International Marketing and Global Environment

Vocabulary flashcards covering the modules on International Business Operations and Global Marketing and Investment Environment.

International Marketing

The practice of planning, promoting, and selling products or services across national borders, requiring businesses to adapt strategies to diverse cultural, legal, and economic environments.

Silk Road

An early trade network connecting Asia, the Middle East, and Europe, serving as one of the first examples of cross-border commerce involving silk, spices, and precious metals.

Mercantilism

A colonial-era economic system where marketing strategies were closely tied to political and economic dominance, involving the export of raw materials from colonies and the import of manufactured goods.

Industrial Revolution

An 18th and 19th-century period that transformed international marketing through mass production, improved transportation like railways and steamships, and the telegraph.

Export Marketing

The most basic form of international marketing where products are manufactured in one country and sold to another, often involving intermediaries like export agents.

Multinational Marketing

A strategy where a company operates in several countries and tailors products, advertising, and distribution to each specific local market.

Global Marketing

An approach that treats the world as a single marketplace, emphasizing standardized products and a unified brand image across all markets.

Transnational Marketing

A strategy that seeks to balance global consistency with local responsiveness by standardizing core brand elements while adapting specific products to regional needs.

Licensing and Franchising

A market entry strategy where companies allow foreign firms to use their brand, technology, or processes in exchange for fees or royalties.

Exports

The selling of goods or services produced in one country to buyers in another to expand market reach and increase revenue.

Imports

The purchase of goods or services from other countries to meet domestic demand when items are unavailable locally, cheaper, or of higher quality.

Outsourcing

Hiring external firms, often located abroad, to perform specific business tasks like manufacturing, customer support, or IT services.

Global Production

The practice of producing goods in different countries to take advantage of cost efficiencies, resource availability, and specialized expertise.

Supply Chain

The entire flow of goods from raw materials to finished products delivered to consumers, including sourcing, production, warehousing, and distribution.

Logistics

The practical aspects of moving and storing goods, encompassing transportation, inventory management, and distribution centers.

Product Adaptation

The process of modifying products to fit local tastes, laws, or cultural norms, such as providing vegetarian menus in specific regions.

Product Standardization

Keeping products uniform worldwide to maintain brand consistency and reduce costs, such as selling the same smartphone design globally.

Political Economy

The interaction of political systems, economic systems, and legal frameworks within a country that shapes the business environment.

Market Economy

An economic system driven by supply and demand where businesses have freedom to set prices and marketing emphasizes differentiation.

Command Economy

An economic system where the government controls production and distribution, resulting in limited marketing opportunities and restricted consumer choice.

Mixed Economy

An economic system that combines elements of both market and command systems, requiring businesses to adapt to government involvement while competing openly.

Foreign Direct Investment (FDI)

Direct investment in business operations in another country involving the establishment of physical assets like factories, offices, or subsidiaries.

Horizontal FDI

A form of investment where a company replicates its existing business operations in another country.

Vertical FDI

A form of investment where a company invests in different stages of the production process abroad, such as a manufacturer building a parts factory in another country.

Stock Markets

Platforms in the global capital market where shares of companies are bought and sold, allowing businesses to raise equity capital.

Bond Markets

Markets where governments and corporations issue debt securities to borrow money, providing investors with interest.

International Monetary Fund (IMF)

An organization established in 1944 to promote global financial stability, provide financial assistance during crises, and monitor global economic trends.