Process to select International market


International Market Selection Process:

Market selection plays a crucial role at the international level. 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.

The following are the steps involved in the market selection process:

(a) International Marketing Objectives: The first step in market selection process is to determine or ascertain the export marketing objectives of the organization. The market selected to serve a particular international marketing objective need not necessarily be the best suited to achieve some other international marketing objective.

(b) Parameters for Selection: For proper evaluation and selection of the markets, it is essential to clearly lay down the parameters and criteria for evaluation. The different parameters for the selection of a market are firm's resources, international environment, market situation, nature of competition, government policy, etc.

(c) Preliminary Screening: The objective of the preliminary screening is to eliminate the markets which are not potential. The parameters used for the preliminary screening may vary from product to product. However, parameters like the size of population, per capita income, structure of the economy, infrastructural factors and political conditions are commonly used.

(d) Short Listing of Markets: Preliminary screening enables to eliminate markets which obviously do not meet consideration at the very outset. There would be a large number of markets left even after the preliminary screening. They are further screened with the help of more information than was used at the preliminary screening stage

(e) Evaluation and Selection: The short listed markets are further evaluated with reference to the cost-benefit analysis and feasibility study. They are then, ranked on the basis of their overall attractiveness. Of the markets, the best one is chosen for the launching of product considering the company’s resources and external environment

(f) Test Marketing: Initially, the market is tested on a smaller scale by launching the product in a part of the markets This provides a feedback to the producer about the market. At the same time, it helps the producer in assessing overall response of the consumers from a specific market, after tested success, the production can be undertaken on a mass scale.

(g) Commercial Production: Once the product is tested "in the selected market, the company goes ahead with mass production. Minor modifications, if any, are introduced in the product mix during this stage.

Travelers to India under import duty exemption, Frequently Asked Questions Part 2

Triangular export

Triangular shipment

Types of Insurance Documents.

Is DP terms of payment safe in export business?

Is Letter of Credit LC safe for an Importer?

Is ON BOARD CERTIFICATE required for LC negotiation

Who can inspect import cargo in US
Who decides shipping carrier on FOB shipments
Who gets benefits from this website?
Who is a ‘Manufacturer’ of excisable goods
Who is a prime banker to check authenticity of letter of credit?
Who is Stevedores

Revised GST rate on Mayonnaise and salad dressings

Revised GST rate on Mixed, condiments and mixed Seasoning

Revised GST rate on Idli, dosa batter

Revised GST rate on Diabetic foods

Revised GST rate on Chutney Powder

Revised GST rate on Other non-alcoholic beverages

Revised GST rate on Sulphur recovered as by-product in refining of crude oil

Revised GST rate on Marble and travertine, other than blocks

Revised GST rate on Granite, other than blocks

Revised GST rate on Uranium Ore Concentrate

Revised GST rate on Fly ash

Who receives the amount of auctioned / resold imported unclaimed/un-cleared goods?
Why demurrage/detention waiver period is required at destination for importTransferability of Bill of Lading
Why do carriers balance weight and volume while charging freight amount in Exports?
How does CENVAT Credit work?
Why, best attention while preparing Export Invoice?
Is Letter of Credit LC safe for an Importer?
Is ON BOARD CERTIFICATE required for LC negotiation
What is said to contain in Bill of Lading.

Why does Palletization require?

Why labeling and marking in Export business?

How to make DA mode of payment safe

Transferability of Bill of Lading

Transhipment - A redefinition

Discussion Forum

You can also share your thoughts about this article.
Any one can answer on question posted by Readers