Core Concepts of Marketing

(Marcin) #1

142 CHAPTER 6 MARKETINGINGLOBALMARKETS


INTEGRATED MARKETING •


HOOKINGUPINEUROPE

EveryoneinEuropevacationsinAugust,and· businessis
booming atInternet Train, theperhaps inappropriately
namedchainofInternetcafesinFlorence,Italy.Justoverthe
PonteVechio, theoldbridgejoiningtheUffiziartgallerywith
PallazoPitti,there'sa smallstorefrontwith 20 personalcom-
puters.Inside,peoplefromaroundtheworldpeckawayat
theiremail,communicatingwithfriendsandacquaintances
frommorethana hundredcountries-forjust6,000lira(about
$3)perhalfhour.
ThousandsofkilometersawayinLondon,nearVictoria
Station,thesceneis muchthesame.Stelio'sHaij-Joannu,Ii
GreekshippingtycoonandInternetentrepreneur,hascreated
EasyEvelYthing,whichheclaimsaretheworld'slargestInter-
netcafes.Haij-JoannuboastsnineInternetcafes·with3,900
PCsreadyandavailable."EasyEvel)'thing(easyeverything.
com)iswonderful,"reportsReadeFahs,CEOofLondon-
basedFirstTuesday,a globalInternetnetworkingorganiza-
tion. "YoucallitanInternetcafe,butit'smuchmore.Most
Internetcafesareaboutthecoffeewithcomputersontheside.
Thisisabout 400 thin-screencomputersinthisverycoolenvi-
ronmentwitha littlecoffeeontheside."
Ofcourse,thestoryinEuropegoesfarbeyondemailand
Internetcafes.They'rejustthetopoftheinnovationrevolu-
tionsweepingEuropefromtheNorthtotheSouth.Consider
easyGroup,whichownsea~yEverything:easyGroupincludes
easyJet.comandeasyRentacar:com(allpropertiescontrolled

byHaij-Joannu).EasyJet.combillsitselfasthe"Web'sfavorite
airline"andmarketsitselfasitdiscountairlinewithsteep
incentivesforbuyerstotransactonline.EasyRentacar:comis
"theworld'sfirstInternet-onlyrent-a-carcompany,"headds.
HealsoplanstostarteasyMoney.com,offeringdiscountmort-
gagesonline.
Still,thechallengesofEuropean Internetmarketing
arelegion.PuttingaB2C(business-to-consumer)ora B2B
(business-to-business)siteupinEuropeis muchmorediffi-
cultthanintheUnitedStates.Amongthemanycomplexities
facingpan-EuropeanWebsitesarethefollowing:


  • Developinga siteformultiplelanguages

  • Developinga siteformultiplecurrencies

  • Providingmultilingualcustomerservice

  • ShippingacrossbordersinEurope

  • Handlingthevalue-addedtax(VAT)

  • Copingwithsl1ictgovernmentregulatoryissues

  • Recruitingandretainingpeopleinmarketsthatprohibit
    orcurtailstockoptionsandothereconomicincentives


Sources:HenryHeilbrunn, "InteractiveMarketinginEurope,"
Direct Marketing,March 1998 ,pp.98-101;MichaelKrauss,
"Eurol?eForgesAheadwithWebInnovations,"MarketingNews,
August 14 , 2000,p.8; MichaelPlogellandFelixHofer,"No-nos
inEurope,"Promo,April2000,pp.23-24.

ThePolitical/LegalEnvironment
ThepoliticaVlegalenvironmentabroadis quitedifferentfromthatoftheU.S. Mostnations
desiretobecomeself-reliantandtoraisetheirstatusintheeyesoftherestoftheworld.
Thisistheessenceofnationalism.Thenationalisticspiritthatexistsinmanynationshas
ledthemtoengageiapracticesthathavebeenverydamagingtoothercountries'market-
ingorganizations.Forexample,foreigngovernmentscaninteiveneinmarketingprograms
inthefollowingways:


  • Contractsforthesupplyanddeliveryofgoodsandservices

  • Theregistrationandenforcementoftrademarks,brandnames,andlabeling

  • Patents

  • Marketingcommunications

  • Pricing

  • Productsafety,acceptability,andenvironmenialissues

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