Chapter 15 Flashcards
Economic Environment
consist of economic growth, rate, stage of economic development, and currency exchange rate.
Cultural Environment
Each country has its own folkways, norms, and taboos. When designing global marketing strategies, companies must understand how culture affects consumer reactions in each of its world markets. In turn, they must also understand how their strategies affect local cultures.
Political/Legal Environment
Nations differ greatly in their political-legal environments. In considering whether to do business in a given country, a company should consider factors such as the country’s attitudes toward international buying, government bureaucracy, political stability, and monetary regulations.
Exporting
Entering foreign markets by selling goods produced in the company’s home country, often with little modification.
Joint Venture
Entering foreign markets by joining with foreign companies to produce or market a product or service.
Licensing
Entering foreign markets through developing an agreement with a licensee in the foreign market.
Standardized global marketing
A global marketing strategy that basically uses the same marketing strategy and mix in all of the company’s international markets.
Adapted Global Marketing
A global marketing approach that adjusts the marketing strategy and mix elements to each international target market, which creates more costs but hopefully produces a larger market share and return.
Straight Product Extension
Marketing a product in a foreign market without making any changes to the product.
Product Adaption
Adapting a product to meet local conditions or wants in foreign markets.
Product Invention
Creating new products or services for foreign markets.
Whole channel view
Designing international channels that take into account the entire global supply chain and marketing channel, forging an effective global value delivery network.
