Global Marketing Flashcards
Agent/ distributor
An individual or firm serving as the foreign representative of U.S. suppliers, locating buyers for them in the foreign market
B2B
Acronym for business to business. Commerce in goods, services, or information that takes place between business enterprises
CCC Mark
Acronym for China Compulsory Certification mark. A symbol printed on a product or product or product label by its manufacturer or importer declaring compliance with the requirements of various Chinese government laws for manufactured products related to human life and health, animals, plants, environmental protection and national security
CE Mark
A mandatory conformity mark on many products placed on a single market in the European Economic Area (EEA). The CE marking certifies that a product has met EU consumer safety, health or environmental requirements. CE stands for Conformite Europeenne, “European conformity “ in French
Distribution license
A license given to an export to replace numerous individual validated licenses when there is continuous shipping of authorized products
Distributor
A foreign agent who sells directly in the foreign market for a U.S. suppliers and maintains an inventory of the supplier’s products
Export Management Company (EMC)
A firm that acts as a complete export arm for a company’s exporting needs. Usually an EMC will pay all expenses and receive compensation in the form of a discount off the U.S. price of the product. An organization which, for a commission, acts as a purchasing agent for either a buyer or seller.
Export Trading Company (ETC)
A business that acts as a complete export service house and, in addition, takes title to a company’s exported goods.
Gold Key
An international trade administration, U.S. Department of Commerce service that provides customized information for U.S. firms visiting a country — market orientation briefing, market research, introductions to potential business partners, and interpreter for meeting, assistance in developing a market strategy, and help is putting together a follow-up plan.
Indirect exporting
Sale by the exporter to the buyer through an intermediary in the domestic market
Landed cost
The total cost of shipment delivered to a named location. Specifically, the cost of goods plus the cost of transportation.
NAFTA (North American Free Trade Agreement)
The largest free trade agreement in the world, 340 million people and 6 million dollars in GDP, encompassing the U.S., Canada, and Mexico. Passed in Congress in 1993, and began implementation in January 1994. NAFTA’s goal is to lower trade barriers among the three countries over the next 15 years to zero in most categories of goods and services
Piggyback
An arrangement whereby one company — sometimes a smaller one — uses the already established distribution channels of another country, which is effective when the two companies wish to sell complementary products
Primary Research
Market research that directly engages with the target customer segments or cohorts in order to collect needed data for analysis. One form of primary research is focus groups.
Pull strategy
A production and distribution strategy based on specific customer demand. In a pure pull strategy only goods and services actually offered by customers are produced and shopped; there is no inventory of completed products. The term is used in many other fields to describe decision making by demand of the marketplace rather than by a central authority
Push strategy
A production and distribution strategy based upon forecasts rather than on specific customer demand. The term is used in many other fields to describe centralized decision-making authority without immediate input of data from the marketplace.
Secondary research
Collection of data for analysis based on the research of others I.e. where information about a cohort or market trend is derived from second-hand sources such as third-party research or magazine articles.
Standard Industrial Classification (SIC)
A standard numerical code system used by the U.S. government to classify goods and services
Standard International Trade Classification
A standard numerical code system developed by the UN and used in International Trade to classify commodities, primarily designed for statistical and economic purposes
Trade mission
Generically, a trade mission is composed of individuals who are taken as a group to meet with prospective customers overseas
Trade show
A trade show is a stage-setting event in which firms present their products or services to prospective customers in a pre-formatted setting
Vertical setting
A manufacturer or wholesaler marketing policy of soliciting only one segment of the trade
Horizontal selling
Marketing policy encompassing multiple or varied industries
Gray market
The trade of a commodity through distribution channels which while legal, are unofficial, unauthorized, or unindented. By the original manufacturer.
Grey market
The trade of a commodity through distribution channels which while legal, are unofficial, unauthorized, or unindented by the original manufacturer.
U.S. Commercial Service
The trade promotion arm of the international trade administration within the United States Department of Commerce. The mission of the USCS is to promote the export of goods and services from the United States
Non-tariff barriers
Measures other than high import duties (tariff) employed to restrict imports
Preference Criteria
Under NAFTA, these are classifies A-F, and determine how preference is justified
UNCISG
United Nations Convention on Contracts for the International Sale of Goods. The UNCISG governs sale contracts, especially in providing interpretation and gap filling measures, between parties in countries that are signatories of the convention.
PIERS
A private company that provides port-level import/export statisitics
PIERS
A private company that provides port-level import/export statistics
Kompass
A leading provider of company information from around the world
Market segmentation
Market segmentation is a concept in economics and marketing. A market segment is a sub-set market made up of people or organizations sharing one or more characteristics that cause them to demand similar product and/or services based on qualities of those products such as price or function
Full absorption pricing
A cost method that charges all the production costs to the units produced.
Variable costing
A product costing method where the only costs allocated to the products are those which are directly related to the production or sales of the product
UN Comtrade
UN commodity trade statistics database (UN Comtrade) contains trade data (imports, exports, and re-exports) from countries world-wide
Country Commercial Guide
Country commercial guides (CCGs) are prepared annually by U.S. embassies with the assistance of several U.S. government agencies. These reports present a comprehensive look at countries’ commercial environments, using economic, political and market analysis.
Foreign Direct Investment
Refers to long term participation by country A into country B. It usually involves participation in management, joint venture, transfer of technology and expertise.
Joint venture
A legal entity formed between two or more parties to undertake an economic activity together
Quota
A type of protectionist trade restriction that sets a physical limit on the quantity of a good that can be imported into a country in a given period of time.
Embargo
The partial of complete prohibition of commerce and trade with a particular country, in order to isolate it.
Fixed costs
Fixed costs are defined as expenses that do not change in proportion to the activity of a business, within the relevant period.
Variable costs
Expenses that change in proportion to the activity of a business
Rules of origin
Used to determine the country of origin of a product for purposes of international trade. There are two common types of rules of origin depending upon application, the preferential and non-preferential rules of origin.
Certificate of origin
A document used in international trade. It traditionally states from what country the shipped goods originate, by “originate” in a CO does not mean the country the goods are shipped from, but the country where their goods are actually made.
4 P’s of marketing
Product, price, place, promotion — also known as the “marketing mix”
STAT-USA
Federal government source for economic statistics, international market research, and trade leads.
WEE
The Waste Electrical Equipment Directive (WEE Directive) is the European community directive 2002/96/EC on waste electrical and electronic equipment which, together with the RoHS Directive, became European Law in February 2003, setting collection, recycling and recovery targets for all types of electrical goods.
RoHS
The directive on the restriction of the use of certain hazardous substances in electrical and electronic equipment 2002/95/EC (commonly referred to as the Restriction of Hazardous Substances Directive or RoHS) was adopted in February 2003 by the European Union.
