MKTG 380 Lecture Notes - Lecture 2: Home Advantage, General Agreement On Tariffs And Trade, Marketing Mix
Document Summary
Not all nations participate equally in world trade. Knowing who does business with who is essential to developing an overseas market strategy. Us mostly trades with asia, europe, south & central america. In summary: marketing decision making is increasingly influenced by global considerations, understanding factors involved with the flow of global trade informs the decision process. Initiatives in international regulation and cooperation help trade: gatt: international treaty to reduce import tax ad trade restrictions, wto: replaces gatt; sets rules for members, ensures smooth flow, protects copyright. & patent: world bank: reduce poverty, promote sustainability lens ~ billion per year. Imf: ensures stability of international monetary exchange by controlling fluctuation in foreign exchange rates. Protectionism restricts trade: quotas: import quotas reduce foreign completion for domestic industries, embargoes: quota prohibits commerce and trade with specific trade, tariff: tax on imported goods. Economic communities to help promote trade: nafta: us, canada, and mexico, eu: european union; most on euro system.
