Chapter 5

4. Using more capital than labor in the production process.
5. an intermediary who plays the broker’s role
6. A free trade zone encompassing 27 european countries.
12. a company that is heavily engaged in international trade.
16. an intermediary in the global market who assumes all ownership risks
17. A form of trade in which all or part of goods are payed with other goods.
18. Recognizing and reacting to international marketing opportunities.
20. Marketing that targets markets around the world.
23. Private-label manufacturing by a foreign company.
24. a system in which prices of different currencies move up and down based on the demand and supply for each currency

1. Selling products to buyers in other countries.
2. active ownership of a foreign company
3. North american free trade agreement.
7. The sale of an exported item at a lower cost than the same product in it’s “home” market.
8. The largest latin american trade agreement.
9. a trade organization that replaced the GATT
10. An international bank that offers low interest loans.
11. Sending U.S. jobs abroad.
13. The legal process where a licensor allows another firm to use their trademarks.
14. when a domestic firm buys part of a foreign company
15. a forum for international economic development
19. An agreement to lower trade barriers worldwide.
21. an intermediary who acts like a manufacturer’s agent for the exporter
22. General Agreement on Tariffs and Trade
25. A trade agreement instituted in 2005.