Benefits of international marketing

International marketing daily affects consumers in many ways, though its importance is neither
well understood nor appreciated. The benefits of international marketing must be explicitly
discussed here under.
1 Survival: most countries must trade with others to survive. For example Hong Kong without
food and water from china would not have survived long.
2 Growth of overseas markets: developing countries, in spite of economic & marketing problems
are excellent markets. For example, Latin America and Asia/Pacific are experiencing strong
economic Growth.
3 Sales and profits: foreign markets constitute a large share of total business of many firms that
have wisely cultivated markets abroad. For example, IBM and Compaq sell more computers abroad
than home. Coca-Colas international sales account more than 80 % of its operating profits. For
example, for soft drinks, all countries will not enter to winter season at the same time and some
countries are relatively warm round the year.
4 Diversification: Demand for most products is affected by such cyclical factors as recession and
seasonal factors as climate. One way to diversify risk is to consider foreign markets as a solution
for variable demand. Such markets provide outlets for excess product capacity.
5 Inflation and price moderation: the lack of imported product alterative forces consumers to
pay more, resulting in inflation and excessive profits for local firms.
6 Employment: unrestricted trade improves the worlds GNP and enhances employment generally
for all nations.
7 Standard of living: trade affords countries and their citizens higher standards of living than
otherwise possible.
8 Understanding of marketing process: can prove to be valuable in providing insights for the
understanding of behavioral patterns often taken for granted at home. Coca cola has applied the
lessons learned in Japan to the US and European markets.