1. GLOBALIZATION

10. PRO & ANTI GLOBALIZATION GLOBALIZATION

11. GLOBALIZATION Globalization is defined as a process of economic integration of the entire world through the removal of barriers to free trade and capital mobility as well as through the diffusion of knowledge and information .

12. 'Pro' and 'anti' are really only extremes in a complex issue where most of us fall into the broad middle Many so-called "pro-globalization" people are well aware of - and concerned about - the dangers of globalization. And many "anti-globalization" activists love the global village aspects of globalization but rail against corporate globalization.

14. Global Perspective: Recent Events 2003 SARS outbreak in Asia and Toronto Wars in Afghanistan and Iraq Adulterated product scandals in China September 11th attacks on the World Trade Center and Pentagon

15. Global Perspective: Recent Events International disagreements between the United States and its allies Global credit crisis and recession Global terrorism in Indonesia, Pakistan, India, Spain, Morocco and UK Despite these events, international commerce continued

16. Global Business Trends 1. Growth of WTO and regional trade groups 2.. Global acceptance of free market system 3. Impact of the Internet on global communications 4. Threats of terrorism and armed conflict 5. Rise of new producers and consumers 6. Management of global environmental resources

17. Internationalization of Business Increasing globalization of markets Firms face competition on all fronts Many Canadian companies are foreign controlled: Tim Hortons (US), Labatt (Belgian) Firms seeking foreign markets to increase profits

18. Foreign Ownership of Canadian Companies Company Industry Ownership Hudson's Bay Company Retail USA Tim Hortons Food service USA Labatts Beer Belgium MacMillan Bloedel Forestry USA Seagram Distillery France Corel Software USA CP Ships Shipping Germany Fairmont Hotels Hospitality USA/Saudi Arabia Dofasco Steel Luxembourg Noranda Mining Switzerland ATI Technologies Computer chips USA Stelco Steel USA Alcan Aluminum Great Britain

19. Top 10 Global Companies Rank Company Location Industry 1 HSBC UK Banking 2 General Electric USA Conglomerate 3 Bank of America USA Banking 4 JPMorgan Chase & Co. USA Banking 5 ExxonMobil USA Oil and gas 6 Royal Dutch Shell Netherlands/ UK Oil and gas 7 BP UK Oil and gas 8 Toyota Japan Automotive 9 ING Group Netherlands Insurance 10 Berkshire Hathaway USA Diversified Financials 10 Royal Bank of Scotland UK Banking

21. International Marketing: A Definition Marketing concepts, processes, and principles are universally applicable all over the world. The activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large in more than one country.

22. The International Marketing Task 7 3. Economy Environmental uncontrollables country market A Environmental uncontrollables country market B Environmental uncontrollables country market C 1. Competition 1. Competition 2. Technology Price Product Promotion Place 6. Geography and Infrastructure Foreign Environment ( Uncontrollables ) 7. Structure of Distribution 3. Economy 5. Political- Legal Domestic environment ( Uncontrollables ) ( Controllables ) 2 .Technology 4. Culture 5. Political- Legal 4. Culture Target Market

23. Environmental Adaptation Needed? Firms may adapt to uncontrollable environments of international marketing by adjusting the marketing mix. Adaptation (of Marketing Mix) Standardization (of Marketing Mix) Continuum INFLUENCED BY 7 ENVIROMENTAL FACTORS

27. Stages of International Marketing Involvement In general, firms go through five different phases in going international: Infrequent Foreign Marketing No Direct Foreign Marketing International Marketing Regular Foreign Marketing Global Marketing