Grade 11 Marketing Chapter 4 Notes

4.1: International Trade

Nature of International Trade

Interdependence of Nations

Absolute Advantage and Comparative Advantage

Benefits of International Trade

Government Involvement in International Trade

Balance of Trade

 

Trade Deficit and Negative Consequences of a Trade Deficit:

Trade Barriers

 

 

Trade Agreements and Alliances

 

World Trade Organization

 

North American Free Trade Agreement (NAFTA)

 

 

 

European Union (EU)

4.2: The Global Marketplace

Doing Business Internationally

Importing

Exporting

Licensing

Contract Manufacturing

Joint Ventures

 

Foreign Direct Investment

 

Multinationals and Mini-Nationals

 

A global environment scans seeks to collect analysis of political and economic factors, sociocultural differences and technological levels.

Political Factors include a government’s stability, it’s trade regulations and agreements, and any other laws that might impact a company’s operation.

0  A governments stability is an important factor when considering international business operations.

0  If there are changes in the government, investors become wary.

0  An example is when a left wing politician won Brazil’s presidential election and stocks immediately plunged.

Global Environmental Scan

Political Factors

 

Global Marketing Strategies

Globalization

Adaption

Customization

If you have any questions, leave them in the comments below.