History and Geography The Foundations of Culture

1. History and Geography The Foundations of Culture

2. Learning Objectives • The importance of history and geography in the understanding of international markets • The effects of history on a country’s culture • How culture interprets events through its own eyes • How the United States moved west and how this more affected attitudes • The effect of geographic diversity on economic profiles of a country • Why markets need to be responsive to geography of a country • Economic effects of controlling population growth versus aging population • Communications are an integral part of international commerce

3. Territorial Expansion of United States from 1783 • Insert Exhibit 3.1

4. U.S. Intervention in Latin America Since 1945 • Insert Exhibit 3.2

5. World Energy Consumption

6. World Energy Consumption

7. Dynamics of Population Trends • Controlling population growth • The most important deterrent to population control is cultural attitudes about the importance of large families. • Rural/urban migration • Result of a desire for greater access to sources of education, health care, and improved job opportunities. • Population decline and aging • Population growth in many countries has dropped below the rate necessary to maintain present levels. • A nation needs a fertility rate of about 2.1 children per woman. • Not one major country has sufficient internal population growth to maintain itself.

8. World Population by Region, 2005-2050, and Life Expectancy at Birth, 2005-2010 (millions) • Insert Exhibit 3.4

9. Rural and Urban Population, 2005-2030 (millions) • Insert Exhibit 3.5

10. World Trade Routes • Progression of trade routes: • Overland • Sea routes • Air routes • The Internet • Trade routes among Europe, Asia and the Americas were well established by the 1500’s. • Trade routes represent the attempts of countries to overcome economic and social imbalances created in part by the influence of geography.

11. Communication Links • Telegraph • Telephone • Television • Satellites • Computer • Internet

12. Summary • A prospective international marketer should be reasonably familiar with the world, its climate, and topographic differences. • Geographic hurdles must be recognized as having a direct effect on marketing and the related activities of communications and distribution. • Without a historical understanding of a culture, the attitudes within the marketplace may not be fully understood. • The study of history and geography is needed to provide the marketer with an understanding of why a country has developed as it has rather than as a guide for adapting marketing plans.