You Are Required to Write an Essay in Which You Assess the Usefulness to International Marketers of the Three Theories of Internationalization Listed Below

1. Should he pay the “commission” and, if so, to whom? Explain your reasoning. If he pays, how should he handle the situation with the sales manager and the vice president of sales? In your answer, include a discussion of the arguments in favor of paying and the arguments in favor of not paying.

International And Business-to-Business Marketing Business markets are "markets for products and services, local to international, bought by businesses, government bodies, and institutions, for incorporation, for consumption, for use, or for resale."[1] In business marketing, the customers are organisations, (businesses, governments, and institutions). An organisation is a group of people pursuing a common aim through co-ordinated activities, organisations are characterised by structure, activity and goals.[2 ] The search for improved quality and superior performance has spawned a significant shift in the purchasing practices.

The information I collected in this paper is mainly from network as well as books available at Library. I found most information in electric sources, like E-books, E-journals, etc., by a wide on-line research. Beside, books in related to international marketing at Library also helped me a lot. By going through a couple of marketing books and journals, I managed to find some extremely useful information.

Since the mid-1980s, the changing global competitive environment have forced more and more multinational corporations (MNCs) to development worldwide learning as their competitive viability, which requires to create worldwide innovative processes and knowledge transfer (Bartlett and Ghoshal, 1989). Knowledge from a subsidiary could be transferred to both parent company and peer subsidiaries, helping MNCs realize worldwide learning (Miao, Choe and Song, 2011). Knowledge flow from a subsidiary to parent firm could be considered as a critical condition to facilitate “local-for-center” innovation processes (Bartlett and Ghoshal, 1989, cited by Miao, Choe and Song, 2011). Traditionally, MNEs develop innovative capabilities by two classic processes, including “center-for-global” and “local for local” innovation model. Specifically, utilize the centralized resources and capabilities of parent company to create new products and operations and then implement these to subsidiaries, which could be defined as the central innovation process. By contrast, in the local innovation process, based on the local customers’ needs and market environment, subsidiaries development new products by their own resources and capabilities (Bartlett and Beamish, 2014). Based on different strategic roles and organizational specifics, the knowledge transfer includes two types, which are vertical and horizontal way. Horizontal knowledge flows in the multinational enterprise are generally adopted

Internationalization of the business nowadays apparently became a trend for the organizations to expand their market position and gain the competitive advantage among their contemporaries. The extent and nature of business activities are almost as diverse and comprehensive as the totality of the social and economic interest of a man. Various business activities acknowledged the opportunities that the internationalization may deliver. Through their ability and capacity to expand their business operations, internationalization is highly possible. For most of the time, the high degree of the competition under the umbrella of an industry and the number of competitors that are engaged in the

As this essay has already hinted, the fundamental decision that a company has to take regarding the internationalization of a product when entering in a foreign market is adapting a product to the requirements of the foreign costumers or utilizing a standard product. To make this choice, two different logics are set against each other: the production logic that wants to increase the productivity through a standardization of products; and the marketing logic that wants to create each product in order to specifically satisfy all local needs.

In recent decades, internationalization has been more and more common in over the world. This is a great opportunity and challenge that many businesses can earn a lots new experiences and practice themselves when they work in a new environment. Also, internationalization is a good way for companies expand their power and reputation. So these companies or organizations might improve themselves with new knowledge which they learn from foreign countries in order to gain more profits and benefits.

Swedish researchers Johanson & Vahlne developed a model based on a research of foreign dedication by observing patterns in the establishment chain, psychic distance and product diversification and identifying that knowledge and learning have a profound impact on how the firm is seen to approach foreign markets.

It is vital to understand the internationalization process of small to medium-sized enterprise (SMEs) for them to compete internationally. There are various international approaches that companies can adopt in the process of internationalization. For example, Uppsala Internalization Model (U-Model), The Network Theory, Dunning’s Electric Paradigm and Transaction Cost Theory.

It is important for a company to choose a relevant internationalization strategy in order to attain competitive advantage. According to Philip Kotler and Gary Armstrong, a company can attain competitive advantage when the company is able to perform in one or more ways that competitors cannot or will not match (Philip Kotler, Gary Armstrong, 2007, p182)

According to the Institute, through globalization is a unique combination among economies is happening, an evidence modification is being experienced, and governance, markets, corporations and organizations are becoming more international. The term globalization covers many concepts and cannot be assessed uniquely as either economic, political process or worldwide spanning of capital or production flows. Hence, the word globalization is given various meanings by different people, but can be interpreted differently due to various dimensions based on the terms such as time and location. The term globalization has a wide complex and challenging effects that are mainly analyzed with its economic dimension taking cultural, social, political and historical facets as some references (Atkearney, 2007).

The main barrier of internationalization is due to the apprehension of the differences in terms of economic and/or political and cultural situation: the psychic distance. When dealing with psychic distance, companies tend to be risk averse.

This report is basically concerned with the phenomenon of International marketing. At its simplest level it can be said that

In the text International Business, globalization is defined as the “acceleration and extension of the interdependence of economic and business activities across national boundaries (p 3)”. Many multinational corporations manufacture products in different nations and selling internationally to different nations. With the constant flow of goods and service help the integration of economies and societies. Since the recent boom of technology has boosted the pace of the integrations of the global markets and became a powerful component of globalization. Many key components that are can be successful or downfall of international globalization; such as

A firm’s initial decision on whether to internationalize or not will be discussed briefly and in a general manner in order to understand the motivation that drives firms abroad in the first place. Factors that combine internationalization theory and franchising as a strategic choice during that process will be discussed in more detail later in this chapter.