The paper “ How the Internet Is Reshaping the Global Marketing Activities, The Negative and Positive Consequences of a High Exchange Rate with reference to Australia“ is an apposite variant of an assignment on marketing. Internet and its related technologies have facilitated the establishment of new forms of communication as well as reduce the costs of market interactions. AS a result, different firms and consumers across the globe are shifting their transactional activities into closer proximity than it was before (Saloner & Spence 2001). Studies show that the Internet is the leading technological marvel for today’ s global marketers, reshaping the demand-and the supply-side global marketplace of international marketers.
It can be noted that the web offers a unique distribution and communication channel to various marketers across the world. This has created a global marketplace where buying and selling of goods and services take place. However, the major challenge faced by many global multinationals concerns how to utilize the benefits associated with the use of the web (Quelch 2012, p. 626). According to Shenton (2000), the Internet facilitates informative technological innovation. Therefore, developing a marketing plan and asking key planning questions are vital as many individuals and organizations are involving in global marketing activities. Marketing on the InternetToday, the Internet is utilized as a consumer-oriented marketing tool where the majority of businesses consider it a standard marketing tool.
For example, business-to-business is using newsgroups and emails to accomplish their marketing programs. Research indicates that if the Internet is properly understood, it can be utilized to complement the existing marketing practices, automate operations as well as establish new opportunities. Successful marketing via the Internet is achieved only if the capability of the medium is utilized to the traditional marketing practices in a more innovative way.
It is important to plan for all Internet Strategies in order to use the medium successfully. This involves strategic integration of Internet marketing to the traditional marketing strategies to avoid losing focus of intended goals and failing to capitalize the time-sensitive opportunities and waste of resources (Shenton 2000). Increased Loyalty MarketingOrganizations are keen to implement strategies geared to web-based customer communication, develop business processes that enable them to win customer loyalty. This is achieved by ensuring that the necessary infrastructure is made available to leverage the Internet so as to increase customer loyalty and profits.
Relationship marketing via the Internet is key to successful businesses where organizations create email and Web-based forms to enable customers to register with their firms as a way of building back-end databases. In so doing, such organizations are able to collect and retrieve information that is used as leads to build more customer relations (Shenton 2000). The Current Challenges faced by small exporting firms due to the InternetAlthough tapping international potentials is considered a great opportunity for small businesses exporting their products and services to expand and make more profits, many obstacles are posing great challenges to small exporting firms.
A survey conducted by American Express FX International Payments indicates that about 2.2 million of Small Medium Enterprises within the UK claim that little advice, information, and support is provided for small firms involved in international trade. Despite the fabulous technology accessed by small firms and their great products, such firms are still not able to compete effectively.
This is because few of them take into consideration that their international trade as a distinct business model that is expected to make sustainable investments and returns for the future and not just for today. Embracing technological change is a major challenge faced by small exporting firms. Since the Internet is hugely important, it has become a great challenge for such firms to keep up to date with the pace at which Internet-related technologies are changing. Therefore, small exporting firms find it difficult to embrace change on the global scale or international level.
Choosing their market well is another challenge faced by small exporting firms yet launching their products or services internationally depends on how they make choices for their markets. Small exporting firms do not have the necessary knowledge to do research about the value proposition they intend to present to the market. In addition, such firms do not have enough tactics and idea regarding their price point which can be too high or channels of distribution that is really appropriate for their markets. Small exporting firms are also put off in international trade because they are not able to predict and protect their currency rates.
Therefore, it can be noted that such firms are not up to date to handle the issue of foreign-currency fluctuations (Nielsen 2011).
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