Lecture International marketing (14/e) - Chapter 3

Chapter 3 - History and Geography: The foundations of culture. Geography and history in chapter 3 are included as important dimensions in understanding cultural and market differences among countries. Not to be overlooked is concern for the deterioration of the global ecological environment and the multinational company’s critical responsibility to protect it.

Geography and Global Markets

environment that confronts every marketer

needs

Climate and Topography

Geography, Nature and Economic Growth

Social Responsibility and Environmental Management

• Environmental protection is not an optional extra

• Pollution is on the verge of getting completely out of

control

• China has 16 of the world’s 20 most polluted cities

• Critical issue: the disposal of hazardous waste

• Sustainable development

generate energy are the foundations of modern technology

resources will affect the pattern of world

economic development and trade well into the

World Energy Consumption

Exhibit 3.3a

World Energy Consumption

Exhibit 3.3b

Dynamics of Population Trends

demand for goods

control is cultural attitudes about the importance

of large families

World Population by Region – 2005-2050

Life Expectancy at Birth – 2005-2010 (millions)

Exhibit 3.4

Population Decline and Aging

dropped below the rate necessary to maintain

present levels

children per woman

population growth to maintain itself

Age Density for World and Selected Countries

Exhibit 3.5

Worker Shortage and Immigration

• The free flow of immigration will help to

ameliorate the dual problems of explosive

population expansion in less-developed

countries and worker shortage in

industrialized regions

• Europe will need 1.4 billion immigrants over

the next 50 years

500 Years of Trade

Exhibit 3.6a

500 Years of Trade

Exhibit 3.6b

World Trade Routes

• Progression of trade routes

– Fundamental differences between and economies

• Trade routes represent attempts to overcome

influence of geography

– Causing economic and social imbalances

• A prospective international marketer should be

reasonably familiar with the world, its climate, and topographic differences

• Geographic hurdles must be recognized as

having a direct effect on marketing and the

related activities of communications and

distribution

• Without a historical understanding of a culture,

the attitudes within the marketplace may not

be fully understood

• The study of history and geography is needed

to provide the marketer with an understanding

of why a country has developed as it has

rather than as a guide for adapting marketing plans