Chapter 18
    Global Marketing 
         and R&D 
        What Is the Marketing Mix?
      The marketing mix (the choices the firm 
         offers to its targeted market) is comprised 
         of
        1. Product attributes
        2. Distribution strategy
        3. Communication strategy
        4. Pricing strategy 
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       Should the Marketing Mix Be 
          Changed for Each Market?
      Question: Are markets and brands 
         becoming global? 
         Theodore Levitt argued that world markets 
            were becoming increasingly similar making it 
            unnecessary to localize the marketing mix 
      Question: Is Levitt right?  Probably not!
         Levitt’s theory has become a lightening rod in 
            the debate about globalization
                                                                     18-4
       Should the Marketing Mix Be 
          Changed for Each Market?
     The current consensus is that while the 
        world is moving towards global markets, 
        global standardization is not possible 
        because of
         cultural differences among nations 
         economic differences among nations 
         trade barriers 
         differences in product and technical 
            standards
                                                                     18-5
     What Is Market Segmentation?
     Market segmentation - identifying distinct 
        groups of consumers whose purchasing 
        behavior differs from others in important 
        ways
     Markets can be segmented by
         geography
         demography
         sociocultural factors
         psychological factors 
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