Escolarismo

Dumping

They sell of a product cheaper than others, it's the fact of selling something abroad and with a low price.

Price fixing: you and me setting a price for a product, that's illegal, some say Pepsi and coca cola do it.

Transfer pricing: Toyota is a good example, a lot of companies do this, when they buy from each other.

Countertrade: when you're gonna pay with something else, not money, pay with another good, one of the problems is not a fair exchange involved.

Cartels: when various companies with similar products and they control the price, the best example is OPEC, they are the ones who control gas and petroleum.

Parallel import

They sell in one country what they bought in another country, a example affected Levi's, they lowered their prices.

Gray market: when you're not authorized to sell something, sometimes not illegal.

Global pricing

There are 3 types:

Ecnocentric: they importer has to absorb all the transportation, same price all over the world, like Mattel, the same price.

Policentric: it allows subsidiaries to establish their price, you're giving the choices to them.

The establishment of prices might be by places like in the European Union.

Geocentric: it has the biggest risks but also benefits.

You have to that into consideration the objectives of the company.

Environmental influences on pricing decisions

Currency exchange: they can affect you in different way, it's complicated, you'll never have an exact price, it can actually make you win a little bit of income.

Inflation or deflation environment: products are more expensive when inflation is high, the second one is the opposite.

If you're competing with a company which receives subsidies you might be losing.

International marketing

Going global

Distribution system is place

Price

Promotion

Place

Price

A product is a tangible or intangible thing, a good is a product but a product is not a good, like ideas, experiences, most of the time global companies do local products for a particular country, the 4ps is international marketing pretty much, some actors like demographic or technological forces, one of the choices do companies have 3 to go abroad: joint venture, .... A global marketing strategy have some difficulties, risks for a company going global: explopiation risks, they need to invest more, 5 kinds of products: good, ideas, places, experiences,...

Some of the benefits of going global: more recognition.

Characteristics of a global product: standardized

Market research: studies demand