Government's role in Marketing Research Paper Example | Topics and Well Written Essays - 1000 words

Governments role in Marketing - Research Paper simulationThe two most important economic factors that affect international grocerying are1.The industrial structure of a country2.The income distribution of a country.The yield and service needs of a country are shaped by the countrys industrial structure. There are 4 main types of industrial structures. They are as follows1.Subsistence economies People consume what they grow and such an economy offers very few market opportunities.2.Raw material exporting economies Economies wealthy in one or more than one natural resources but poor otherwise. Such countries are excellent markets for large equipment etc and for luxury goods if a wealthy velocity class is present.3.Industrializing economies Manufacturing accounts for 10-20% of the countrys economy. These countries are a good market for raw textile materials, heavy machinery, steel etc. A new rich class and a small middle class are usually created by the on going industrialization, both of which require new types of imported immaterial goods.4.Industrial economies Services and manufactured goods are the chief exports of industrial economies.. A large middle class usually exists making industrial economies an ideal market for all sorts of goods.... Low, medium and high income households may exist in industrialized economies whereas a subsistence economy may exist of mostly very low income households. However, exploitation or even poor economies may be attractive markets for all kinds of goods. The best example in this case is China. Even though China has simply 0.2 millionaires per 1000 residents it trails only the US, Germany and the UK in the total number of millionaires because of its large population. (Kotler, 2008) The cultural elements that affect international marketing include The different ways in which authorization customers in different countries use and think about certain goods e.g. an average Frenchman uses twice as many grooming aids and cos metics as his wife (Kotler, 2008). pagan norms and regulations of each country e.g. Nike inadvertently offended Arabs and Muslims when it released shoes with a stylized Air logo which resembled Allah in Arabic script (National Geographic, 1999). Business norms and behaviors also crook a very important role in international trade. Question 3 The political risks in international marketing involve 1. Negative office of host government towards foreign firms. For e.g. Currency restrictions, import quotas etc might be imposed on the foreign to make life difficult for them. 2. Monetary regulations. buyers government might impose restrictions on removal of a currency from the country leaving the seller no option but to generate payment in the blocked currency and getting their profits stuck. 3. Political instability is another risk associated with international trade. A major example of this phenomenon is the dingle Brazil case. Dell chose the Brazilian state of Rio Grande Do Sul as th e site for its