Chapter 7 Flashcards
Countertrade
The practice of using barter rather than money for making global sales
trade feedback effect
A country’s imports affect its exports and exports affect its imports
gross domestic product
The monetary value of all goods and services produced in a country during one year
balance of trade
The difference between the monetary value of a nation’s exports and exports
protectionism
The practice of shielding one or more industries within a country’s economy from foreign competition through the use of tariffs or quota
tariffs
Government taxe on goods or services entering a country, which primarily serve to raise prices on imports
quota
A restriction placed on the amount of a product allowed to enter or leave a country
global competition
Exists when firms originate, produce and market their products and services worldwide
strategic alliances
Agreements among two 2+ independent firms to cooperate for the purpose of achieving common goals such as a competitive advantage or customer value creation
multi-domestic marketing strategy
Strategy that uses as many different product variations, brand names, and advertising programs as countries in which they do business
global marketing strategy
The practice of standardizing marketing activities when there are cultural similarities and adapting them when cultures differ
global brand
A brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs
global consumers
Consumer groups living in many countries or regions of the world that have similar needs or seek similar features and benefits from products or services
cross-cultural analysis
Involves the study of similarities and differences among consumers in two or more nations or societies
customs
Norms and expectations about the way people do things in a specific country
cultural symbols
Things that represent ideas and concepts
semiotics
The field of study that examines the correspondence between symbols and their role in the assignment of meaning for people
back translation
Retranslating a word or phrase into the original language by a different interpreters to catch errors
consumer ethnocentrism
The tendency to believe that it is inappropriate indeed immoral to purchase foreign made products
bottom of the pyramid
The group of individuals considered as being poor (4 billion people living in under 2$/day)
micro-finance
The practice of offering small, collateral-free loans to individuals who otherwise would not have access to the capital necessary to begin small businesses or other income-generating activities
currency exchange rate
The price of a country’s currency expressed in terms of another’s
exporting
Producing goods in one country and selling them in another
licensing
Offering the right to a trademark, patent, trade secret, or other similarly valued items of intellectual property in return for a royalty or a fee
