Question

Please define and describe the World Trade Organization, the International Monetary Fund, and the World Bank.

List and describe the six rules that show how culture and its appreciation serve as a tool to secure marketing success.

Answer 1

World Trade Organization:

WTO is an international body that facilitates trade deals between governments. It helps governments settle trade disputes with each other. WTO is administered by its membered nations. Currently, it has 164 countries as its members.

Functions of WTO:

* WTO works to decrease trade barriers between countries.

* It facilitates information exchange between countries for transparency

* It focuses on eliminating unfair trade practices.

* It gives importance to of environment and efficient use of resources.

* It works to increase the trade of goods and services between countries.

INTERNATIONAL MONETARY FUND:

IMF is an organization that is formed by various countries to ensure economic cooperation and achievement of their monetary goals jointly. IMF is managed by its 188-member nations.

Its 3 important activities are:

• To oversee the economic position of its members.
• Offering help and assistance to member nations
• Allotting funds to countries in need with problems like the balance of payment.

Other activities:

• To ensure adjustment of exchange rates in a proper order.
• Providing tools to alter currency values.
• It facilitates a framework for international consultations.

World Bank:

World Bank is an international organization committed to giving finance, suggestions to its member nations for economic development. 189 member countries can avail help from the World Bank.

Functions:

• Giving aids and advice to developing member nations to ensure their economic growth.
• To tackle extreme poverty worldwide.
• To provide worthy individuals and government with finance at minimum interest rates.
• To give grants for investing in education, public infrastructure and improving health care.
• To invest capital on a long-term basis to facilitate economic reconstruction of affected countries.

Culture and Its importance in Marketing:

Religion: Religion plays a major role in influencing peoples tastes and preferences, the American food chain had to adapt its offering to become successful in India. They stopped using beef and introduced more vegetarian foods into their menu according to the religious identification of people.

Language: Language and its usage differ from high context to low context cultures. Advertisers have to be cautious while promoting their products and services as their message can be misinterpretated.

Consumption: Consumption patterns also change from one culture to another. This can be seen between the food serving size in the west to the eastern countries. Marketing and pricing have to be altered accordingly.

Fashion: Apparel and other related products are significantly influenced by culture. It varies from conservative cultures and open cultures. Marketers have to keep this in mind before introducing their product portfolio.

Education: Culture impacts education and the outlook of people. Marketers in the educational industry have to alter their services that are in tune with the education policies in different cultures.

Values and attitude: Culture affects how human beings see different products and services. The value a customer gives to a product in the west might be different from the east and vice versa. Marketers have to customize their offering according to the values the culture upholds.