MARK 201 Chapter Notes - Chapter 7 part 2: Trade Secret, Franchising, List Price
Document Summary
Economic infrastructure: a country"s communications, transportation, financial, and distributing systems, is a critical consideration in determining whether to try to market to a country"s consumers. The infrastructure includes telecommunication systems and networks in use,, such as t. v, radio, computer, satellite connections. Global marketers must consider what the average per capita or household income is among a country"s consumers and how the income is distributed to determine a nation"s purchasing power. *as the proportion of middle-income households in a country increases, the greater that nation"s purchasing capability tends to be. Seasoned global marketers recognize that people in developing countries often have government subsidies for food, housing, and health care that supplement their income. Income growth in developing countries stimulates world trade. Currency exchange rate: the price of one country"s currency expressed in terms of another country"s currency. Exchange rate fluctuations affect the sales and profits made by global companies.
