BUSI 4205 Chapter 8: Chapter 8 – Market Groups and Regions.docx

• School: Carleton University
• Department: Business
• Course: BUSI 4205
• Professor: Alia El Banna

Document Summary

Today"s environment makes it important that market potential be viewed in the context of regions of the world in addition to country by country. The evolution and growth of multinational market regions are among the most important global trends. Organizational forms vary widely among market regions, but the universal goal of multinational cooperation is social benefits for people at large, and the dominant driver for affiliation is economic, leading to a world awash in economic cooperative agreements. Effective economic union requires favourable economic, political, cultural, and geographic factors as a basis for success. Cultural factors: cultural similarity eases the shock of economic cooperation with other countries, more likely to succeed when more similar because members understand the outlook and viewpoints of their colleagues. Five fundamental groupings for regional economic integration, ranging from regional cooperation for development, which requires the least amount of integration, to the ultimate integration of political union.