326 terms in 3.3
Absence Management
Strategies to reduce employee absences: monitoring absence patterns, addressing underlying causes, disciplinary procedur...
Understanding markets and customers
Adding Value
The process of increasing the worth or usefulness of a product or service beyond its basic function, allowing businesses...
Setting marketing objectives
Advertising
A form of paid communication used to promote products, services, or brands to target audiences through various media (TV...
Advertising (Demand Factor)
Paid promotional communication affecting consumer demand by raising awareness, creating desire, or persuading purchase.
Advertising (Marketing)
Paid communication promoting products/brands to target audiences through media.
Aesthetics (Design)
Visual appeal and appearance of a product.
Ansoff's Matrix
Strategic tool showing growth strategies based on product/market combinations.
ASEAN
(Association of Southeast Asian Nations).
B2B Marketing
Business-to-Business marketing — promoting products or services sold from one business to another rather than to individ...
B2C Marketing
Business-to-Consumer marketing — promoting products or services directly to individual end consumers.
Balance of Payments
Account recording all economic transactions between country and rest of world.
Bias (in Research)
Systematic errors that distort research results, causing them to deviate from the true picture.
Bonus
Lump sum additional payment to employees based on performance, company profits, or achievements.
Boston Matrix
A tool for managing your product portfolio — which products to invest in, maintain, or drop.
Making marketing decisions: using the marketing mix
Brand Recognition
The extent to which consumers can identify and recall a brand from its name, logo, design, or other distinguishing featu...
Brand/Branding
The identity and reputation of a product or company, comprising name, logo, design, values, and customer perception.
Branding Strategy
Plan for creating, building, and managing a brand identity.
Capital Flows
Movement of investment money between countries.
Cash Cow (Boston Matrix)
Product with high market share in low-growth market.
Centralised Organisation
Structure where decision-making is concentrated at senior management level.
Child Labour
Employment of children under legal working age in unacceptable conditions.
Colonial History
Historical period of colonization; establishing control over territories.
Comparative Advantage
Economic principle that countries benefit from specializing in products with lowest opportunity cost.
Competitive Pricing
Setting prices at similar levels to competitors.
Competitiveness (Global)
Ability to compete in global markets.
Complementary Goods
Products that are purchased and used together.
Consultation
Management seeking employee input on decisions affecting them.
Consumer Behaviour
The study of how individuals make decisions to spend their available resources (time, money, effort) on consumption-rela...
Consumer Income
Money available to consumers to spend on products/services.
Consumers (Global)
Customers in markets worldwide; increasingly interconnected through: travel, internet, media, global brands.
Context (Global Business)
External environment affecting global business.
Convergence (Consumer)
Tendency of consumer preferences becoming similar globally.
Cost (Design Element)
Production cost considerations in design.
Cost Competitiveness
Competing through lower costs than competitors.
Cost Plus Pricing
Pricing strategy adding fixed markup percentage to unit production costs.
Craft Skill
Specialized skill developed through training and experience.
Cross-Border Trade
Buying/selling across country borders.
Cultural Adaptation
Modifying business approach to align with local culture.
Cultural Difference
Variations in values, behaviors, communication styles between cultures.
Cultural Diversity
Existence of multiple cultures within organization/market.
Currency
Medium of exchange; money of country.
Currency Risk
Uncertainty from exchange rate fluctuations.
Customer Loyalty
The tendency of consumers to repeatedly purchase from the same business and resist switching to competitors.
Customer Needs (Global)
What customers want globally; varying by country/culture.
Damping Effect
Reduction in shock transmission between countries.
Decentralised Organisation
Structure where decision-making is distributed to lower management/staff levels.
Default Risk
Risk of debtor inability to repay debt.
Demand
Quantity of a product consumers are willing and able to buy at different prices in a given time period.
Demand Curve
Graphical representation showing relationship between price and quantity demanded.
Demographics
Statistical characteristics of human populations including age, gender, income, education, occupation, family size, ethn...
Demographics (as Demand Factor)
Population characteristics (age, gender, income, education, family size) affecting demand.
Dependent Economy
Economy heavily reliant on specific products/markets/countries.
Derivative Markets
Markets trading financial instruments (futures, options, swaps) derived from underlying assets.
Design Mix
Three key elements of product design: **Function** (what it does), **Aesthetics** (how it looks), **Cost** (price to pro...
Developing Country
Country with lower income, less industrialized, often lower HDI.
Development
Process of economic, social, technological progress.
Development Index (Human)
(HDI).
Differentiation (Global)
Making product unique in global markets.
Differentiation (Marketing)
Making products distinctly different from competitors through unique features, quality, design, service, or brand.
Direction (Global)
Toward what global markets business aims.
Disintegration (Trade)
Reduction in international trade/integration.
Dismissal
Termination of employment due to employee misconduct or poor performance.
Disposable Income
The amount of money households have available to spend or save after direct taxes (income tax and National Insurance) ha...
Distribution (Global)
Getting products to customers across countries.
Distribution Channel
Path product takes from producer to consumer.
Divergence
Difference/separation increasing over time.
Diversification (Ansoff)
Ansoff's Matrix strategy: entering new products and new markets.
Dog (Boston Matrix)
Product with low market share in low-growth market.
Domestic Market
Home country market where business primarily operates.
Downsizing (Staffing)
Reducing workforce size to cut costs or restructure.
Dumping
Selling products at prices below domestic prices in foreign markets.
Dynamic Market
A market that is constantly changing due to innovation, new competitors, changing consumer preferences, or technological...
Economic Integration
Process of countries becoming economically linked through: trade agreements, shared markets, monetary union.
Economic Interdependence
Countries' economies mutually dependent on each other.
Making marketing decisions: segmentation, targeting, positioning
Economies of Scale (Global)
Cost advantages from large-scale production/operations globally.
Effectiveness
Achieving objectives; doing right things.
Efficiency (HR)
Productivity of employees measured by: output per hour worked, cost per unit produced, turnaround time.
Emissions
Discharge of substances into environment; typically refers to greenhouse gases.
Emotional Branding
Creating brands that connect with customers' emotions and values rather than just product features.
Employer-Employee Relationship
Interaction and agreement between employer and employee.
Employment (Global)
Jobs worldwide; increasingly mobile with globalization.
Employment Contract
Legal agreement between employer and employee outlining: job role, salary, hours, rights, responsibilities, conditions.
Endorsement (Celebrity)
Using famous person to promote product/brand.
Entry Mode
Method of entering foreign market.
Environmental Factor
External element affecting environment: climate, resources, pollution, sustainability.
Ethical Sourcing (Product)
Ensuring products are produced ethically: fair wages, safe conditions, environmental protection, no exploitation.
Ethics (Global Business)
Moral principles guiding global business conduct.
Ethnocentric Approach
A global marketing strategy in which the home country's marketing approach is applied uniformly in all international mar...
EU
(European Union).
Exchange Gain/Loss
Profit/loss from currency exchange rate changes.
Exclusion (Trade)
Preventing market access; trade barrier effect.
Exporter
Business selling goods/services to foreign markets.
Extension Strategies
Methods to extend product life cycle in maturity/decline stages. **Product extension:** modify product (new features, fl...
External Shocks
Unexpected, sudden events affecting supply or demand.
Externality (Environmental)
External cost/benefit not reflected in market price.
extrapolation
Using an established trend (from historical data or a line of best fit) to forecast future values by extending the trend...
Fashion/Tastes/Preferences
Consumer preferences and desires for certain products changing over time.
Fashion/Trends (Marketing)
Changing consumer preferences for styles, designs, and products.
Favoritism
Showing preference/bias for certain parties.
FDI
(Foreign Direct Investment).
Financial Contagion
Rapid spread of financial crisis from one country/market to others.
Financial Market (Global)
Worldwide system trading financial instruments: stocks, bonds, currencies, derivatives.
Financial Services
Banking, investment, insurance, payment services.
Flat Structure
Organization with few hierarchy levels; many employees report to one manager.
Flexible Hours
Employment arrangement allowing employees to vary working hours around core times.
Flexible Workforce
Employment practices using varied staffing arrangements.
Flow (Capital)
Movement of investment money; direction and quantity.
Flow (Trade)
Direction and quantity of goods/services traded between countries.
Focus Group
Small group (8-12) of target customers/employees discussing topics under moderation.
Foreign Exchange Reserve
Currency/assets held by central bank for: paying international debts, stabilizing currency, intervention capacity.
Franchise (Global)
Business model where franchisor licenses business to franchisee in foreign country.
FTZ
(Free Trade Zone).
Full Integration
Complete merging of operations/systems.
Function (Design)
What a product does; its purpose and how well it performs its intended task.
Function (Job)
Main purpose and responsibilities of a job role.
GDP Per Capita
GDP divided by population; average income per person.
Geocentric Approach
A global marketing strategy that treats the world as a single market, developing standardised products and marketing tha...
Geopolitics
Politics influenced by geography; competition for resources and power.
Global Brand
Brand recognized/valued worldwide.
Global Business
Business operating in multiple countries; international scope.
Global Competition
Competition at worldwide level.
Global Finance
Financial management at global level.
Global Marketing Strategy
Plan for marketing products/services globally.
Global Markets
Worldwide customer base for products/services.
Global Mindset
Perspective valuing global understanding, diversity, complexity.
Global Niche Market
A small but globally distributed segment of consumers with very specific needs that can be served profitably across mult...
Glocalisation
Global marketing strategy adapted to local markets.
Government Incentive
Financial/non-financial support from government attracting business.
Grading/Classification (Products)
Sorting products by quality, size, or standards.
Grievance Procedure
Formal process for employees to raise complaints about treatment, conditions, or management.
Gross National Income (GNI)
Total income earned by country residents/companies; includes income earned abroad.
Growth (Economic)
Increase in economic output; real GDP growth.
Growth (Market)
Expansion of market size; increasing total sales.
Growth Potential
Future opportunity for market/business expansion.
Growth Rate
Percentage increase in economic/market measure over period.
Guest Workers
Foreign nationals working temporarily in another country.
HDI
(Human Development Index - already covered).
Hedge/Hedging
Strategy reducing financial risk.
Hierarchy (Global Organization)
Reporting structure across multiple countries; global organization design.
Homeworking
Employment arrangement where employees work from home (full-time or part-time).
Host Country
Country where foreign business operates.
Human Development
Progress in human wellbeing; life expectancy, education, income.
ICT (Information and Communication Technology)
Technology enabling global communication, data processing, business operations.
ICT and Market Research
Use of Information and Communication Technology to gather and analyze market data.
Identifying Customer Needs and Wants
Market research process to discover what customers require (needs - essential products) and desire (wants - preferred pr...
Import
Buying goods/services from foreign countries.
Importer
Business purchasing goods/services from foreign suppliers.
Incentive
Motivation/reward encouraging specific behavior/outcome.
Income (Global)
Money earned by individuals/organizations/countries.
Income Distribution
How income is divided among population.
Income Elasticity of Demand (YED)
Measure of how demand changes when consumer income changes.
Income Level
Amount of money earned by individual/family/country.
Incorporation (Company)
Legal process establishing company as separate legal entity.
Independence (Economic)
Country's ability to function economically without dependence on others.
Index (Economic)
Measure tracking economic variable over time.
Indexation
Automatic adjustment of value based on index (e.g., wage indexation to inflation).
Indicated Risk
Risk suggested/shown by analysis/information.
Indirect Tax
Tax paid indirectly through intermediary; typically on products.
Indirect Taxes (Supply Factor)
Taxes on products paid by producers (e.g., excise duty, VAT).
Industry
Group of businesses producing similar products/services.
Informal Authority
Power/influence held due to: expertise, respect, personality rather than official position.
Infrastructure
Basic physical systems: roads, electricity, water, communications, ports.
Inherent Risk
Risk existing in situation before controls/mitigation.
Input
Resource/material entering production process.
Interdependence (Economic)
Countries' economies mutually dependent.
Interest (Financial)
Cost of borrowing money; paid to lenders.
Interest Rate (Global)
Borrowing cost influenced by: central bank policy, risk, inflation expectations.
Intermediary
Organization between producer and consumer.
International
Between or among nations; across borders.
Internet
Global communication network enabling worldwide connectivity.
Intervention (Government)
Government action affecting economy: regulation, taxation, spending, subsidies.
Interviewer Bias
Subjective judgment in interviews affecting fairness.
Investment (Foreign)
Buying assets in foreign country.
Investment Return
Profit/gain from investment.
Jargon (Business)
Specialized language/terminology used in business.
Job Creation
Employment opportunity generation.
Job Enlargement
Expanding job scope horizontally; adding more tasks at same level.
Job Share
Two part-time employees splitting one full-time position.
Key Account
Major customer providing significant revenue.
Knowledge Economy
Economy based on knowledge/information rather than manufacturing.
Knowledge Transfer
Sharing knowledge from one entity/country to another.
Labor Cost
Expense of employing workers; wages, benefits, training, administration.
Labor Force
Total employed/unemployed people available for work.
Labor Migration
Movement of workers between countries seeking employment.
Labor Standard
Rules/norms for working conditions: wages, hours, safety, rights.
Labour Costs
Expenses related to employees: wages, salaries, benefits, training, recruitment, compliance.
Large-Scale Production
Manufacturing at high volume; mass production.
Last-Mover Advantage
Benefit of entering market late after pioneers.
Law (Business)
Legal rules governing business: company law, employment law, contract law, consumer protection, competition law.
Layoff
Temporary or permanent employee separation from employment.
Leading Edge
Forefront of innovation/technology; most advanced.
Learning (Employee)
Acquisition of knowledge and skills through: training, experience, observation, practice.
Learning Curve
Efficiency improvement as people gain experience doing task.
Leasing
Renting equipment/property rather than buying.
Legal System
Framework of laws, courts, enforcement governing society/business.
Legislation (Employment)
Laws regulating employment: employment contracts, minimum wage, working hours, health/safety, discrimination, data prote...
Line Management
Management structure where authority flows down line from senior to junior levels.
Literacy
Ability to read and write.
Litigation
Legal dispute resolution through court process.
Lobbying
Advocating interests to policymakers.
Local Business
Company primarily serving local market; limited geographic scope.
Local Content Requirement
Regulation requiring business to source specific percentage locally.
Local Economy
Economic activity in specific geographic area (city, region, country).
Localisation
Adapting product/service for local market.
Logo
Graphic symbol/design representing brand.
Long-Term
Extended time period; typically years (3+ years).
Look-Alike
Product imitating established brand without being identical.
Loss Leader
Product sold at loss to attract customers/drive traffic.
Low-Cost
Operating with minimum costs; competing on price.
Loyalty
Repeat purchase/support; customer returning to business.
Luxury
High-end products/services targeting affluent customers.
M&A
(Mergers and Acquisitions).
Machinery
Equipment used in production.
Macroeconomic
Large-scale economic factors affecting overall economy.
Margin
Difference between selling price and cost; profit.
Market
Interaction of supply and demand determining prices and quantities of goods/services traded.
Market Access
Ability to enter/operate in market.
Market Economy
Economy where price/supply-demand determine allocation.
Market Entry
Entering new geographic/product market.
Market Equilibrium
Point where quantity supplied equals quantity demanded at a particular price.
Market Failure
Market inefficiency; not producing socially optimal outcome.
market growth
Expansion of total market size measured by sales value or units sold.
market mapping
Visual representation showing competitors' positions based on two chosen characteristics (e.g., price vs quality, luxury...
Market Orientation
Business approach prioritizing customer needs and wants above all else.
Market Positioning
Strategy of placing a product/brand in consumers' minds relative to competitors.
Market Research
Investigating market/customers to inform decisions.
Market Segmentation
Division of a market into distinct groups of consumers with similar characteristics, needs, or behaviors.
market share
Percentage of total market sales/units held by business.
market size
Total value or volume of products sold in market.
Market Structure
Characteristics of market affecting competition.
marketing mix
Four elements of marketing strategy (4Ps):.
Marketing Objectives
Specific, measurable goals set by the marketing function that support the overall corporate objectives of the business.
Marketplace
Location/platform where buying/selling occurs.
Markup
Amount added to cost to determine selling price.
Mass Market
Large segment of the population willing to buy a standardized product.
Mass Production
Manufacturing large quantities of identical products using standardized processes.
Master Brand
Umbrella brand covering multiple products/lines.
Material
Tangible substance used in production.
Mature Market
Market at peak/declining phase; established, limited growth.
Measurement
Quantifying variables for analysis/evaluation.
Media
Channels for communication/marketing: TV, radio, print, digital, social.
Mentoring
Experienced person (mentor) guiding less-experienced person (mentee) on job, career, development.
Metric
Measurable standard for evaluation.
Mexico
Country in North America; significant trading relationship with US/Canada (NAFTA/USMCA).
Microeconomic
Small-scale economic factors affecting individual/firm.
Middle Income
Income level between low and high income countries.
Military
Armed forces; government military presence.
Minimum Viable Product (MVP)
Simplest version of product with essential features enabling customer feedback.
Minimum Wage
Lowest legally allowed wage employers pay workers.
MNC
(Multinational Corporation).
Mobile (Labor)
Ability of workers to move between jobs/locations.
Model
Simplified representation of real situation.
Modernization
Updating/improving to current standards/technology.
Money
Medium of exchange; currency for transactions.
Monopoly Power
Ability to control price due to lack of competition.
Moral
Right vs. wrong; ethical standards.
Mortgage
Long-term loan for property purchase, secured by property.
Most Favored Nation (MFN)
Trade status granting best treatment offered to any country.
Motivator
Factor encouraging action/performance.
Movement (Capital)
Flow of investment money between countries/markets.
Multi-Skilling
Training employees to perform multiple different job roles.
Multinational Corporation (MNC)
(already covered).
NAFTA
North American Free Trade Agreement — a trade agreement between the USA, Canada, and Mexico (now replaced by USMCA in 20...
New Technology (Supply Factor)
Technological advances increasing productivity and efficiency.
Niche Market
Small segment of consumers with specific, often specialist needs underserved by mass-market competitors.
niche marketing
Marketing strategy targeting small, specific segments with specialized needs.
Non-Financial Incentive
Motivation methods not involving money: recognition, development opportunities, autonomy, flexible working, interesting ...
Offshoring
Relocating business functions or production to another country to take advantage of lower costs, favourable regulations,...
Online Distribution
Selling and delivering products via internet/e-commerce.
Online Retailing
Selling products to consumers via internet/e-commerce platforms rather than physical stores.
PED Interpretation
Understanding what PED values mean for business: If PED = -0.5 (inelastic), 10% price rise → only 5% demand fall (revenu...
penetration pricing
Pricing strategy setting a deliberately low initial price to gain market share quickly, then raising the price once the ...
Political Stability
The degree to which a country's government and political institutions are reliable, predictable, and free from sudden up...
Polycentric Approach
A global marketing strategy that adapts products, pricing, promotion, and distribution significantly to each local marke...
Predatory Pricing
Pricing strategy setting prices very low — often below cost — with the deliberate intent of driving competitors out of t...
Price (Market)
Monetary value of a product/service.
Price Change Consequences
Effects of price movements on supply, demand, and market equilibrium.
Price Comparison Sites
Websites (Confused.com, MoneySuperMarket) comparing prices of competitors.
Price Elasticity of Demand (PED)
Measure of how sensitive quantity demanded is to price changes.
price skimming
Pricing strategy setting a high initial price when launching a new product, then gradually reducing it over time as comp...
Pricing Strategy
Method for setting prices to achieve business objectives.
primary research
Original data collected directly from sources for a specific purpose.
Primary Research: Qualitative
Non-numerical primary research focusing on understanding reasons, motivations, experiences.
Primary Research: Quantitative
Numerical primary research measuring how many, how often, attitudes using numbers.
Product Design
Process of developing product features, appearance, and function to meet customer needs and competitive requirements.
Product Differentiation
Strategy of making a product distinct and different from competitors through features, quality, design, service, or bran...
product life cycle
A model showing the stages a product passes through from development to withdrawal: development, introduction, growth, maturity, decline.
Product Life Cycle Extension
Strategies to extend product life beyond maturity stage.
Product Orientation
Business approach prioritizing what the company wants to make/sell based on production capability.
Product Orientation (see 1.1)
Business approach prioritizing what company can produce.
Product Portfolio
Range of all products/brands a company offers.
Promotion
Communication activities persuading customers to buy.
Psychological Pricing
Setting prices using psychological principles to influence perception.
Pull Factor
An attractive condition in a foreign market that draws a business toward international expansion.
Push Factor
A domestic market condition that motivates a business to expand internationally by making continued domestic operation l...
qualitative data
Non-numerical information providing description, understanding, and context.
quantitative data
Numerical information that can be measured and analyzed statistically.
Question Mark (Boston Matrix)
Product with low market share in high-growth market.
Resource Depletion
The using up of natural resources (e.g. fossil fuels, rare minerals, forests) faster than they can be replenished, often...
Risk (in Business)
Probability of a known or identifiable event occurring with measurable consequences.
sales volume
Quantity of products sold in period.
Sample Size
Number of units/people selected for research study.
Saturated Market
A market in which demand has been largely met and there is little room for further growth, typically characterised by in...
Seasonality
Fluctuation in demand for products at specific times of year.
secondary research
Existing data previously collected by others for different purposes, now analyzed for new purposes.
Shortage
Situation where quantity demanded exceeds quantity supplied at a given price.
Skill Shortage
A situation where the supply of workers with specific skills falls short of the demand from employers, driving up wages ...
Social Media (Marketing)
Using social platforms (Facebook, Instagram, Twitter, TikTok) for promotion, customer engagement, brand building.
Social Networking (Demand Factor)
Social media influence on consumer preferences and demand.
Social Networking (Market Research)
Using social media platforms to gather customer opinions, preferences, feedback, and behaviors.
Sponsorship
Business pays to be associated with events, teams, individuals, or causes.
Structural Change
Fundamental shifts in the composition of an economy, such as the decline of manufacturing and rise of services, often dr...
Subsidies (Supply Factor)
Government financial support to producers reducing production costs.
Substitute Goods
Products that can replace each other in satisfying customer needs.
Supply
Quantity of a product producers are willing and able to provide at different prices in a given time period.
Supply and Demand Diagram
Graph showing supply curve (upward-sloping) and demand curve (downward-sloping) intersecting at equilibrium point.
Supply Curve
Graphical representation showing relationship between price and quantity supplied.
Sustainability (Product)
Designing and producing products minimizing environmental impact: reduced materials, recyclable packaging, ethical sourc...
Trade Liberalisation
The removal or reduction of trade barriers (tariffs, quotas, regulations) between countries to facilitate freer internat...
Translation Issue
Problems arising when marketing materials, product names, slogans, or instructions are translated into another language ...
Transnational Company
A company that operates in multiple countries but does not identify with a single home country — managing its operations...
Uncertainty (in Business)
Situation where outcomes cannot be predicted with certainty because variables are unknown or unmeasurable.
Unique Selling Point (USP)
Distinctive feature(s) or benefit(s) of a product/service that differentiates it from competitors and appeals to target ...
viral marketing
Marketing content designed to spread rapidly through social sharing, creating massive reach with minimal cost.
Waste Minimisation (Product)
Designing products and processes to reduce waste: less packaging, recyclable materials, efficient production, design for...
7Ps (Extended Marketing Mix)
The seven elements of the marketing mix for services: Product, Price, Promotion, Place, People, Process, Physical Environment.