Please enter something

global marketing chapter 3

question

GATT
answer

-general agreement on tarrifs and trades -treaty among nations to promote trade among members established in 1947 -handled trade disputes -lacked enforcement power -replaced by WTO in 1995
question

the world trade organization (WTO)
answer

-forum for trade-related negotiations among 153 members -based in Geneva -serves as dispute mediator through DSB – has enforcement power and can impose sanctions
question

preferential trade agreements
answer

-many countries seek to lower barriers to trade within their regions -PTAs give partners special treatments and may discriminate against others – over 300 PTAs have been notified to the WTO
question

free trade area
answer

– two or more countries agree to abolish tariffs and other barriers to trade amongst themselves -countries continue independent trade policies with countries outside agreement -rules of origin requires restricat transshipment of goods from the country with the lowest tariff to another
question

North America–NAFTA
answer

-canada united states mexico -established free trade area 1994 -all 3 nations pledge to promote economic growth through tariff reductions and expanded trade and investment -no common external tarrifs -restrictions on labor and other movements remain`
question

customs union
answer

-evolution of Free Trade Area – includes the elimination of internal barriers to trade -and establishes common external barriers to trade
question

common market
answer

– includes the elimination of internal barriers to trade (as in free trade area) -and establishes common external barriers to trade (as in customs union) -and allows for the free movement of factors of production, such as labor, capital, and information (as in common market)
question

economic union
answer

– includes the elimination of internal barriers to trade (as in free trade area) -and establishes common external barriers to trade (as in customs union) -and allows for the free movement of factors of production, such as labor, capital, and information (as in common market) -and coordiantes and harmonizes economic and social policy within the union
question

full evolution of economic union
answer

-creation of unified central bank -use of single currency -common policies on issues such as agriculture, social policy, transport, competition, mergers, taxation -requires extensive political unity -would lead to a central government in time
question

the eroupean union (EU)
answer

-initially began with the 1958 treaty of rome – objective is to harmonize national laws and regulations so that goods, services, people, and money could flow freely across national boundaries
question

africa
answer

-54 nations over 3 distinct areas (republic of south africa, north africa, black/sub-saharan africa) -Mena: middle east and north africa (viewed as regional entity)