Learning Objectives

1
Learning Objectives

• The importance of history and geography in
  culture
• How culture interprets events through its own
  eyes
• How the United States moved west and how this
  more affected attitudes
• The effect of geographic diversity on economic
  profiles of a country
• Why markets need to be responsive to geography of
  a country
• Communications are an integral part of
  international commerce

2
Global Perspective

• To fully understand a societys actions and its
  points of view, you must have an appreciation for
  the influence of historical events and the
  geographical uniqueness to which a culture has
  had to adapt.
• To interpret a cultures behavior and attitudes,
  a marketer must have some idea of a countrys
  history and geography.

Culture is defined as a societys accepted basis
for responding to external and internal events.
3
History is Subjective

• Historical events always are viewed from ones
  own biases and SRC.
• A crucial element in understanding any nations
  business and political culture is the subjective
  perception of its history.

4
Manifest Destiny and the Monroe Doctrine

• Both accepted as the basis for U.S. foreign
  policy during much of the 19th and 20th
  centuries.
• The idea of Manifest Destiny was used to justify
  U.S. annexation of Texas, Oregon, New Mexico, and
  California and later, U.S. involvement in Cuba,
  Alaska, Hawaii, and the Philippines.
• Three basic dicta of the Monroe Doctrine
• No further European colonization in the New World
• Abstention of the U.S. from European political
  affairs
• Nonintervention of European governments in the
  governments of the Western Hemisphere

5
Geography and Global Markets

• Understanding of how a societys culture and
  economy are affected as a nation struggles to
  supply its peoples needs within the limits
  imposed by its physical makeup.
• Climate and Topography
• Altitude, humidity, and temperature extremes
• South America
• British resistance of the English Channel
• Trade through the Alps

6
Geography, Nature and Economic Growth

• As countries prosper, natural barriers are
  overcome.
• Environmental issues
• Disruption of ecosystems
• Relocation of people
• Inadequate hazardous waste management
• Industrial pollution

7
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 worlds 20 most polluted
  cities
• Critical issue the disposal of hazardous waste
• Sustainable development

8
World Energy Consumption

• Insert Exhibit 3.3

9
Dynamics of Population Trends

• Controlling population growth
• A main deterrent to population control is
  cultural attitudes about the importance of large
  families.
• Rural/urban migration
• Result of a desire for greater access to
  education, health care, and improved job
  opportunities.
• Population decline and aging
• Population growth in many countries has dropped
  below the rate necessary to maintain present
  levels.
• Not one major country has sufficient internal
  population growth to maintain itself.

10
World Population by Region, 2005-2050, and Life
Expectancy at Birth, 2005-2010 (millions)

• Insert Exhibit 3.4

11
Rural and Urban Population, 2005-2030 (millions)

• Insert Exhibit 3.5

12
Dynamics of Population Trends (continued)

• 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.
• Japan and the U.S. will need 600 million
  immigrants between now and 2050.

13
500 Years of Trade

• Insert Exhibit 3.7

14
Summary

• An 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, communications and
  distribution.
• Without an historical understanding of a culture,
  the attitudes within the marketplace may not be
  understood.
• The study of history and geography provides the
  marketer with an understanding of why a country
  has developed as it has.