A study tool that outlines this chapter and the learning objectives it teaches.

Learning Objectives

After reading and studying this chapter, you should be able to answer the following questions:

1. How do currencies and currency exchanges affect international business and international marketing programs?
2. What factors affect currency movements in the international marketplace?
3. How do the law of one price and purchasing power parity affect international marketing activities?
4. How do governmental activities influence international finance?
5. What are the relationships between international finance and the elements of the marketing mix?

Chapter Outline

To refer back to the specific topics in your textbook, the page numbers are also displayed below.

Opening Vignette: Pricing ArcelorMitall Steel Globally: The Effects of Currency Changes: pg. 386 - 388

OVERVIEW: pg. 388 - 389

Money and Currency: pg. 389 

Methods of Payment and Banking: pg. 390 - 391

International Finance: pg. 391 - 392

The Nature of Currency Exchange: pg. 392 - 394

Factors Affecting Currency Movements: pg. 395 - 399

The Law of One Price and Purchasing Power Parity: pg. 400 - 402

Governmental Activity and International Finance: pg. 402 - 404

Global Currency Institutions: pg. 404 - 406

Managing Currency Risk: pg. 406 - 408

The Basics of International Finance Funding: pg. 408 - 410

International Finance and International Marketing: pg. 411 - 414

Strategic Implications: pg. 414

Tactical Implications: pg. 414

Operational Implications: pg. 415

Terms: pg. 415

Review Questions: pg. 415 - 416

Discussion Questions: pg. 416 - 417

Analytical and Internet Exercises: pg. 417 

Case 12. Microfinance and Bottom-of-the-Pyramid Consumers: pg. 418 - 420