MARKET

INTEGRATION
The Contemporary World

GROUP 2
MARKET INTEGRATION
A process of connecting and combing
different markets from around the
world.
It involves removing barriers, such as
tariffs and trade restrictions
It occurs when prices among different
locations or related goods follow
similar patterns over a long period of
time.
 FOOD & BEVERAGE MARKET

Global soft drink market Technology & Electronic market

Coca-Cola Samsung
Pepsi Apple
Huawei

Global fast-food chains

McDonald’s
KFC
Starbucks
Burger King
 Role of International Financial Institutions in the
creation of the Global Economy
INTERNATIONAL FINANCIAL INSTITUTIONS
International non-profit agencies are one of the major sources of financing
like regional development banks or banks globally.
To finance productive development project or to promote economic
development.

WORLD BANK
Multinational financial institution established at the end of World War II
(1944) to help provide long term capital for the reconstruction and
development of member countries.
It provides much of the planning and financing for economic development
projects involving billions of dollars.
 The international economic integration
achieved during the nineteenth century was
largely unraveled in the twentieth by two world
wars and the Great Depression.

The World War 1 brought the liberal economic

order of the late 19" century to an abrupt end,
1914 clearly marked a dramatic and
discontinuous break in the past.

History of Global Market

Integration in the Twentieth
Century
In France, the import share from 20 % before the
war to 36.7 % during it; export ratios rose in neutral
economies such as in Sweden, Japan, and North
America, where gain production expanded sharply
during the war years to meet allied demand.
 The absence of European manufactured exports on
world markets stimulated the expansion of
industrial capacity, above all in the United States
and Japan, but also in countries such as Indian,
Australia, and Latin America. The end of war did not
imply an end to protection. Different tariff acts and
restrictions are made.

Beginning in 1932, there were several signs

History of Global Market that at least some countries were trying to
moderate, if not reverse, the increase in
Integration in the Twentieth protectionism of the previews year or two.
Century

Post war economic reintegration was supported by

several factors, both technological and political.
 Attributes of global corporations:
1 Have a wider marketing area.

Using the basic marketing strategy and marketing

2
management functions that are more complex.
Using global standardization for the products
3
produced.
Focus on resources (human, money and physical
4
assets).
 Attributes of global corporations:
5 Focus on global consumer satisfaction.

Forming affiliates abroad, global vision and strategy has a tendency

6 to choose certain types of business activities, generally
manufacturing and placing affiliates in developed countries.
Global companies produce by tying local and regional network
7 activities into product producers.

The production process of global companies is highly connected

8 and flexible, where the work process exploits domestic labor
QUESTION AND
ANSWER
Define
Define market
market
integration
integration based
based on
on
your
your own
own
understanding.
understanding
How
How did
did international
international
financial
financial institutions
institutions
help
help countries
countries toto
grow?
grow?
How
How did
did World
World War
War
and
and the
the Great
Great
Depression
Depression affect
affect
the
the economy?
economy?
What
What is
is the
the
importance
importance ofof
global
global corporation?
corporation?
Thank you!
GROUP 2
 GROUP 2 MEMBERS
Danica Dag-uman John Mark Duran

Kyle Marie Catubig Shane Malunjao