Chapter

3.6. Participating in the Global Marketplace*

From IntroductionToBusiness OP 8D04gAa

Concepts

1. How does the European Union affect global businesses?

   "Microsoft has been fighting the European Court since 2002, with no quick end in sight. The Court fined Microsoft for monopolizing internet access by offering Internet Explorer with its Windows softwa

2. Why do companies enter the global marketplace, and how does exporting help?

   "The European Union proposed a constitution that would centralize powers at the Union level and decrease the powers of individual member countries. It also would create a single voice in world affairs

3. How do licensing and franchising help companies expand internationally?

   "Another effective way for a firm to move into the global arena with relatively little risk is to sell a license to manufacture its product to a firm in a foreign country. Licensing is the legal proce

4. How do contract manufacturing and joint ventures support global expansion?

   "In contract manufacturing, a foreign firm manufactures private-label goods under a domestic firm’s brand. Marketing may be handled by either the domestic company or the foreign manufacturer. Levi Str