UNIVERSITY SCHOOL OF BUSINESS

BACHELOR OF BUSINESS ADMINISTRATION

Subject (Code) – 21BAT337

Global Marketing ()

Faculty Name
HARLEEN KAUR

GLOBAL COMPETITION
DISCOVER . LEARN . EMPOWER
 GLOBAL
COMPETITION

Course Outcome

CO Title Level
Number
Will be covered in this
lecture
CO1 To understand the global marketing, economic Remember

environment, social and cultural environment.

CO2 To apply and administer the environmental Understand

analysis and research on global market.

https://www.beyondsummits.com/blog/6-keys-draft-effective-glo
CO3 To analyze the global market segmentation, Apply bal-marketing-strategy
targeting and positioning.
CO4 To appraise strategy analysis for global market Analyse
entry, brand and product decisions.
CO5 To design strategic elements for competitive Create
advantage. 2
 GLOBAL
COMPETITION

LEARNING OBJECTIVES – Student will learn

about the concept of global competition with the
help of entry level mode in global market through
these sub topics –
1) Intro to Global Competition
2) Why global are we?
3) Rules of competitiveness

https://tweakyourbiz.com/management/how-global-marketing-is-different-fr
om-international-marketing

3
 Global Competition
• If you've ever looked at different types of television sets and wondered which one you should buy, you've analyzed global
competition. The market gives you a lot of choices. You have RCA and Vizio in the United States; Sharp and Panasonic and
Sony in Japan; and LG and Samsung in South Korea. And this is only a snapshot of the industry. These companies offer
similar products, distribute worldwide, and are considered among the best of the brands. They compete on all levels,
including pricing, promotion, distribution, operations, and personnel. This is the essence of global competition.

• Global competition is when companies compete to sell goods and services on an international scale. As technology,
transportation, and communication systems have improved, competition among companies in different countries has soared.

4
 Meaning of Global Competition
• Growing up in America, all children heard of the story of Christopher Columbus: 'In fourteen hundred ninety-two,
Columbus sailed the ocean blue. He had three ships and left from Spain; He sailed through sunshine, wind and rain…'. But
more importantly than this story, his infamous thinking that the world is flat is the most notable. Maybe ol' Chris was on to
something - what if he was right? Of course, he wasn't when it came to the physical shape of the world, but his theory does
have merit if we think in terms of global competition in business.

• Global competition is the services or products provided by competing companies that serve international customers. Think
about how you can have a pie-eating contest or a race. These are examples of competition on a local scale where people are
competing against one another for one common goal - the best in their core competency. Core competency is what a
company does best. Global competition has allowed companies to buy and sell their services internationally, which opens
the door to increased profits and flattens the playing field in business.

5
 Competing in a Global World
• To most of us, globalization—as a political, economic, social, and technological force—appears all but unstoppable. The
ever-faster flow of information across the globe has made people aware of the tastes, preferences, and lifestyles of citizens
in other countries. Through this information flow, we are all becoming—at varying speeds and at least in economic terms—
global citizens.

• Yet, at the same time, we increasingly take advantage of what a global economy has to offer—we drive BMWs and Toyotas,
work with an Apple or IBM notebook, communicate with a Nokia phone or BlackBerry, wear Zara clothes or Nike
sneakers, drink Coca-Cola or Pepsi, eat McDonald’s or Burger king hamburgers, entertain the kids with a Sony PlayStation
or any other, and travel with designer luggage. This is equally true for the buying habits of businesses. The market
boundaries for IBM global services, Hewlett-Packard computers, General Electric (GE) aircraft engines, or
PricewaterhouseCoopers consulting are no longer defined in political or geographic terms. Rather, it is the intrinsic value of
the products and services that defines their appeal. Like it or not, we are living in a global economy.

6
 How Global Are We?
In 1983, Theodore Levitt, the late Harvard Business School professor and editor of the Harvard Business Review, wrote a controversial
article entitled “The Globalization of Markets.” In it, he famously stated, “The globalization of markets is at hand. With that, the
multinational commercial world nears its end, and so does the multinational corporation… The multinational operates in a number
of countries, and adjust its products and processes in each, at high relative cost. The global corporation operates with resolute
constancy… it sells the same things in the same way everywhere Levitt (1983, May–June).

The globalization of Wal-Mart illustrates the complex realities of a more nuanced global competitive landscape. It has been successful in
markets that are culturally, administratively, geographically, and economically closest to the United States: Canada, Mexico, and the
United Kingdom. In other parts of the world, it has yet to meet its profitability targets. The point is not that Wal-Mart should not
have ventured into more distant markets, but rather that such opportunities require a different competitive approach. For example, in
India, which restricts foreign direct investment in retailing, Wal-Mart was forced to enter a joint venture with an Indian partner,
Bharti, that operates the stores, while Wal-Mart deals with the back end of the business.

7
 Introduction to Competitiveness
“Competitiveness is defined by the productivity with which a nation utilizes its human, capital and natural resources.”

To understand competitiveness, the starting point must be a nation’s underlying sources of prosperity. A country’s standard of
living is determined by the productivity of its economy, which is measured by the value of goods and services produced per
unit of its resources. Productivity depends both on the value of a nation’s products and services – measured by the prices
they can command in open markets – and by the efficiency with which they can be produced. Productivity is also dependent
on the ability of an economy to mobilize its available human resources.

8
 The 10 Golden Rules of Competitiveness
1. Create a stable and predictable legislative and administrative environment.
2. Ensure speed, transparency and accountability in the administration, as well as the ease of doing business.
3. Invest continually in developing and maintaining infrastructure.
4. Strengthen the middle class: a key source of prosperity and long-term stability.
5. Develop privately-owned medium-sized enterprises: a key element of diversity in an economy.
6. Maintain a balanced relationship between wage levels, productivity and taxation.
7. Develop a local market by promoting private savings and domestic investments.
8. Balance aggressiveness on international markets with attractiveness for added-value activities.
9. Counterweight the advantages of globalization with the imperatives of proximity to preserve social cohesion and value
systems.
10. Always return the tangible signs of successful competitiveness to the people by providing a higher level of prosperity for
all.

9
 SUMMARY AND APPLICATIONS
Summary of the topic
• This chapter has covered the concept of global competition concept. With the help of this concept, we get to know about the
competition in global market, also know about the actual meaning of competitiveness. The concept ‘how global?’ is also helpful to
know about the reasons for making business global. At the end, we closed the chapter with the rules of competitiveness.

Applications
• Students will understand the different concepts of global marketing, with this students can use these concepts in their working
environment for the growth of the brand/ business globally.
• Students will get the knowledge of evaluation and drivers of global marketing.
• Students will identify the relationship of objectives with company’s profit.

10
Assessment Pattern

11
 REFERENCES
Text Books –
• Jean Pierre Jeannette, H. David Hennessey: Global Marketing Strategies, Jaico Publishers, New Delhi, 2008
• Kotabe, Peloso, Gregory: International Marketing - An Asia Pacific Focus, Wiley Student Edition, 2009
Reference Material –
• https://www.digimat.in/nptel/courses/video/110107112/L01.html (NPTEL Video links)
• https://www.worldsupporter.org/en/chapter/41531-overview-lecture-notes-introduction-international-marketing
(worldsupporter.org for Reading Material)

12
THANK YOU

For queries
Email: harleen.kaur@cumail.in