0. International Marketing: Chapter 3 Key Concepts
Self-reference criterion
Ethnocentrism
Importance of cultural sensitivity
Impact of history
Major world trade routes
Major world trends
Impact of climate and topography

1. Self-Reference Criterion
Unconscious reference to one’s own cultural values, experiences, and knowledge as a basis for decisions
Example: Religious Values
Example: Time Orientation

2. Ethnocentrism
A belief that one’s own culture is superior and that all other cultures are inferior
Example: “America is the best”
Example: First World vs. Third World

3. Cultural Sensitivity
Being attuned to the nuances of culture so that a new culture can be evaluated, appreciated, and viewed objectively on its own terms
Understanding the history of a country and its people is the first step toward cultural understanding

4. History and Geography The foundations of cultural understanding
History defines the “mission” of a country
Geography defines how a society’s culture and economy are affected by its physical makeup

5. History is Very Subjective
History is viewed from one’s own biases and self-reference criterion (SRC)
People in other countries may have quite different perceptions

6. Geography World Trade Routes World Population Trends
Climate and Topography

7. World Trade Routes: The Triad Still Dominates
EUROPEAN
UNION
NORTH AMERICA
JAPAN

8. World Population Trends
Rural to Urban Shifts
Population Increase in Developing Countries (Mass Migration to Developed Countries)
Population Decline in Developed Countries (Worker Shortage)

9. World Population Trends Are Changing
BY THE YEAR 2025:
60% of world’s population will live in urban areas
80% of the world’s population will be in developing countries
Africa
Asia
Latin America

10. Climate and Topography are Diverse
Vast Differences Within One Country
Product Adaptation May Be Required
Distribution Strategies May Need Modification