Midterm exam Flashcards
International Marketing
The individual market is served with specific tailored products especially adjusted to the customers in that market. eg. Lays: Chips super spicy for Thailand.
Global Marketing
The same product distributed worldwide.
eg. Coca Cola classic is identical in every country and also the price.
Glocalization
The same product distributed worldwide but adjusting the good accoording to the country. eg. Big Mac in India (no meat).
Outsourcing
Contracting work out to an external company.
Offshoring
Accessing products/ services in a different country.
Tariffs
These are taxes that are imposed by the government on the goods imported from a different country.
Quotas
It is a specific unit limit applied to a particular type of good. And it is to protect local product.
Standards
Regulations to protect health, safety, product quality. And it can be used to restrict trade.
Boycotts
Restriction against the purchase and importation of certain good or service from other countries by government or local customers.
Cultural models
Independent
- Emphasis on individual action.
- Individuals see themselves as distinct from their groups.
- Preference for egalitarianism and achieved status.
- Rules of proper behavior should be universal. (universalism)
Cultural models
Interdependent
- Emphasis on collective action.
- Individuals want to blend harmoniously with their reference groups.
- Acceptance of hierarchy and ascribed status.
- Rules of proper behavior differ from one situation to another. (particularism)
Hofstede’s cultural dimensions
Power distance
the degree to which the less powerful members of a society accept annd expect that power is distributed unequally.
Low: people expect an equality distribution, but it is not so, people demand for justifications.
High: Power is distributed unequality in society. Everyone has a assigned place in the social hierarchy.
Individualism vs Collectivism
The degree of interdependency a society mantains among its members.
Individualism: people are supposed to look after themselves and their direct family only.
Collectivism: people belong to “in group” that take care of them in exchange for loyalty.
Masculinity vs Feminity
Masculinity: stands for preference in a society for achievement, heroism, assertiveness, and material rewards for success.
Feminity: stands for a preference for a cooperation, modesty, caring for the weak and quality of life.
Uncertainty avoidance
The degree to which the members of a society feel uncomfortable with uncertainty and ambiguity.
Strong: Low tolerance for uncertainty. Desire to control the future. Higher trust in experts.
Low: Higher tolerance for uncertainty. Attitude toward the future is to just let things happen.