© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-7 FIGURE 7-1 FIGURE 7-1 Illustrative world trade flows for manufactured goods and commodities (billions of dollars)
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© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-7
FIGURE 7-1FIGURE 7-1 Illustrative world trade flows for manufactured goods and commodities (billions of dollars)
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
DYNAMICS OF WORLD TRADE
Slide 7-8
• Competitive Advantage of Nations
Porter’s Diamond of National Competitive Advantage
• Demand Conditions
• Related and Supporting Industries
Economic Espionage Act (1996)
• Factor Conditions
• Company Strategy, Structure, and Rivalry
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-9
FIGURE 7-2FIGURE 7-2 Porter’s diamond of national competitive advantage
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
MARKETING IN A BORDERLESS ECONOMIC WORLD
Slide 7-13
• Decline of Economic Protectionism
Protectionism
Tariffs
Quota
World Trade Organization (WTO)
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-14
FIGURE 7-3 FIGURE 7-3 How protectionism affects world trade
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
MARKETING IN A BORDERLESS ECONOMIC WORLD
Slide 7-16
• Rise of Economic Integration
European Union
North American Free Trade Agreement (NAFTA)
Asian Free Trade Agreements
• Euro
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-17
FIGURE 7-4FIGURE 7-4 The countries of the European Union in 2005
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
MARKETING IN A BORDERLESS ECONOMIC WORLD
Slide 7-21
Global Companies
• A New Reality: Global Competition among Global Companies for Global Consumers
• International Firms
• Multinational Firms
• Transnational Firms
• Global Brand
Global Marketing Strategy
Multidomestic Marketing Strategy
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-22
FIGURE 7-AFIGURE 7-A Global companies and marketing strategies
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
MARKETING IN A BORDERLESS ECONOMIC WORLD
Slide 7-23
Global Consumers
• A New Reality: Global Competition among Global Companies for Global Consumers
• Emergence of a Networked Global Marketspace
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
MARKETING NEWSNET
The Global Teenager—A Market of500 Million Consumers with
$100 Billion to Spend
Slide 7-24
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-25
Nestlé Website for Peru What is a global marketspace?
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
A GLOBAL ENVIRONMENTAL SCAN
Slide 7-29
• Cultural Diversity
• Foreign Corrupt Practices Act (1977)
Cultural Symbols
• Semiotics
Cross-Cultural Analysis
Values
Customs
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-30
FIGURE 7-B FIGURE 7-B Cultural appreciation
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
FIGURE 7-5FIGURE 7-5 How purchasing power differs around the world
Slide 7-37
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-43
FIGURE 7-6FIGURE 7-6 How purchasing power differs around the world
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
MARKETING NEWSNET
Slide 7-44
Creative Cosmetics andCreative Export Marketing in Japan
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-48
Frito-Lay in IsraelWhat global market-entry strategy and why?
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-52
FIGURE 7-7FIGURE 7-7 Five product and promotion strategies for global marketing
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-53
Gillette For Women Venus Why use an identical global message for
Greece, Germany, and the U.S.?
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin Slide 7-55
FIGURE 7-8FIGURE 7-8 Channels of distribution in global marketing
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