I need references for this question please. Companies collect a wide variety of
ID: 409883 • Letter: I
Question
I need references for this question please. Companies collect a wide variety of information about their foreign markets to decide in which countries to conduct business and which market segments in these markets they should target. What are the three major markets that exist in all foreign markets? Describe the markets and provide examples of each. Write a paper of 500-600 words, typewritten in double-spaced format (Arial 12-point font or Times New Roman styles), page margins Top, Bottom, Left Side and Right Side = 1 inch, with reasonable accommodation being made for special situations and online submission variances.
Explanation / Answer
The three major markets that exist in all foreign markets could be consumer markets, industrial market and government markets.
Consumer markets:
In these markets buyers buy products for consumption rather than resale. In a consumer market decision making power lies with the consumers. They decide how they spend the money and how they use a product or service bought. Companies operating in these markets educate potential customers about their products or services and encourage them to buy. To operate in consumer markets it becomes very essential to understand the buying patterns, tastes , preferences , etc of the consumers. These vary from one country to another.
Examples of consumer markets would be FMCG , Electronic goods market, Fashion, etc.
Industrial markets:
Industrial markets are those which sell goods and services to other businesses. The goods sold by the companies operating in industrial markets might not be the final product. Industrial markets often involves large orders. It is very important to maintain long term relationships with the clients. In Industrial markets , a deal between two parties is made with the involvement of group of people from both sides
Example of industrial markets are raw material supplying companies to manufactures like car manufacturers, handset manufacturers.
Goverment Markets:
A government market is a market where the consumers are local, state and federal governments. Government purchases goods and services from private sector. The processes one has to go through is getting a deal with the government take time and also they involve a lot of documentation.
Examples are supplies for government hospitals, schools, etc. In addition to these government buys some exotic goods like military weapons , aircrafts, satellites, etc.