International Business Strategy, Market Entry, and Marketing: Chapters 12–15

What is strategic management?

What managers do to develop an organization's strategies, involving planning, organizing, leading, and controlling.

What are the steps in the international planning and strategy process?

1. Identify the company's mission and goals. 2. Identify core competencies and value-adding activities. 3. Formulate strategies.

What is a multinational strategy?

Adapting products and marketing strategies to suit local preferences.

What is a global strategy?

Offering the same products using the same marketing strategy in all markets.

What are corporate-level strategies?

Strategies focusing on the overall scope of the organization, including growth, retrenchment, stability, and combination strategies.

What are business-level strategies?

Strategies focusing on how a specific business unit competes, including cost leadership, differentiation, and focus.

What are department-level strategies?

Strategies focusing on operational activities that support business and corporate goals, divided into primary and support activities.

What are the types of structures for international businesses?

1. International division structure 2. International area structure 3. Global product structure 4. Global matrix structure.

What are self-managed teams?

Teams that manage themselves without direct supervision.

What are cross-functional teams?

Teams composed of members from different departments working towards a common goal.

What are global teams?

Teams that operate across different countries and cultures.

What are the four steps for screening potential markets?

1. Identify Basic Appeal 2. Assess the National Business Environment 3. Measure Market or Site Potential 4. Select the Market or Site.

What is primary data?

Information gathered directly through original research methods tailored to specific needs.

What is secondary data?

Pre-existing information gathered by outside organizations for other purposes.

What are the problems with conducting international research?

1. Availability of data 2. Comparability of data 3. Cultural problems.

What are sources of international data?

1. International organizations 2. Government agencies 3. Industry and trade associations 4. Service organizations 5. The Internet.

What is exporting?

An entry mode involving selling products, categorized into direct and indirect exporting.

What is advance payment in exporting?

Payment received before goods are shipped, posing the lowest risk for the seller.

What is a letter of credit?

A guarantee from a bank ensuring the seller receives payment if conditions are met.

What is licensing?

Granting rights to use intellectual property, primarily in manufacturing setups.

What is franchising?

Replicating an entire business model, primarily in service industries.

What are wholly owned subsidiaries?

Completely owned and controlled corporate facilities in the host country.

What are joint ventures?

Co-ownership of a separate business entity with a local partner.

What is countertrade?

Selling goods or services that are paid for, in whole or in part, with other goods or services.

What are push strategies in marketing?

Aggressively pushing products through distribution channels using sales forces or trade promotions.

What are pull strategies in marketing?

Direct-to-consumer promotional efforts designed to create buyer demand organically.

What is worldwide pricing?

Setting one universal selling price everywhere.

What is reinvestment?

Plowback of profits/capital back into current international operations to scale them up.

What is divestment?

Selling off or liquidating operations in a specific market.