International buying and marketing 1
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International Buying and Marketing
Fergul Kuzucuoglu March 13th 2013, SH China wk1
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Agenda wk 1
1. General Introduction
2. International Marketing and Trading
3. Fiber/Textile Manufacturing
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COURSE OUTLINES
Unit 1 Introduction
• International Trade and Marketing
• Fiber, Textile, Apparel, Retail process
• Trade blocs( WTO, NAFTA, EU, ASEAN…etc)
Unit 2 Value Chain and Positioning of companies in China
• Company organizational structure(fiber/yarn/textile) • Target customer identification and branding • Design positioning • Sales promotion • The buying calendar and seasonal phasing • Pricing policy
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COURSE OUTLINES Unit 3 Fashion industry structure in China
• Range planning and product development • Job description of merchandiser and buyer • Sales and fashion trends forecasting
Unit 4 Purchasing at wholesale& buying at retail
• Supply Chain
• China’s position in Global Supply Chain
• Sales & Stores
• Retail Buying Plan/Purchasing budgets(OTB)
• Merchandise Assortment Plan
• Trade Conditions
Unit 5 Summary and Evaluation
• Evaluation of each team retail buying and marketing plans( details will be later)
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What is the definition of marketing?
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Casual Definition of Marketing
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Academic Definition of Marketing
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History of Marketing
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• International trade is the exchange of goods and services between countries.
• Gives opportunity to consumers and countries to reach goods and services which are not available in their own countries. ( export- import)
• If a country cannot efficiently produce an item, it can obtain the item by trading with another country. Also helps existing suppliers to compete efficiently.
• Foreign Direct Investment will easily flow into countries which will create job, purchasing power in the population.
International Marketing
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• Multinational marketing applies for a number of very large companies. Their headquarter, production plants and sales should be spread in different locations in the world.
• International marketing is the term used to describe all activities within international area. Generally if overseas sales is more than 25-30% of total turnover , this term applies.
International Buying&Marketing
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International Marketing -Retailing
Identify business area
(knowing products)
i.e. home furnishing
products range
Identify industry
(knowing our customers
in stores)i.e. retailing
How to purchase to get
lower retail
price?(knowing correct
production country)
Ranges/products
Sales/store Purchasing/supplier
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Result Paradox in Retailing Companies
Organization Showing result
Purchasing 2%
Range 1%
Distribution 2%
Retail 95%
Total 100%
Influence result
35%
35%
15%
15%
100%
Purchasing & Range
Retail/Sales
High leverage
point
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The Marketing Mix and the 4Ps
•Price
•Product
•Place
•Promotion
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How might the marketing mix come into play in the marketing of Vero
Moda in the world?
Launched in 1989 in Denmark Womenswear 800 stores worldwide Smart casual styling
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PROMOTION PLACE
PRICE
PRODUCT
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How about the marketing mix in China for Vero Moda ?
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Trendy Brand
Launched in 2001 in China Womenswear 1.713 stores in China Fancy smart casual styling
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PROMOTION PLACE
PRICE
PRODUCT
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Marketing Channels