EXPORT MANAGEMENT

AIM
To gain the knowledge about the international
trade
To get familiar with process of import and
export
 INTRODUCTION
This term export derives from the conceptual
meaning as to ship the goods and services out of
the port of a country.
The seller of such goods and services is referred
to as an "exporter" who is based in the country of
export whereas the overseas based buyer is
referred to as an "importer".
In International Trade, "exports" refers to selling
goods and services produced in the home country
to other markets.
 MEANING
Expansion of market
Looking new customer
Looking new town, next state or next country
Cross the national boarders
Involving international accounts and
currencies
 SCOPE
Improving the standard of living
Improving the quality of life
Opportunity for economic growth
Production will be more
More turnover and profit
Growing stability
No need of depend on particular market
 FUNCTIONS
Making more modernization
Competitive production
Applying effective marketing
Developing key resource for export for export
related tasks
Availability of physical financial managerial
resources associated with firm
 ROLE OF EXPORT IN ECONOMIC
DEVELOPMENT
To sell out the surplus
To achieve sales and production stability
To contribute for national goals
To get growth and development
To improve company image
To get more profit
To win competition
 PLANNING FOR EXPORT
It is a guidelines for the development for the
international business
Identification of markets
Setting goal in international standard
Arranging the activities
Procuring the required resources
 EXPORT MARKETING
Marketing activities for products which cross
the national boundaries of a country.
 DEVELOPING AN EXPORT PLAN
Conducting market research
Creating marketing plan
Deciding about market entry
Methods for delivery and service
Planning day-to- day operations
Addressing the issues finance and insurance
Setting target and timelines
FACTOR INFLUENCING IN
EXPORT MARKETING
 CONTROLLABLE FACTORS
Company goals and policy
Human Resources
Financial Resources
Capacity
UNCONTROLLABLE FACTORS
Political system
Culture
Foreign trade policy
Tariffs
Quotas
Exchange rates
 MARKET ANALYSIS
the separation of a whole market into its
constituent parts in order to study the parts and
their relations.
i.e making division of entire market
 MARKET INTELLIGENCE
Collection, processing, analysis and
interpretation of all types of information from all
available sources to aid business management in
making international marketing decisions.
 INFORMATION
REQUIREMENTS
 MARKETING RELATED
Prospectus of the foreign market
Competition
Domestic market prospects
 MARKET RELATED
Political
Economic Stability
Currency Stability
Government policy
Restriction
 PRODUCT RELATED
Size
Quantity
Shape
Colour
Packaging
Frequency
 PRICE RELATED
Price range
Price trends
Margins
Government polices
 PROMOTION RELATED
Discounts
Offer
Exchange
 DISTRIBUTION RELATED
Mode
Alternatives
Cost
Frequency
 COMPETITION
Volume
Strength
Weakness
Strategy
 SOURCE OF INFORMATION
Internal- Sales data, Past records, Experience

External- Primary data, Secondary data

 MARKET RESEARCH
The collection and analysis of
information about consumers, competitors and
the effectiveness of marketing programs.

Marketing Research is systematic

problem analysis, model building and fact
finding for the purpose of important decision
making and control in the marketing of goods
and services.
 DEFINITION
According to American Marketing
Association, Marketing Research is the
function that links the consumer, customer and
public to the marketer through information-
information used to identify and define
marketing opportunities and
problems, generate, refine and evaluate
marketing actions; monitor marketing
performance; and improve understanding of
marketing as a process.
 DEFINITION
Marketing Research is a well-planned,
systematic process which implies that it needs
planning at all the stages. It uses scientific
method. It is an objective process as it attempts
to provide accurate authentic information.
Marketing Research is sometimes defined as
the application of scientific method in the
solution of marketing problems.
 SCOPE OF MARKET RESEARCH
(i) product and service research
(ii) market research
(iii) promotion research
(iv) distribution research
(v) pricing research
(vi) corporate responsibility research
(vii) miscellaneous research
TYPICAL APPLICATION OF
MARKETING RESEARCH
 RESEARCH ON MARKETS
Analysing market potentials for existing
products and
Estimating demand for new products.
Sales forecasting
Characteristics of product markets.
Analysing sales potentials
Studying trends in markets.
 RESEARCH ON PRODUCTS
Customer acceptance of proposed new products.
Comparative studies of competitive products.
Determining new uses of present products
Market testing of proposed products.
Studying customer dissatisfaction with products.
Product-line research
Packaging and design research
 RESEARCH ON PROMOTION
Evaluating advertising effectiveness.
Analysing advertising and selling practices.
Selecting advertising media.
Motivational studies.
Establishing sales territories.
Evaluating present and proposed sales methods.
Studying competitive pricing.
Analysing salesmen's effectiveness
Establishing sales quotas.
RESEARCH ON DISTRIBUTION
Location and design of distribution centres.
Handing and packing of merchandise.
Cost analysis of transportation methods
Dealer supply and storage requirements
 RESEARCH ON PRICING
Demand elasticity
Perceived prices
Cost analysis
Margin analysis
 TYPES OF RESEARCH
Exploratory research
Conducted for a problem that has not been clearly defined.
Conducted by study of secondary data, survey of knowledge
person

Conclusive research
Provide information that is useful in reaching conclusions or
decision-making.
Types-(i).Descriptive-design
(ii).Experimental-laboratory situation
 PROCESS OF MARKETING
RESEARCH

Situation analysis
Framing hypothesis
Determining the specific information needed
Determining the sources of marketing
information
Finalizing the research design
 Cont

Deciding methods for collecting data

Framing the questionnaire
Tabulating the data and preparing the report
Follow up the recommendation
 Sampling
A survey with few selected representative
which possess the same character of the whole
unit.
Example-when a patient is required to take
blood test, the clinical laboratory takes few
drops
Here whole blood is universe and taking few is
sample
 METHODS OF SAMPLING
Random sampling or probability sampling-
every element of the population enjoys equal
chance of being selected

Non-random sampling or non-probability

sampling-selection will be based on some
basis, no equal chance to all elements
 MARKET SELECTION
Market selection is based on a thorough
evaluation of the different markets with
reference to certain well defined criteria, given
the company resources and objectives
 MARKET SELECTION
PROCESS- STEPS
Determine international marketing objectives
Determine parameters for market selection
Preliminary screening
Detailed investigation and short listing
Evaluation and selection
 DETERMINANTS OF MARKET
SELECTION
Firm related factors- inventory, financial
strength, man power etc.,
Market related factors-
General factors-
economic, regulations, political
Specific factors-trends, customs, culture
 MARKET PROFILE
To help formulate appropriate marketing
strategies.
It may refer to the overall profile of a market-
i.e the general characteristics of a nation like
demo, economic, political.
In other case, the market profile is a
description of relevant characteristics of the
market for a specific product in a country.
 Market profile contain following
things
Trends, demand, forecast
Competitive characteristics
Market segment characteristics
Customers characteristics
Channel characteristics
Promotion characteristics
Laws related to
product, price, promotion, distribution and
imports
ENTRY STRATEGIES FOR EXPORT
On the one extreme, a company may do the
complete manufacturing of the product
domestically and export it to the foreign market.

On the other extreme, a company may do

by itself, manufacturing of the product to be
marketed in the foreign market there itself.
 ENTRY STRATEGIES

Exporting
Licensing/ franchising
Contract manufacturing
Management contact
Assembly operations
Fully owned manufacturing facilities
 Cont.
Joint ventures
Countertrade
Mergers and acquisitions
Strategic alliance
Third country location