Chapter 14
International Publicity, Public Relations, and Sales Promotion Strategies
LEARNING OBJECTIVES
After studying this chapter students should be able to:
• Provide an overview of international publicity and the different international public
involved.
CHAPTER SPOTLIGHTS
• Publicity: Defined as any communication, personal or non-personal, about the
company. It can be positive or negative.
• Public Relations: An effort by the company to generate good will among target
CHAPTER OVERVIEW
This chapter addresses international publicity and the different international public
relations activities used to influence publicity and public opinion. The chapter also
addresses different approaches to both international consumer sales promotion and
international trade promotion.
CHAPTER OUTLINE
14-1 Publicity and Public Relations
14-1a Publicity:
Defined as any type of communication, personal or non-personal, about a
company or its products. The company could attempt to influence publicity
through public relations.
1) Negative publicity can be harmful to the company; the company needs to
14-1b Public Relations:
Defined as a concerted effort on the part of a company to generate good will
among important international publics.
1) News Releases/Letters, Press Releases, Company Publications: Can be used to
communicate to the publics (home-country, local, and other international
consumers; trade; stockholders; home-country government and other
governments where the product is available; and community) the advantages
14-2 Consumer Sales Promotion: All communication other than advertising, personal
selling, public relations, and publicity, offered to the end consumer to stimulate
purchases.
14-2a Adaptation of Sales Promotion:
There are three primary strategies that can be used for international consumer sales
promotion:
1) Global Campaigns: Promotional campaigns that are rarely attempted by
companies, but that can be used effectively in markets where multiple
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14-2b Online Venue for Sales Promotion: Online sales promotions are quickly
becoming a pervasive mode of communication with potential consumers. Most of
14-2c Legal and Ethical Issues in Consumer Sales Promotion: Companies must adapt
promotion strategies as required by local governments. Certain countries limit the
14-3 International Trade Promotion:
Sales promotions aimed at other businesses and not at the final consumer. Such
promotions include trade shows and exhibitions, which are business-to-business
promotions that are usually held annually in formats where companies purchase
exhibit space to display and demonstrate their offerings to the target market.
KEY TERMS
Advocacy Advertising: Advertising a particular position or point of view.
Company Publications: Public relations publications that describe the products of a
company to potential customers and summarize financial achievements.
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Image Advertising: An advertising campaign that enhances perceptions of a company in
a given market by creating a positive impression on the target consumers.
News Releases: Statements issued to the public to introduce a new product, touting its
advantages; any other information shared with the media.
Press Releases: Statements issued to the press to communicate news about a company
and its products.
DISCUSSION QUESTIONS
1) Describe the relationship between international public relations activities and
international publicity.
International publicity is defined as any communication, whether positive or
negative, about a company or the company’s products that the company does not pay for.
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2) What are the different public relations tools that an international firm can use to
fend off negative publicity?
Multinational firms must communicate with their different publics on a regular
3) Describe some of the international consumer promotion activities that
international firms currently engage in, while addressing ethical issues and
international standards involved.
Firms offer to their target consumers sweepstakes and contests that encourage
purchase of products that those consumers may not need. This is a serious issue
4) How does international business-to-business sales promotion (trade promotion)
benefit international companies and target consumers?
Trade promotion benefits international companies in that it offers potential buyers
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REVIEW QUESTIONS
True/False
1. True
Multiple Choice
1. C
6. C
CASE 14-1
Promoting Coke in South Africa
1. Evaluate Coke’s market position in South Africa relative to other
competitors and other businesses.
Coca-Cola is in a good position in South Africa, because of the positive image that it has
created for its target market. It has done this in two ways. First, Coke’s contributions to
the local economic and social environment were immense. Their mere presence in South
2. Evaluate the different types of consumer promotions used in South Africa to
increase sales for Coca-Cola South Africa. Are there any types of sales
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promotions that may not be effective or should not be used in a country
characterized by a wealth gap, with a substantial proportion of the
population under the poverty line? Explain.
It is preferable that promotions do not particularly target the lower-income
consumers, who would purchase Coke instead of products that provide nutrition.
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