Chapter 5: Global Customers
Learning Objectives
•Summarize the characteristics of the world’s major regional markets
•Discuss marketing challenges and opportunities in low-income countries
•Explain the significance of customer value in global marketing
•Describe the three key concepts of diffusion theory
Chapter Overview
The entire world is growing. Every world region, including Africa, will continue to grow,
and developing countries will grow faster than the rich countries. The shortage of goods
and services is the central problem of transitioning economies and low-income countries.
While these countries may pose certain challenges for marketers, they represent
potentially attractive markets for many consumer product companies. Marketers should
apply basic marketing concepts to ensure that products are designed that fit the needs and
incomes of these markets. All buyers go through a similar process in making a purchase
decision; however, they will make different purchases since they will respond to the
unique economic, social and cultural, political and governmental, environmental,
competitive, and personal factors that influence buyer decisions. The process that buyers
go through is summarized in diffusion theory, a marketing universal.
Lecture Outline
I. The Global Marketing Plan (p. 138)
II. Regional Market Characteristics (p. 138)
a. European Union
b. Russia
c. North America
d. Asia-Pacific
i. China
ii. Japan
iii. India
iv. Indonesia
v. Oceania
e. Latin America and the Caribbean
i. Brazil
f. Middle East and Africa
i. Israel
ii. Sub-Saharan Africa
III. Marketing in Low-Income Countries (p. 158)
IV. Global Buyers (p. 159)
a. Customer Value and the Value Equation
b. Diffusion Theory
i. The Adoption Process
ii. Characteristics of Innovations
iii. Adopter Categories
iv. Diffusion of Innovations in Pacific Rim Countries
V. Summary (p. 164)
Tables and Figures
Table 5-1 List of Top 50 Countries by GDP (p. 136)
Table 5-2 World Data (p. 138)
Figure 5-1 Euro-US Dollar Exchange Rate: 1999-2012 (p. 140)
Table 5-3 Marketing Strategies in the European Community (p. 141)
Table 5-4 Interbrand 2011 Ranking: Top 100 Brands (p. 142)
Figure 5-2 People’s Republic of China’s Nominal GDP 1952-2005 (p. 147)
Table 5-5 Western and Asian Cultural and Marketing Values (p. 150)
Figure 5-3 Indonesia (p. 152)
Table 5-6 Latin America and the Caribbean (p. 153)
Table 5-7 Brazil (p. 154)
Figure 5-4 Adopter Categories (p. 163)
Sidebars
Sidebar 5-1 The Chuppies Are Here (p. 148)
Sidebar 5-2 Indonesia: A Necklace of Equatorial Emeralds (p. 151)
Sidebar 5-3 In Africa, Mobile Phones Do the Work of Computers (p. 157)