How Global Economic Environment is affecting International Marketers? --------By Md. Jafar Sadique, MBA, Southeast University Bangladesh
International business is taking different shades and is unavoidable today. This dynamic world is rapidly changing to the extent that is has been reduced to a "Global village".
The truth is, we are going through the most severe global financial crisis since the days of Great Depression. Originated in USA, economic recession is affecting all the major players of world economy. Governments and major policy makers of world economy have taken notice of the urgency of the situation and frantic steps are undertaken to stem the rot. At the core of the term ‘recession’, spirals of several financial mistakes are intermingled. Many global opportunities have arisen because of the clustering of market opportunities worldwide. Organizations have found that similar basic segments exist worldwide and, therefore, can be met with a global orientation.
Markets are becoming more complex, workforces and business partners are becoming more diverse, thus challenging professionals not only managers to play a more dynamic role in their international business companies more then ever. Professionals have started to compete in the challenging world of international business management by equipping themselves with advanced studies for international business management and mastering the complexities of managing businesses across cultural and political boundaries becoming highly productive international managers and enhancing their company’s global competitiveness.
1.1 Origin of the Report:
As a requirement for the completion of the course- International Marketing, I need to submit this report- How Global Economic Environment is affecting International Marketers? This includes an overview of global economic environment & present global economic downturn.
1.2 Objective of the Report:
The primary objective of the report is to fulfill the requirement for completion of course: International Marketing.
The secondary objective of this report is to understand the global economic environment & present global economic downturn.
In order to obtain the objectives of this report, secondary source has been used. Secondary data has been collected from periodicals and journals, websites etc.
Adequate efforts have been taken to accomplish this report according to the objectives. But it was not possible to gather comprehensive information & articles on the given topic, which would obviously give better result. 2. Global Economic Downturn:
The words economy and recession have become commonplace terms ever since the fall of the Lehman Brothers group in the USA. The resulting fallout has shattered many companies and left millions of people poor, jobless and homeless. The impact of this global recession has raised many questions in the minds of people. Even those who had no inkling of what the words economy and recession meant are suddenly asking questions. Unfortunately, there not many answers forthcoming, and those that are, are shrouded in high brow financial jargon.
2.1 What is a recession?
A recession is defined as a prolonged period of economic slowdown. This slowdown is characterized by a decrease in the purchase of consumer goods, a decrease in the production of goods, an increase in unemployment, a decrease in salaries and incomes, and an unhealthy stock market. These conditions have to prevail for at least six months in order for an economic slowdown to be classified as recession.
2.2 What caused the present recession?
There are many different factors that actually trigger a recession. Identifying all these factors takes a lot of time and research. However, one of the precipitating factors that have led to the closure of at...
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