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In today's business world, often companies simply cannot stay domestic and expect to maintain and increase their markets. A company must initially decide if it is beneficial to go international and then define its international marketing strategies and policies to create an effective promotional campaign.
All transnational corporations have to develop international marketing strategies. Therefore, to understand international marketing better, a detailed understanding of the various stages that a corporation undergoes to become a transnational corporation is required.
Basically, there are 4 stages that a corporation goes through before it finally becomes a transnational corporation. These 4 stages are Domestic, International, Multinational and Global. The 5th stage may be termed as Transnational.
In the domestic stage of a corporation, the only target market of the corporation exists in the home country. It can be said that the entire view of the world for the company is restricted to the home country. In this stage of development the orientation of the corporation is ethnocentric.
In the international stage, the orientation does not change as a company moves from domestic to international. …
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