Question

Share your thoughts on how the following terms are applicable in global marketing efforts -

(1) Soft power, (2) Globalization, (3) Cross subsidization, and (4) Not-invented-here syndrome.

Answer 1

1) Soft Power:

The Means to Success in World Politics. B the ability of a country to persuade others to do what it wants without force or coercion is now widely involve in foreign policy debates.The current global rebalancing must be read as an urgent call to action for leaders, diplomats, and foreign policy makers. Without question, those charged with shaping their nation’s foreign policy need to be ready for the uncertain times ahead. As countries work to make sense of the rapidly changing context and adjust strategies accordingly, the soft power resources at the disposal of governments will be a critical part of the foreign policy tools needed going forward. Those countries most adept in using soft power to facilitate positive collaboration will be better placed to weather the current uncertainty and geopolitical instability, and ultimately shape global events. soft power describes the use of positive attraction and persuasion to achieve foreign policy objectives. Soft power shuns the traditional foreign policy tools of carrot and stick, seeking instead to achieve influence by building networks, communicating compelling narratives, establishing international rules, and drawing on the resources that make a country naturally attractive to the world

2) Globalization

orglobalisation, is the process of interaction and integration among people, companies, and governments worldwide. Globalization has accelerated since the 18th century due to advances in transportation and communication technologythe increasing interdependence of world economies as a result of the growing scale of cross-border trade of commodities and services, the flow of international capital and the wide and rapid spread of technologies. It reflects the continuing expansion and mutual integration of market frontiers and the rapid growing significance of information in all types of productive activities and marketization are the two major driving forces for economic globalization.

3) Cross subsidization

is the practice of charging higher prices to one type of consumers to artificially lower prices for another group.Product-cost cross-subsidization is the strategy of pricing a product above its market value to subsidize the loss of pricing a different product below its market value. For instance, if you have a sporting goods business, and you’re hoping to increase the sale of baseballs, you might price these below your own cost. Instead of taking a loss on the balls, you cross-subsidize the cost by pricing your baseball bats well above their actual market value. The extra profit you make on the bats will essentially cover any losses you take on the balls.

4) Not invented here syndrome

(NIHS) is a slightly tongue-in-cheek name for the tendency of both individual developers and entire organizations to reject suitable external solutions to software development problems in favor of internally developed solutions. Closely related to the "let's re-invent the wheel" syndrome, NIHS can be seen in intensities ranging from a mild reluctance to accept new ideas all the way up to a raging software xenophobia. NIHS can be defined as a situation where an external solution is rejected only because it was not internally developed - in other words, there are no other factors that dictate an internally developed solution would be superior.

Not invented here also refers to industries outside of computer programming, where organizations reject research or knowledge in favor of internally-developed solutions