International Marketing

MKT303 International Marketing

Future of international marketing and marketing ethics Workshop 12

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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 market

12 Future of international marketing and ethics

Learning Outcomes

1. Assess the future of international marketing.

2. Understand the role of ethics in international marketing.

3. Recall trends in globalisation 4. Analyse future possibilities for

globalisation and international marketing. 5. Review the key concepts across the

subject.

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

“Globalisation is a not a monolithic force, but an evolving set of consequences – some good, some

bad and some unintended”

John B Larson

Globalisation • “Globalisation is where

countries are increasingly trading with each other and businesses operate across borders.

• Technology has hastened globalisation and provided vital platforms & processes for marketing communications.

• Global competition brings many benefits both economic and social, but also many costs.

Globalisation: Objectives • Serve the world as one

market. • Maximise the capabilities

and advantages of individual countries.

• Organise the firm’s operations, organisational structure, capabilities, people and resources.

• Strategic decisions - technology, people and alliance partners - no nationality bias.

• Build a global competitive advantage. Source: The Gateway

Workshop Activity

In groups of three to four discuss:

What are some of the advantages and disadvantages of globalisation?

What are your views on globalisation and its impact?

Definition of Ethical Marketing

'Ethical marketing refers to practices that emphasise transparent, trustworthy, and

responsible personal and/or organisational marketing policies and actions that exhibit integrity

as well as fairness to consumers and other stakeholders.’

Murphy et al, 2012, Ethics in Marketing: International Cases and Perspectives

Seven Basic Perspectives 1. Puts people first. 2. Must achieve a behaviour

standard above the law. 3. Marketers are responsible

for whatever they intend 4. Marketing organisations

should cultivate better (i.e. higher) moral imagination.

5. Marketers should articulate and embrace a core set of ethical actions.

6. Adoption of a stakeholder orientation is essential.

7. Need an ethical decision making protocol.

Source: Tiley, 2005

Business Perspective #1

• Societal benefit: Ethical marketing puts people first – Do not treat people as a

means to a profitable end.

– But can add costs through wage expenses, etc

• Is it ethical to outsource to save costs?

This Photo by Unknown Author is licensed under CC BY-NC

Workshop Activity

Watch this video: bit.ly/mkt303applefactory

Do you think that Apple is providing a social benefit to employees of this factory?

Net benefit to who?

• Society or the individual consumer? – Tobacco – Credit cards – Alcohol – Video games – Food

• Who decides what is beneficial or harmful?

This Photo by Unknown Author is licensed under CC BY-SA

Workshop Activity

Watch this video: http://bit.ly/mkt303tobacco

What can tobacco marketers do in Indonesia to prevent children smoking?

Is it their responsibility to do this?

Business Perspective #2 • Ethical expectations for

marketing must exceed legal requirements – The law represents the

lowest common denominator of expected behaviour.

– The formalisation of restrictions by law typically lags behind public opinion.

• Ethics and the law are connected but are not the same thing

Source: Tiley, 2005

Workshop Activity

Watch: bit.ly/mkt303ausday

Why is Australia Day divisive?

Should businesses show their support for ethical issues? Why/why not?

Marketing Responsibility

• Marketers need to be aware of unintended consequences

• What happens if someone uses a product or service that causes harmful effects?

• What responsibilities does the business have?

Social Media • Social media is an area

that can have unintended consequences – Influencers promoting

unrealistic ideals – Fake news or

misinformation being circulated

– An echo chamber reinforcing established views

– Addiction of social media platforms

• Is there a responsibility on the platforms?

This Photo by Unknown Author is licensed under CC BY

Workshop Activity

Watch: bit.ly/mkt303fakenews

In groups of three to four find a recent issue where businesses took a stance before laws

were changed.

Why do you think businesses want to demonstrate ethics?

Higher Moral Imagination • Envisaging a full range of

possibilities in a particular situation (Johnson, 1993)

• The need to consider the consequences of actions and activities

• Nestle – Reduced sugar content to

create healthier products for children

– A higher moral imagination of providing healthy snacks

– Criticised for aggressively promoting baby formula in developing countries due to health concerns

• Do companies have differing morals between counties?

Source: https://www.tradebrains.in/12-companies-with-highest-share-price-in-india/nestle-products/

Ethical Actions • Maintain a shared

understanding of ethics – Establish a standard of

truth – Advertise without being

sensationalist – Be transparent with

endorsements – Protect privacy

• Adhere to government standards and regulations

• Adhere to Codes of Conduct

This Photo by Unknown Author is licensed under CC BY-SA

Codes of Conduct • Codes of Conduct outline

acceptable behaviours for members in an industry

• Often self-regulated - organisations need to investigate breaches

• Who will report a beach? • How will it be

investigated? • What are the

consequences?

Stakeholder Orientation • Think beyond the

customer • Fostering positive work

environments • Facilitating investment • Engaging media • Treating suppliers fairly • Supporting

communities • Adhering to

government requirements Source: https://www.bluelabeltelecoms.co.za/online_reports/ar2015/gov-relations.php

Workshop Activity • In groups of three to

four pick one of the the following stakeholders and discuss how a business could support this stakeholder

• Why is this stakeholder important?

• What are the benefits to the business?

Source: https://www.bluelabeltelecoms.co.za/online_reports/ar2015/gov-relations.php

Ethical Decision Making • Ethics needs to be at the

forefront of decision making - not an afterthought

• Choose best options from economic, social, environmental and purpose

• Ethics can also generate a positive return

• What do you choose when profit or ethics are in conflict?

Source: https://aurora.dawn.com/news/1140893

Final Overview • You need to use the

knowledge gained throughout this subject for assessment three.

• In groups discuss: • What is the one thing

you want to know more?

• What has been a highlight of this subject?

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 market

12 Future of international marketing and ethics

Thank You

All the best for your future.

Hope that you can take the learnings in this course and apply them in your professional career.