Lecture International marketing (15/e): Chapter 3 - Philip R. Cateora, Mary C. Gilly, John L. Graham

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.

15th edition 

view, you need to appreciate:

– The influence of historical events 

– The geographical uniqueness to which a culture  has had to adapt

for responding to external and internal events

marketer must have some idea of a country’s 

history and geography

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in Global Business

– How it perceives its neighbors

– How it perceives itself

– Its place in the world

understanding current attitudes

well as to understand culture as it was

– A country’s history

environment that confronts every marketer

– Affects a society’s culture and economy 

– Physical makeup limits a nation’s ability to supply  its people’s needs 

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– South America

– British resistance of the English Channel

– Trade through the Alps

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Geography, Nature  and Economic Growth

overcome

– Disruption of ecosystems

– Relocation of people

– Inadequate hazardous waste management

– Industrial pollution

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

• http://www.time.com/time/specials/2007/0,28757,1661031,00.html

• http://www.forbes.com/2006/03/21/americas­most­polluted­cities­cx_rm_0321pollute.html

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• The availability of minerals and the ability to 

generate energy are the foundations of modern 

technology

• The principal supplements to human energy 

– Animals

– Wood

– Fossil fuel

– Nuclear power

– Ocean tides

– Geothermal power

– 1942 – nearly self­sufficient

– 1950 – major importer

– 1973­2000 – increased dependency from 36% to  66%

– Mid­2000’s – predicted to be importing more than  70% of needs

resources will affect the pattern of world 

economic development and trade well into the 

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Dynamics of Global Population Trends

• Global population trends determine today’s demand  for goods

– Rural/urban population shifts

– Rates of growth

– Age levels

– Population control

• Changes in population will profoundly affect future  demand

• The most important deterrent to population control 

is cultural attitudes about the importance of large 

Controlling  Population Growth

uncontrollable factors

population control is cultural attitudes about the  importance of large families

the most universal means governments use to 

control birthrates, but some economists believe  that a decline in the fertility rate is a function of  economic prosperity and will come only with 

economic development

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– Sources of education

– Health care

– Improved job opportunities

dropped below the rate necessary to maintain 

present levels

children per woman

population growth to maintain itself

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reasonably familiar with the world, its climate, 

and topographic differences

a direct effect on marketing and the related 

activities of communications and distribution