question

International Marketing

answer

The performance of business activities designed to plan, price, promote, and direct the flow of a company's goods and services to consumers or users in more than one nation for profit

question

Controllable Elements

answer

The aspects of trade over which a company has control and influence; they include marketing decisions covering product, price, promotion, distribution, research, and advertising

question

Uncontrollable Elements

answer

Factors in the business environment over which the international marketer has no control or influence; may include competition, legal restraints, government controls, weather, consumer preferences and behavior, political events

question

Domestic Environment Uncontrollable

answer

Factors in a company's home country over which the company has little or no control or influence. They include political and legal forces, the economic climate, level of technology, competitive forces, and economic forces

question

Foreign Environment Uncontrollable

answer

Factors in the foreign market which a business operating in its home country has little or no control or influence. May include political and legal forces, economic climate, geography and infrastructure, level of technology, and structure of distribution

question

Self-Reference Criterion (SRC)

answer

An unconscious reference to one's own cultural values, experiences, and knowledge as a basis for a decision

question

Global Awareness

answer

A frame of references, important to the success of a businessperson, that embodies tolerance of cultural differences and knowledge of cultures, history, world market potential, and global economic, social, and political trends

question

GATT

answer

General Agreement on Tariffs and Trade; a trade agreement signed by the US and 22 other countries shortly after WWII. The original agreement provided a process to reduce tariffs and created an agency to patrol world trade; the treaty and subsequent meetings have produced agreements significantly reducing tariffs

question

Balance of Payments

answer

The system of accounts that records a nation's international financial transactions

question

Current Account

answer

The portion of a balance of payments statement that shows a record of all merchandise exports, imports, and services, plus unilateral transfers of funds

question

Protectionism

answer

The use by nations of legal barriers, exchange barriers, and psychological barriers to restrain entry of goods from other countries

question

Non-Tariff Barriers

answer

Restrictions other than tariffs, placed by countries on imported products; they may include quality standards sanitary and health standards, quotas, embargoes, boycotts, and anti-dumping penalties

question

Tariff

answer

A fee or tax that countries impose on imported goods, often to protect a country's markets from intrusion from foreign countries

question

Voluntary Export Restraints (VERs)

answer

Agreements, similar to quotas, between an importing country and an exporting country for a restriction on the volume of exports.

question

World Trade Organization (WTO)

answer

The organization formed in 1994 that encompasses the GATT structure and extends it to new areas that had not been adequately covered previously. The WTO adjudicates trade disputes. All member countries have equal representation.

question

International Monetary Fund (IMF)

answer

A global institution that along with the world ban group, was created to assist nations in becoming and remaining economically viable

question

Opium Wars

answer

Two wars fought between China and Britain over the British run Opium trade in China during the middle 1800s. The British navy attacked Chinese ports in retribution for a Chinese ban on the drug, and the Treaty of Nanjing signed in 1842 allowed greater European access to Chines ports generally, a resumption of the opium trade and a ceding of Hong Kong to British control

question

Taiping Rebellion

answer

The most costly civil war in human history in China during 1851-1864. Some estimates have the death toll at between 20-40 million

question

Confucian Philosophy

answer

The 2,500 year old teachings of Chinese philosopher Confucius, still strongly influences cultures in East Asia today. Primary among his teachings were a deep respect for elders, rulers, and husbands.

question

Manifest Destiny

answer

The notion that Americans were a chosen people ordained by God to create a model society; it was accepted as the basis for U.S. policy during much of the 19th and 20th centuries as the nation expanded its territory

question

Monroe Doctrine

answer

A cornerstone of US foreign policy as enunciated by president James Monroe, it proclaimed three basic dicta: no further European colonization in the New World, abstention of the United States from European political affairs, and non-intervention of European governments of the western hemisphere.

question

Roosevelt Corollary

answer

An extension of the US policy applied to the Monroe Doctrine by President Theodore Roosevelt, stating that the United States would not only prohibit non-American intervention in Latin American affairs but would also police Latin America and guarantee that all Latin Americans would meet their international obligations

question

Expropriation

answer

The seizure of an investment by a government in which some reimbursement is made to the investment owner; often the seized investment becomes nationalized.

question

Greenhouse Gas Emissions

answer

These are gases resulting primarily from the use of fossil fuels that tend to trap heat in the Earth's atmosphere and are causal factors in global climate change. The main problem compounds are carbon dioxide, methane, nitrous oxide, and flourinated gas

question

Sustainable Development

answer

An approach toward economic growth that has been described as a cooperative effort among businesses, environmentalists, another to seek growth with "wise resource management, equitable distribution of benefits, and reduction of negative efforts on people and the environment form the process of economic growth"

question

Culture

answer

The human made part of human environment- the sum total of knowledge, beliefs, arts, morals, laws, customs, and other capabilities and habits acquired by humans as members of society

question

Social Institutions

answer

The methods and systems, including family, religion, school, the media, government and corporations, that affect the ways in which people relate to one another, teach acceptable behavior to succeeding generations and govern themselves

question

Cultural Values

answer

The system of beliefs and customs held by a population in a given culture. A book by Geert Hofstede describes a study of 66 nations and divides the cultural values of those nations into four primary dimensions: the Individualized/Collectivism Index, the Power Distance Index, The Uncertainty Avoidance Index, and the Masculinity/femininity Index (which is not considered as useful as the other three)

question

Linguistic Distance

answer

The measure of difference between languages; an important factor in determining the amount of trade between nations

question

Aesthetics

answer

Philosophically, the creation and appreciation of beauty; collectively, the arts, including folklore, music, drama, and dance

question

Cultural Sensitivity

answer

An awareness of the nuances of culture so that a culture can be viewed objectively, evaluated, and appreciated; an important part of foreign marketing

question

Cultural Borrowing

answer

The phenomenon by which societies learn from other cultures' ways and borrow ideas to solve problems or improve conditions

question

Cultural Congruence

answer

A marketing strategy in which products are marketed in a way similar to the marketing of products already in the market in a manner as congruent as possible with existing cultural norms

question

Planned Change

answer

A marketing strategy in which a company deliberately sets out to change those aspects of a foreign culture resistant to predetermined marketing goals

question

Cultural Imperative

answer

A business custom that must be recognized and accommodated

question

Cultural Elective

answer

A business custom to which adaptation is helpful but not necessary

question

Cultural Exclusive

answer

A business custom in which an outsider must not participate

question

Silent Languages

answer

Term used by Edward T. Hall for the non-spoken and symbolic meanings of time, space, things, friendships, and agreements, and how they vary across cultures; from Hall's seminal article "the Silent language of business"

question

Monochronic Time (M-Time)

answer

Describes a view of time typical to most North Americans, Swiss, Germans, and Scandinavians, as something that is linear and can be saved, wasted, spent, and lost. M-Cultures tend to concentrate on one thing at a time and value promptness

question

Polychronic Time (P-Time)

answer

A view of time, as held in "high-context" cultures in which the completion of human transaction is more important than holding to schedules. P-Time is characterized by the simultaneous occurrence of many things

question

Bribery

answer

The use of funds, usually illegally, to influence decisions made by public employees and government officials. Such payments often range into the millions of dollars in international commerce.

question

Lubrication

answer

The use of funds to expedite actions of public employees and government officials. The payments made to minor officials may or may not be illegal and are usually of inconsequential amounts

question

Subornation

answer

The giving of large sums of money, frequently not fully accounted for designed to entice an official to commit an illegal act on behalf of the one offering the money

question

Sovereignty

answer

The powers exercised by a state in relation to other countries, as well as the supreme powers or a state as exercised over its own inahabitants

question

Nationalism

answer

An intense feeling of national pride and unity; an awakening of a nation's people to pride in their county. Nationalism can take on anti foreign business bias

question

Confiscation

answer

The sizing of a company's assets without payment. Prominent examples involving US companies occurred in Cuba and Iran

question

Domestication

answer

A process by which a host country gradually transfers foreign investments to national control and ownership through a series of government decrees mandating local ownership and greater national involvement in company management

question

Political and Social Activists (PSAs)

answer

Individuals who participate in efforts to change practices and behaviors of corporations and governments with tactics that can range from peaceful protest to terrorism

question

Non-Governmental Organizations (NGOs)

answer

Large advocacy organization, usually not for profit, often multinational and run by citizens rather than companies or governments. Prominent examples are Green Peace, Amnesty International, and the Red Cross

question

Common Law

answer

The body of law based on tradition, past practices, and legal precedents set by courts through interpretations of statues, legal legislation, and past rulings. Common law which used in all states in the United States except Louisiana, uses past decisions to interpret statues and apply them to present situations. Also known as English Law.

question

Code Law

answer

A legal system based on an all inclusive system of written rules, or codes, of law; generally divided into three separate codes: commercial, civil, and criminal. In the United States, Louisiana is the one state to use code law.

question

Islamic Law

answer

The Shari'ah; the legal system based on interpretation of the Koran. Islamic Law encompasses religious duties and obligations as well as the secular aspect of law regulating human acts. Among its provisions is a prohibition of the payment of interest.

question

Marxist-Socialist Tenets

answer

The set of views in which law is subordinate to prevailing economic conditions. Marxist-Socialist tenets influenced the legal systems of Russia and other republics of the former Soviet Union as well as China, forcing these nations to revamp their commercial legal code as they become involved with non-Marxist countries

question

Conciliation

answer

A nonbinding agreement between parties to resolve disputed by asking a third party to mediate differences. Also known as mediation

question

Arbitration

answer

A procedure, used as an alternative to litigation, in which parties may select a disinterested third party or parties as referee to determine the merits of the case and make a judgment that both parties agree to honor

question

Litigation

answer

The process in which a dispute between parties is contested in a formal judicial setting; commonly instigated by a lawsuit asserting one party's version of the facts

question

Prior Use

answer

The principle, observed in the United States and other common law nations, that ownership of intellectual property rights usually goes to who can establish first use

question

Registration

answer

The principle, observed in the United States and other common law nations, that ownership of intellectual property rights usually goes to who can establish first use

question

Cyber Squatters (CSQs)

answer

Persons or businesses that buy, usually for a nominal fee, and register as website names descriptive nouns, celebrity names, variations on company trademarks, geographic and ethnic group names, and pharmaceutical and other descriptors and them hold them until they can be sold at an inflated price.

question

Marketing Research

answer

The systematic gathering, recording, and analyzing of data to provide information useful in marketing decision making

question

International Marketing Research

answer

The form of marketing research involving two additional considerations: (1) the need to communicate information across national boundaries and (2) the challenge of applying established marketing techniques in the different environments of foreign markets some of which may be strange or vexing milieus for the marketer

question

Research Process

answer

The process of obtaining information; it should begin with a definition of the research problem and establishment of objectives and proceed with an orderly approach to the collection and analysis of the data

question

Secondary Data

answer

Data collected by an independent agency or individual other than the firm conducting research; often useful in market research

question

Primary Data

answer

Data collected as in market research, specifically for a particular research project

question

Back Translation

answer

The process in which a document, such as a questionnaire, or phrase is translated from one language to another and then translated by a second party into the original language. Back translations can bused to verify that the first translation, as of a marketing slogan, has the intended meaning for the targeted audience.

question

Parallel Translation

answer

A method of translation in which two translations are used to make a back translation; the results are compared differences are discussed and the most appropriate translation is used. the method addressed the use of common idioms in the languages being translated

question

De-centering

answer

A method of translation, a variation on back translation that is a successive process of translation and re translation of a document, such as a questionnaire, each time by a different translator. The two original language versions are then compared, and if there are differences, the process is repeated until the second original language version is the same as the first

question

Multicultural Research

answer

Inquiry, analysis and study of more than two countries and cultures that takes into account differences in language, economic structure, social structure, behaviors and attitude patterns. Different methods of research may have varying reliability in different countries

question

Expert Opinion

answer

A method of market estimation in which experts are polled for their opinions about market size and growth rates; used particularly in foreign countries that are new to the marketer

question

Triangulation

answer

A term borrowed from naval charting meaning using at least three differing measures of the same concept to verify the accuracy of any one method. For example, regarding forecast of demand, separate opinions of experts, sales representatives, and quantitative economic analyses might be compared

question

Analogy

answer

A method of market estimation that assumes that demand for a product develops in much the same way in all countries as comparable economic development occurs in each country

question

Economic Development

answer

Generally, an increase in national production that results in an increase in average per capita gross domestic product

question

Newly Industrialized Countries (NICs)

answer

Countries that are experiencing rapid economic expansion and industrialization

question

Infrastructure

answer

The collective assortment of capital goods that serve the activities of many industries and support production and marketing

question

Big Emerging Markets (BEMs)

answer

Used to describe the core group of populous nations that will account for much of the growth in world trade among developing and newly industrialized nations

question

Multinational Market Regions

answer

The groups of countries that seek mutual economic benefit from reducing inter-regional tariffs and barriers to trade

question

Free Trade Area (FTA)

answer

A type of regional cooperation that involves an agreement between two or more countries to reduce or eliminate customs duties and non-tariff trade barriers among partner countries while members maintain individual tariff schedules for external countries. An FTA requires more cooperation than the arrangement known as the regional cooperation for development

question

Customs Union

answer

A stage in economic cooperation that benefits from a free trade area's reduced or eliminated internal tariffs and adds a common external tariff on products of imported from countries outside of the union

question

Common Market

answer

An agreement that eliminates all tariffs and other restrictions on internal trade, adopts a set of common external tariffs, and removes all restrictions on the free flow of capital and labor among member nations

question

Political Union

answer

A fully integrated form of regional cooperation that involves complete political and economic integration, either voluntary or involuntary. The most notable example was the now disbanded council for economic assistance, a centrally controlled group of countries organized by the Soviet Union

question

Maastrictht Treaty

answer

Treaty signed by 12 nations of the European Community creating the EU

question

Single European Act

answer

An agreement, ratified in 1987, designed to remove all barriers to trade and to make the European Community a single internal market

question

European Parliament

answer

The legislative body of the EU. Similar in concept to the US House of Representatives, that is more populous countries have more representatives

question

Amsterdam Treaty

answer

Treaty, concluded in 1997, that addressed issues left undone by the Maastricht Treaty and identified priority measures necessary to bring a single market in Europe fully into effect and to lay a solid foundation for both a single currency and an enlargement of the EU into central and eastern Europe

question

"The Greater China"

answer

Refers to both the People's Republic of China (PRC or Mainland China) and the Republic of China (Taiwan)

question

Purchase Price Parity (PPP)

answer

GDP at PPP corrects GDP for differentials across countries in the costs of consumer purchases. The PPP correction allows for direct comparisons of the overall well being of consumers across countries

question

Four Asian Tigers

answer

Refers to Hong Kong, Taiwan, Singapore, and South Korea as they fast achieved affluence in the 1980s and 90s.

question

Bottom-of-the-Pyramid Markets (BOPMs)

answer

These consist of the 4 billion people around the world with annual incomes of $1,200 or less per capita. They are not necessarily defined by national borders, but are rather pockets of poverty particularly concentrated in south Asia and sub Sahara Africa

question

ASEAN

answer

Association of Southeast Asian Nations. A multinational regional trade group including Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam

question

ASEAN+3

answer

A forum of ministers for the Association of Southeast Asian Nations plus ministers from China, Japan, and South Korea

question

APEC

answer

The Asian-Pacific Economic Cooperation; a forum that meets annually to discuss regional economic development

question

Corporate Planning

answer

The formulation of long-term, generalized goals for an enterprise as a whole.

question

Strategic Planning

answer

A type of planning conducted at the highest levels of management, dealing with products, capital, and research and the long and short term goals of a company

question

Tactical Planning

answer

A type of planning that pertains to specific actions and to the allocation of resources used to implement strategic planning goals in specific markets; also known as market planning

question

Direct Exporting

answer

The type of exporting in which a company sells to a customer in another country

question

Indirect Exporting

answer

The type of exporting in which a company sells to a buyer (an importer or distributor) in the home country; the buyer in turn exports the product

question

Licensing

answer

A contractual means by which a company grants patent rights, trademark rights, and the rights to use technology to another company, often in a foreign market; a favored strategy of small and medium sized companies seeking a foothold in foreign markets without making large capital outlays

question

Franchising

answer

A form of licensing in which a company (the franchiser) provides a standard package of branded products, systems and management services to the franchisee, which in foreign markets has market knowledge. Franchising permits flexibility in dealing with local market conditions while providing the parent firm with a degree of control

question

Strategic International Alliance (SIA)

answer

A business relationship established by two or more companies to cooperate out of mutual need and to share risk in achieving a common objective

question

Joint Venture

answer

A partnership of tow or more participating companies that join forces to create a separate legal entity

question

Quality

answer

The essential character of something, such as a good or service; defined in two dimensions: market-perceived quality and performance quality. Consumer perception of a product's quality often has more to do with market-perceived quality than performance quality

question

Product Homologation

answer

A term used to describe changes in a product that are mandated by local standards for product and service quality

question

Green Marketing

answer

Consideration and concern for the environmental consequences of product formulation, marketing, manufacturing, and packaging.

question

Innovation

answer

An idea perceived as new by a group of people; when applied to a product an innovation may be something completely new or something that is perceived as new in a given country or culture

question

Diffusion

answer

The adoption or spread of products across markets by increasing numbers of consumers

question

Product Component Model

answer

A tool for characterizing how a product may be adapted to a new market by separating the product's many dimensions into three components: support services, packaging, and core component

question

Global Brand

answer

The worldwide use of a name, term, sign, symbol (visual or auditory), design, or combination thereof to identify goods or services of a seller and to differentiate them from those competitors

question

Derived Demand

answer

...

question

Price-Quality Relationship

answer

...

question

ISO 9000s

answer

...

question

Client Followers

answer

...

question

Relationship Marketing

answer

...

question

Distribution Process

answer

...

question

Distributions Structure

answer

...

question

Large-Scale Retail Store Law

answer

...

question

Agent Middlemen

answer

...

question

Merchant Middlemen

answer

...

question

Home-Country Middlemen

answer

...

question

Export Management Company (EMC)

answer

...

question

Trading Companies

answer

...

question

Export Trading Company (ETC)

answer

...

question

Complementary Marketing

answer

...

question

Integrated Marketing Communications (IMC)

answer

...

question

Sales Promotions

answer

...

question

Public Relations (PR)

answer

...

question

Noise

answer

...

question

Expatriate

answer

...

question

Local Nationals

answer

...

question

Third-Country Nationals (TCNs)

answer

...

question

Separation Allowances

answer

...

question

Work Councils

answer

...

question

Repatriation

answer

...

question

Parallel Market

answer

...

question

Gray Market

answer

...

question

Exclusive Distribution

answer

...

question

Variable Cost Pricing

answer

...

question

Full Cost Pricing

answer

...

question

Skimming

answer

...

question

Penetration Pricing Policy

answer

...

question

Price Escalation

answer

...

question

Dumping

answer

...

question

Countervailing Duty

answer

...

question

Counter-Trade

answer

...

question

Barter

answer

...

question

Administered Pricing

answer

...

question

Cartel

answer

...

question

Letters of Credit

answer

...

question

Bills of Exchange

answer

...

question

Forfaiting

answer

...

International Marketing Final Exam – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards