Global Marketing
marketing that targets markets throughout the world
Global Vision
recognizing & reacting to international marketing opportunities, using effective global marketing strategies, & being aware of threats from foreign competitors in all markets.
Job Outsourcing
sending U.S. jobs abroad
Multinational Corporation
a company that is heavily engaged in international trade, beyond exporting & importing
Capital Intensive
using more capital than labor in the production process.
Global Marketing Standardization
production of uniform products that can be sold the same way all over the world.
Mercosur
the largest Latin American trade agreement; includes Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, & Uruguay.
Uruguay Round
an agreement to dramatically lower trade barriers worldwide, created the World Trade Organization
World Trade Organization (WTO)
trade organization that replaced the old General Agreement on Tariffs & Trade (GATT)
General Agreement on Tariffs & Trade
a trade agreement that contained loopholes enabling countries to avoid trade-barrier reduction agreements.
North American Free Trade Agreement (NAFTA)
an agreement between Canada, the U.S., & Mexico that created the world's largest free trade zone.
Central America Free Trade Agreement (CAFTA)
a trade agreement, instituted in 2005, that includes Costa Rica, the DR, El Salvador, Guatemala, Honduras, Nicaragua, & the U.S.
European Union (EU)
a free trade zone encompassing 27 European countries
World Bank
an international bank that offers low interest loans, advice, & information to developing nations.
International Monetary Fund (IMF)
an international organization that acts as a lender of last resort, providing loans to troubled nations, & also works to promote trade through financial cooperation.
Group of Twenty (G-20)
a forum for international economic development that promotes discussion between industrial & emerging market countries on key issues related to global economic stability.
Exporting
selling domestically produced products to buyers in other countries.
Buyer for Export
an intermediary in the global market who assumes all ownership risks & sells globally for its own account.
Export Broker
an intermediary who plays the traditional broker's role by bringing buyer & seller together.
Export Agent
an intermediary who acts like a manufacturer's agent for the exporter, the export agent lives in the foreign market.
Licensing
the legal process whereby a licensor allows another firm to use its manufacturing process, trademarks, patents, trade secrets, or other proprietary knowledge.
Contract Manufacturing
private-label manufacturing by a foreign company
Joint Venture
when a domestic firm buys part of a foreign company or joins with a foreign company to create a new entity.
Direct Foreign Investment
active ownership of a foreign company or of overseas manufacturing or marketing facilities.
Floating Exchange Rates
a system in which prices of different currencies move up & down based on the demand for & the supply of each currency.
Dumping
the sale of an exported product at a price lower than that charged for the same or a like product in the "home" market of the exporter.
Countertrade
a form of trade in which all or part of the payment for goods or services is in the form of other goods or services.