International Marketing

MKT303 International

Marketing Legal and Environmental factors impacting international marketing

Workshop 4

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What will we be learning? Week Topic

1 Introduction to International Marketing

2 Political and economic factors impacting international marketing

3 Social and technological factors impacting international marketing

4 Legal and environmental factors impacting international marketing

5 Assignment presentations

6 Study week (Attendance is compulsory)

7 Trade relations

8 Culture and communications

9 Market entry – an international marketing approach

10 Getting a product to the customer – international context

11 Product management and surviving in an international marketing

12 Future of international marketing and ethics

Why am I learning this?

Understanding legal and environmental

issues lets you be aware of the potential

compliance requirements required to enter a

new markets, which is important when

managing partners or selling to new

international markets.

Workshop Activity

Revision

What did we discuss last week? Identify the

three main points that you’ve learned during

last week’s class.

Share your thoughts with the rest of the

class.

This Topic’s Big Idea

“Earth provides enough to satisfy every

man's needs, but not every man's

greed.”

Mahatma Gandhi

Learning Outcomes

1. Explain how environmental factors influence international marketing

2. Explore the context of legal factors and its impact on international marketing

3. Explore the economic, technological and socio-cultural factors and implications in International business

4. Analyse the use of the PESTLE analysis in international marketing

External factors

Organisation

Political

Economic

Social

Technological

Legal

Environmental

Cannot control

external factors

Legal

• Cover the laws within a country: Employment, Health

and Safety, consumer protection, discrimination

• Different countries have different laws and legal

frameworks,

• For example Australia’s legal frameworks can be found

here: https://www.imrg.org/australia-legalities/

Marketing Tobacco

in Australia

• Tobacco advertising has been banned in Australia since 1993

• In 2018 12.8% of Australians smoked cigarettes

• Australia prohibits the sale of e-cigarettes, however 1.2% of the Australian population undertakes vaping as at 2016.

• Quit smoking an anti- tobacco body in Australia bit.ly/mkt303quit

Source: https://www.abc.net.au/news/2014-01-10/timeline3a-smoking-report-marks-50th-anniversary/5192838

Marketing Alcohol in India

• In 1995 a blanket ban

was imposed in India

• Alcohol brands have

been using social

media and digital

marketing to advertise

• Viral marketing has

also exposed alcohol

brands to the masses

Source: https://www.instagram.com/p/B9bIzxLJxwG/

Workshop Activity

Debate

Is it OK for alcohol brands to use digital marketing

if other forms of advertising are banned? Chose

yes or no, and prepare an argument that justifies

your stance.

Share your thoughts with the rest of the class.

Foreign Ownership

• Laws govern foreign

ownership.

• In Australia many

ASX top 100 brands

have US ownership.

Source: https://www.smartcompany.com.au/finance/economy/chinese-us-influence/

Workshop Activity

Brainstorm Session

What does it mean for Australian brands to be

foreign owned from a marketing context?

Share your thoughts with the rest of the class.

Should Brands

Change Laws?

• One of the core values of The Body Shop is that it does not test on animals

• The brand has advocated for countries to ban testing on animals since 1989.

• I has been successful in its advocacy with a ban in the UK being imposed in 1998 and the European Union in 2013

• Forever against animal testing campaign: bit.ly/mkt303bodyshop

Source: https://fsquaredtheblog.wordpress.com/2017/06/01/the-body-shop-forever-against-animal-testing/

PESTLE - Environmental

Environmental

• Carbon emissions

• Sustainability

• Corporate social

responsibility

• Ethical sourcing Source: https://qz.com/1417078/global-carbon-emissions-are-set-to-rise-in-2018/

Carbon Emissions

• Carbon emissions are causing global warming.

• The natural environment is being impacted.

• Temperatures are rising.

• Sea levels are increasing.

• Causes of climate change include the burning of fossil fuels, construction, food production and farming.

Global Wine Industry

• Wine in France is

under threat due to

climate change:

bit.ly/mkt303wine

• The UK however has

benefited from climate

change and is now

producing more

quality wine, leading

to growth

Source: https://www.theenglishwinecollection.co.uk/collections/award-winners

Workshop Activity

Brainstorming Session

How can French wine be marketed if there is

a decline in quality?

Share your thoughts with the rest of the

class.

Sustainability

• Balance between competing needs

• Avoid or reduce the depletion of natural resources while still making a profit

• Some brands have sustainability plans: https://www.unilever.co m.au/sustainable- living/ten-years-of- sustainable-living- achievement.html

Source: https://www.unilever.com.au/sustainable-living/

Corporate

Social Responsibility

Corporate social responsibility, often abbreviated

"CSR," is a corporation's initiatives to assess and

take responsibility for the company's effects on

environmental and social wellbeing. The term

generally applies to efforts that go beyond what

may be required by regulators or environmental

protection groups.

Fast Fashion

• The Fast Fashion industry has enabled consumers to purchase on-trend clothing at low prices

• However, most fast fashion clothing has a short life

• Fast Fashion is creating waste: bit.ly/mkt303fastfashion Source: https://www.pinterest.com.au/pin/565483296934845749/

Ethical Sourcing

• Many brands are

engaging in sourcing

products so that they

don’t damage the

environment.

• Ethical sourcing

involves the supply

chain being one that

minimises damage to

the environment

Nestle and its

use of Palm Oil

• Could your chocolate bar be causing deforestation?: bit.ly/mkt303nestle

• Nestle was banned for a group that supports sustainable palm oil sourcing due to breaches: https://www.abc.net.au/new s/science/2018-06- 29/nestle-suspended- sustainable-palm- oil/9923238

• Will this change your attitudes on purchasing a chocolate bar?

Source: https://www.nestle.com/csv/raw-materials/palm-oil

Workshop Activity

Brainstorming Session

Should marketers work for brands that

damage the environment?

Share your thoughts with the rest of the

class.

Next Week

In-class Assessment.

Do not be late.