In this paper I will show the link between the international marketing theory and practice based on the example of the maquiladora industry located on the US-Mexican border. Furthermore, my research will pinpoint the fact that most of the decisions made by international mangers are a conclusion of the international marketing theory. This is the case starting with the macro analysis of the foreign markets and ending with the individual usage of the “4 P’s” regardless of the sector of business.
In the age of globalization many companies want to or are forced by the markets to expand their business to other countries. However, in the early years of the globalization process firms mostly extended their commerce usually on the national level or to the home country’ s neighbor markets, but today it does not appear anymore oddly, when a single company owns facilities located across the globe. Concerning this development, the company faces different challenges in each market, which will shape the usage of the marketing-mix. International marketing understood as “the segment of business concerned with planning, promoting, distributing, pricing and servicing of the goods and services desired by intermediate and ultimate consumers” is an important business tool in order to describe the decisions made by many companies across political boundaries.
To be fully able to understand the process of the companies’ expansion in terms of international marketing it is very important to begin the analysis with the assessment of the political and economic forces in the world, in the home country and in the particular country, where the business is supposed to be done. These forces create a framework for a company’s further decision-making. Therefore, only having the information about the political, economic and legal environment one is able to retrace the reasons for a multinational companies’ strategy choice.
Inhaltsverzeichnis (Table of Contents)
- I. The Introduction
- II. The speaker review
- 1. The environment analysis
- 2. The company analysis
- a) Aisling Company
- a) Mitsubishi Company
- III. The analysis and conclusion
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper aims to analyze the relationship between international marketing theory and practice in the context of the maquiladora industry on the US-Mexican border. The research explores how international marketing theory informs the decisions made by international managers, from macro-level market analysis to the application of the marketing mix. Key themes discussed include:- The impact of globalization on business expansion and the need for international marketing strategies.
- The role of the business environment in shaping international marketing decisions, encompassing economic, legal, and cultural factors.
- The influence of strategic choices, particularly focused differentiation and focused low-cost strategies, on the application of the marketing mix.
- The specific characteristics of the maquiladora industry and its contribution to the globalization process.
- The importance of understanding the historical development and current trends of the maquiladora industry in evaluating market forces.
Zusammenfassung der Kapitel (Chapter Summaries)
- I. The Introduction: This chapter provides an overview of the paper's objectives and establishes the context for analyzing international marketing theory and practice within the maquiladora industry. It highlights the importance of understanding the global business environment, strategic choices, and the application of the marketing mix.
- II. The speaker review: This chapter delves into the environmental analysis and company-specific strategies of two maquiladora companies, Aisling and Mitsubishi. The chapter analyzes the impact of economic, legal, and cultural factors on the companies' decisions and highlights the differences in their strategic approaches due to their varying structures and ownership models.
- 1. The environment analysis: This section examines the key factors shaping the business environment for maquiladoras, including cheap labor, proximity to the US, and special tariff treatment. It discusses how these factors influence both economic and legal considerations, and how cultural variables impact management decisions.
- 2. The company analysis: This section focuses on the specific strategies adopted by Aisling and Mitsubishi, highlighting the differences in their approaches due to their independence and dependence on parent companies respectively. It also examines how the companies' strategies are shaped by the changing global business landscape.
Schlüsselwörter (Keywords)
The key terms and concepts explored in this paper encompass international marketing theory and practice, maquiladora industry, globalization, business environment analysis, strategic choices, marketing mix, competitive advantage, economic factors, legal factors, cultural factors, and case studies of Aisling and Mitsubishi. These themes highlight the interplay between theoretical frameworks and practical application in a globalized business context, particularly within the specific context of the maquiladora industry.- Quote paper
- Dr. Aleksander Szymanski (Author), 2003, The theory and practice of international marketing – B2B, Munich, GRIN Verlag, https://www.grin.com/document/168686
