International
Marketing MKT630
VU
Lesson
# 34
INTERNATIONAL
MARKET SEGMENTATION
Segmenting
International Markets
Segmenting
international markets:
Like
domestic markets, international markets
can also be segmented on the
following criteria;
·
geographic
location
·
economic
factors
·
political
& legal factors
·
cultural
factors
·
intermarket
segmentation (segment
consumers with similar
profile but different
countries)
Basis
for country segmentation:
Country
markets can be segmented on the
basis of their economic status or
socio-economic variables;
Economic
Status Grouping:
Based
on GNP per capita & level of
industrialization / market
sophistication.
-
First World:
include
advanced industrialized nations of
Western Europe, North
America, Japan & Australia,
New
Zealand.
-
Second World:
High
income oil exporter and
newly industrialized
countries.
-
Third World:
Group
of countries that need time
& technology rather than
massive foreign aid to build
modern
developed
economics.
-
Fourth World:
Centrally
planned communist run
nations.
-
Fifth World:
Countries
with few presently known
resources people living in
massive poverty.
Socio
economic variables:
Stages
of economics development
-
Traditional
Societies
Countries
in this group are in endless
quagmire of enormous poverty,
low productivity
&
high illiteracy
-
Pre-conditions
for take-off
Advances
in sciences & technology enter the
agriculture sectors. First
steps are taken
to
develop infrastructure.
101
International
Marketing MKT630
VU
-
The
take-off
Infrastructure
is mainly in place spurring
city centered industries.
-
The
drive to maturity
Countries
at this stage are able to
produce a wide variety of
products. Service
sector
gains
prominence.
-
High
Mass Consumption
Sizeable
middle class with
significant discretionary incomes
have highly developed
services
sector.
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