Introduction to International Marketing — Detailed Study Guide

These flashcards cover key concepts and terminology related to international marketing based on the detailed study guide.

Global Sourcing

The process of sourcing products or services from suppliers located in different countries, leading to complex supply chains.

4 Ps of Marketing

Framework consisting of Product, Price, Place, and Promotion, which are essential elements in marketing strategies.

Market Entry Strategies

Approaches for entering new international markets, including introducing existing products or developing new ones tailored to local preferences.

Gross National Income (GNI)

A measure of a country's income that includes all the value added by resident producers, regardless of whether they are located in the country or abroad.

World Trade Organization (WTO)

An international body that regulates trade between nations, ensuring trade liberalization and tariff reduction.

Tariffs

Taxes imposed on imported goods to protect domestic producers and influence international trade.

Non-tariff Barriers

Regulations, policies, and practices other than tariffs that restrict or impede international trade, such as quotas, embargoes, and import licenses.

High-context Culture

Cultures that rely heavily on non-verbal cues and context for communication (e.g., Japan, China).

Low-context Culture

Cultures that favor direct and explicit communication (e.g., USA, Germany).

Hofstede's Cultural Dimensions

A framework for understanding cultural differences across countries, including power distance, individualism, masculinity, uncertainty avoidance, long-term orientation, and indulgence.

Intellectual Property Rights (IPR)

Legal protections for creators' ideas and inventions, though lacking a unified global patent system.

Brand Equity

The financial value of a brand's reputation and consumer loyalty.

Customization

The process of tailoring products to meet local market needs, which can lead to higher customer satisfaction.

Standardization

Creating a uniform product for all markets to achieve lower costs and global consistency.

Product Adaptation

Modifying a product to meet local conditions, cultural preferences, or regulatory requirements in foreign markets, balancing standardization and customization.

Market Research Purpose

To understand new markets, identify opportunities, and reduce risks associated with international marketing.

Segmentation Variables

Criteria such as GDP, demographics, income, and lifestyle used to divide potential markets into distinct groups.

Individual Branding

A strategy where each product has its own distinct brand identity.

Umbrella Branding

A marketing strategy where a single brand name covers multiple products offered by a company.

Cultural Barriers

Obstacles to successful international marketing resulting from cultural differences.

Chain Method

A market entry strategy that starts with estimates and refines them using known variables.

Foreign Direct Investment (FDI)

An investment made by a firm or individual in one country into business interests located in another country, often taking the form of establishing business operations or acquiring business assets, including establishing production facilities or purchasing a controlling interest in a foreign company.