Many factors and conditions have led to the development of global markets. One of these contributing factors really has to do with the information age and markets being more aware of what is out there globally, which can make for more standardized products. Marketers around the world are being exposed to the same products and processes, and are pushing towards a more common taste, whereas before they were perceived to have different tastes simply because they were not all exposed to the same products and processes. For example, maybe someone in India or China wasn’t aware that they would want an Apple iPhone because they were not exposed to the marketing that America or the United Kingdom was exposed to. Once they became aware of it however, they knew what was out there and had similar wants and needs. The new iPhone 5c is a great example because they are marketing that model globally, have made it affordable and more attractive to what seems to be emerging markets in less economically advanced countries. Another contributing factor to the development of global markets is when a company transitions from international marketing to global marketing, meaning that more than half of its revenues come from abroad. This phase is often accompanied by the term “global marketing”, according to Cateora, Gilly and Graham (2013) this can be used to describe the scope of operations and marketing management orientation of companies. As time goes on many other factors will be responsible for the development of global markets, some of which include the growing population, the current global leaders paving the way for other markets, and overall global influence.
According to Cateora, Gilly and Graham (2013) global orientation can be defined as “A means of operating by which a company acts as if all the company’s markets in a company’s scope of operations (including the domestic market) were approachable as a single global market, with the company standardizing the marketing
References: Cateora, P.R., Gilly, M.C., Graham, J. L. (2013). International Marketing. New York, NY. McGraw-Hill Irwin.
(2013) Six Global Trends Shaping the Business World: Emerging Markets Increase Their Global Power http://www.ey.com/GL/en/Issues/Business-environment/Six-global-trends-shaping-the-business-world---Emerging-markets-increase-their-global-power