MKT 100 Chapter Notes - Chapter 3: North American Free Trade Agreement, Most Favoured Nation, Greenfield Project

• School: Ryerson University
• Department: Marketing
• Course: MKT 100
• Professor: Fernando Pardo

Document Summary

Global economy: resources, markets and competition are worldwide in scope. Globalization: is the process of growing interdependence among elements of the global economy. Global management: involves managing operations in more than one country. Global manager: culturally aware and informed on international affairs. Global sourcing, exporting & importing, licensing and franchising are ways to begin. ^ market entry strategies that involves sales of goods and services to foreign markets without expensive investment. Strategic alliances, joint ventures, and wholly owned subsidiaries. ^ direct investment strategies that require major capital commitments, but also create right of ownership and control over operations. Global business: conducts commercial transactions across national boundaries. Global sourcing: materials or services are purchased around the world for local use. Goal is to take advantage of the international wage gaps by sourcing products in countries that can produce them at a lower cost. Major outsourcing destination and in many areas of manufacturing has become the factory of the world.