The major phases of planning for a multinational firm operating in several countries is shown in Exhibit 1-7. The first step in the planning process* is the market opportunity analysis. This may represent a major activity for a company that is entering a foreign market for the first time. Because of the risks and uncertainties in international markets, the market assessment is very important for both new market entrants and experienced firms.

Phase 1 determines which targets to pursue and establishes relative priorities for resource allocation.

Phase 2 fits the positioning strategy 10 each target market. The objective is to match the "mix requirements to the needs identified and the positioning concept management selects.

Phase 3 consists of the preparation of. The marketing plan. Included are the situation assessment, objectives, strategy and tactics, budgets and forecasts, and action programs.

Finally in Phase 4, the plan is implemented and managed. Results are evaluated and strategies adjusted when necessary to improve results. Although the planning process is similar to planning domestic marketing strategies, the environment is far more complex and uncertain in international markets!