1. Explain why these "domino effects" happen across various global industries and markets

A. The domino effects happen across various global industries and markets because of the trade that relies on resources that are unobtainable in one region, but abundant in another. For example, fruits like bananas may be more evident in rainforest regions like the Amazons, but scarce in more cold and Northern regions like the Arctics. When the main supplier is unable to supply the demand, the price of goods increases causing an imbalance of the economy in both regions.

2. Discuss why it is important for marketers to constantly scan and observe external global forces

A. It is important to scan and observe external global forces that may affect a market because of the appearance of competitors and potential threats. For example, the emergence of a new competitor which has cheaper import costs presents a threat of stealing consumers because of their low cost shipping. On the other hand, opportunities for success may present themselves in partnership opportunities or the business closure of another global competitor.

3. Provide at least one (1) example of a major event, such as the ones mentioned above (be it economic, military, political, etc.) that has caused a ripple effect across one or multiple industries and markets.

A. Currently, the biggest major event that is affecting multiple industries and markets is COVID-19. The global pandemic has caused closure of many businesses and the loss of income for many individuals. In addition, inflation became a critical problem for many people. Since people are not working, supplies are being expended but not replenished. Those who have lost their jobs have no money to pay their bills causing things such as rent was pushed back. If no one was paying their rent, who is paying the housing companies? Money is circulating for no one and this hurts everyone.

4. In your opinion, are we too reliant on foreign suppliers of energy and certain goods and/or resources?

A. To me, it's not a matter of being too reliant or not. The fact stands that if we need those resources, then we have to outsource them if we do not have our own. Rather, there is the option of substituting them with another resource, but not everything can be substituted.

References:

Duca, J. V., & Murphy, A. (2021). Why House prices surged as the COVID-19 pandemic took hold. Federal Reserve Bank of Dallas.

Bradley, C., & Stumpner, P. (2021). The impact of COVID-19 on capital markets, one year in. McKinsey & Company.