Marketing Management Bases for International Market Segmentation: An Alternate Look at the Standardization/Customization Debate

Imad B. Baalbaki · Naresh K. Malhotra

156 citations0/0 files storedInternational Marketing Review

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International Business and FDI Marketing and Advertising Strategies Consumer Behavior and Market Dynamics

Abstract

By standardizing the marketing effort over similar worldwide segments and differentiating it across dissimilar worldwide segments, the international marketing manager is able to reap the advantages of both standardization and customization. The choice of the variables by which to segment the global market is crucial. Traditionally, purely environmental bases (geographic, political, economic, and cultural) were used as bases for international market segmentation. Proposes that international marketers group relevant markets based on both environmental as well as marketing management bases. The marketing management bases are classified as: (1) product‐related; (2) promotion‐related; (3) price‐related; and (4) distribution‐related. Derives number of propositions with direct implications for international marketing strategy and segmentation with respect to these bases. Highlights the managerial implications of the variables encompassed by these bases. Proposes the empirical investigation of the derived propositions as a research agenda for the future.

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References

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