International marketing is simply the application of marketing principles to more than one country. However, there is a crossover between what is commonly expressed as international marketing and global marketing, which is a similar term. For the purposes of this lesson on international marketing and those that follow it, international marketing and global marketing are interchangeable.

Note: Keegan’s definition is typical of those that see international marketing a one stage of an internationalisation process.

The first approach is concerned with the component parts of the company, and understanding the internal cohesion. It helps you identify the company’s strengths and weaknesses, prioritise the company’s tasks to solve them in the right order and synchronise efforts to move in the same direction. It covers subjects such as strategic decisions, marketing decisions, innovation, knowledge management, resource management and incentives within the company. As technology creates leaps in communication, transportation, and financial flows, the world continues to feel smaller and smaller. It is possible for companies and consumers to conduct business in almost any country around the world thanks to advances in international http://money.cnn.com/data/currencies/ trade. According to the World Trade Organization, the volume of international merchandise trade increased 33 times between 1951 and 2010.

For example, knowledge management is important because it gives you an understanding of how to utilise the knowledge behind a product, and bring inside knowledge to the outside – in other words, how to profit from the knowledge that is inside the organisation via your products or services. In many cases it is not the physical product itself that makes an impact on the market, but how you utilize the knowledge behind it. The real value of knowledge is oftenhidden in the software or service, which in combination with the product itself can be a source of competitive advantage. Similar to other elements of marketing there is no a single definition for international marketing. Additionally some authors define international marketing and global marketing differently:
• “At a very simple level international marketing implies the company by making one or more of the marketing mix across national borders. “To a very complex level company implies it in established production to overseas plants and coordinating marketing strategies across the world.”
• “International Marketing is the provision of commercial activities that directs the flow of goods and services of the company to consumers or users in more than one nation by the gain.”
• “International Marketing is the orientation and implementation capabilities of marketing to international business.”
• “The international market exceeds the export merchant and involves more in the environment of marketing in the countries in which it does business.”

The potential market size, degree and type of competition, price, promotional differences, product differences as well as barriers to trade have to be analysed alongside the cost-effectiveness of various types of transport. The organisation then has to assess the scale of the investment and consider both short- and long-term targets for an adequate return.