International Market Flashcards
relocating a business process or operation to a different country, often to take advantage of lower labor costs, favorable economic conditions, or specific expertise available abroad.
Offshoring
the practice of contracting out business functions or processes to third-party companies. The outsourced company may be located domestically or internationally.
outsourcing
offshoring vs. outsourcing
Offshoring: Involves relocating a business function or process to a different country.
Outsourcing: Involves contracting a business function or process to an external company, which could be in the same country or abroad.
competitive advantage vs. comparative advantage
Competitive Advantage is about how a company can outperform its rivals in a competitive market through cost leadership, differentiation, or focus strategies.
Comparative Advantage is an economic principle that explains how different entities can gain from trade by specializing in the production of goods or services for which they have the lowest opportunity cost.
an economic principle that explains how different entities can gain from trade by specializing in the production of goods or services for which they have the lowest opportunity cost.
comparative advantage
about how a company can outperform its rivals in a competitive market through cost leadership, differentiation, or focus strategies
competitive advantage
Greater efficiency level. The cost savings that arise when a company increases its production volume.
economies of scale
goods sold to foreign country
export
goods bought from foreign country
imports
financial support provided by the government
subsidy, subsidies
a limit on quantity of a good that can be brought into a country
quota
Multinational corporation
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a tax imposed by a government on goods brought into or out of the country
tariff, tariffs
exports > imports
surplus
imports > exports
deficit
trading bloc Thailand belongs to
ASEAN
Open markets
free port, laissez faire, liberalization, deregulation
protected markets
tariffs, quotas, subsidies, strategic industries, developing industries, custom, dumping
he rules and procedures that govern the import and export of goods across international borders
custom
a situation where a company exports a product at a price lower than its normal value, often below the cost of production
dumping
industry that is essential for a country’s national security, economic stability, or technological advancement. These industries are often subject to special government policies, support, and protection to ensure their growth and to safeguard national interests
strategic industry
a sector that is in the process of growth and expansion, often characterized by rapid change, increasing investment, and emerging opportunities
developing industry, infant industry
no government intervention
laissez faire
groups of countries that have agreed to reduce or eliminate trade barriers among themselves to facilitate trade and economic cooperation
trading blocs
