Class Notes (834,153)
Canada (508,381)
Commerce (1,909)

Marketing Chapter 6.docx

4 Pages
Unlock Document

Ambika Badh

Chapter 6 – Serving Global Markets Importance of Global Marketing  Exporting – marketing of domestically produced goods and services abroad  Importing – purchasing of foreign goods and services  Service exports  China is currently the top trading partner for Canada, then USA, EU, Japan and UK  Wal-mart is the largest company and employer in the world  Benefits of going global o Additional revenue o New insights into consumer behaviour o Alternative distribution strategies o Advance notice of new products o Exposure to new marketing techniques International Marketing Environment  Economic o National factors – nations size, per capita income and state of economic development o Infrastructure - nations underline foundation of modern life o Exchange rate – price one country pays in term of another’s money  Hard – high value in international market  Soft – no value in international market  Social-cultural o Before entering a market, firms need to study all aspects of a nation’s culture, including language, education, religious attitudes and social values o Language plays an important role in international marketing  Technological o Internet technologies connect large and small firms to world markets o Technology presents some challenges for global marketer  Political-legal o Laws  International laws, Canadian laws, legal requirements of host nation o Trade barriers  Tariffs – financial barrier put on trade  Revenue tariffs – raises money for government that is importing  Protective tariffs – increases total price of imported to protect  Import quota – trade restrictions that limit the number of units of certain goods that can enter a country for resale  Embargo – complete ban of the import of a product  Subsidy - government financial support of a private industry Chapter 6 – Serving Global Markets  Exchange control - method used to regulate the privilege of international trade among importing organizations by controlling access to foreign currencies o Dumping – selling a product in a foreign market at a price lower than it commands in the producer’s domestic market Multinational Economic Integration  Free trade area – participating nations agree to the free trade of goods among themselves  Customs union – free trade area plus uniform tariff for trade with non- member unions  Common market – extension of a customs union by seeking to reconcile all government regulations affecting trade  GATT and WTO o General agreement on tariffs and trade – international trade accord that has helped reduce world tariffs o World trade organization – replaced GATT, oversees GATT agreements, mediates disputes and
More Less

Related notes for COMMERCE 2MA3

Log In


Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.