Download Personal Selling, Publicity and Sales Promotion

QUESTIONS
1. Explain how personal selling overseas may differ from how it is used in the
United States.
Personal selling is not viewed as a prestigious occupation in most countries. As a result,
the quality of personal selling outside the United States is far from exemplary. In the United
States, salespersons entertain clients at either breakfast or lunch. Overseas, it is much more
common to meet for entertainment after business hours and to have sales discussions over dinner
or in a nightclub. Clients expect attention to be given to social functions in addition to business
functions, including golf, drinking, dining, and so on.
2. What are the requirements of a good publicity program?
Proper management is required for all publicity campaigns. Every campaign must first
have a well-defined objective. The effectiveness of publicity must be measured. A person
responsible for a publicity campaign should keep the needs of the media in mind. Any request
for information should be handled promptly. Finally, the strategy developed for publicity must
change with the various product life-cycle stages.
3. What is a carnet?
A carnet is an international customs document that facilitates the temporary duty-free
importation of product samples in lieu of the usual customs documents required to bring
merchandise into several major trading countries. It is a series of vouchers listing the goods and
countries involved where the product will be exhibited. For a fee based on the value of the
goods to be covered, a carnet can be purchased in advance.
4. Explain why standard sales promotion tools (e.g., premium, coupon, etc.) may
not be applicable or effective abroad.
The effectiveness of sales promotion can be tempered by psychological barriers. Some
foreign retailers, for example, are reluctant to accept manufacturers' coupons because they fear
that they will not be reimbursed. Consumers may view sales promotion with suspicion, thinking
that something must be wrong with the product. Furthermore, there are many legal barriers.
European countries have a larger number of restrictions than the United States in this area.
DISCUSSION ASSIGNMENTS AND MINICASES
1. Compare domestic communication with international communication. Explain
why "noise" is more likely to occur in the case of international communication process in
all five stages (source, encoding, information, decoding, and receiver).
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Communication means the sharing of something in common between the sender and the
receiver. The source can encode and the receiver can decode only through the experience each
has had. This is a major problem in international marketing communication. More often than
not, the sender and the receiver tend to have different psychological and social attributes.
Because the area of overlap of the two parties' fields of experience is small when dissimilarities
are great, communication is difficult. In contrast, in the case of domestic communication, the
sender and the receiver have a whole lot more in common, thus facilitating the communication
process.
2. Why is telemarketing not as widely used outside of the United States?
In overseas markets, telemarketing is not as far developed as it is in the United States.
The limited availability of telephones for private households is one problem. The higher costs of
telephone services are another. Furthermore, the privacy laws are tougher. It should be noted,
however, that Congress has finally passed legislation in 2003 that puts restrictions on U.S.
telemarketing.
3. Should expatriate personnel be used? What are some of the difficulties that they
may encounter overseas? What can be done to minimize these problems?
When desirable, there is nothing wrong with using expatriate personnel who are well
qualified and knowledgeable of the company's product, technology, history, and policies. The
difficulties, however, are many. Some expatriate personnel find it difficult to cope with a new
and unfamiliar business environment. Also the expatriate's family must also share in the burden
of making social adjustments related to shopping, schooling, and the limited entertainment
opportunities. Also the expatriate may fear that the distance from the headquarters may
eliminate chances for promotion.
To minimize the problems, the personnel for overseas assignments must be selected
carefully. Their families should also be interviewed to determine the suitability of their
temperament for an overseas assignment.
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