Exam 22: Tapping Into Global Markets

Forward invention refers to reintroducing earlier product forms that are well adapted to a foreign country's needs.

A market survey by LG revealed that Indians preferred not to mix vegetarian and non-vegetarian food items.Hence,LG refrigerators in India include a special convertible box with separate compartments to store and control the temperature of vegetarian and non-vegetarian food.This is an example of customizing ________ to local needs.

In a waterfall approach to international expansion,________.

Satisfying different consumer needs and wants can require different marketing programs.Name the four cultural dimensions that differentiate countries,as identified by Hofstede.

Companies typically start their international foray with ________,which involves working through independent intermediaries who sell their products abroad.

Define the internationalization process' four stages.

Foreign companies establishing joint ventures in Asia typically team up with four types of local partners.Explain who they are.

Product adaptation alters the product to meet local conditions or preferences.Identify four levels of adaptation.

Briefly describe the advantages of direct investment.

A Gucci bag sells for $120 in Italy and $240 in the United States due to the differences in the costs of distributing the product in the two countries.This phenomenon is called a(n)________.

When one unit charges another unit in the same company for goods it ships to its foreign subsidiaries,the charge is called a(n)________.

Which of the following statements is true about licensing?

The use of media may require international adaptation because media availability varies from country to country.

Domestic-based export merchants ________.

What are the choices available to companies when setting prices to avoid price escalation problems?

Hotel chains such as Hyatt sell a variation of the licensing agreement called ________ to the owners of foreign hotels to manage these businesses for a fee.

Finnish cellular phone giant,Nokia,customized its 6100 series mobile phone for every major market in which it is present.In Asia,for example,the series came with higher ring volume so that it could be heard on the crowded Asian streets.This is an example of ________.

You work for a company that produces and markets apparel for men and women,and is planning to enter the Chinese market.If you were asked if the company should opt for a straight extension or a product adaptation,what would you choose,and why?

Most companies would prefer to remain domestic if their domestic market were large enough.Yet several factors are drawing more and more companies into the international arena.List some of these factors.

________ agree to manage a company's export activities for a fee.