Ch 4 Flashcards
Global Marketing
Marketing that targets markets throughout the world
Global Vision
A recognition of and reaction to international marketing opportunities using effective global marketing strategies and being aware of threats from foreign competitors in all markets
Gross Domestic Product (GDP)
The total market value of all goods and services produced in a country for a given period
Outsourcing
The practice of using an outside supplier, generally where the production costs are lower, to complete the work
Inshoring
Returning jobs to Canada
Multinational Corporations
Using more capital than labour in the production process
Global Marketing Standardization
Production of uniform products that can be sold the same way all over the world
Gross National Income (GNI) per capita
One measure of the ability of a country’s citizens to buy various good and services
Mercosur
The largest Latin American trade agreement, made up of Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, Uruguay, and Venezuela
Uruguay Round
An agreement created by the World Trade Organization to dramatically lower trade barriers worldwide
World Trade Organization (WTO)
A trade organization that replaced the old General Agreement on Tariffs and Trade (GATT)
General Agreement on Tariffs and Trade (GATT)
A trade agreement that contained loopholes that enable counties to avoid trade-barrier reduction agreements
North America Free Trade Agreement (NAFTA)
An agreement among Canada, the United States, and Mexico that created the world’s largest free trade zone at the time
Canadian-European Union Comprehensive Economic and Trade Agreement (CETA)
A progressive free trade agreement, which covers almost all sectors, and aspects of Canada-EU trade in order to eliminate or reduce barriers
European Union (EU)
A free trade zone encompassing 28 European counties
World Bank
An international bank that offers low-interest loans, advice, and information to developing nations
International Monetary Fund (IMF)
An international organization that acts as a lender of last resort, providing loans to troubled nations, and also works to promote trade throughout financial cooperation
Group of Twenty (G20)
A forum for international economic development that promotes discussion between industrial and emerging-market countries on key issues related to global economic stability
High-net-worth individuals (HNWI)
Individuals who have $1 million in liquid financial assets
Exporting
Selling domestically produced products to buyers in another country
Buyer For Export
An intermediary in the global market that assumes all ownership risks and sells globally for its own account
Export Broker
An intermediary who plays the traditional broker’s role by bringing buyer and seller together
Export Agents
Intermediaries who act like manufacturers’ agents for exporters; the export agents live in a foreign market
Licensing
The legal process whereby a licensor agrees to let another firm use its manufacturing process, trademarks, patents, trade secrets, or other proprietary knowledge
Contract Manufacturing
Private-label manufacturing by a foreign company
Joint Ventures
A domestic firm’s purchase of a part of foreign company or domestic firm joining with a foreign company to create a new entity
Direct Foreign Investment
Active ownership of a foreign company or of overseas manufacturing or marketing facilities
Floating Exchange Rates
Prices of different currencies move up and down based on the demand for and the supply of each currency
Dumping
The sale of an exported product at a price lower than that charged from the same or a like product in the home market of the exporter
Countertrade
A form of trade in which all or part of the payment for goods or services is in the form of other goods and services
