Bài giảng International Business - Chapter fifteen: Assessing and Analyzing Markets

Assessing and Analyzing MarketsMcGraw-Hill/IrwinInternational Business, 11/eCopyright © 2008 The McGraw-Hill Companies, Inc. All rights reserved.chapter fifteenLearning ObjectivesDiscuss environmental analysis and two types of market screeningExplain market indicators and market factorsDescribe some statistical techniques for estimating market demand and grouping similar marketsDiscuss the value to businesspeople of trade missions and trade fairs3Learning ObjectivesDiscuss some of the problems market researchers encounter in foreign marketsExplain the difference between country screening and segment screeningIdentify sources of information for the screening processDiscuss the utility of the Internet as a source of market research data4Assessing and Analyzing MarketsMarket ScreeningA version of environmental scanning in which the firm identifies desirable markets by using the environmental forces to eliminate the less desirable marketsEnvironmental ScanningA procedure in which a firm scans the world for changes in the environmental forces that might affect it5Market ScreeningPermits management to identify a small number of desirable by eliminating those judged to be less attractive6Market ScreeningTwo Types of ScreeningCountry ScreeningUsing countries as the basis for market selectionSegment ScreeningUsing market segments as the basis for market selection7Initial ScreeningBasic Need PotentialIf the need is lacking, then no reasonable expenditure of effort and money will enable the firm to market its goods and servicesEasier for producers of specialized industrial materials or equipment than for widely consumed products8Initial ScreeningImports Don’t fully measure market potentialResources to establish need potential International Trade Administration site on the Internet (www.ita.doc.gov)U.S. Exports of Merchandise on the National Trade Data BankU.S. International Trade in Goods and Services (FT900) by the Department of CommerceAnnual Worldwide Industry Reviews and International Market Research Reports prepared by various U.S. embassies9Second Screening: Financial and Economic ForcesMeasures of market demand based on economic and financial dataMarket indicatorsMarket factorsTrend analysis Cluster analysis10Market IndicatorsMarket IndicatorsEconomic data used to measure relative market strengths of countries or geographic areasPossibilities:Market sizeMarket growth rateE-commerce readiness11Market FactorsMarket FactorsEconomic data that correlate highly with market demand for a productEstimation by analogy12Trend AnalysisTrend AnalysisStatistical technique by which successive observations of a variable at regular time intervals are analyzed to establish regular patterns that are used for establishing future values13Cluster AnalysisCluster analysisStatistical technique that divides objects into groups so that the objects within each group are similar14Third Screening: Political and Legal ForcesEntry BarriersImport restrictions, local participation requirements, local content restrictions, government-owned competitionProfit Remittance BarriersUndue restrictions on repatriation of earnings, limits to FDI, inability to provide foreign exchangePolicy StabilityPolitical climate, government stability, public unrest15Fourth Screening:Sociocultural ForcesScreening on the basis of sociocultural factors is challengingSociocultural factors are fairly subjectiveData are difficult to assemble, particularly from a distance16Fifth Screening: Competitive ForcesThe number, size, and financial strength of the competitorsTheir market sharesTheir marketing strategiesThe apparent effectiveness of their promotional programsThe quality levels of their product lines17Fifth Screening: Competitive Forces, cont’d.The source of their products--imported or locally producedTheir pricing policiesThe levels of their after-sales serviceTheir distribution channelsTheir coverage of the market18Final Selection of New Markets Personal visit to potential markets is essentialField Trip, unhurriedGovernment-Sponsored Trade MissionsTrade Fairs 19Final Selection of New Markets, cont’dResearch in Local MarketFace-to-face interviews reveal information that would never be writtenHire local research groupPerson in charge of the project must have experience in that country or culturally similar one in same geographic area20Local Research ProblemsCulturalLanguageLiteracySocial desirability biasTechnicalNo up-to-date mapsStreets have different namesHouses not numberedOnly wealthy have telephonesMail delivery issues21Research in Developing NationsLess research performedOften a seller’s marketCompetition is frequently less intense in developing nations becausefewer competitorsmanagement struggling with problems other than marketing22Return to Segment ScreeningSegment ScreeningDefinable: identify and measureLarge: to be worth the effort needed Accessible: for promotion and distributionActionable: have control of marketing programs Capturable: potential exists23