view of it inhibits richer and more meaningful customer-centric, as well as increasingly more realistic conceptualizations of critical activities and decisions in IB (cf. Takeuchi & Porter, 1986 ). Among other downsides, the narrow conceptualization of marketing functions as downstream activities in the value chain undermines marketing’s true role and influence in shaping strategy formulation. Global strategy decisions envisioned and designed by the C-suite inherently involve a very significant level of marketing content, without which a sound global strategy is not possible.

Concurrently, Buckley ( 2002a ) voices concern that international marketing (IM) has neglected the proximal issue of globalization in studies of IM strategy. This concern is in line with the broader criticism that IM has also largely abandoned strategy issues (Kotabe, 2001 ). Indeed, the marketing discipline can be criticized for failing to fully embrace the influences of international and global dimensions across the many critical strategy pillars inherently thought of as marketing’s intellectual domain. An examination of research priorities published by the influential Marketing Science Institute (MSI) demonstrates the discipline’s relative inactive posture in IM/IB. In all, the 2020–2022 MSI Research Priorities report includes four internationally oriented topics among 126 research questions listed. 3 It is thus not too surprising that IM scholars have paid only scant attention to research opportunities at the intersection of IM strategy and globalization, which, in turn, has limited our understanding of the crucial role that marketing plays in establishing, developing, and sustaining effective business operations across markets worldwide. In parallel, we assert that investigations of globalization should also include marketing strategy considerations.

IM CONTRIBUTIONS TO JIBS

To develop a better understanding of the contributions of marketing scholarship to the IB literature and, more specifically, to the Journal of International Business Studies ( JIBS ), we examined all highly cited articles published in JIBS since the journal’s inception. We rank-ordered all articles by their total citation frequencies using the Web of Science (WOS) database. We identified 11 marketing articles on topics generally considered to belong to the marketing domain among the top 100 most-cited JIBS publications (Table 1 ). 4 We further observed that scholars with marketing ties have also made highly cited general IB contributions to the literature. Overall, it is evident that marketing scholars have made significant contributions in JIBS to the extant IM and IB knowledge. However, it is also apparent that the most highly cited IM publications in JIBS were published in the 1982–2002 period. This pattern raises a question about the relative impact of IM, as measured by WOS citation frequencies, in JIBS published works. We thus examined the most-cited JIBS publications since 2015 (Table 2 ). The data indicate that, in contrast to pre-2015, fewer marketing studies have been among the top 100 most-cited articles published in JIBS as of late. In addition, fewer contributions on broader IB topics are by authors with close marketing ties.

Despite the centrality and importance of marketing in business, the influence of IM scholars and IM publications in the broader IB discipline via the field’s leading journal has been on the decline. The marketing theme of this special issue of JIBS builds on business and management thought leaders’ (e.g., Drucker, Levitt) view regarding the purpose of a business enterprise; that is, we start with the premise of the critical importance of marketing to all facets of business and leverage broad-based agreement about the declining role of marketing in IB research as well as broader IB contributions by marketing scholars in JIBS . Our overarching objective in this issue is to motivate relevant and rigorous research that advances IM and, in turn, IB thought on an ongoing basis, beyond the confines of this special issue. If one subscribes to Drucker’s vision about the purpose of a business, then IM should be better integrated into and represented within IB publications, notably within JIBS , the leading and most highly cited journal in IB. To this end, our goals in this essay are to (1) highlight the role of IM within IB, (2) detail the many critical roles of marketing in today’s business enterprise, and (3) introduce the marketing contributions in this special issue.

THE ROLE OF IM WITHIN IB OVER TIME

Beyond Drucker’s view of the purpose of a business, IB at its core is inherently intertwined with marketing. For centuries, individuals and firms have sought to expand sales through exporting, which constitutes the most common foreign market entry and international expansion mode; for many firms, therefore, export marketing has defined IB. Indeed, all exporting is strictly rooted in marketing (see, for example, Anderson & Gatignon, 1986 ). 5 This view is implied in the broader perspective of export development, which emphasizes internal and external triggers to exporting (cf. Cavusgil & Nevin, 1980 ; Wiedersheim-Paul, Welch, & Olson, 1978 ), both of which are export marketing centered. Some scholars view all international market entry forms as essentially marketing driven (e.g., Douglas & Craig, 1989 ). Indeed, many early contributors to foreign market entry and the export development process are closely associated with the marketing discipline (e.g., Bilkey & Tesar, 1977 ; Cavusgil, 1980 ; Czinkota, & Johnston, 1981 ; Katsikeas, 1996 ; Samiee & Walters, 1991 ). Over time, some firms continue to reap the benefits of increased sales and profits via export marketing, whereas others, recognizing the broader and longer-term potential of global markets, have sought to establish different forms of engagement in markets abroad. For example, international leasing and licensing (i.e., limited-term rental contract of an asset) as means of foreign market entry or expansion constitute marketing activities, but they are often viewed as activities related to, for example, market expansion and operational strategy (e.g., Contractor, 1985 ; Ricks & Samiee, 1974 ). It may be that the role and critical importance of IM is widely recognized by IB scholars. However, making marketing’s presence more explicit in IB research can result in framing issues such that corresponding research findings will yield greater marketplace and marketing relevance, in line with Drucker’s and Levitt’s views on the purpose of business. In short, regardless of entry mode or a firm’s structural configuration, market expansion and increased sales via (in)direct marketing internationally is central to IB. Such a view highlights the centrality and critical role of IM activities, while emphasizing the significance of IM contributions to the broader IB field.

Interest in and focus on scholarly research in IM began to intensify during the 1980s, and empirical investigations of IM problems and challenges facing firms have received heightened research attention for decades. Initial scholarly research in IM was limited, though there is noteworthy work on export market entry triggers as well as motivations and explanations for internationalization decisions (Ford & Leonidou, 2013 ). Since this early research, IM scholars have amassed a growing, multifaceted, and well-developed body of knowledge. Despite these advances, however, the growing importance and relevance of IM remains underappreciated and understudied (Day, 1996 ). As an unfortunate outcome of this, IM topics in the top IB journals are sparse (cf. Griffith et al., 2008 ), and a current survey of several leading marketing and IB journals reveals a relative paucity of scholarly work on IM issues. 6 Given IM’s centrality to all enterprises, the primary purpose of this special issue is to reinforce IM’s broad-based importance, with a particular focus on IM in the broader IB context.

RESEARCH IN IM

A recent survey of the IM literature published in the top six IB/IM journals during the 1995–2015 period identified 1,722 published works (Leonidou, Katsikeas, Samiee, & Aykol, 2017 ). The knowledge structure on which this body of scholarly work indicates that many of the developments in IM thought are driven by 14 key knowledge nodes identified in Samiee and Chabowski ( 2012 ). 7 It is evident from the results of the investigation by Samiee and Chabowski ( 2012 ) that, in terms of knowledge base, IM has much in common with IB. A relatively high proportion (approximately 40%) of key sources used in IM research are also commonly cited in IB research, including Hofstede ( 1980 , 1991 , 2001 ), Porter ( 1980 , 1985 , 1990 ), Williamson ( 1975 , 1985 ), Buckley and Casson ( 1976 ), Bartlett and Ghoshal ( 1989 ), Nelson and Winter ( 1982 ), Penrose ( 1959 ), and Pfeffer and Salancik ( 1978 ). Of the 26 most influential works in IM, serving as foundational knowledge for the 2004–2008 period, the majority (18) were published in outlets not specifically designated as marketing-related (Samiee & Chabowski, 2012 ), thus demonstrating IM’s shared knowledge and close relationship to IB. Key IM knowledge nodes serving as the foundation of IM scholarship during this period appear in Table 3 .

IM research has evolved across numerous themes, with some areas receiving disproportionate scholarly attention over time (Leonidou et al., 2017 ). Foreign market entry and export marketing are among the oldest topics of interest for IM researchers, and these remain relevant and important. Collectively, origin-related research topics likely constitute the most popular IM theme among IM researchers and potentially the most researched area, with hundreds of publications (e.g., Kotabe, 2001 ; Papadopoulos, el Banna, Murphy, & Rojas-Méndez, 2011 ; Samiee & Chabowski, 2021 ). 8 Origin-related research – or more specifically, the country-of-origin line of research within IM – can be traced back broadly to Dichter ( 1962 ) and, more specifically, to Schooler ( 1965 ). Although the concept was applied strictly to customer product choice, it can and has been applied to other facets of IB (e.g., liability of foreignness). Beyond marketing, explicit recognition of business problems associated with nonlocal origins of firms began to emerge in the IB literature in the 1970s. For example, Buckley and Casson ( 1976 ) refer to the political problems of “foreignness,” and Boddewyn and Hansen ( 1977 , p. 550) note that “American companies were faced with handicaps due to their foreignness.” Although IB challenges related to nonlocal origins of products and firms seem intuitive, international marketers’ close proximity to markets and customers afforded them the opportunity to recognize the issue much earlier than appears to have been the case in the broader IB discipline. We highlight this issue to point to how IM and IB can and should leverage each other for a more comprehensive analysis and rapid advancement of the field.

RESEARCH OPPORTUNITIES GOING FORWARD

Much of the intellectual capital in IM works has been devoted to various aspects of buyer behavior (Kotabe, 2001 ; Leonidou et al., 2017 ). This trend is not surprising given that, in general, a large majority of MSI research priorities ( 2020 ) are focused on customer-related issues (including three of the four internationally oriented themes out of the 126 research questions posed). Among international themes, one research question pertains to gaining global perspectives on prioritizing customer value at all touchpoints during the omnichannel customer experience; another theme seeks to understand whether customer behavior is the same or different in emerging markets; and a third issue addresses ways in which firms might integrate consumer-focused strategies globally. A sharp focus on the buyer and, more specifically, the consumer and his/her behavior highlights an ongoing emphasis on behavioral issues within marketing at the expense of advancing other equally salient issues in need of development. As a result, some important IM research areas are not receiving sufficient scholarly attention. To this end, 25 years ago, Day ( 1996 , p. 15) noted that “studies of cross-cultural differences in buyer behavior or the effect of country of origin do not suffice when the big issues needing answers are about global competitive interactions, global new product development and launch practices, sharing of market insights across borders, or the coordination and integration of multicountry operations.” An overemphasis on the buyer behavior aspects of IM, frequently via experiments, has indeed curbed scholarly efforts to advance IM and the exploration of “big issues”: for example, the short- and long-term effects of radical shifts in the external environment and competitive structures on various aspects of marketing strategy, notably, global supply chain management, innovation, and global product development activities, among others. In general, innovation can be related to and affect any facet of an enterprise’s operations (e.g., processes). The key innovation concern within marketing has centered on product breakthroughs and service delivery, as well as how firms can adapt to a changing landscape often marked by disruptive technological developments. Nevertheless, studies of global innovation or R&D can benefit from cross-fertilization, with significant advances in this area within marketing.

Despite the decades-long practice of international outsourcing by firms, few IM researchers have explored this critical area (e.g., Kotabe & Murray, 1990 ; Swamidass & Kotabe, 1993 ). As a result, scant research is available within this important area to shed light on IM practices [e.g., innovate vs. import (buy) new products; make vs. buy] that can facilitate enhanced IM performance. To this end, a fourth research priority identified by MSI ( 2020 ) is the global supply chain impact of the pandemic (p. 11). Sourcing considerations, such as exporting and importing, are by nature customer-centric and marketing-based. Nevertheless, much of the research in the area is conducted within other disciplines (Buckley, Doh, & Benischke, 2017 ). The importance of a focus on the bigger picture, including the organization, human capital, capabilities, innovation, and metrics, has been stressed in marketing (Moorman & Day, 2016 ). Behavioral components should continue to play important roles in advancing marketing (and IM); however, these topics need to be examined within the context of organizational priorities and not strictly limited to consumer-based studies.

Given the commonality of direct and indirect international involvement across firms and industries, a host of new and exciting challenges related to customers, suppliers, and relationship management are raised. Today’s global marketplace is characterized by disruptive external forces, intense competition from a multitude of foreign and indigenous companies, and heterogeneous customer behavior shaped by differences across a range of host-market conditions, notably culture. Technological advances create marketplace opportunities and novel business models and segments (e.g., social media, collaborative consumption/shared economy, product cocreation), while undermining long-established global brands, product/service markets, and business patterns and processes on a global scale. For example, local and international ride-hailing services such as Ola and Uber competing with long established global car rental firms; collaboratively developed HD DVD losing the industry-wide format war to the technologically more advanced Blu-ray by Sony shortly after its debut which, in turn, lost popularity as the market shifted to streaming services; photorefractive keratectomy developed in the U.S. essentially undermined the Russian-born radial keratectomy; and MP3/FLAC and streaming services largely replaced tangible music CDs developed through an R&D joint venture between Philips and Sony. Concurrently, new technologies are promoting new forms of interaction for businesses and customers that transcend national boundaries (e.g., social media; short message service-SMS; online reviews; using proprietary consumer data via artificial intelligence activated voice recognition to drive host-market demand, as is the case with Amazon’s Alexa or Google Assistant). Concurrently, innovative breakthroughs and rapid dissemination of information have given rise to intellectual property theft on a global scale, undermining marketing strategies, global brands, and distribution network relationships and their management, while requiring all firms to canvass markets globally to identify potential abuses and to assert control over their intellectual property. 9

Although the Internet and information technology (IT) continue to have a significant influence on customers and businesses (e.g., exporters, importers, concept-testing, global marketing strategy planning), a citations-based review of the IM literature revealed that IT-related topics did not constitute a knowledge base in IM (Samiee & Chabowski, 2012 ). This finding was corroborated by Leonidou et al. ( 2017 ), who noted that less 4% of IM-related academic articles reviewed included various facets of Internet connectivity. In addition, a literature review of 29 academic journals addressing the Internet’s impact on relational approaches to foreign market entry identified only 94 published articles, constituting approximately 3% of all the articles reviewed (Watson, Weaven, Perkins, Sardana, & Palmatier, 2018 ). IT has transformed how firms enter and manage markets globally to varying degrees in ways that are often not self-evident. In addition, IT's ubiquity and intangible nature make its detection and true impact on IM difficult, thus leading to a growing knowledge gap. The paucity of IT-motivated IM research uncovered by these reviews demonstrate the need to incorporate various facets of IT in more IM projects, including initial online export/import information gathering, marketing research, market entry and development, and export customer acquisition by both manufacturers and channel intermediaries. Furthermore, a research focus on cross-border e-commerce, especially as a means of internationalizing the scope of smaller firms’ marketing, is underdeveloped. It is surprising that, while origin-related buyer behavior topics remain popular, almost no effort has been made to explore how origin affects choice in online and, in particular, international e-commerce contexts (e.g., Ulgado, 2002 ). Buckley ( 2002a ) rightfully identified e-commerce as a frontier in IM research nearly two decades ago. Firms allocate significant amounts of financial resources to adopt promising technologies to improve their marketing performance, yet little research has been devoted to assessing the performance impact of digital tools (e.g., customer relationship management software) in terms of establishing new cross-border relationships or maintaining existing ones. Although IM has generally ignored such impactful areas of research as the influence of the Internet in global marketing, the IB literature, and more specifically international management, has also been shortsighted with respect to its limited pursuit of pertinent Internet-related research topics (e.g., international human resource management, global strategy development, management of global collaborative ventures and partnerships) (Chabowski & Samiee, 2020 ).

Social media influence both the demand and the supply side of exchange. On the supply side, firms are engaging people by allowing them to participate in cocreation and product development processes. Enterprises are increasingly engaging the public in idea generation via social media (e.g., Dell IdeaStorm, LEGO World Builder), new product development, and start-up capital (e.g., Quirky, Kickstarter). The degree to which firms engage social media audiences internationally (including both global and local social media sites) for one or more aspects of cocreation, and the influence of such activity on multinational corporations’ competitiveness across markets, remain unexplored. Examining the extent to which customers from around the world participate in knowledge development processes and help firms improve their existing products and/or create innovative ones also remains a fertile research area (Bayus, 2013 ; Prahalad & Ramaswamy, 2004 ).

Equally important research issues on the demand side also warrant research attention. For example, customers located in distant parts of the world use social media, but the impact of such engagement, and the positive or negative ripple effect it creates in or across social networks with respect to local and global brands, has received insufficient research attention (McAlexander, Schouten, & Koenig, 2002 ). Furthermore, the extent to which various customer segments rely on and ways in which they use social media across markets remain unexplored. This knowledge void, in turn, impacts the development of effective international cocreation strategies on the supply side. Relatedly, the global ubiquity of the Internet and social networks has made these media a major target for cybercriminals. Regular revelations of firm and customer data breaches are bound to have a consequential impact, not only on firm image and the customer engagement process, scope, and depth but also on demands for greater privacy and protection by customers and governments. Thus, IM research should explore the impact of, for example, cross-national privacy regulations on the efficacy of relationship development and management as well as online marketing processes.

Globalization has transformed the way business relationships are formed, managed, and evaluated, and customer engagement is likely to play a prominent role in business-to-business contexts. Business relationships are complex, interpersonal, and interdependent, and relationship marketing efforts can make a difference in promoting common goals and facilitating joint activities that create value for both partners; value that each company could not achieve outside the relationship or with other partners (Palmatier, 2008 ). In an international context, companies need to manage their cross-border relationships more skillfully to address geographic separation, cultural distance, administrative (e.g., currencies, legal jurisdictions) and economic (Katsikeas, Samiee, & Theodosiou, 2006 ; Leonidou, Samiee, Aykol, & Talias, 2014 ; Samiee, Chabowski, & Hult, 2015 ) differences between local and foreign markets, and increased levels of risk and uncertainty inherent in international operations (Johanson & Vahlne, 2009 ; Katsikeas, Skarmeas, & Bello, 2009 ). How does the international environment affect the activities, strategies, structures, and decision-making processes of companies with respect to their business relationships? How can companies manage their overseas business relationships as value-bearing assets? Are cross-border business relationships part of a value-creating network that delivers superior value to the end customer? What is the role of international relationship building and management in overcoming the liability of foreignness? Likewise, the roles of overseas business partners (e.g., distributors, suppliers) in knowledge development, innovation, and goal achievement are relevant and important areas that require research attention.

The fit between IM strategy and international relationships also deserves ongoing research attention. How can companies ensure that their different suppliers and partners abroad are well-aligned with their IM strategy? Strategy standardization offers significant economies of scale in value-adding activities (e.g., R&D, production, marketing), facilitates the development of a consistent corporate/brand image across countries, enhances coordination and control of international operations, and reduces operational and managerial complexity, whereas adaptation is based on the premise that variations between countries necessitate adjustment of the marketing strategy to the idiosyncrasies of each local market. The contingency approach suggests that the appropriateness of the selected IM strategy – typically positioned between the two standardization–adaptation extremes – should be evaluated based on its alignment, or fit, with dominant factors in the international environment, as fit facilitates enhanced performance outcomes (Katsikeas et al., 2006 ). Despite long-standing traditions in these areas, sensemaking in some overarching topics is needed. For example, the pursuit of a market orientation strategy demands sensitivity to local market conditions and IM strategy adaptation. Given the importance of market orientation for many firms, there is a need to better understand how market orientation influences IM strategy. On the one hand, market and customer orientation demand more localized or adapted IM strategies. On the other hand, a high degree of IM strategy standardization seemingly impedes a high degree of market orientation. How do firms reconcile their IM strategy and market orientation efforts? Moreover, how do customer relationships in particular and business relationships in general interact with the perennial issue of adaptation or standardization of IM strategy? Do overseas business relationships help the company determine which specific strategic elements are feasible or desirable to standardize or adapt? If so, under what conditions, and to what degree? To what extent is cocreation possible and appropriate under each IM strategy scenario?

In addition, the assessment of performance in international market operations is an issue that requires particular attention in the IM literature. The relevance and importance of IM resources, strategies, and actions is reflected in the extent to which these favorably influence firm performance outcomes achieved via international market operations and, in turn, contribute to organizational performance. However, there are a large number and wide diversity of IM performance measures employed in the literature, which makes the development of a coherent cumulative body of knowledge in the field particularly challenging (Katsikeas, Morgan, Leonidou, & Hult, 2016 ). Scant attention has been given in IM as to how performance should be conceptualized and operationalized, and studies commonly do not provide a definition or any justification for the assessment of performance that is adopted and for the specific measures used in the context of foreign market operations (Katsikeas, Leonidou, & Morgan, 2000 ; Leonidou, Katsikeas, & Samiee, 2002 ). Given that performance is inherently a multidimensional construct, it is essential that IM researchers be selective in choosing specific performance dimensions, and justify their choice on the basis of some theory-based logic, conceptual framing, and/or for pragmatic reasons. Performance assessment in international market operations should be in line with the theoretical perspective(s) adopted in the study. For example, empirical research grounded in the resource-based view and/or the dynamic capabilities perspective, which underpins much of the strategy-related and competitive advantage work in IM, requires a competitor-centered assessment of performance outcomes; that is, individual performance aspects and items need to be assessed in relation to competition in the foreign market targeted by the firm’s IM strategy (see Katsikeas et al., 2016 ).

CONTRIBUTIONS TO THE SPECIAL ISSUE

The call for papers for this special issue has been received with much enthusiasm, as demonstrated by the large number of submissions covering a wide range of IM topics. Accordingly, manuscripts accepted for inclusion in this issue represent the diversity of submissions, with each making a unique contribution to the IM body of knowledge. The first article focuses on the sharing economy (SE), which is a timely and important issue that influences business operations across industries worldwide. Kozlenkova, Lee, Xiang, and Palmatier’s meta-analytic effort examines the effects of value-based (i.e., utilitarian, social, hedonic, and sustainability value) and governance-based (i.e., trust) factors on SE participation and investigates their relative effectiveness under different global contingencies (i.e., economic/competitive, cultural, societal, technological, regulatory, and demographic factors). Based on 55 empirical articles, with 60 independent samples from 15 countries, representing 123 correlations across 26,377 customers during the 2009–2019 period, the findings suggest that hedonic value exerts the largest effect on SE participation, followed by trust and utilitarian value, while social value and sustainability have the smallest effects. The analysis reveals a complex pattern of global contingency effects that firms should consider when advancing their entry strategies, formulating governance mechanisms, and evaluating promising markets. Kozlenkova et al. integrate their key insights into three tenets, reflecting the most important and surprising findings. These tenets are grounded in the vitally important roles of inequality, the hierarchy of needs, and governance mechanisms that can serve as a platform for establishing an emerging perspective of global SE participation.

Marketing metrics represent another critically important topic that has received little research attention in IM or IB. Sound managerial decisions and marketing strategy are based on quantitative measures, including outcomes (Moorman & Day, 2016 ). In their contribution to this special issue, Mintz, Currim, Steenkamp, and de Jong focus on metric use in marketing decisions across 16 countries, using a cultural perspective. The authors leverage a rich dataset containing more than 4,300 marketing decisions in more than 1,600 firms across 16 countries. Respondents chose from 24 general metrics pertinent to marketing (12) and financial (12) decisions, plus 6 metrics specific to each of 10 marketing mix decisions. The findings indicate that, for all markets combined, an average of 9 metrics are used per marketing decision. With nearly 12 metrics per decision, South Korean managers use the highest number of metrics, while Japanese managers use the fewest, with approximately 4 metrics per marketing decision. China and India, each with approximately 11 metrics, are close to Korea and are heavy users of marketing metrics, whereas France and the United States, with nearly 6 and 7, respectively, are moderate users of metrics in decision-making. Importantly, satisfaction, awareness, and return on investment are the three most commonly used metrics across markets. In addition, the study finds that metric use is affected by both firm and country culture.

Business-to-business (B2B) electronic platforms (e-platforms) play a critical role in helping exporting firms reach, serve, and penetrate foreign markets. However, the IB literature is unclear about how and under what conditions firms can use B2B e-platforms to boost their export performance outcomes. Drawing on signaling theory, Jean, Kim, Zhou, and Cavusgil propose and empirically test a model that investigates how exporters’ e-platform use affects export sales performance by boosting foreign market contact (i.e., quotations from foreign buyers) and how the institutional environment and export growth strategies influence the e-platform use–foreign market contact link. Using survey and archival lagged data on a sample of 205 exporters that subscribe to Alibaba.com, the authors reveal that e-platform use enhances foreign buyer contact and, in turn, export sales performance. The findings also suggest that the positive impact of e-platform use among exporters is further boosted when they come from regions that have less-developed market intermediaries or under conditions of high institutional distance between the home and host countries. The study also demonstrates that the effect of e-platform use on a foreign buyer contact becomes weaker under conditions of high export market diversification or high product diversification.

Platform-based mobile payments have experienced significant growth worldwide in recent years, partly because they offer unique value for both customers and companies over other digital payment methods. Kumar, Nim, and Agarwal note, however, that patterns of such payment adoption grow differently across countries, with some emerging countries (e.g., China) outperforming developed ones. The authors propose a conceptual model of mobile payment adoption, and develop hypotheses using explanations from the literature on network effects and institutional theory. Based on data collected across 30 countries (17 developed and 13 emerging), the study confirms the existence of network effects and differential influences of perceived value, inertia, and cultural factors on the mobile payment adoption of innovators and imitators. The presence of significant heterogeneity both within and between countries regarding the adoption of mobile payments, which offers additional evidence of leapfrogging by emerging markets with regard to mass mobile payment use, has important implications for theory development and marketing management practice in IB.

Global brands and perceived brand globalness (PBG) research have received much scholarly attention in the IM literature (Aaker & Joachimsthaler, 1999 ; Batra, Ramaswamy, Alden, Steenkamp, & Ramachander, 2000 ; Steenkamp et al., 2003 ). Contributing to this growing literature, Mandler, Bartsch, and Han tap the potential aversion to globalization among consumers and examine sentiments with respect to branding as the basis for corporate decisions regarding the appropriateness of global branding. The authors leverage signaling theory to conduct two studies that (1) assess brand credibility on the basis of consumer PBG and perceived brand localness (PBL) across two countries (Germany and South Korea), and (2) examine the role of three moderators (perceived country of origin, category social signaling value, and category cultural grounding). The findings demonstrate that both PBG and PBL are positively associated with brand credibility across markets; a split-sample test offers a contrast between globalized and globalizing markets, and demonstrates a relationship between brand credibility and PBL in Germany but not in South Korea, where brand credibility is associated with PBG. The study reports the impact of brand origin on brand credibility and demonstrates that effect of PBL on brand credibility does not vary with the brand’s origin in Germany, but the effect is stronger for domestic brands than for foreign brands in South Korea. The contrast between consumer perceptions in globalized and globalizing markets offers fruitful theoretical and managerial implications, while raising a series of consumer and IM strategy questions that have the potential to expand the boundaries of IM knowledge.

Origin-related research and animosity with reference to consumer perceptions, preferences, and choice have played major roles in the marketing literature (Klein, Ettenson, & Morris, 1998 ; Lu, Heslop, Thomas, & Kwan, 2016 ; Samiee, 1994 ; Verlegh & Steenkamp, 1999 ). In line with this stream of IM research, Westjohn, Magnusson, Peng, and Jung contrast animosity’s effect on product judgement versus willingness to buy. The first part of their contribution consists of a meta-analysis of 43 post–Klein et al. ( 1998 ) published works focusing on animosity, involving 18 nations, to address the inconsistencies reported in the literature. The authors follow this with an examination of the contextual role of culture on animosity effects using six experiments in the United States and China. They leverage three Hofstede dimensions (i.e., collectivism, long-term orientation, and power distance), measured at the individual level. The results indicate that collectivism and long-term orientation lessen the negative effects of animosity and support the position that animosity’s effect on willingness to buy is stronger than it is on product judgments. The findings offer useful insights for managers regarding, among others, consumers’ attitudes toward brands. Although the findings indicate that product judgements are not affected by animosity, the results indicate that product sales could be affected. In addition to demonstrating cross-cultural differences, the authors find that cultural values influence consumers’ willingness to buy.

The establishment, development, and management of cross-border interorganizational exchange relationships has received considerable research attention in the IB literature (e.g., Bello & Gilliland, 1997 ; Robson, Katsikeas, Schlegelmilch, & Pramböck, 2019 ; Skarmeas, Katsikeas, & Schlegelmilch, 2002 ). The starting point for Obadia and Robson’s study is the inconsistent findings in the literature regarding the effects of cooperation on performance in exporter–importer relationships. The authors argue that the relationship of cooperation with performance in IB associations has an inverted U shape; at high levels, the performance impact of cooperation weakens greatly and becomes negative. They also find that the importer’s specific investments mediate the link between cooperation and performance, which advances the idea that relational phenomena affect exporter performance only if they foster an importer’s productive behaviors. The study also points to the role of interdependence in moderating the inverted U-shaped relationship between cooperation and the importer’s specific investments. The findings reveal that a limited increase of interdependence enhances the impact of low to moderate levels of cooperation on the importer’s specific investments.

CONCLUDING REMARKS

Overall, criticisms of IM scholarship (e.g., Buckley, 2002a ; Douglas & Craig, 1992 ; Kotabe, 2001 ) are generally well placed and to the point. Marketing and IM are pivotal to a firm’s existence and should play overarching roles in charting firms’ management and strategy. Yet IM has largely abandoned the “big picture” by focusing on microresearch and behavioral questions, notably, country-of-origin, and cross-cultural consumer behavior topics (Day, 1996 ; Kotabe, 2001 ; Leonidou et al., 2017 ).

Much work remains for IM scholars to advance the field by placing greater emphasis and effort on strategy-related topics and exploring macro-areas of business: for example, by bridging IM strategy with regard to market entry modes and globalization and addressing issues related to disruptive external change to global supply chains and e-commerce, among others. Indeed, Buckley’s ( 2002b ) position regarding the past successes of IB scholarship in exploring international market entry (the “big picture”) may seem premature if one agrees that marketing, a central concern of which is the customer and the idiosyncrasies associated with the demand-side, is largely absent from much of this success. The relative absence of “marketing” in much of the market entry literature is a call for IB and IM scholars to leverage this critical aspect of firms’ internationalization decisions. This view is consistent with Drucker’s position that “Concern and responsibility for marketing must therefore permeate all areas of the enterprise” (Drucker, 1954 , pp. 38–39). Additionally, the fact that IB and IM are close in their fundamentals, and that the IM knowledge structure significantly taps into management scholarship (Buckley, 2002a ; Samiee & Chabowski, 2012 ), further validates marketing’s relevance and centrality in the broader international business thought. Consequently, the perceived proximity of these disciplines appears to be greater than one might expect. A major strength of IB has been its ability to embrace and integrate other business disciplines from which crucial research questions emerge (Peng, 2004 ). A more marketing- and customer-centric view of IB research is also in line with this position.

There appears to be ample research opportunity to adopt a marketing mindset in IB research and to explicitly introduce marketing considerations to achieve a marketing-based view of IB activities, most notably the macro-issues, including market entry mode choice, international expansion patterns, cross-border buyer–seller relationships, and strategic alliances. Although this special issue is primarily intended to inspire and broadly direct researchers’ focus on developing IM projects that fill key knowledge gaps in IM thought, in keeping with Drucker’s and Levitt’s positions regarding the marketing purpose of all enterprises, we very much hope that this work offers pathways for general IB scholars to embrace, leverage, and contribute to IM knowledge.

The proportion of marketing articles reported by Griffith et al. ( 2008 ) is likely inflated, as two of the six journals surveyed are dedicated entirely to international marketing topics.

This issue maybe exacerbated by the use of varying terminologies across disciplines; however, despite marketing’s centrality in business, “marketing” and “consumer” or “customer” are rare terms in much IB research (cf. Anand & Kogut, 1997 ; Hejazi, Tang, & Wang, 2020 ).

MSI is a non-profit organization led by academic researchers, in collaborations with industry, aiming to address marketing issues faced by firms. Although we do not observe an ongoing internationally related research momentum in its current list of priorities, MSI has periodically addressed selective IM-related topics.

We also calculated citation per year to account for the timing of the published works; however, as Tables 1 and 2 show, among the highly cited works, the most-cited set and the order of articles remain largely the same.

This includes intracorporate export transactions involving parts and semifinished products. International firms frequently require subsidiaries to effectively compete in quality, price, and service with other suppliers, effectively marketing themselves as the premier supplier to the internal customer. Even if intrafirm export sales were guaranteed, as is the case in some firms, the final assembled product must still compete with other firms in every respect. In other words, the marketing function of intracorporate export transactions is merely pushed to the firm assembling and selling the final product.

Several journals, led by Journal of International Marketing and International Marketing Review , are dedicated to publishing scholarly IM research.

This is based on the spatial configuration generated by multidimensional scaling for works published in 34 scholarly journals (2,709 articles) in the 2004–2008 period. Other analyses (factor analysis and clustering) produced slightly fewer knowledge groups.

Estimates of the number of publications in this IM domain vary. For example, Samiee and Chabowski ( 2021 ) identify more than 482 country-of-origin publications listed in the Web of Science database, whereas Lu et al. ( 2016 ) estimate that the number of country-of-origin-related publications exceed 600.

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Saeed Samiee

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Broad College of Business, Michigan State University, East Lansing, MI, USA

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Samiee, S., Katsikeas, C.S. & Hult, G.T.M. The overarching role of international marketing: Relevance and centrality in research and practice. J Int Bus Stud 52 , 1429–1444 (2021). https://doi.org/10.1057/s41267-021-00433-2

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INTERNATIONAL MARKETING RESEARCH PROCESS

An International Marketing Research Process is the systematic gathering, recording, and analyzing data to provide information useful to marketing decision-making. The information must be communicated across cultural boundaries and these research tools are then often applied in foreign markets. General information about the country, area, and/or market is necessary to forecast future marketing. These requirements are done by anticipating social, economic, consumer, and industry trends within specific markets or countries. Specific market information is then used to make the product, promotion, distribution, and price decisions and develop marketing plans. In domestic operations, most emphasis is placed on gathering specific market information because the other data are often available from secondary sources.

Types of Information:

  • Economic and demographic: Data on growth in the economy, inflation, business cycle trends; profitability analysis for the division’s products, specific industry economic studies, analyses of overseas economies, key economic indicators for the US and overseas, and population trends (migration, aging, and immigration).
  • Cultural, sociological, and political climate: A non-economic review of conditions affecting the division’s business. Covers ecology, safety, leisure time, and their impact on the business.
  • Market conditions: Analysis of market conditions the division faces by market segment including international conditions.
  • Technological environment: Summary of the state of the art technology as it relates to the division’s business. Needs to be broken down by product segment.
  • Competitive situation:  Review of competitor’s sales revenues, methods of market segmentation, products, and apparent strategies on an international scope.

Research Process:

  • Define the research problem and establish research objectives.
  • Determine the sources of information to fulfill the research objectives.
  • Consider the costs and benefits of the research.
  • Gather the relevant data from secondary or primary sources or both.
  • Analyze, interpret, and summarize the results.
  • Effectively communicate the results to decision-makers.

*Variations and/or problems in implementation occur because of differences in cultural and economic development.*

Economic Dualism

A way of conceptualizing the existence of two (sometimes more) separate but symbiotic sets of economic processes or markets within the same political or national social framework. In third world societies, for example, a dual economy is formed by the coexistence of peasant subsistence agriculture and cash production of basic commodities or industrial goods for the international marketing research process. An analogous division exists in highly industrialized economies between the corporate core and peripheral firms and labor markets.

Multicultural Research Involves countries that have different languages, economies, social structures, behavior, and attitude patterns. Keep this in mind when designing cultural research to ensure comparability and equivalency of results. Different methods have varying reliabilities in different countries (thus different research methods should be applied in different countries). Example: In Latin American countries it is difficult to attract consumers to participate in focus groups because of different views about commercial research and the value of their time. The Japanese don’t respond to mail surveys compared to Americans. Evidence suggests that inefficient attention is paid to non-sampling errors in improperly conducted multicultural studies and the appropriateness of research measure that has not been tested in the multi-cultural context.

Internet Research/P rivacy Issues (a matter of personal and legal consideration) The ability to conduct primary research is one of the most exciting aspects of the internet but the bias of a sample universe composed solely of internet respondents present severe limitations. The firms vary in their abilities to turn data collected into competitive advantages. Today, the real power of the internet for international market research is the ability to easily access volumes of secondary data. Online surveys and buyer panels-have better “branching abilities” (asking different questions based on previous answers). Below are some examples of research. – Online focus groups: Use of bulletin boards. – Web visitor tracking: Auto track time visitors travel through websites. – Advertising measurement: Servers track links to other sites to assess their usefulness. Customer identification systems-track visits and purchases over time creating a “virtual panel”. – E-mail marketing lists: Sign up for direct marketing efforts via the internet. – Embedded research: The internet process people go through searching for info about products, comparison shopping, interacting w/service providers, etc is the research process itself (firms that give the option of custom designing products online are the ultimate in applying research for product development purposes). – Observational research: Chat rooms, blogs, and personal websites monitored to assess customer’s opinions about products.

Two Methods for Forecasting Market Demand 1) Expert Opinion: For market estimation problems, growth rates, and market size particularly in foreign countries new to the marketer, expert opinion is advisable. The key to using expert opinion to forecast demand is triangulation and comparing estimates produced by different sources. 2) Analogy: Assumes that demand for a product develops in much the same way in all countries as comparable economic development occurs in each country. The relationship between a known situation and country in question. Advanced techniques include multiple regression analysis or input-output analysis.

In Review: – The key component in developing successful international marketing research process strategies and avoiding major market blunders is information. – If a researcher interested in a general non-economic review of conditions affecting the company’s business, the best area avenue would be a cultural, sociological, and political estimate. – If a company wants to gather information on its own market environment you should define the research problem and establish research objectives. – Consulting with customers regarding research design is not a standard step in the research process. – The availability and accuracy of recorded secondary data increases as the level of economic development increases. – Survey questionnaires are primary data. – Yes/No questions research format is quantitative research. – The open-ended questions research format is qualitative research. – Lack of randomness in the population is not a problem of drawing a random sample in the international environment. – The language barrier is the most universal survey research problem in foreign countries. – Back translation is when a researcher translates a questionnaire into another language and then another translator translates it back into the original language. – Parallel translation: Analogy assumes that demand for a product develops in much the same way in all countries as comparable economic development occurs in each country.

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International Marketing: Definitions, Scope, Importance, Nature, Characteristics, Significance, Difference

What is international marketing.

International marketing refers to marketing carried out by companies overseas or across national boundaries. This strategy uses an extension of the techniques employed in the house country of a firm.

This is primarily due to the numerous factors that the organization has to take into consideration these include the geographical, economic, cultural, political and legal environment . It is important to understand that the marketing environment plays a great role in all businesses.

Definition of International Marketing

[su_quote cite=”Hess and Cateora”] International marketing is “the performance of business activities that direct the flow of goods and services to consumers or users in more than one nation.” It is different from domestic marketing in as much as the exchange takes place beyond the frontiers, thereby involving different markets and consumers who might have different needs, wants and behavioural attributes.[/su_quote]

[su_quote cite=”Terpstra and Sorathy”] International marketing consists of finding and satisfying global customer needs better than the competition, both domestic and international and of coordinating marketing activities within the constraints of the global environment.”[/su_quote]

[su_quote cite=”Cateora and Graham”]International marketing is the performance of business activities designed to plan, price, promote and direct the flow of a company’s goods and services to consumers or users in more than one nation for a profit.[/su_quote]

Scope of International Marketing

This is the easiest form of International Marketing a company can get into importing from one country and selling in the domestic market. This is attainable solely in an exceedingly state of affairs wherever there’s demand within the domestic marketplace for foreign merchandise or services. Companies also localize the imported product depending on the needs of the market.

Opposite of importation and mercantilism, firms export their finalized product to international markets or on to their different franchises in far flung markets wherever they will sell the product to their localities for generating huge revenues.

Contractual Agreements

Whenever a business moves on the far side of its domestic boundaries, its scope of international marketing exposes it to greater chances of doing a lot more business. The market expands, the consumer base expands and even volumes and profits expand. Companies grow exponentially by going into written agreement agreements with many different partners overseas.

Joint Venturing

Two brands will close and enter a possible market. The investments, profit or losses are pre-decided in terms of both value and time period. At times it’s useful for firms to enter into a squad to raise the scope of international selling as a result of barriers to new entrants in foreign markets.

A local partner will sway be vastly helpful for doing business not solely operationally but conjointly from a domestic understanding of the market dynamics.

Fully Owned Manufacturing

Growth opportunities.

There are lots of growth opportunities for both of the countries, developing and underdeveloping countries by trading with each other at a global level. The imports and exports of the countries grow their profits and help them to grow at a global level.

Foreign Investments

Difference between domestic and international marketing.

The activities of production, promotion, , distribution, selling and customer satisfaction within one’s own country.Marketing activities are undertaken across the globe.
There is less government influence.Companies have to deal with the rules and regulations of various countries.
More reliance on indigenous technology.There is an advantage that the business organizations can have access to the latest technology of numerous countries.
Cultural adjustment issues are less challenging.Cross cultural adjustment issues are very challenging.
The risk factor and challenges are comparatively less in the case of domestic marketing.The risk involved and challenges in the case of international marketing are very high due to some factors like sociocultural differences, exchange rates, setting an international price for the product and so on.
Requires less investment for acquiring resources and involves less research due to the familiarity of the market.Requires huge capital investment and in depth research of the foreign markets.

Importance of International Marketing

Expand target market.

The target market of a marketing organization will be limited if it just concentrates on the domestic market. When an organization thinks globally, it looks for overseas opportunities to increase its market share and customer base.

Boost Brand Reputation

Connect business with world.

Apple has not restricted its business to a nation, but rather expanded it throughout the world. The opportunities for networking internationally are limitless. The more “places” a business is, the more connections it can make with the world.

Open Door For Future Opportunities

For example, American organizations investing in Japan have found programs like Six Sigma and Theory Z which are helpful in shaping their business strategies.

Characteristics of International Marketing

These are the important characteristics of international marketing are as follows:

Different Legal System

The United Nations Commission on International Trade Law is also supporting the opinion of uniformity and is doing an effort to bring uniformity in International Trade Law.

Market Characteristics

Monetary system.

The monetary system of each country is decided by the government of that country and the exchange value of the country’s currency is determined by the forces of supply and demand.

Procedure and Documentation

Every country has its own procedure of documentation requirements for the purpose of experts. Every business house has to comply with these rules and regulations for the purpose of exports and imports.

Nature of International Marketing

Large scale operations, broader market.

It provides wider platform for advertising products at an international level. Business can target their products among large populations residing in different nations. Marketing is not limited to any local area or nation but is free for all across the globe.

Intense Competition

Higher risk and challenges.

Marketing at an international level involves a large amount of risk and challenges as it is dependent upon various factors and conditions. These risks arise due to political factors, cultural and regional differences, language barriers, changing styles and fashions of customers, sudden war or changes in government regulations.

International Restrictions

Organizations in international market need to follow all tariff and non-traffic constraints. There are various restrictions imposed due to differences in rules and regulations among nations at the global level. All nations perform import and export following the restrictions imposed in the international market.

Controlling Nature

Subject to diplomatic relations, involves at least two set of uncontrollable variables.

In domestic marketing, the marketers have to interact with only one set of uncontrollable variables. In international marketing, at least two sets of uncontrollable variables are involved or more if the marketing organization deals in more countries.

Business Should Have Broader Competence

Significance of international marketing.

The term International marketing refers to exchanges across national boundaries for the satisfaction of human needs and wants. International Marketing affects consumers in many ways, though its importance is neither well understood nor appreciated. Following are the significance of international marketing :

Most of the countries in the world are lacking market size, resources and opportunities. Therefore, it is their compulsion to trade with other countries for their survival. Since the European countries are small in size, without overseas markets, their firms would not have sufficient economies of scale to be competitive with US-based firms.

Growth of International market

The slow growth of the US population and changing lifestyle viewed the growth of other markets with a critical eye. It is evident that Russian smokers show no concern about the health risks. And international giants Philip Moris Co., R.J. Reynolds, Tobacco International SA and British-American Tobacco Co. have entered the market very aggressively.

Sales and Profits

It is clear that there is a large potential to sell the products in the international market. The international market constitutes a large amount of share of the total business of many firms. Further, it is evident that many large US-based companies have performed very well in the overseas market. IBM and Compaq are the best examples in this regard.

Thus, the market is at a saturation level whereas there is still great potential for its future growth in other countries. Thus, it can be concluded that the international market provides huge potential to increase the sales value and profits of the firms.

Benefit from Diversification

It is the only solution for such kinds of risks to diversify a company’s risk and to consider the foreign markets as the only solution to overcome variable demand. Such markets can provide outlets for excess production capacity and can easily counter such fluctuations. Seasonal factors, for instance, may affect the consumption level of soft drinks.

And keeping in mind such limitation, the soft drink industries are spreading their marketing activities throughout the global market. It has been observed that global selling has enabled the company to carry on with production throughout the year and help the companies to stabilize their business.

Inflation and Price Modernization

The lack of alternatives in imported products may compel consumers to pay more for the products to local firms, resulting in inflation and excess profits for local firms.

International Marketing and Standard of Living

International marketing helps the countries and their citizens to increase their standard of living. On the other hand, without trade, there may be product shortages and which may force people to pay more or less. International trade make easy for industries to get specialization and gain access to raw materials.

Objectives of International Marketing

Faq related to international marketing, what is the simple definition of international marketing, what is the meaning of international marketing.

International marketing consists of finding and satisfying global customer needs better than the competition, both domestic and international and of coordinating marketing activities within the constraints of the global environment.

What is the scope of international marketing?

What is the importance of international marketing, what are the characteristics of international marketing.

Following are the characteristics of international marketing: 1. Different Legal System 2. Market Characteristics 3. Monetary System 4. Procedure and Documentation.

What are the nature of international marketing?

What are the significance of international marketing, leave a reply cancel reply.

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International Marketing

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International Marketing - Objectives

International marketing simply means the sale and purchase of products and services in a market that acts as a platform for several other markets. Companies from different countries attempt to draw customers by advertising their products and services on the same platform.

Advertising Products and Services

The major objectives of international marketing are outlined as follows −

To enhance free trade at global level and attempt to bring all the countries together for the purpose of trading.

To increase globalization by integrating the economies of different countries.

To achieve world peace by building trade relations among different nations.

To promote social and cultural exchange among the nations.

To assist developing countries in their economic and industrial growth by inviting them to the international market thus eliminating the gap between the developed and the developing countries.

To assure sustainable management of resources globally.

To propel export and import of goods globally and distribute the profit among all participating countries.

To maintain free and fair trade.

International marketing aims to achieve all the objectives and establish a connection among the nations that participate in global trade. Establishing a business in one’s home country has limited restrictions and demands but when it comes to marketing at international level, one has to consider every minute detail and the complexities involved therein. In such instances, the demand grows as the market expands, preferences change and the company has to abide by the rules and regulations of two or more countries.

Some basic modes are followed to enter into the global market and the organizations planning to expand their business globally need to know some basic terms. These have been discussed in the next chapter.

Marketing Research – Meaning, Scope, Objectives & Process

Meaning of marketing research.

Marketing research is a process of analyzing and conducting research about the market to understand market trends. It involves proper collection, analysis and interpretation of information regarding market conditions. Marketing research is mainly conducted to identify changes in preferences and behaviour of customers arising from the change in market mix elements viz. promotion, place, price and product. It may be defined as the mechanism which helps in linking the customers, producers and several other end users to the marketer and help in finding and communicating of all required information.

Scope of Marketing Research

Scope of Marketing Research

Determines Customer Behaviour

Provide valuable data.

Effective decision making of any organisation depends entirely on the quality of information available with it. Marketing research supplies all important information about the market to the management team. It keeps organisation aware of market factors like demand, supply, competition, technological changes, consumer behaviour etc. All this information is vital for strategic decision making. Managers frame all their organisation policies in accordance with data supplied by marketing research.

Helps in Sales Forecasting

Lower business risk.

Marketing research plays an important role in reducing business risk and raising the revenue of the business organisation. It helps businesses in carrying on their operations in accordance with market requirements. The business acquires all current data and generalized information about market trends. All decisions are taken in order to focus on the customer’s current demands and thereby producing the right product. This results in avoiding resources of organisation and lowering risk.

Evaluate Market Performance

Facilitates introduction of new products.

Marketing research enables the business to examine and introduce their new products in the market. It enables to conduct testing of new products in small or local markets initially and studies consumer reaction towards it. This helps the business in understanding the deficiencies and problem in their product. They can accordingly overcome these issues and develops an efficient marketing mix for their product. All these helps in minimising the risk involved in the launching of a new product. 

Choose Best Promotion Techniques

Objectives of marketing research.

Objectives of Marketing Research

Identify Customer Needs And Expectations

Marketing research helps business in understanding the needs and wants of customers. Proper knowledge of what customer want is necessary to deliver the products as per their expectations. Marketing research involves reaching out to customers and interacting with them to understand their demands. It helps in developing the right product as per customer requirements.

Minimise Marketing Costs

Setting up proper price policy, finds target market and new opportunities.

Identifying potential customers and new opportunities are important for grabbing the market. Marketing research explores the wide and large market and find out the opportunities for new products by recognising the unfulfilled needs of customers.

Recognise Deficiencies In Product

These suggestions and feedback from customer help the customers in improving their product quality. Marketing research also informs of any technological changes in market to business so that accordingly changes can be made timely.

Product Positioning In Market

Process of marketing research, problem identification.

The first and foremost step in the marketing research process. The identification of problems. For which the research is to be conducted. Unless and until the problem is recognized clearly. No clear cut plan can be formed leading to wastage of resources.

Research Plan Formulation

Acquiring and gathering information, interpretation of information.

The successful collection of all required information. A systematic and proper study is to be done. To conduct a successful analysis of all collected information. To get details in accordance with the research plan.

Result Presentation

Decision making.

Marketing research plays an important role in studying consumer behaviour. It is very efficient tool for the marketers to understand the trends of the market that mainly consists of information relating to new product launch in the market, trends in consumer demand, pricing strategy of the competitor and available close substitutes of the product.

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9 Best Marketing Research Methods to Know Your Buyer Better [+ Examples]

Ramona Sukhraj

Published: August 08, 2024

One of the most underrated skills you can have as a marketer is marketing research — which is great news for this unapologetic cyber sleuth.

marketer using marketer research methods to better understand her buyer personas

From brand design and product development to buyer personas and competitive analysis, I’ve researched a number of initiatives in my decade-long marketing career.

And let me tell you: having the right marketing research methods in your toolbox is a must.

Market research is the secret to crafting a strategy that will truly help you accomplish your goals. The good news is there is no shortage of options.

How to Choose a Marketing Research Method

Thanks to the Internet, we have more marketing research (or market research) methods at our fingertips than ever, but they’re not all created equal. Let’s quickly go over how to choose the right one.

objectives of international marketing research

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1. Identify your objective.

What are you researching? Do you need to understand your audience better? How about your competition? Or maybe you want to know more about your customer’s feelings about a specific product.

Before starting your research, take some time to identify precisely what you’re looking for. This could be a goal you want to reach, a problem you need to solve, or a question you need to answer.

For example, an objective may be as foundational as understanding your ideal customer better to create new buyer personas for your marketing agency (pause for flashbacks to my former life).

Or if you’re an organic sode company, it could be trying to learn what flavors people are craving.

2. Determine what type of data and research you need.

Next, determine what data type will best answer the problems or questions you identified. There are primarily two types: qualitative and quantitative. (Sound familiar, right?)

  • Qualitative Data is non-numerical information, like subjective characteristics, opinions, and feelings. It’s pretty open to interpretation and descriptive, but it’s also harder to measure. This type of data can be collected through interviews, observations, and open-ended questions.
  • Quantitative Data , on the other hand, is numerical information, such as quantities, sizes, amounts, or percentages. It’s measurable and usually pretty hard to argue with, coming from a reputable source. It can be derived through surveys, experiments, or statistical analysis.

Understanding the differences between qualitative and quantitative data will help you pinpoint which research methods will yield the desired results.

For instance, thinking of our earlier examples, qualitative data would usually be best suited for buyer personas, while quantitative data is more useful for the soda flavors.

However, truth be told, the two really work together.

Qualitative conclusions are usually drawn from quantitative, numerical data. So, you’ll likely need both to get the complete picture of your subject.

For example, if your quantitative data says 70% of people are Team Black and only 30% are Team Green — Shout out to my fellow House of the Dragon fans — your qualitative data will say people support Black more than Green.

(As they should.)

Primary Research vs Secondary Research

You’ll also want to understand the difference between primary and secondary research.

Primary research involves collecting new, original data directly from the source (say, your target market). In other words, it’s information gathered first-hand that wasn’t found elsewhere.

Some examples include conducting experiments, surveys, interviews, observations, or focus groups.

Meanwhile, secondary research is the analysis and interpretation of existing data collected from others. Think of this like what we used to do for school projects: We would read a book, scour the internet, or pull insights from others to work from.

So, which is better?

Personally, I say any research is good research, but if you have the time and resources, primary research is hard to top. With it, you don’t have to worry about your source's credibility or how relevant it is to your specific objective.

You are in full control and best equipped to get the reliable information you need.

3. Put it all together.

Once you know your objective and what kind of data you want, you’re ready to select your marketing research method.

For instance, let’s say you’re a restaurant trying to see how attendees felt about the Speed Dating event you hosted last week.

You shouldn’t run a field experiment or download a third-party report on speed dating events; those would be useless to you. You need to conduct a survey that allows you to ask pointed questions about the event.

This would yield both qualitative and quantitative data you can use to improve and bring together more love birds next time around.

Best Market Research Methods for 2024

Now that you know what you’re looking for in a marketing research method, let’s dive into the best options.

Note: According to HubSpot’s 2024 State of Marketing report, understanding customers and their needs is one of the biggest challenges facing marketers today. The options we discuss are great consumer research methodologies , but they can also be used for other areas.

Primary Research

1. interviews.

Interviews are a form of primary research where you ask people specific questions about a topic or theme. They typically deliver qualitative information.

I’ve conducted many interviews for marketing purposes, but I’ve also done many for journalistic purposes, like this profile on comedian Zarna Garg . There’s no better way to gather candid, open-ended insights in my book, but that doesn’t mean they’re a cure-all.

What I like: Real-time conversations allow you to ask different questions if you’re not getting the information you need. They also push interviewees to respond quickly, which can result in more authentic answers.

What I dislike: They can be time-consuming and harder to measure (read: get quantitative data) unless you ask pointed yes or no questions.

Best for: Creating buyer personas or getting feedback on customer experience, a product, or content.

2. Focus Groups

Focus groups are similar to conducting interviews but on a larger scale.

In marketing and business, this typically means getting a small group together in a room (or Zoom), asking them questions about various topics you are researching. You record and/or observe their responses to then take action.

They are ideal for collecting long-form, open-ended feedback, and subjective opinions.

One well-known focus group you may remember was run by Domino’s Pizza in 2009 .

After poor ratings and dropping over $100 million in revenue, the brand conducted focus groups with real customers to learn where they could have done better.

It was met with comments like “worst excuse for pizza I’ve ever had” and “the crust tastes like cardboard.” But rather than running from the tough love, it took the hit and completely overhauled its recipes.

The team admitted their missteps and returned to the market with better food and a campaign detailing their “Pizza Turn Around.”

The result? The brand won a ton of praise for its willingness to take feedback, efforts to do right by its consumers, and clever campaign. But, most importantly, revenue for Domino’s rose by 14.3% over the previous year.

The brand continues to conduct focus groups and share real footage from them in its promotion:

What I like: Similar to interviewing, you can dig deeper and pivot as needed due to the real-time nature. They’re personal and detailed.

What I dislike: Once again, they can be time-consuming and make it difficult to get quantitative data. There is also a chance some participants may overshadow others.

Best for: Product research or development

Pro tip: Need help planning your focus group? Our free Market Research Kit includes a handy template to start organizing your thoughts in addition to a SWOT Analysis Template, Survey Template, Focus Group Template, Presentation Template, Five Forces Industry Analysis Template, and an instructional guide for all of them. Download yours here now.

3. Surveys or Polls

Surveys are a form of primary research where individuals are asked a collection of questions. It can take many different forms.

They could be in person, over the phone or video call, by email, via an online form, or even on social media. Questions can be also open-ended or closed to deliver qualitative or quantitative information.

A great example of a close-ended survey is HubSpot’s annual State of Marketing .

In the State of Marketing, HubSpot asks marketing professionals from around the world a series of multiple-choice questions to gather data on the state of the marketing industry and to identify trends.

The survey covers various topics related to marketing strategies, tactics, tools, and challenges that marketers face. It aims to provide benchmarks to help you make informed decisions about your marketing.

It also helps us understand where our customers’ heads are so we can better evolve our products to meet their needs.

Apple is no stranger to surveys, either.

In 2011, the tech giant launched Apple Customer Pulse , which it described as “an online community of Apple product users who provide input on a variety of subjects and issues concerning Apple.”

Screenshot of Apple’s Consumer Pulse Website from 2011.

"For example, we did a large voluntary survey of email subscribers and top readers a few years back."

While these readers gave us a long list of topics, formats, or content types they wanted to see, they sometimes engaged more with content types they didn’t select or favor as much on the surveys when we ran follow-up ‘in the wild’ tests, like A/B testing.”  

Pepsi saw similar results when it ran its iconic field experiment, “The Pepsi Challenge” for the first time in 1975.

The beverage brand set up tables at malls, beaches, and other public locations and ran a blindfolded taste test. Shoppers were given two cups of soda, one containing Pepsi, the other Coca-Cola (Pepsi’s biggest competitor). They were then asked to taste both and report which they preferred.

People overwhelmingly preferred Pepsi, and the brand has repeated the experiment multiple times over the years to the same results.

What I like: It yields qualitative and quantitative data and can make for engaging marketing content, especially in the digital age.

What I dislike: It can be very time-consuming. And, if you’re not careful, there is a high risk for scientific error.

Best for: Product testing and competitive analysis

Pro tip:  " Don’t make critical business decisions off of just one data set," advises Pamela Bump. "Use the survey, competitive intelligence, external data, or even a focus group to give you one layer of ideas or a short-list for improvements or solutions to test. Then gather your own fresh data to test in an experiment or trial and better refine your data-backed strategy."

Secondary Research

8. public domain or third-party research.

While original data is always a plus, there are plenty of external resources you can access online and even at a library when you’re limited on time or resources.

Some reputable resources you can use include:

  • Pew Research Center
  • McKinley Global Institute
  • Relevant Global or Government Organizations (i.e United Nations or NASA)

It’s also smart to turn to reputable organizations that are specific to your industry or field. For instance, if you’re a gardening or landscaping company, you may want to pull statistics from the Environmental Protection Agency (EPA).

If you’re a digital marketing agency, you could look to Google Research or HubSpot Research . (Hey, I know them!)

What I like: You can save time on gathering data and spend more time on analyzing. You can also rest assured the data is from a source you trust.

What I dislike: You may not find data specific to your needs.

Best for: Companies under a time or resource crunch, adding factual support to content

Pro tip: Fellow HubSpotter Iskiev suggests using third-party data to inspire your original research. “Sometimes, I use public third-party data for ideas and inspiration. Once I have written my survey and gotten all my ideas out, I read similar reports from other sources and usually end up with useful additions for my own research.”

9. Buy Research

If the data you need isn’t available publicly and you can’t do your own market research, you can also buy some. There are many reputable analytics companies that offer subscriptions to access their data. Statista is one of my favorites, but there’s also Euromonitor , Mintel , and BCC Research .

What I like: Same as public domain research

What I dislike: You may not find data specific to your needs. It also adds to your expenses.

Best for: Companies under a time or resource crunch or adding factual support to content

Which marketing research method should you use?

You’re not going to like my answer, but “it depends.” The best marketing research method for you will depend on your objective and data needs, but also your budget and timeline.

My advice? Aim for a mix of quantitative and qualitative data. If you can do your own original research, awesome. But if not, don’t beat yourself up. Lean into free or low-cost tools . You could do primary research for qualitative data, then tap public sources for quantitative data. Or perhaps the reverse is best for you.

Whatever your marketing research method mix, take the time to think it through and ensure you’re left with information that will truly help you achieve your goals.

Don't forget to share this post!

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Home • Knowledge hub • 8 Reasons Why Companies Need to Research Their International Markets

8 Reasons Why Companies Need to Research Their International Markets

objectives of international marketing research

Market research is an essential activity for companies of all kinds. When entering a new local market or category, it’s crucial to do as much research as possible in many areas to ensure you’re as prepared as possible to launch successfully, with minimal risk.

Market research is even more important when entering an international market, as the stakes are higher, and you’ll be facing entirely new market conditions.

This article will examine international market research, how it typically differs from what you’re used to in your domestic market, and some of the main reasons companies need to do it.

What is international market research?

International market research is a blanket term for all the research and preparation on a new market, usually before entering it. Unlike domestic market research, international market research focuses on an overseas market, often with different cultures, business conditions, and consumer behaviors.

There are many different methods and stages involved in international market research. In some cases, the particular methods and techniques are the same as domestic market research, but your overall strategy will likely be very different.

What are the objectives of international marketing research?

International market research is a way of understanding a new, overseas market before you launch a product or service there. The main objectives are to understand your target customers, identify any challenges, get familiar with your competitors, and do anything else to boost your chances of success and avoid unpleasant surprises.

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objectives of international marketing research

How is international market research different from domestic research?

There are several key differentiating factors between domestic market research and international market research. Here are three of the key differences:

1. You’re entering a market with social and cultural differences

Domestic market research is already tricky, but the often vast differences between your home country and your target country make international market research much more challenging in many ways.

Often, the reasons for this difficulty are the same reasons why you need to research in the first place — you need to learn as much as possible about a region and culture that may be entirely unlike your own. 

The differences between countries can create many challenges for researchers. For example, a research method like one-on-one interviews that work well in western countries like the UK and US may fail miserably in other parts of the world where it is considered suspicious.

2. There may be more restrictions around research

In addition to cultural and social differences, international markets also come with legal differences. While you might have a good understanding of how the law (as it relates to market research) works at home, the reality abroad may be very different.

You’ll need to be aware of an entirely new set of rules to avoid breaking them and ending up in legal trouble.  One example  is the USA’s TCPA, which forbids calling a cellphone using an automated dialing system.

Legal differences make it imperative to conduct legal research and coordinate with lawyers in your target market before beginning any research. Ending up on the wrong side of the law could be catastrophic.

3. It requires more investment

Conducting market research on your home soil can often be undertaken relatively cheaply. However, costs can quickly skyrocket doing research abroad. Seemingly simple things like hiring venues, running telephone interviews, and gathering people to interview can become exponentially more complicated when you’re doing it in a foreign country with people who speak another language.

You may find yourself needing to hire a small army of staff on the ground to help you carry out these tasks. To make things even more frustrating, the cheaper market research methods like email and online surveys don’t work nearly as well in developing countries with less widespread internet access.

8 reasons why companies need to research their international markets

Despite the additional challenges involved, international market research is simply unavoidable if entering a new market overseas. Here are some of the reasons why.

1. Differences in culture

The culture of your overseas target market may be completely different. Failing to research the culture of your target market adequately could result in serious blunders, which could seriously harm your market entry and brand reputation.

Cultural differences don’t have to be vast to cause significant problems. For example, in many African countries, containers are labeled with a picture of their contents. When baby nutrition company Gerber  entered this market  with their jars labeled with photos of babies, the reaction was understandably negative and seriously impacted sales.

2. Differences in laws and regulations

Laws and regulations don’t just have an impact on your market research methods. They can affect every part of your market entry process and how you conduct your business in your new market.

If you enter a new market without a comprehensive understanding of the law concerning your activities, you risk getting into legal trouble.

There are many different potential legal pitfalls to consider when entering a new market. Some examples are environmental regulations, tax laws, and laws that pertain to hiring new staff. On top of this, rules can change quickly, and what was legal five years ago might be a no-go today. 

Understanding legal and regulatory differences is where one-off research isn’t enough — you’ll have to conduct regular and ongoing research as well as work with legal experts in your target market.

3. Differences in customer preferences

Customers in one country may have completely different preferences to those in another. Cultural differences can be due to the earlier issues, but they can also result from other factors.

When China began allowing its citizens to buy and own homes a few decades ago, US do-it-yourself chain Home Depot quickly capitalized on this new opportunity. Six years later, they closed all their Chinese stores, never to return.

The reason — they opened all their stores in the suburbs, but most middle-class Chinese citizens tend to live in apartment blocks in the cities, homes that don’t require or allow much renovation. This simple misunderstanding due to incomplete research led to the failure of Home Depot’s market entry attempt.

4. Understand the competition

When you enter a new market, you’ll need to compete with already existing brands. Brand competition is not easy — you’re already at a significant disadvantage compared to companies that have been established in that region for a long time and are well-known to the local consumers.

It’s essential to understand who you are competing against and — more importantly — how they have been able to succeed. What exactly is it that customers like about your competitors? What keeps them coming back? What has allowed them to gain and maintain a hold in your target market?

Answering these questions through research will give you valuable direction on what your brand must do to succeed. It will also highlight weaknesses in your competitors that you can address in your marketing.

5. Mitigate risk

Entering any new market is a risky venture, and that risk increases when you expand abroad. According to the  Harvard Business Review , companies operating abroad faced far lower Return on Assets than those in domestic markets. Many of these companies do not survive the attempt.

Market research allows you to mitigate your risk by being as prepared as possible for the many challenges of entering a foreign market. You’ll better understand your customers and what they want, be more prepared to take on your competition, avoid legal issues, and have a more viable strategy. 

Entering a new market overseas will never be risk-free, but research allows you to minimize that risk.

6. Logistical challenges

The logistical challenges involved in entering a foreign market can be enormous. Everything from selecting and evaluating suppliers to finding ways to transport your products around your new market, there are many things to consider.

When entering a market in the developing world, these challenges become compounded. Regions without well-established transport infrastructure, financial systems, labor laws, government, and so on can create an endless series of logistical challenges.

To prepare for this, you’ll need to research your new market rigorously. Understand all the potential issues facing you so you have time to prepare and aren’t caught unawares by a problem that might set back your operations by a significant amount.

7. Prepare a solid strategy and budget

A well-established strategy and budget plan is an essential starting point for any market entry process. The only way to do this effectively is through diligent market research.

Market research allows you to understand the costs of your new market, including unexpected expenses. It also helps you anticipate obstacles and challenges and flesh out your strategy in a way that boosts your chances of success.

Suppose you need to win the support of high-level stakeholders in your organization. In that case, a well-prepared and financed strategy is an excellent way to convince them that your market entry attempt is well-placed to go ahead.

8. Find available marketing channels

Marketing your product in a foreign market comes with a unique set of challenges and considerations. Channels that work well in your home country may fail abroad — for example, digital marketing in a country with poor internet access.

On top of that, your messaging will need to consider all the cultural and linguistic characteristics of your target market. An advertising campaign that works well at home may very well perform terribly on the other side of the world.

Market research is a great way to identify the marketing channels and approaches that typically work well for similar products in your target market, helping you plan an effective marketing strategy and boost your chances of success from the start.

Market research is an essential and unavoidable task if you want to enter a foreign market successfully. Done right, it can help reduce the many risks involved and give your product the best possible chances of succeeding in a market that may be radically different from the ones you currently operate.

Contact Kadence  to learn more about how we can help you with  international market research , along with all other kinds.

Helping brands uncover valuable insights

We’ve been working with Kadence on a couple of strategic projects, which influenced our product roadmap roll-out within the region. Their work has been exceptional in providing me the insights that I need. Senior Marketing Executive Arla Foods
Kadence’s reports give us the insight, conclusion and recommended execution needed to give us a different perspective, which provided us with an opportunity to relook at our go to market strategy in a different direction which we are now reaping the benefits from. Sales & Marketing Bridgestone
Kadence helped us not only conduct a thorough and insightful piece of research, its interpretation of the data provided many useful and unexpected good-news stories that we were able to use in our communications and interactions with government bodies. General Manager PR -Internal Communications & Government Affairs Mitsubishi
Kadence team is more like a partner to us. We have run a number of projects together and … the pro-activeness, out of the box thinking and delivering in spite of tight deadlines are some of the key reasons we always reach out to them. Vital Strategies
Kadence were an excellent partner on this project; they took time to really understand our business challenges, and developed a research approach that would tackle the exam question from all directions.  The impact of the work is still being felt now, several years later. Customer Intelligence Director Wall Street Journal

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