国际营销期末考试总复习

Review the whole book for term exam 2013Chapter one:P.7 International marketing defined•Performance of business activities designed to–Plan–Price–Promote, and–Direct the flow of a company’s goods and services to consumers or users in more than one nation for a profitP.8 Exhibit 1.3P.12 SRC (definition)SRC is an unconscious reference to one’s own cultural values, experiences, and knowledge as a basis for decisions.P.14 4 steps are suggested as a framework1.Define business problem or goal•Home-country vs. foreign-country cultural traits, habits, or norms•Consultation with natives of the target country2.Make no value judgments3.Isolate the SRC influence•Examine it carefully to see how it complicates the problem4.Redefine the problem•Without SRC influence•Solve for the optimum business goal situationP.16 stages of International Marketing•No direct foreign marketing•Infrequent foreign marketing•Regular foreign marketing•International marketing•Global marketingChapter two:P.23 GATT (three basic elements)•Three basic elements:•1) trade shall be conducted on a non-discriminatory basis;•2) protection shall be afforded domestic industries through customs tariffs, not through such commercial measures as import quotas;•3) consultation shall be the primary method used to solve global trade problems.P.25-26 IMF (three objectives)–Stabilization of foreign exchange rates–Establishment of freely convertible currencies to facilitate the expansion and balanced growth of international trade–The IMF also lends money to members having trouble meeting financial obligation to other members.World Bank Group (services)–Lending money to the governments of developing countries–Providing assistance to governments for developmental projectsto the poorest developing countries–Lending directly to the private sector–Providing investors with guarantees against “noncommercial risk”–Promoting increased flows of international investmentP.27-39 Global Markets and Multinational Market GroupsEurope•-- European Integration•-- European Union (EU Institutions, Economic and Monetary Union and Expansion of the European Union)The Americas•-- North American Free Trade Agreement (NAFTA)Asian-Pacific Rim•-- Association of Southeast Asian Nations•-- Asia-Pacific Economic CooperationAfricaThe Middle EastP.33 NAFTAP.51 Big emerging markets share a number of important traits•Big emerging markets share a number of important traits. They•- Are all geographically large.•- Have significant populations.•- Represent sizable markets for a wide range of products.•- Have strong rates of growth or the potential for significant growth•- Have undertaken significant programs of economic reform.•- Are of major political importance within their regions.•-Are “regional economic drives.”•Will endanger further expansion in neighboring markets as they grow•Because many lack modern infrastructure, much of the expected growth will be in industrial sectorsChapter three:P.59 Exhibit 3.1 (the love-hate relationship between the United States and MexicoP.65 Exhibit 3.4 World Energy ConsumptionP.68 Rural/urban migration (a desire for greater access to …)–Sources of education–Health care–Improved job opportunitiesP.68 Population Decline& Aging•Population growth in many countries has dropped below the rate necessary to maintain present levels• A nation needs a fertility rate of about 2.1 children per woman•Not one major country has sufficient internal population growth to maintain itselfChapter four:P.75 culture’s pervasive impact•Culture affects every part of our lives, every day, from birth to death, and everything in between–Japan –the year of the Fire Horse•As countries move from agricultural to industrial to services economies’birthrates decline •Consequences of consumption–Tobacco•Culture not only affects consumption, it also affects production–Stomach cancer in JapanP.79 definition of cultureP.79 Exhibit 4.4 Origins of CultureChapter five:P.100 10 basic criteria for required adaptation1) open tolerance2) flexibility3) humility4) justice/fairness5) ability to adjust to varying tempos6) curiosity/interest7) knowledge of the country8) liking for others9) ability to command respect10) ability to integrate oneself into the environmentP.101 cultural imperatives–Business customs and expectations that must be met and conformed to or avoided if relationships are to be successful►The significance friendship cannot be overemphasized–In some cultures a person’s demeanor is more critical than in others–Imperatives vary from culture to cultureP.102 cultural electives (Example)–Relate to areas of behavior or to customs that cultural aliens may wish to conform to or participate in but that are not required–A cultural elective in one county may be an imperative in another–Cultural electives are most visibly different customsP.102 cultural exclusives (Example)–Customs or behavior patterns reserved exclusively for the localsP.103 The impact of American culture on management style(7 important ideas)•“Master of destiny” viewpoint•Independent enterprise as the instrument of social action•Personnel selection and reward based on merit•Decisions based on objective analysis•Wide sharing in decision making•Never-ending quest for improvement•Competition producing efficiencyP.105 PDI•Higher on Hofstede’s Power Distance Index (PDI)–May lead to business misunderstandingsP.106-108 Management Objectives and AspirationsP.111 P-time versus M-time•Monochronic time–Tend to concentrate on one thing at a time–Divide time into small units and are concerned with promptness–Most low-context cultures operate on M-Time•Polychronic time–Dominant in high-context cultures–Characterized by the simultaneous occurrence of many things–Allows for relationships to build and context to be absorbed as parts of high-context cultures•Most cultures offer a mix of P-time and M-time behavior–Have a tendency to be either more P-time or M-time in regard to the role time plays •As global markets expand more businesspeople fromP-time cultures are adapting to M-time.P.113 Marketing Orientation• A company’s marketing orientation has been positively related to profits (U.S.)•Other countries have more traditional approach–Production orientation (consumers will prefer products that are widely available)–Product orientation (consumers will favor products that offer the most quality performance, or innovative features)–Selling orientation (consumers and businesses alike will not buy enough without prodding)•Encouraging a marketing orientation across global business units can be difficultP.116-117 Business Ethnics (corruption & Bribery)•Types of Corruption–Profits (Marxism)–Individualism (Japan)–Rampant consumerism (India)–Missionaries (China)–Intellectual property laws (Sub-Sahara Africa)–Currency speculation ( Southeast Asia)•Criticisms of Mattel and Barbie–Sales of Barbie declined worldwide after the global standardization–Parents and government did react–Mattel’s strategy boosted sales of its competitionP.118 Exhibit 5.5P.119 Exhibit 5.6P.119 Bribery & Extortion•Bribery and Extortion–V oluntary offered payment by someone seeking unlawful advantage is bribery–If payments are extracted under duress by someone in authority from a person seeking only what he are she is lawfully entitled to that is extortionLubrication & subornation–Lubrication involves a relatively small sum of cash, a gift, or a service given to a low-ranking official in a country where such offerings are not prohibited by law –Subornation involves giving large sums of money, frequently not properly accounted for, designed to entice an official to commit an illegal act on behalf of the oneoffering the bribeP.124 Exhibit 5.7Chapter six:P.131 the sovereignty of nations• A sovereign state–Independent–Free from all external control•Sovereignty–Powers exercised by a state in relation to other countries–Supreme powers exercised over its own members•Nations can and do abridge specific aspects of their sovereign rights in order to coexist with other nations–NAFTA –North America Free Trade Agreement–NATO –North Atlantic Treaty Organization–WTO –World Trade Organization•The United States involvement in international political affiliations is surprisingly low•The WTO is considered by some as the biggest threat so far to national sovereigntyP.137 political risk of global business•Confiscation–the seizing of a company’s assets without payment•Expropriation–where the government seizes an investment but makes some reimbursement for the assets•Domestication–when host countries gradually cause the transfer of foreign investments to national control and ownership through a series of government decrees–Mandating local ownership–Greater national involvement in a company’s managementP.144 lessening political vulnerability•Relations between governments and MNCs are generally positive if the investment –Improves the balance of payments by increasing exports or reducing imports through import substitution–Uses locally produced resources–Transfers capital, technology, and/or skills–Creates jobs–Makes tax contributions•Political parties often focus public opinion on the negative aspects of MNCs whether true or false–As scapegoats for their own failure–To serve their own interestsP.145-146 MNCs can use other strategies to minimize political vulnerability and risk (6 approaches)–Joint ventures–Expanding the investment base–Licensing–Planned domestication–Political bargaining–Political payoffsChapter seven:P.152 common VS code law•Common law–Seeks interpretation through the past decisions of higher courts which interpret the same statues–Applies established and customary law principles to a similar set of facts–Are recognized as not being all-inclusive–Ownership is established by use•Code law–Legal system is generally divided into three separate codes►Commercial►Civil►Criminal–Ownership is determined by registration–Considered complete as a result of catchall provisions found in most code-law systemsP.153 Islamic law•The basis for Islamic law is interpretation of the Koran•Islamic law defines a complete system that prescribes specific patterns of social and economic behavior for all individuals–Property rights–Economic decision making–Types of economic freedom•Among the unique aspects of Islamic law is the prohibition against the payment of interest •The Islamic system–Places emphasis on the ethical, moral, social, and religious dimensions to enhance equality and fairness for the good of societyP.154 Marxist –socialist Tenets•Socialist countries are now more directly involved in trade with non-Marxist countries –Necessitated the development a commercial legal system that allowed engagement in active international commerce•Pattern for development varies among countries–Each has a different background–Development of market-driven economies at different stages•Premise is that law is strictly subordinate to prevailing economic conditions–Fundamental propositions as private ownership, contracts, due process, and other legal mechanisms have had to be developedP.155 Jurisdiction is generally determined in one of three ways–Jurisdictional clauses included in contracts–Where a contract was entered into–Where the provisions of the contract were performedP.155 conciliation (definition)•Conciliation is a nonbinding agreement between parties to resolve disputes by asking a third party to mediate differences.P.156 arbitration (definition)P.158 litigation (deterrents to …)–Fear of creating a poor image and damaging public relations–Fear of unfair treatment in a foreign court–Difficulty in collecting a judgment that may otherwise have been collected in a mutually agreed settlement through arbitration–The relatively high cost and time required when bringing legal action–Loss of confidentialityP.161 prior use versus registration•Prior Use –whoever can establish first use is typically considered the rightful owner •Registration –the first to register a trademark or other property right is considered the rightful owner• A company that believes it can always establish ownership in another country by proving it used the trademark or brand name first is wrong and risks the loss of these assets •It is best to protect intellectual property rights through registrationChapter eight:P.174 The research processP.178-179 quantitative research and qualitative researchChapter nine: (none)Chapter ten:P.225 quality defined•Shift to a customer’s market•Increased customer knowledge•The customer defines quality•The cost and quality of a product–Among the most important criteria by which purchases are made •Quality can be defined on two dimensions–Market-perceived quality–Performance quality•Most consumers expect performance quality•In many industries quality is measured by third parties–JD Power and AssociatesMaintaining Quality:•Damage in the distribution chain–Russian chocolate•Quality is essential for success in today’s competitive global market•The decision to standardize or adapt a product is crucial in delivering qualityP.236 Exhibit 10.1P244 A global brand (definition)•A global brand is the worldwide use of a name, term, sign, symbol, design, or combination thereof Intended to identify goods or services of one seller and to differentiate them from those of competitors.P.245 Global Brands (Function)•The Internet and other technologies accelerate the pace of the globalization of brands•Ideally gives the company a uniform worldwide image•Balance•Ability to translateChapter eleven:P.254 Demand in Global B2B MarketsChapter twelve:P.273 Japanese distribution structure has 4 distinguishing features1. A structure dominated by many small middlemen dealing with many small retailers2.Channel control by manufacturers3. A business philosophy shaped by a unique culturews that protect the foundation of the systemP.285 factors affecting choice of channels (6 “C”)•Cost•Capital requirements•Control•Coverage•Character•Continuity•P.287-290 Channel ManagementLocating middlemenLocating middlemenSelecting middlemenMotivating middlemenTerminating middlemenP.288 select middlemen–Screening–The agreementChapter thirteen:P.299 IMC•Integrated marketing communications (IMC) are composed of–Advertising–Sales promotions–Trade shows–Personal selling–Direct selling–Public relations•Objective: successful sale of a product or service•Availability of appropriate communication channels can determine entry decisionsP.299 sales promotion (definition)•Sales promotions are marketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperation. Sales promotions are short-term efforts directed to the consumer or retailer to achieve specific objectivesP.300 International public relations (definition)•Public relations (PR) is creating good relationships with the popular press and other media to help companies communicate messages to customers, the general public, and governmental regulators.Chapter fourteen:P.334 selecting sales and marketing personnel (certain personnel characteristics, skills and orientations)Management must define precisely what is expected of people•Prime requisites–Maturity–Emotional stability–Breadth of knowledge–Positive outlook–Flexibility–Cultural empathy–Energetic and enjoy travel•Mistakes can be costly• A manager’s culture affects personnel decisionsP.341 IBM’s process of revamping its sales compensation scheme(do’s and don’s of global compensation)•Do involve representatives from key countries•Do allow local managers to decide the mix between base and incentive pay•Do use consistent performance measures (results paid for) and emphasis on each measure •Do allow local countries flexibility in implementations•Do use consistent communication and training themes worldwide•Don’t design the plan centrally and dictate to local offices•Don’t create a similar framework for jobs with different responsibilities•Don’t require consistency on every performance measure within the incentive plan•Don’t assume cultural differences can be managed through the incentive plan•Don’t proceed without the support of senior sales executives worldwideP.344 A report on what MNCs are doing to improve the reentry process suggests five steps1 Commit to reassigning expatriates to meaningful positions.2 Create a mentor program.3 Offer a written job guarantee stating what company is obligated to do for returningexpatriate.4 Keep the expatriate in touch with headquarters through periodic briefings and headquartervisits.5 Prepare the expatriate and family for repatriation once a return date is set.Chapter fifteen:P.355 Full-cost versus Variable–cost pricing•Variable-cost pricing–Firm is concerned only with the marginal or incremental cost of producing goods to be sold in overseas markets•Full-cost pricing–Companies insist that no unit of a similar product is differentfrom any other unit in terms of cost–Each unit must bear full share of the total fixed and variable costP.355 skimming versus penetration pricing•Skimming–Used by a company when the objective is to reach a segment of the market that is relatively price insensitive–Market is willing to pay a premium price for the value received•Penetration pricing policy–Used to stimulate market and sales growth by deliberately offering products at low pricesP.357 price escalation•Costs of exporting–Price escalation•Taxes, tariffs, and administrative costs–Taxes include tariffs–Tariff –fee charged when goods are brought into a country from another country–Administrative costs►Include export and import licenses►Other documents►Physical arrangements for getting the product from port of entry to the buyer’s location•Inflation–In countries with rapid inflation or exchange variation, the selling price must be related to the cost of goods sold and the cost of replacing the items •Deflation–In a deflationary market, it is essential for a company to keep prices low and raise brand value to win the trust of consumers•Exchange rate fluctuations–No one is quite sure of the future value of currency–Transactions are increasingly being written in terms of the vendor company’s national currency•Varying currency values–Changing values of a country’s currency relative to other currencies–Cost-plus pricing•Middleman and transportation costs–Channel diversity–Underdeveloped marketing and distribution channel infrastructuresP.361 approaches to reducing price escalation•Lowering cost of goods–Manufacturing in a third country–Eliminating costly functional features–Lowering overall product quality•Lowering tariffs–Reclassifying products into a different, and lower customs classification–Modify product to qualify for a lower tariff rate within classification–Requiring assembly or further processing–Repackaging•Lowering distribution costs–Shorter channels–Reducing or eliminating middlemen•Using foreign trade zones to lessen price escalation–Establish free trade zones (FTZs) or free ports•Tax-free enclave not considered part of country•Postpones payment of duties and tariffs•Dumping–Use of marginal (variable) cost pricing–Selling goods in foreign country below the price of the same goods in the home marketP.364 dumping (definition)P.366 countertrade (definition)P.371 Getting Paid: Foreign Commercial PaymentsLetters of creditBills of exchangeCash in advanceOpen accountsForfaiting。