Term
| GDP (Gross Domestic Product) |
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Definition
| A measure of the market value of goods and services produced by a nation. Unlike Gross National Product, it excludes profits made by domestic firms overseas, as well as the share of reinvested earning in domestic firms' foreign-based operations. |
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Definition
| The measure of GDP wieghted by the population of a nation. |
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Term
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Definition
| The principle that equivalent assets sell for the same price. Purchasing power parity is a measurement of a currency's value based on the buying power within its own domestic economy. |
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Term
| Multi-national Corporations |
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Definition
| A corporation with operations in more than one country. |
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Term
| Foreign Direct Investment |
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Definition
| occurs when an individual or firm acquires controlling interest in productive assets of another country. |
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Term
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Definition
| International outsourcing involves the import of intermediate inputs or services from unaffiliated foreign suppliers. |
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Term
| Herfindahl-Hirshman Index (HHI) |
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Definition
is the sum of the squared market shares of all the firms in a market.
The Herfindahl index is the sum of the squared market shares of all the firms in a market. |
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Term
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Definition
| selling the same standardized product and using the same basic marketing approach in each national market |
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Term
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Definition
| customizing products and marketing strategies to specific national conditions |
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Term
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Definition
| "Firm that typically starts to export less than two years after the foundation of the firm"… "these frims view the world as their marketplace from the outset and see the domestic market as a support for their international business"… averare born globals' exports account for 75% of their sales |
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Term
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Definition
| An organizational structure that simultaneously groups people and resources by function and product |
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Term
| Focused Low-Cost Strategy |
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Definition
| serving only one segment of the overall market and trying to be the lowest-cost organization |
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Term
| Focused Differentiation Strategy |
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Definition
| serving only one segment of the overall market and trying to be the most differentiated organization serving that segment |
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Term
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Definition
| the process of developing and maintaing a strategic fit between the organization's goals and capabilities and its changing marketing opportunities |
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Term
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Definition
| A portfolio-planning method that evaluates a company's strategic business units in terms of their market growth rate and relative market share. SBUs are classified as stars, cash cows, question marks, or dogs. *see models' sheet* |
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Term
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Definition
| A portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification *see models' sheet* |
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Term
| Porter's 5 Industry Forces |
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Definition
| A model to assess the competitive forces and potential threats in the external environment; the 5 forces are rivalry, potential for entry, the power of large suppliers, the power of large customers, and the threat of substitute products |
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Term
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Definition
| An advantage over competitors gained by offering consumers greater value, either, through lower prices or by providing more benefits that justify higher prices |
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Term
| Quantum Product Innovation |
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Definition
| The development of new, often radically different, kinds of goods and services because of fundamental shifts in technology brought about by pioneering discoveries |
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Term
| Incremental Product Innovation |
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Definition
| The gradual improvement and refinement to existing products that occurs over time as existing technologies are perfected |
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Term
| Porter's Diamond of National Advantage |
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Definition
| A conceptual model that characterizes a country's resources that lead to competitive industries and firms. The four points of the diamond represent the types of resources: demand conditions; factor conditions; related and supporting industries; firm strategy, structure, and rivalry |
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Term
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Definition
| The idea that consumers will favor products that are available and highly affordable and that management should therefore focus on improving production and distribution efficiency. |
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Term
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Definition
| The idea that consumers will favor products that offer the most quality, performance, and features and that the organization should therefore devote its energy to making continual product improvements. |
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Term
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Definition
| The idea that consumers will not buy enough of the organization's products unless the organization undertakes a large-scale selling and promotion effort |
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Term
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Definition
| Achieving organizational goals depends on determining the needs and wants of target markets and delivering the desired satisfactions more effectively and efficiently than competitors do. |
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Term
| Societal Marketing Concept |
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Definition
| Determine the needs, wants, and interests of target markets and deliver the desired satisfaction more effectively and efficiently than do competitors in a way that maintains or improves the consumer's and society's well-being. |
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Term
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Definition
| making products at home and selling them abroad |
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Term
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Definition
| selling at home products that are made abroad |
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Term
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Definition
| allowing a foreign organization to take charge of manufacturing and distributing a product in its country or world region in return for a negotiated fee |
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Term
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Definition
| selling to a foreign organization the rights to use a brand name and operating know-how in return for a lump-sum payment and a share of the profits |
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Term
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Definition
| an agreement in which managers pool or share their organization's resources and know-how with a foreign company, and the two organizations share the rewards and risks of starting a new venture |
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Term
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Definition
| a strategic alliance among two or more companies that agree to jointly establish and share the ownership of a new business |
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Term
| Wholly Owned Foreign Subsidiary |
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Definition
| production operations established in a foreign country independent of any local direct involvement |
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Term
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Definition
| A country that is in the process of becoming industrialized. Average national income must be below $9,265 for a country to be classified as a developing country. A developing country typically lacks industrialization, infrastructure, high literacy rate and advanced living standards. |
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Term
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Definition
| An emerging market has a very high growth rate, which yields enormous market potential. It is distinguished by the recent progress it has made in economic liberalization. |
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Term
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Definition
| expanding a company's operations either backward into an industry that produces inputs for its products or forward into an industry that uses, distributes, or sells its products |
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Term
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Definition
| the coordinated series or sequence of functional activities necessary to transform inputs such as new product concepts, raw materials, component parts, or professional skill into the finished goods or services customers value and want to buy |
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Term
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Definition
| the coordinated series or sequence of functional activities necessary to transform inputs such as new product concepts, raw materials, component parts, or professional skill into the finished goods or services customers value and want to buy |
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Term
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Definition
| An overall evaluation of the company's strengths (S), weaknesses (W), opportunities (O), and threats (T). |
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Term
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Definition
| codes of conduct that prescribe how people should act |
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Term
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Definition
| routine social convetions of every day life |
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Term
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Definition
| beliefs about what is good, right, desirable, or beautiful |
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Term
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Definition
| a group of people with a shared culture |
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Term
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Definition
| the set of shared norms, values, symbols, rituals, and practices that are learned by a society through institutions, including family, schools, and religion |
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Term
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Definition
| collective activities, technically superfluous to reach desired ends, but that within a culture are considered essential |
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Term
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Definition
| words, pictures, gestures, or objects that carry a particular meaning only recognized as such by those who share a culture |
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Term
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Definition
| persons, alive or dead, real or imaginary, assumed to possess characteristics highly prized in a culture and thus serving as models for behavior |
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Term
| Particularism vs. Universalism |
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Definition
| in particularism, norms and values are defined in specific scenarios; whereas in universalism, norms and values are absolute, regardless of the scenario |
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Term
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Definition
| divisions in a society whose members share similar values, interests, and behaviours |
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Term
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Definition
| an aspect of culture that can be measured |
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Term
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Definition
| the extent to which the less powerful members of institutions and organziations expext and accept that power is distributed unequally |
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Term
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Definition
| a society in which ties between individuals are loose: everyone is expected to look after himself or herself and his or her immediate family only |
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Term
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Definition
| a society in which emotional gender roles are clearly distinct: men are supposed to be assertive, tough, and focused on material succes; women are supposed to be more modest, tender, and concerned with the quality of life |
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Term
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Definition
| the extent to which the members of a culture feel threatened by ambiguous or unknown situations. |
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Term
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Definition
| fostering of virtues oriented toward future rewards, in particular perseverance and thrift |
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Term
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Definition
| in low context societies, much of the information is conveyed explicitly in a message; whereas in high context societies, the meaning of a message may be contained in the particular context of the conversation. |
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Term
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Definition
| the ability of individuals or groups to move into and out of different social classes |
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Term
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Definition
| a group of managers brought together from different departments to perform organizational tasks |
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Term
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Definition
| the shared set of beliefs, expectations, values, norms, and work routines that influence the ways in which individuals, groups, and teams interact with one another and cooperate to achieve organizational goals |
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Term
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Definition
| the moral values, beliefs, and rules that establish the appropriate way for an organization and its members to deal with each other and with people outside the organization |
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Term
| Country of Origin Effects |
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Definition
| the extent to which the place of manufacturing influences product evaluations |
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