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Chapter 10 – Europe, Africa, and the Middle East
Teaching Objectives
The two most important trends in international marketing today are the emerging markets discussed in
Chapter 9 and the creation and growing importance of the multinational regional market alliances. The
EU has continued to evolve despite serious wrangling among its members but more far reaching for the
next decades are the creation of NAFTA and its probable expansion, the serious discussion occurring
among Pacific Rim countries to create APEC, Asia-Pacific Economic Cooperation (discussed in Chapter
11). The overall objectives of this chapter are to explore the various patterns of multinational cooperation
and the strategic marketing implications of economic cooperation for marketing. The teaching objectives
are to:
1) To go over the reasons why economic integration makes sense.
2) Explore the patterns of multinational economic cooperation in different regions of the world – the
Americas, Europe, Africa, and Middle East.
3) Review the history and current status of European cooperation from the early days of the
European Common Market to the EU and its expansion beyond Western Europe to include
Eastern Europe.
Comments and Suggestions
1. As a basis for a general discussion of economic cooperation we use the factors discussed in the
section “La Rasion d’Etre” in the text. You might ask students to analyze either the EU or the CIS
using these criteria toward building a class discussion. The important point in this exercise is that not
all the factors are positive but any major weakness in any one factor must be offset by overwhelming
strength in the others. Many of the disagreements among members of the EU can be attributed to
differences in one factor or another between members.
2. We suggest ending the chapter on multinational market regions and market groups with a discussion
of future multinational market groups. This will provide an opportunity to challenge the students to
ponder several questions about free trade in a world that is divided into regional trade groups: What
will become of those countries not part of a regional trade group? What will Japan’s role be in Asia?
What are the implications if the U.S. enters into an agreement with the EU and also enters an
agreement with APEC? The questions are endless but relevant to trade over the coming decades. This
is a good way to end this part of the course before moving to the last section on developing marketing
strategies.
Lecture Outline
Multinational Market Regions and Market Groups
I. Global Perspective—Might Free Trade Bring Peace to the Middle East?
II. La Raison d’être
A. Economic Factors
B. Political Factors
C. Geographic Proximity
D. Cultural Factors
III. Patterns of Multinational Cooperation
A. Regional Cooperation Groups
B. Free-Trade Area
C. Custom Union
D. Common Market
E. Political Union
IV. Global Markets and Multinational Market Groups
V. Europe
A. European Integratioin
B. European Union
C. Eastern Europe and the Baltic States
D. The Commonwealth of Independent States
VI. Africa
VII. Middle East
VIII. Implications of Market Integration
1. Strategic Implications
2. Market Metrics
3. Marketing Mix Implications
