A typical advertising agency structure

6 7 8 9 10 11 12

Test.

1. Advertising agencies create most advertisements and are ____of the advertising industry.

a. the engine

b. the main chain

c. the core

d. the main liaison

2. A typical advertising agency is divided in to a number of ________.

a. accounts

b. stores

c. parts

d. departments.

3. Ones a company selects an agency, the agency assigns the account executive to act as _____ between it and the client.

a. chain

b. liaison

c. an interpreter

d. a representative

4. The account executive managers all of the services conducted _____ the client.

a. at the name of

b. at the address of

c. on behalf of

d. on the address of

5. The advertising strategy includes deciding how and whom the product or service ________.

a. will be presented.

b. will present.

c. will have been presented.

d. will being presented.

6. The account executive ______ the budget.

a. oversees

b. overlooks

c. calculates

d. examines

Основное тематическое содержание курса видиолекций.

Session 1.

Part I: Introduction to International Business.

Part II: How Your Company Can Attract Economic Development and Business

PART I.

Vocabulary

Interaction - взаимодействие с

to examine a question - исследовать вопрос

security Offices - офисы безопасности

entrepreneurial - предпринимательский

significant - существенный

an implication – замешанность, вовлечение, значениес

individual production activity - индивидуальная производственная деятельность

boundaries - границы

the General Agreement on Tariffs and Trade (GATT) - Генеральное соглашение по тарифам и торговле

to modify - изменять

to gain — получать (извлекать) выгоду

to accelerate - ускорять(ся)

tremendous - огромный

to be accentuated - быть подчеркнутым

International Business is the study of the activities of multinational enterprises. The field of International Business concerns with interactions which multinational companies have with foreign governments, their competitors and their employees. International Business examines the questions: Why do the firms go over the sea to conduct their business? How do they conduct their business at a global level?

The key activity of International Business is transactions of these multinational enterprises like export-import trade. Here are several examples of International Business Activity:

- Italian media firm AGB conducts market research in Hungary trying to identify the shows which people watch there;

- Trying to provide financing for companies trying to enter the Polish market Divas Securities in Japan might in order to accomplish this purpose open Security Offices in Poland;

- Honda Motor Company in America exported their automobiles in the USA back to Japan for Japanese customers.

Examples of International Business can take place at different levels,

- at a small firm level (entrepreneurial level);

- at a medium size firm level;

- at a multinational level.

One thing that has made International Business so significant to firms throughout the world is the activity in the past two decades. In the past 20 years world trade alone has increased over 30%. Markets became more globalized.

Globalization is the implication that boundaries are disappearing and these activities are taking place throughout the world.

Globalization of markets means that firms no longer sell within a particular country but can sell on a world wide basis.

Globalization of production means that firms are basing their individual production activity at a world wide level rather than within country boundaries.

Globalization has several driving forces:

- declining trade barriers;

- changes in communication, transportation and information technologies.

Since 1947 we have seen a dramatic lowing of trade and investment barriers.

1947- establishment of The General Agreement on Tariffs and Trade (GATT)

1994- GATT was modified in several ways to gain lower tariffs, to define and enforce the Intellectual Property Rights and to establish International Trade Organizations.

We have also seen in the recent decades the growing force of trade blocks. (The growth of the European Union and the development of North American Free Trade Association) These two blocks speeded economic growth within these particular arrears.

Increased innovation has accelerated the processes of communication, transportation etc.

Transportation became far easier and less costly we are able to move data, information and technology itself throughout the world.

The past three decades have caused dramatic changes in the International Business. Nowadays we have more players in the International Business arena.

In the 1660 the US economy dominated the world. But by the mid 1990"s the US share of output has been coming half. American multinationals now face tremendous competition from Japanese and European companies. The most dramatic event on the world stage was collapse of communism in Eastern Europe. This created tremendous opportunities to all multinationals throughout the world.

We can't but mention a human side of multinational corporations. These are managers who running these enterprises and they have very challenging tasks ahead of them because when you are managing in multinational enterprise you must fulfill the basic fundamental activities of a manager with four added conditions:

- you are operating in a number of countries and countries are different:

- problems are too complex than in domestic business;

- you must find ways to work within the limits imposed by government, international trade and investment

system;

- international transactions involve transferring into different currency

(Example with Big Mac)

Now we will try to answer the question

WHY DO COMPANIES ENGAGE IN INTERNATIONAL OPERATIONS?

TO INCREASE SALES

You have ability to produce more but your market is accentuated.

By entering new markets you can increase your sales and your profitability.

TO ACCESS RESOURSES