A multinational marketing information system (MMIS) is a tool that aims to reduce the chances of mistakes being made when launching marketing programs and initiatives within the multinational market. The Marketing Information System’s objective is to realize the importance and role of creating and maintaining informational basics for business decision-making. The development starts in defining the marketing information system structure and determining the databases (internal and external) and computer applications.
MMIS (Multinational Marketing Information System): Meaning, Definition, Sources, and Importance.
Multinational marketing research is the systematic and objective acquisition of data about the market in which the company wishes to penetrate. It is a support tool for decision-makers to reach a sound decision that involves the proper identification and implementation of their multinational marketing strategies and programs targeting the identified market.
Marketing research as part of the multinational marketing information system should be able to utilize for the multinational company (or even domestic companies willing to go global) to establish the most favored marketing mix for the product or service. In addition to the marketing mix, market research also aims to determine the most effective mix of product characteristics, pricing approaches, promotional methods and effective supply chains that would tailor fit the identified market.
Multinational Market Analysis:
For the process of data analysis and acquisition, the MMIS aims to gather market data by tapping into three sources namely internal records, market intelligence, and marketing research that often integrate into a single database. These data then analyze and report to senior management for effective marketing decision-making. The multinational aspect of the marketing information system creates for a more complex collection process of data acquisition and analysis as more factors consider (such as sales per country or region, political stability, cultural differences, etc.), but the fundamental aspects of the MMIS are practically the same as that of the domestic MIS.
Meaning and Definition of MMIS (Multinational Marketing Information System):
Marketing Information System is a computer-based system that works in conjunction with another functional information system to support the firm’s management in solving problems that relate to marketing the firm’s products. Multinational Marketing Information Systems Introduction Multinational Marketing
Sources of the MMIS (Multinational Marketing Information System):
The three sources of data should fall into place together continuously, that is internal reporting sources covering information obtained from within the organization may use in being able to prepare and develop studies focused on marketing research. On a similar note, being able to scan the environment of the market creates for a more effective and grounded marketing intelligence that can use in junction with internal reporting processes that feed into the marketing research function.
All the data gathered from the internal reporting process, from marketing intelligence, and marketing research should be analyzed and assessed to determine market trends for a given area or region the company is focused on. In essence, the process of being able to gather the needed market data in MMIS is similar to that of creating comprehensive market research for a single country.
The main difference lies in the fact that the data that collects from the market pertains to the product or service; and, its performance in the multinational market, not to mention global and local competitors in the area or region of focus. It involves collecting data from at least one country other than the domestic country and may use data from several countries, or even global data.
The kind and amount of resources needed to effectively conduct the MMIS are likely to be greater than for single country research due to the increased geographical spread of collecting the data, as well as the complexities of analyzing and reporting on the data that acquires. Nevertheless, this kind of system is essential for multinational corporations aiming to penetrate a given market or place their product effectively to gain a sustainable competitive advantage.
The market researchers involve having to have the necessary skills and training to effectively appreciate the diverse culture that he/she has to consider, as well as the language skills appropriate for the countries being investigated. This yields a holistic information system, mainly because it not only focuses on cold market and product supply and demand trends but also takes into consideration the socio-cultural aspect of the region being analyzed.
Importance of MMIS (Multinational Marketing Information System):
MMIS is important for the company to get a competitive advantage in this global market. It brings flexibility in responding to competitors in different countries and Markets. It gives the ability to respond in one country or a region of a country- to a change in another.
They give the ability to keep abreast of market needs around the world. It gives the ability to transfer knowledge between units in different countries. It reduces the overall cost of operation.
Increased efficiency and effectiveness in meeting customer needs. It gives the ability to achieve and maintain diversity in the firm’s products; and, in how they are producing and distribute. It reduces the time of communication
Problems in Implementing MMIS:
The company can face the number of problems to implement MMIS. The most common problem gives below:
Politically Imposed Constraints. Restriction on Hardware purchase and Imports, Restrictions on Data processing. Restriction on Data Communication (Transborder Data Flow TDF). Technological Problems, Lack of Support from Subsidiary Manager.
Explanation of MMIS (Multinational Marketing Information System):
In general, marketing research is the process wherein vital information about the market gathers through data acquisition and analysis to help the senior management reduce the risk associated with decision-making through the means of an effective information dissemination system. Because of this, the marketing research tool plays a vital role in the overall process of management information systems. With the expansion of countries into the global market; multinational marketing research has taken flight and has ushered in a new field of research.
Multinational marketing research according to several sources on this field is systematic; and, objective acquisition of data about the market in which the company wishes to penetrate. It is a support tool for decision-makers to reach a sound decision that involves; the proper identification and implementation of their multinational marketing strategies and programs targeting the identified market. Marketing research as part of the multinational marketing information system should be able to utilize for the multinational company (or even domestic companies willing to go global) to establish the most favored marketing mix for the product or service.
In addition to the marketing mix, market research also aims to determine the most effective mix of product characteristics, pricing approaches, promotional methods and effective supply chains that would tailor fit the identified market. Every multinational company has some sort of mechanism to acquire a particular kind of data from a given target market and develop these acquired data into relevant information to provide senior management with the necessary information for them to effectively decide on matters concerning proper marketing plans; and, activities geared towards sustainable competitive advantage within the market.
This is where MMIS goes into action. The MMIS concentrates on the provision of the data related to the market being targeted by the company. These marketing data contribute to the overall management information system for the company as a means of effectively placing their marketing plans. In terms of breaking down the system, a marketing information system describes as the integration of several resources such as human, equipment, technology; and, data gathering methodologies as a mean of gathering, sorting, analyzing, evaluating, and distributing information to decision-makers in a manner that addresses necessity, practicality, timeliness, and accuracy.
The necessary data that needs to fuel the MMIS acquire from a balance between formal; and, informal communication mediums that utilizes also a combination of internal and external sources within the company. Formal internal sources of data that might prove relevant would be reports from the sales department, monitoring and trending report from sales groups. On the other hand, informal sources of information are information acquire from gatherings with co-workers and associates.