Domestic marketing is easy and convenient, because it require less financial resources, easy to know the local market demand, and companies can easily find out the customers taste and preference. It helps company to formulate their marketing strategies more effectively, when there is a change in market trend.
Domestic marketing deals with local customers, while international marketing deals with international marketing. Domestic marketing deals with only one market while international marketing have to manage their products efficiently in different countries. 2. International marketing helps companies to expand their business beyond their local market, helps them to increase their sales and generate more revenue. It also makes customers aware of international companies product sold in their local markets. Companies can acquire more market share for their product in international markets.
A government policy of foreign countries enables local firms to open their business in foreign countries. Companies having ample resources have strength to compete with foreign competitors that boost companies’ will power to expand beyond their local markets.
3. Companies needs to do research and development of a product they are going to sell in foreign markets and they also need to consider the cost of product, while it is in production and once it is finished. The product must have cost that can compete with product of their competitor’s. Placing product correctly plays vital role in product success which can attract target audience and divert their mind towards that product. Companies can enter into joint venture with other companies that can save lot of resources of both companies.
4. U.S. Multinationals companies do lot of investments in foreign markets by collaborating with foreign companies that helps them with financial resources, infrastructure, and labor. U.S companies sell their products through foreign subsidiaries because it saves their transportation cost and helps them to compete with their competitors in terms of price and promotions.
5. Global marketing have changed in past decade due to companies crossing their local boundaries to do business in foreign countries.