Exam 21: Tapping Into Global Markets

Product invention consist of creating something new.It can take two forms.Forward invention is reintroducing earlier product forms that are well adapted to a foreign country's needs.

Most firms initially work with a(n)________ and enter a nearby or similar country.

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

Some types of products travel better across borders than others.What types of products are most likely to be successful as straight extensions.

When companies sell their goods abroad,they face a price escalation problem.Define price escalation.

A global industry is defined as ________.

According to Hofstede,cultures with low power distance are best described as ________.

International companies must decide on how much to adapt their marketing strategy to local conditions.At one extreme are companies that use a globally standardized marketing mix worldwide.A standardized marketing mix includes ________.

Companies can run the same marketing communications programs as used in the home market or change them for each local market,a process called communication adaptation.

James Franks works out of Miami and buys locally produced manufacturer's products and sells them abroad,mainly to Caribbean nations.Mr.Franks is ________.

A firm normally gets into international marketing simply by shipping out its goods.

Companies can manage their international marketing activities in three ways.These include export departments,international divisions,________.

Regional economic integration is defined as the creation of ________.

If the company adapts both the product and the communications,the company engages in dual adaptation.

________ is one of the most important functions of intermediaries in developing countries and helps perpetuate the long channels of distribution,which are a major obstacle to the expansion of retailing.

In ________,the firm hires local manufacturers to produce the product,giving the company less control over the manufacturing process.

Eighty percent of consumers in emerging markets buy their products from ________.

When Microsoft introduces a new form of Windows software,the first-mover approach is preferred.Microsoft would then tend to use which form of entry strategy?

Indirect export has two advantages.First,it involves less investment;and second,it involves less risk.

Cooperative organizations carry on exporting activities on behalf of several producers and are partly under their administrative control.