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56 Cards in this Set
- Front
- Back
Tariffs |
Taxes imposed on imported products, effectively increasing the cost of the acquisition for the customer. |
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Protectionism |
National Economic policies designed to restrict free trade and protect domestic industries from foreign competition |
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Value Chain |
Sequence of value-adding activities performed by The Firm |
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Ethnocentrism |
Using your own culture as the standard for judging others. |
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Born Global |
A young entrepreneual company that initiates international business activity very early |
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Franchising |
Arrangement in which the firm allows another the right to use an entire business system in exchange for fees |
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Licensing |
Arrangement in which the owner of intellectual property grants a firm the right to use that property for a specified period of time in exchange for royalties or other compensation |
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Privatization |
Transfer of state-owned industries to private concerns |
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Corruption |
The abuse of power to achieve illegitimate personal gain |
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Dumping |
Pricing exported products at less than their normal value, generally less than their price in the domestic or third country markets, or at less that production costs |
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Sustainability |
Meeting humanities needs without harming future generations |
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Mercantalism |
The belief that national property is the result of a positive balance of trade, achieved by maximizing exports and minimizing imports |
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Absolute advantage |
Tom Brady - A country benefits by producing only those products using fewer resources than other countries |
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Comparative advantage |
Forest Gump - when a country is better off producing a product with a lower opportunity cost than others |
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Country Risk |
Exposure to potential loss or adverse effects on company operations and profitablity caused by developments in a country's political and or legal environment |
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Free Trade area |
A state of regional integration in which member countries agree to eliminate tariffs and other barriers to trade in products and services within the bloc |
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Subsisidies |
Monetary or other resources that a government grants to a firm or group of firms resources, usually to encourage exports |
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World Bank |
An international agency that provides loans and technical assistance to low- and middle income countries with the goal of reducing poverty |
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Uncertainty Avoidance |
The extent to which people can tolerate risk and uncertainty in their lives |
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Developed economies/countries |
Low-income countries characterized by limited industrialization and stagnat economies |
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Drivers of Market globalization |
Political, technological, Market cost, competitive |
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NAFTA |
North American Free Trade Agreement between Canada United States and Mexico |
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Trade quota |
Government-imposed limit on the amount of goods that can be imported over a specific period of time |
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WTO |
World Trade Organization, enforces the rules of international trade |
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GATT |
General agreement on trade, treaty designed to promote free trade by reducing both tariffs and non-tariff barriers to international trade |
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GDP growth rates |
Value of all goods and services produced by the domestic economy over a one-year. |
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Capitalism |
The production of goods and services is based on supply and demand in the General Market |
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Individualism/collectivism |
Describes whether a personal functions primarily as an individual or as part of a group |
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Joint venture (JV) |
A form of collaboration between two or more firms to create a new jointly-owned Enterprise |
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Customs Union |
A stage of regional integration and which the members countries agreed to adopt common tariff and non-tariff barriers on imports from non-member countries |
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Power distance |
Describe how Society deals with the inequality in power that exist among people |
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Masculinity vs. Femininity |
A society's orientation based on traditional male and female values |
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U.s. Corrupt Practices Act |
A United States federal law concern with bribery with foreign officials |
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Porter's diamond |
A theory / model that is designed to help understand a nation's competitive advantage |
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Dunning Electic model OLI |
A theory that provides a three-tiered framework for a company to follow when determining if it is beneficial to pursue direct foreign investment |
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Bretton Woods |
The international monetary Arrangement agreed upon by the Allied Nations. He created the IMF and World Bank |
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Frederick Hayek |
Promoted the idea that private investment rather than government spending would promote sustainable growth |
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John Keynes |
Keynes believe capitalism is a good economic system. Saving good times spend in bad |
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Vladimir Lenin |
Founder of the Russia's Communist Party Soviet Union |
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USSR |
Soviet Russia socialism |
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Political union |
A type of State composed of smaller States |
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EU |
The European Union |
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Global Challengers |
A group of emerging Challengers that are becoming important players around the globe |
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Expropriation |
Back some other state or authority for taking property from an owner for public use |
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Common Market |
Countries opposing few or no duties on trade with one another |
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Nationalization |
The opposite of privatization |
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Purchasing power parity |
Theory that states the exchange rate between two countries is equal to the currencies purchasing power |
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Factors proportions |
One condition for trade is that countries different with respect to the availability of the factors of production |
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High low context |
Terms used to describe cultures based on how explicit the messages exchanged are and how much the contacts means in certain situations |
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Intermediaries |
Mediator acts as liaison between businesses and consumers |
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Risks of IB |
Commercial, currency, country, cross-cultural |
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Which of the following reflects the major contribution of GATT to globalization? |
Reductions of barriers to international trade |
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The free movement of capital around the world is known by |
The globalization of capital |
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Logistics service providers, Freight forwarders, and banks are examples of |
Facilitators |
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The ability of a Nation to manage its own Foreign Affairs is known as |
Sovereignty |
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The learn shared in a during orientation patterns in society |
Culture |