International Marketing: The Role of Physical Distribution Management

Philip Kotler identified the term “marketing” with two different but related processes; the first dealing with “the search for and stimulation of buyers” and the second with “the physical distribution of goods”. The reason for superior international marketing performance by certain companies may be the result of a small number of correct strategic decisions, or of being in the right industry at the right time and being able to meet market demands. Continual high international marketing performance, however, is more likely to be the result of exceptional management control to overcome the problems of both the search and stimulation of overseas markets and the growing commitment successfully to feed those markets with the goods through a planned physical distribution pattern. International physical distribution management is not merely a marketing support system, but it is an integral part of the marketing mix which helps create and develop the international marketing process. Even though physical distribution does not portray the glamour associated with international marketing, it should not be forgotten as a part of the marketing mix. However, in the future, international marketing success may depend more and more upon the efficiency and practices employed to ensure economic physical distribution of goods especially as competition intensifies from developed and developing nations.