Factors Affecting International Marketing : Pricing & Pricing Decisions, Channel Structures & Strategies, and Advertising Strategy

As the pace of globalisation intensifies, it is becoming ever more incumbent on firms to ensure that they respond effectively to the relevant customer needs and expectations in the markets. In this regard, excellence in strategy-making and strategy implementation is of crucial importance to both transnational companies and global companies. Pricing & pricing decisions, Channel Structures & strategies, and advertising strategy are factors affecting both transnational companies and global companies on international marketing. The paper discussed some of the basic factors that affect pricing decisions in international market, including cost, price elasticity of demand, competition, nature of products and exchange rate fluctuations. International marketers apart from these costs’ issues must consider a number of environmental issues such as currency fluctuations, inflation, government controls and subsidies, and competitive behaviour when making pricing decisions. The paper also analysed some of the key variables that influence global channel structures and strategies, including characteristics of the global distribution system, product characteristics and competitive climate. Although analyse and comments on the debate of “standardisation versus localisation” and how that applies to global advertising