Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
54 Cards in this Set
- Front
- Back
|
timing of entry
|
when business enters a foreign market. either early or late
|
|
|
pioneering costs
|
costs early entrant must bear that later entrant avoids
|
|
|
strategic commitment
|
decision that has long-term impact and is difficult to reverse
|
|
|
turnkey project
|
firm agrees to set up an operating plant for foreign client and hand over controls when plant is fully operational
|
|
|
cross-licensing agreement
|
arrangement in which company licenses valuable intangible property to foreign partner and receives license for partner's valuable knowledge
|
|
|
franchising
|
company sells intangible property to another entity. the company also insists that the entity agree to abide by strict rules as to how it does business
|
|
|
joint venture
|
establishing firm that is owned by two or more otherwise independent firms
|
|
|
wholly owned subsidiary
|
subsidiary in which firm owns 100 percent of stock
|
|
|
export management company
|
export specialists that act as an export marketing or international department for their client firms
|
|
|
letter of credit
|
document issued by bank indicating that it will make payments to a beneficiary upon presentation of particular documents
|
|
|
bill of exchange
|
sometimes called a draft. instrument normally used in international commerce to effect payment
|
|
|
draft
|
order written by an exporter instructing an importer, or an importer's agent, to pay a specified amount of money at specified time
|
|
|
sight draft
|
payable upon presentation to drawee
|
|
|
time draft
|
allows for delay in payment to set future date
|
|
|
bill of lading
|
document issued to an exporter by common carrier transporting the merchandise; serves as receipt, contract and document of title
|
|
|
export-import bank
|
independent agency of US gov't whose mission is to provide financing aid that will facilitate exports, imports and commodities exchanges between US and countries
|
|
|
countertrade
|
trade of goods and services for other goods and services via whole range of barterlike agreements
|
|
|
barter
|
direct exchange of goods or services between two parties without cash transaction
|
|
|
counterpurchase
|
when firm agrees to purchase a certain amount of materials back from country to which it made a sale
|
|
|
offset
|
when firm agrees to purchase goods or services from any firm within country to which it made a sale
|
|
|
switch trading
|
using specialized third-party trading house in countertrade agreement
|
|
|
buyback
|
when firm builds plant in a country and agrees to take certain percentage of plant's output as partial payment of contract
|
|
|
production
|
activities involved in creating product
|
|
|
logisitics
|
procurement and transmission of material thru supply chain, from suppliers to customers
|
|
|
total quality management (TQM)
|
philosophy of management that focuses on improving quality of company's products and services
|
|
|
six sigma
|
modern successor to tqm. statistically based management philosophy that aims to reduce defects, boost productivity, eliminate waste, and cut costs throughout company
|
|
|
ISO 9000
|
certification process requires certain quality standards to be met
|
|
|
minimum efficient scale
|
level of output at which most plant-level scale economies are exhausted
|
|
|
flexible manufacturing technology (lean production)
|
manufacturing technology designed to reduce setup time, improve job scheduling and quality control
|
|
|
mass customization
|
ability of companies to use flexible manufacturing technology to achieve product customization at low cost
|
|
|
flexible machine cells
|
grouping of various types of machinery, common materials handler, and centralized cell controller computer that produces a family of products
|
|
|
global learning
|
idea that valuable knowledge resides not only in firm's domestic operations but in its foreign subsidiaries as well.
|
|
|
make or buy decisions
|
whether firm should make or outsource making component parts
|
|
|
specialized asset
|
asset whose value is contingent upon particular persisting relationship
|
|
|
marketing mix
|
choices about product attributes, distribution strategies, communication strategies, and pricing strategies that firm offers its targeted markets
|
|
|
market segmentation
|
identifying distinct groups of consumers whose purchaseing behavior differs from others in important ways. based on criteria such as geography, demographics, sociocultural factors and physchological factors
|
|
|
concentrated retail system
|
few retailers supply most of market
|
|
|
fragmented retail sustem
|
many retailers supply market, with no one having a major share
|
|
|
channel length
|
number of intermediaries between the producer and consumer
|
|
|
exclusive distribution channel
|
channel that outsiders find difficult to access
|
|
|
channel quality
|
expertise, competencies, and skills of established retailers in nation and their ability to sell and support products of international business
|
|
|
source effects
|
when receiver of message evaluates message on basis of status or image of sender
|
|
|
country of origin effects
|
extent to which place of a product's manufacturing influences its evaluations in the market
|
|
|
noise
|
amount of other messages competing for potential consumer's attention
|
|
|
push strategy
|
emphasizes personal selling to potential customers rather than mass media advertising
|
|
|
pull strategy
|
depends more on mass media advertising to communicate the marketing message to potential customers
|
|
|
strategic pricing
|
pricing strategy aimed at giving a company a competitive advantage over its rival
|
|
|
predatory pricing
|
pricing products below fair market values as competitive advantage weapon to drive weaker competitors out of market
|
|
|
multipoint pricing
|
occurs when pricing strategy in one market may have an impact on rival's pricing strategy in another market
|
|
|
experience curve pricing
|
aggressive pricing designed to increase volume and help firm realize experience curve economies
|
|
|
ethnocentric staffing policy
|
staffing approach in which all key management positions are filled by parent-country nationals
|
|
|
polycentric staffing policy
|
policy where firm recruits host-country nationals to manage subsidiaries in their own country, while parent-country nationals occupy key positions at corporate headquarters
|
|
|
geocentric staffing policy
|
policy under which firm seeks best people for key jobs throughout company regardless of nationality
|
|
|
expatriate failure
|
premature return on expatriate manager to his or her own country
|
