Chapter 4: Developing a Global Vision 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
Companies that are heavily engaged in international trade, beyond exporting and importing.
Capital intensive
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 goods and services.
Mercosur
The largest Latin American trade agreement, made up of Argentina, Bolivia, Brazil, Chile, Columbia, 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 enabled countries to avoid trade-barrier reduction agreements.
North American Free Trade Agreement (NAFTA)
An agreement among Canada, the United States, and Mexico that created the world’s largest free trade zone at that time.
Canadian-European Union Comprehensive Economic and Trade Agreement (CETA)
A progressive free trade agreement, which overs 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 countries.
6 Factors Global Marketers Must Address
Natural resources, Cultural values, economic development, technological development, political structure (tariffs, quotas, boycotts, etc.), demography (race, gender, age).
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 through financial cooperation.
Group of Twenty
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 (lowest risk)
Selling domestically produced products to buyers in another country.
Buyer for export
An intermediary in the global market that assumes all ownerships 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.
