EPRG Framework or Orientations Of International Marketing. The form and substance of a company’s response to global market opportunities depend greatl . EPRG framework in international marketingDr. Howard V. Perlmutter is a world authority on globalisation and pioneer on the internati. Dr. Howard V. Perlmutter is a world authority on globalisation and pioneer on the internationalisation of firms, cities and other institutions.
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The general attitude of a company’s senior management team is that nationals from the company’s native country are more capable to drive international activities forward as compared to non-native employees working at its subsidiaries.
This provides a firm to manage its operations independently, without much interference from its headquartered. Thus, ensuring efficient use of human resources by building strong culture and informal management channels.
A firm tries to adopt globalized marketing, formulates an integrated marketing strategy for across the globe. Global channels of distribution are established and promotional policy is developed to project a uniform image of the firm, and its products.
A regiocentric orientation views different regions as different markets. Today in the era of globalization, this approach is not popular. The calculation of taxable income is done for the individual who is an Indian resident.
On the incomes that they hav For example, Norway framewotk Spain are both in Europe, but are very different in marieting, culture, transport, retail distribution, and so on. Ethnocentric approach is suitable to small firms just entering international operations. The assessee will be liable for penal int In contrast, polycentric organizations or managers see each country as unique, and consider that businesses are best run locally.
Also, promotion and distribution strategies are similar to that employed in the home country.
The person who fills in the return should also complete the entries in eeprg acknowledgement fo Ethnocentric approach will better suit small firms just entering international operations. Such companies do not adapt their products to the needs and wants of other countries where they have operations.
Advaitha: EPRG framework in international marketing
No systematic marketing research is conducted outside the home country, and no major modifications are made to products. The management of a company has to decide the type of orientation that a firm should give to its overseas marketing operations.
Subsidiaries are established in overseas markets and each subsidiary is given a free hand in framing policies and implementing them. Similarly, if a company focuses its attention on the Europe, company follows regiocentric approach. The ethnocentric orientation means company personnel see only similarities in markets and assume the products that succeed in the home country will, due to their demonstrated superiority, be successful anywhere.
Also called pay-as-you-earn scheme, advance tax is the income tax payabl However, this approach is not suitable for companies which are planning to extend their international operations in a big way. It entails minimum risk on the part of the firm. This approach maintains a balance between home and host market.
EPRG – INTERNATIONAL MARKETING ORIENTATION – Priyanka Blog Thoughts
This does not equate superiority with nationality. Such companies are also sometimes referred to as domestic companies. The major advantages of this Type of orientation is that it entails minimum risk on the part of the firm. The term ethnocentric orientation means that a company does not differentiate between domestic and foreign market A person who assumes his or her home country is superior compared to the rest of the world is said to have an ethnocentric orientation. He states that businesses and their staff tend to operate in one of four ways:.
This framework addresses the way strategic decisions cramework made and how the relationship between headquarters and its subsidiaries is shaped. International marketing is no longer remain only to the internwtional technique of producing goods in one country and export to other countries, it includes movement of all factors of production, such as Raw materials, human skills, finance, machinery, technology etc.
One of the major challenges is which type of orientation a firm should adopt to overseas its maketing operations. This approach is especially suitable for countries with certain financial, political and cultural constraints.
A firm having a presence in the global market has to decide the manner in which it will enter and operate there. Polycentric will prove idle for firms seriously committed to international marketing and have capacity to invest to the desired inteenational towards achieving their objectives. A regiocentric organization sees similarities and differences in a world region, and designs strategies around this.
Overseas subsidiaries or offices in international markets are intfrnational as less able and less important than the head office. In the ethnocentric international company, foreign operations are viewed as being secondary or subordinate to domestic ones. Firms Go International due to following reasons: When they look to new markets they rely on what they know and seek similarities with their own country.
See full list of related question in M.
The case of European Silicon Structures illustrates the practice of geocentric organizations. See full list of related question in international marketing management. Each subsidiary operates independently of others and establishes its own marketing objectives and plans. The major advantage of this type of orientation is that it will be the most effective way of motivating the management, since the management in each country is given a free hand in framing policies and implementing them. The term multinational company is often used to describe such a structure.
This assumption lays the groundwork for each subsidiary to develop its own unique eprh and marketing strategies in order to succeed, the term multinational company is often used to describe such a structure. The exercises, internxtional and policies of the functioning company in the intrnational country becomes the default standard to which all subsidiaries need to abide by.
A Niche Marketing is a small segment of market ignored or not properly served by large players.