Chapter 7: Reaching Global Markets

Question 0

Trade feedback effect

Answer 0

A country imports affect its exports and exports affect its imports.

Question 1

Countertrade

Answer 1

The practice of using barter rather than money for making global sales.

Question 2

Gross domestic product

Answer 2

The monetary value of all goods and services produced in a country during one year.

Question 3

Balance of trade

Answer 3

The difference between the monetary value of the nation’s exports and imports.

Question 4

Protectionism

Answer 4

The practice of shielding one or more industries within a country’s economy from foreign competition through the use of tariffs or quotas.

Question 5

Tariffs

Answer 5

Government taxes on goods or services entering the country, which primarily serves to raise prices on imports.

Question 6

Quota

Answer 6

Restriction placed on the amount of a product allowed to enter or leave the country.

Question 7

Global competition

Answer 7

Existing firms originally, produce, and market their products and services worldwide.

Question 8

Strategic alliances

Answer 8

Agreements among two or more independent firms to cooperate for the purpose of achieving common goals, such as a competitive advantage or customer value creation.

Question 9

Multi domestic marketing strategy

Answer 9

Use of his many different products variations, brand names, and advertising programs as countries in which they do business.

Question 10

Global marketing strategy

Answer 10

The practice of standardizing marketing activities when their cultural similarities and adopting them and cultures differ.

Question 11

Global brand

Answer 11

Brand-new marketed under the same name in multiple countries are similar and centrally coordinated marketing programs.

Question 12

Global consumers

Answer 12

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.

Question 13

Cross – cultural analysis

Answer 13

Involves the study of similarities and differences among consumers into a more nations or societies.

Question 14

Customs

Answer 14

Norms and expectations about the way people do things in a specific country.

Question 15

Semiotics

Answer 15

The field of study that examines the correspondence between the symbols and their role in the assignment of meaning for people.

Question 16

Back translation

Answer 16

Read translating word or phrase into the original language by a different interpreter to catch errors.

Question 17

Micro finance

Answer 17

The practice of offering small, collateral free loans to individuals who otherwise would not have access to capital necessary to begin small businesses are other income generating activities.

Question 18

Currency exchange rates

Answer 18

The price of one country’s currency expressed in terms of another country’s currency.

Question 19

Exporting

Answer 19

Producing goods in one country and selling them in another country.

Question 20

Licensing

Answer 20

Offering the right to trademark, patent, trade secret, or other similarly valued items of intellectual property in return for a royalty or a fee.

Question 21

Joint venture

Answer 21

An arrangement in which a foreign company and a local firm invest together to create a local business, sharing ownership, control, and profits of the new company.

Question 22

Direct investment

Answer 22

I domestic from actually investing in and owning a foreign subsidiary or division.

Question 23

Dumping

Answer 23

Occurs when a firm sells a product in a foreign country below its domestic price or below its actual cost.

Question 24

Grey market

Answer 24

A situation where products are sold through an authorized channels of distribution.