Welcome to the segment B2B, Cross Country Growth, where we finally get into CCCI aspects of B2B marketing. In this segment we'll talk about the selection of countries. We'll talk about the opportunities and growing in a cross country way. Of course we'll talk about the threats as well. We'll talk about how you can grow and finally, the kinds of marketing issue that you have to be aware of, so let’s get started. Okay, so going into a new country, whether it's B2C or B2B, there has to be a process. So this almost a recap. This is something that I covered in a different module and different section. But I think it holds true here as well. And the key that I want to emphasize is that you don't have to always go abroad. Sometimes we assume that so, but some companies are more than happy just being at home. And can service their customer so well in that fashion. But if you do decide to take the plunge, that's when you have to also think about what region you want to target, whether it's North America, whether it's Europe, whether it's South America and so on. And then, you have to think about what the proper beachhead country is. And if you're thinking in the very long term, that selection is very important because having a good beachhead enables you to organically grow and expand to other countries later. And even with then, B2B marketing maybe that initial segment that you choose has to be also appropriate as well. So this inverted triangle gets that how again, you whittle down the kind of decisions that you have to make. You start from a very general level but then, ultimately, you have to be priority specific. Okay, market selection in B2B is about, not only being aware of how going abroad adds to your sales, but it often involves the impact it has on cost. So as you can see here, we see that it depends, because for some companies, the aggregation of demand can be steeper than this that I assume, and often try to cost, it can be even steeper. So, for some companies as I have indicated as point A, they reach their proper amount of international attention rather quickly. And that's more a function of cost, the adversive impact it has on cost as opposed to demand. But notice that for some companies even when faced with similar demand, they can scale their international expansion better. And so, their optimal level of international expansion can be further out, as I've indicated as being point B. So let's not generalize. Demand will differ by company. And certainly, costs will differ by company as well. Okay, so in terms of the kinds of opportunities, there are by going abroad, they're many to speak of. It's not just the addition of markets. It's the maybe the global image that you can attain which may matter for even B2B companies nowadays. It could be related to supply where by serving more markets as we saw in the case of B, you have economies of scale. Economies of scale which enable you to, in some cases even lower cost. By going abroad you may secure key technology, and by going abroad you may secure supply of key components and raw materials. Which maybe at home, have become less hard to access. So again, you have a whole host of reasons as to why you want to go abroad. Okay, in terms of how we configure our markets, as we can see here, we have options. So, some markets may be quite unique and demand really localized B2B marketing, and that country would be D. And maybe a country like Iran, which just opened up, may be an example where the B2B demand for many products, infrastructure and so on. Maybe very specific to that country which until now has been closed off to many B2B suppliers from the west. But for other countries and other regions, maybe you can actually aggregate a demand. So, what I colored red, it's almost global in terms of how similar, how convergent demand is. So you may in some cases, for some products have global demand, almost global demand with the exception of D. But even in cases where it's not global, you still can aggregate by region. Let's say by focusing on Europe where they have a lot of shared infrastructure, or in South America, maybe less so, or in countries in Southeast Asia with the formation of ASEAN. I think that kind of aggregation will become a lot easier. Okay, let's look at an example. And this is almost an example of B2G which stands for Business to Government which is a very specialized type of B2B marketing. And we see the variety of B2B marketing that, IBM, which is a total solution provider, conducts in countries or cities, like Rio, versus what they do in Singapore. So in the case of Rio, which will hold study 2016 Olympics. It's a tall order because the information integration that's needed for Rio will be very comprehensive. So the keyword here is total. Where they monitor, they have to manage, they have to predict and quickly respond to different kinds of happenings occurring in that city, especially during the Olympics. In contrast in the country or city like Singapore, IBM may focus much more on one specialized information need, and that will be traffic control. Which will require a very specialized type of solution as compared to Rio. So even though we're talking about one company, IBM conducts in some cases very localized marketing, especially where the hardware and the software have to be on-site, on-premise. But you don't always have to reinvent the wheel. So even in Rio, where the total solution providing is being offered, they may reuse some best practices or best solutions that have been tried and tested, and proven well in other countries or cities. And the beauty of having a cloud-based storage of information and solution is that, we have this global sharing of infrastructure. So even in the case of Rio and maybe even in Singapore, part of that solution may be something that's stored on the cloud. So again, it's not just black and white. You have in some cases localized, in some cases standardized but in some cases, hybrid types of solutions that can be used in the marketing to specific country or cities.
