Global Marketing Basics
This “P” is how much customers pay.
What is price?
A brand that is recognized and trusted across many countries is called...
A global brand
Selling the same product in another country without changes is called...
Straight product extension
Buying materials from different countries to reduce costs is called this.
What is global sourcing?
Selling products below cost to eliminate competition is known as this pricing practice.
What is dumping?
This refers to product, price, promotion, and place.
What is the marketing mix?
This type of strategy uses multiple brand names to appeal to different markets.
What is a multibrand strategy?
Modifying a product to fit local needs is known as this strategy.
What is product adaptation?
Using only one supplier for materials is known as this strategy.
What is sole sourcing?
This group refers to people who live on less than $2 a day.
What is the bottom of the pyramid (BOP)?
Dividing markets into smaller groups.
What is market segmentation?
This is the main advantage of centralized marketing decision-making.
What is cost efficiency?
Creating an entirely new product for a specific market is called...
A product invention
Using multiple suppliers to reduce risk is called this.
What is multisourcing?
This illegal market involves fake products that imitate real brands.
What is the counterfeit market?
Companies expand internationally mainly to reach more customers and achieve ....
Higher profit
This type of marketing structure allows regions to make decisions based on local preferences.
What is decentralized marketing?
This effect occurs when consumers judge a product based on where it was made.
What is the country-of-origin effect?
This type of distribution channel includes intermediaries like wholesalers and retailers.
What is an indirect channel?
In emerging markets, this group is growing and creating new demand for products.
What is the middle class?
This concept explains why companies must adapt marketing due to cultural, administrative, geographic, and economic differences.
What is the CAGE framework?
This challenge occurs when companies sell low-cost products in emerging markets but want to maintain a premium brand image.
What is brand dilution?
This concept describes designing products for developing countries and later using them in developed markets.
What is reverse innovation?
This strategy involves partnering, acquiring, or building systems to deliver products in new international markets.
What is distribution management?
This occurs when price differences between countries lead consumers to buy products from cheaper markets.
What is the gray market?