Legal and Political Environments
The legal and political environments of global markets differ by country and often by region within a country. Global marketers must be aware of each environmental risk in global markets and develop contingency plans to overcome them.
Legal Environment
Clearly, the global legal environment is very dynamic and complex. It is the result of three forces: international law, U.S. domestic law, and legal requirements of host nations. According to Czinkota and Ronkainen, (2004), when a marketer conducts international marketing transactions with a country, it is very imperative that managers know and remain abreast of the policies and regulations of that country. Whether a firm is located abroad or domestically, it will be subject to government policies and the legal system. However, even though many of these laws and regulations do not pertain to international marketing transactions, they can have a major impact on a firm’s opportunities abroad.
Therefore, the best course to follow is to get legal help. However, the astute, proactive marketer can do a great deal to prevent legal conflicts from arising in the first place, especially concerning the following legal issues such as establishment, jurisdiction, environmental superfund, intellectual property rights, counterfeiting, antitrust, licensing and trade secrets, bribery, gray market, trade sanctions, and embargoes. Further, the services of counsel are essential for addressing these and other ...
Many people believe that the Boston Tea Party arose just because of the Tea Act that came into play in 1773, but in-fact, this major statement arose from two issues surrounding the British Empire in 1765. The first of the issues was that the British East India Company was at risk of going under and the Parliament was finding ways to bring it back. The second issue was that there was a continuing dispute about the extent of the Parliament’s authority. Many colonists believe that the Parliament went overboard with their power and the people were concerned about the future. Attempting to resolve these two major issues, the North Ministry only worsened the problem and produced a showdown that would eventually result in revolution.
By this point, the colonists were beginning to question Britain’s motives towards them. They believed they were being treated like slaves and being used solely for the economic growth of Britain. One night, in 1773, the colonists rebelled against these taxes on their tea. A group of men dressed as Native Americans boarded a ship at Boston Harbor and unloaded three vessels of taxed tea (Boston Tea Party). This event, known a...
In the mid eighteenth century colonist of the new world started to rebel against Britain. Living in the colonies cost Britain a great deal of money Colonist did not like that they were being taxed. There were several acts passed that angered the colonists. For example, the Stamp Act, the Stamp Act was passed in 1765 taxed all legal documents including newspapers and other printed materials. The Stamp Act affected all that bought printed materials and it did not affect the poor because it was not too expensive. The colonist started to rebel and boycotted “No taxation without representation.” The colonists rebelled in many ways one of them was the Boston Tea Party. The Boston Tea Party occurred in 1773 as an act of revolt colonists threw tea cargo of a ship to the ocean. These acts of Britain towards the new colonies caused colonist to revolve and declare war to separate from Britain. The colonists were not justified to going to war to break away from Britain because England was paying more taxes and the mother country deserved absolute respect; however, the colonists were justified to break away from Britain because they were taxed without representation.
Hill, C.W.L (2005). International Business: Competing in the Global Marketplace (5th ed.). McGraw-Hill/Irwin. New York, NY
The Boston tea party was a brief incident among many, composing, economic, and political crisis that ultimately caused a revolution. These events consisted of The French and Indian war, the Stamp Act, the Townshend Revenue Act, the Tea Act, and of course the Boston Tea Party. The incident caused by the colonies infuriated the British government therefore as punishment parliament responded to the abuse with the Coercive Acts of 1774 . When the thirteen colonies once again decided to resist the British troops revolution spread. “We must all hang together, or assuredly we shall all hang separately.” This act later on lead to the American Revolutionary War, were years later independence was
The next section will illustrate the way in which separate commerce businesses function in the international legal atmosphere and to recognize any of the domestic and worldwide matters, which affect the assorted industry configuration and how those concerns can be successfully handled. Lastly, the paper will contain information about Sport Bar Franchise documents that are needed to initiate the business in the state of Maryland.
In the 1770’s the American colonists were being taxed too much by the British and they started to want their independence. Britain was taxing the colonists to pay their debts from the French and Indian War. The colonists started to fight back by tarring and feathering some tax collectors. Britain sent troops to the colonies which caused more problems.
During the 1990s, Japan has been exposed to one of the most difficult structural transition periods in its post-war history, in terms of social and economic conditions. There have been two major changes: one is a substantial decline in economic growth in real terms, and the other is a changing social structure characterized by the declining birth rate and the ageing population. Under the pressure of changes in the economic environment caused by globalization and innovations in information technology, Japanese business corporations are forced to adapt to the new situation. While companies faced with fierce international competition, it became more critical to understand the basic knowledge of complicated legal, cultural, economic, and social issues. Engaging in international trade also requires attention to international regulations, international business planning, international market research, funding, distribution and other areas that must be considered separately from domestic business issues. The paper suggests some of the basic tools that can apply to solve the problem or to bring the business opportunity to fruition in today's Japanese business environment
When it comes to doing business internationally the decision making is more complex. There are many interactions between each country that need to be addressed. In order for a business to be successful in the international market they need to examine and analyze all the facets of their company. They need
In conclusion, it can be said that global marketing has been emerged very rapidly in recent years. It has provided various opportunities for the companies to expand their business to the other regions of the word. However, there remain certain environmental issues that need to be considered before entering in to the desired region. These issues can be resolved with designing the strong global marketing plans and strategies, the data for which can be gathered through conducting global market research. Despite numerous issues, one can easily say that globalisation has reduced the global reach of the organizations as well as customers. It would not be wrong to conclude that
15. Hill, Charles W.L. International Business: Competing in the Global Marketplace. New York : McGraw-Hill, 2007.
When I saw this discussion, I couldn’t help but think of Starbucks and the impact they’ve made throughout their 45 years of establishment. I worked with them for about 7 years and saw how unique they were from your everyday coffee and latte spots. A retail company with thousands of coffee shops in the US as well as in other countries, this particular retailer has been able to catch the eyes of all ages as well as locations throughout the world. For example, today college students utilize Starbucks locations to study rather than go to a nearby library. Starbucks is also known for its best coffee and espresso drinks (Latte or Frappuccino) and with one of its delicious espresso 's any student or just a person stopping in to enjoy its lounge area where there is free Wi-Fi is awesome! Starbucks lifecycle has made a 360 turn around and been revamped twice to accommodated the growing market. Customizing their brand to fit more in with everything and not just one thing. By doing this they’ve created multiple product lifecycles within their own lifecycle as a corporate company.
Global marketing is the marketing of global organizations that lead their production and marketing activities, considering the whole world as one big market, where its regional and national differences do not play a decisive role. [1]. Companies should view the world as a potential market to compete with the markets of other countries because companies cannot longer afford to pay attention only to its home market. Many industries are global industries, and firms operating in the international market are seeking to reduce costs and increase popularity, whereas the global marketing is associated with higher risk because of the instability of exchange rates, unstable governments, trade barriers, protectionist measures and other factors.
International Marketing, at its simplest level, involves the firm making one or more marketing mix decisions across national boundaries (Jobber, 2010). At its most complex level, it involves the firm establishing manufacturing facilities overseas and coordinating marketing strategies across the globe (Jobber, 2010). There are various reasons for going global, some of which are: to find opportunities beyond saturated domestic markets; to seek expansion beyond small, low growth domestic markets; to meet customers’ expectations; to respond to the competitive forces for example the desire to attack an overseas competitor; to act on cost factor for example to gain economies of scale in order to achieve a balanced growth portfolio. The methods of market entry that could be used are indirect exporting (for example, using domestic –based export agents), direct exporting (for example, foreign –based distributors), licensing, joint venture and direct investment. I found this par...
THE POLITICAL ENVIRONMENT: The critical concern Political environment has a very important impact on every business operation no matter what its size, its area of operation. Whether the company is domestic, national, international, large or small political factors of the country it is located in will have an impact on it. And the most crucial & unavoidable realities of international business are that both host and home governments are integral partners. Reflected in its policies and attitudes toward business are a governments idea of how best to promote the national interest, considering its own resources and political philosophy. A government control's and restricts a company's activities by encouraging and offering support or by discouraging and banning or restricting its activities depending on the government. Here steps in international law. International law recognizes the right of nations to grant or withhold permission to do business within its political boundaries and control its citizens when it comes to conducting business. Thus, political environment of countries is a critical concern for the international marketer and he should examine the salient features of political features of global markets they plan to enter. THE SOVEREIGNITY OF NATIONS From the international laws point of view a sovereign state is independent and free from external control; enjoys full legal equality; governs its own territory; selects its own political, social, economic systems; and has the power to enter into agreements with other nations. It is extension of national laws beyond a country's borders that much of the conflict in international business arises. Nations can and do abridge s...