Question 1

A global market segment refers to ________.

Accepted Answer

A)  a group of customers who share similar characteristics across many national markets 
B)  a group of customers belonging to the same generational group within a country 
C)  a group of less-affluent customers in the global market 
D)  a group of buyers in the international market who are largely unaffected by changes in pricing 
A)  a group of customers who share similar characteristics across many national markets 
B)  a group of customers belonging to the same generational group within a country 
C)  a group of less-affluent customers in the global market 
D)  a group of buyers in the international market who are largely unaffected by changes in pricing

Question 2

Adaptation is useful in multidomestic industries such as publishing and software, which tailor their offerings to suit individual markets.

Accepted Answer

A) True 
 B)False

Question 3

Consumers prefer globally branded products because branding provides a sense of trust and confidence in their purchasing.

Accepted Answer

A) True 
 B)False

Question 4

In international business, marketing is concerned with ________.

Accepted Answer

A)  disseminating the organizational culture of a firm across global subsidiaries 
B)  identifying, measuring, and pursuing customer needs and market opportunities abroad 
C)  maintaining a steady flow of product-based innovations 
D)  interacting with global business leaders 
A)  disseminating the organizational culture of a firm across global subsidiaries 
B)  identifying, measuring, and pursuing customer needs and market opportunities abroad 
C)  maintaining a steady flow of product-based innovations 
D)  interacting with global business leaders

Question 5

Global account management means serving a key global customer in a consistent and standardized manner, regardless of where in the world it operates.

Accepted Answer

A) True 
 B)False

Question 6

In which of the following industries is an adaptation strategy LEAST likely to be appropriate?

Accepted Answer

A)  consumer electronics 
B)  publishing 
C)  furniture 
D)  television broadcasting 
A)  consumer electronics 
B)  publishing 
C)  furniture 
D)  television broadcasting

Question 7

Direct marketing entails selling directly to end users.

Accepted Answer

A) True 
 B)False

Question 8

________ refers to the number of distributors or other intermediaries that it takes to get the product from the manufacturer to the market.

Accepted Answer

A)  Channel depth 
B)  Marketing mix 
C)  Channel length 
D)  Social network 
A)  Channel depth 
B)  Marketing mix 
C)  Channel length 
D)  Social network

Question 9

A reputed American automaker competes in the premium car market segment. It targets affluent buyers with refined tastes who would not mind paying several thousand dollars for a premium car. This is an example of both market segmentation and product positioning.

Accepted Answer

A) True 
 B)False

Question 10

What is global account management? Briefly describe the role of global account management in international business.

Accepted Answer

Serving a key global customer in a consi

Question 11

Adaptation is defined as ________.

Accepted Answer

A)  the firm's efforts to make its marketing program elements uniform, with a view to targeting entire regions, or even the global marketplace, with the same product or service 
B)  the firm's attempt at altering its organizational structure to facilitate internationalization 
C)  the firm's efforts to modify one or more elements of its international marketing program to accommodate specific customer requirements in a particular market 
D)  the firm's efforts to minimize employee attrition by rewarding performance 
A)  the firm's efforts to make its marketing program elements uniform, with a view to targeting entire regions, or even the global marketplace, with the same product or service 
B)  the firm's attempt at altering its organizational structure to facilitate internationalization 
C)  the firm's efforts to modify one or more elements of its international marketing program to accommodate specific customer requirements in a particular market 
D)  the firm's efforts to minimize employee attrition by rewarding performance

Question 12

The practice of pricing intermediate or finished products exchanged among the subsidiaries and affiliates of the same corporate family located in different countries is known as ________.

Accepted Answer

A)  transfer pricing 
B)  breakeven pricing 
C)  premium pricing 
D)  discounting 
A)  transfer pricing 
B)  breakeven pricing 
C)  premium pricing 
D)  discounting

Question 13

The weakness of a global brand is best measured by its brand equity.

Accepted Answer

A) True 
 B)False

Question 14

Rigid cost-plus pricing is typically favored by highly experienced exporters.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following refers to the price charged for products sold between a company's divisions or subsidiaries?

Accepted Answer

A)  dual pricing 
B)  transfer price 
C)  price skimming 
D)  arm's length price 
A)  dual pricing 
B)  transfer price 
C)  price skimming 
D)  arm's length price

Question 16

Refrigerator Adaptations (Scenario)
Cold-Aire Inc. manufactures refrigerators from its facilities in the United States and China and ships them to retail stores around the world. Kitchen sizes vary around the world, and as a result, refrigerator sizes must vary as well. U.S. retailers want large refrigerators, while European and Asian retailers demand smaller units. Cold-Aire manufactures over 20 different models of refrigerators, which often vary in size by only a few inches. Cold-Aire managers are concerned that the firm is losing money because of product adaptations. Cold-Aire management is meeting to discuss the various cost-saving options for the firm.
-Which of the following most likely supports Cold-Aire implementing a regional strategy of refrigerator standardization?

Accepted Answer

A)  Refrigerator sizes within Latin America tend to be similar. 
B)  Distribution channels in Asian countries are usually complicated. 
C)  American kitchens are typically more spacious than Asian ones. 
D)  Customers in Europe demand exterior ice and water dispensers. 
A)  Refrigerator sizes within Latin America tend to be similar. 
B)  Distribution channels in Asian countries are usually complicated. 
C)  American kitchens are typically more spacious than Asian ones. 
D)  Customers in Europe demand exterior ice and water dispensers.

Question 17

Perhaps the most important distinction between standardization and adaptation is that ________.

Accepted Answer

A)  standardization helps the firm customize products according to customer preferences, while adaptation helps the firm save time 
B)  standardization helps the firm cut costs, while local adaptation helps the firm more precisely cater to local needs and requirements 
C)  standardization helps the firm cater to the needs of local customers, while adaptation helps the firm save costs through mass production 
D)  standardization helps the firm upgrade quality to suit the unique tastes of consumers, while adaptation emphasizes uniformity 
A)  standardization helps the firm customize products according to customer preferences, while adaptation helps the firm save time 
B)  standardization helps the firm cut costs, while local adaptation helps the firm more precisely cater to local needs and requirements 
C)  standardization helps the firm cater to the needs of local customers, while adaptation helps the firm save costs through mass production 
D)  standardization helps the firm upgrade quality to suit the unique tastes of consumers, while adaptation emphasizes uniformity

Question 18

International Advertising (Scenario)
Quik-Vac Corporation, a U.S.-based company, manufactures small, inexpensive vacuum cleaners that work on rechargeable batteries. Quik-Vac customers typically live in small apartments where a large vacuum cleaner is neither necessary nor easy to use. Quik-Vac managers believe there is a market for the vacuum cleaners outside of the United States, especially in communities where living space is limited. The Quik-Vac marketing department has been assigned the task of creating an advertising campaign to introduce Quik-Vac's offerings to global consumers.
-Standardized advertising, if used by Quik-Vac, would most likely ________.

Accepted Answer

A)  cater to customers with varied preferences worldwide 
B)  simplify Quik-Vac's communications strategy and save costs 
C)  appeal to the highly literate populations only 
D)  make importation of raw materials mandatory for Quik-Vac 
A)  cater to customers with varied preferences worldwide 
B)  simplify Quik-Vac's communications strategy and save costs 
C)  appeal to the highly literate populations only 
D)  make importation of raw materials mandatory for Quik-Vac

Question 19

Adaptation is more costly than standardization because ________.

Accepted Answer

A)  a firm that chooses adaptation over standardization is likely to lose customers in the long run 
B)  adaptation often requires the firm to engage in substantial modifications to product design, manufacturing, pricing, distribution, and communications 
C)  adaptation requires the firm to scale up production without regard to quality 
D)  standardization holds no market risks 
A)  a firm that chooses adaptation over standardization is likely to lose customers in the long run 
B)  adaptation often requires the firm to engage in substantial modifications to product design, manufacturing, pricing, distribution, and communications 
C)  adaptation requires the firm to scale up production without regard to quality 
D)  standardization holds no market risks

Question 20

International Advertising (Scenario)
Quik-Vac Corporation, a U.S.-based company, manufactures small, inexpensive vacuum cleaners that work on rechargeable batteries. Quik-Vac customers typically live in small apartments where a large vacuum cleaner is neither necessary nor easy to use. Quik-Vac managers believe there is a market for the vacuum cleaners outside of the United States, especially in communities where living space is limited. The Quik-Vac marketing department has been assigned the task of creating an advertising campaign to introduce Quik-Vac's offerings to global consumers.
-Before developing a print media campaign, which of the following must the marketing department of Quik-Vac determine about the company's target market?

Accepted Answer

A)  the number of homes with TVs 
B)  the percentage of people owning radios 
C)  the number of global ad agencies in the target market 
D)  the literacy rate among the target population 
A)  the number of homes with TVs 
B)  the percentage of people owning radios 
C)  the number of global ad agencies in the target market 
D)  the literacy rate among the target population

A global market segment refers to ________.

Adaptation is useful in multidomestic industries such as publishing and software, which tailor their offerings to suit individual markets.

Consumers prefer globally branded products because branding provides a sense of trust and confidence in their purchasing.

In international business, marketing is concerned with ________.

Global account management means serving a key global customer in a consistent and standardized manner, regardless of where in the world it operates.

In which of the following industries is an adaptation strategy LEAST likely to be appropriate?

Direct marketing entails selling directly to end users.

________ refers to the number of distributors or other intermediaries that it takes to get the product from the manufacturer to the market.

A reputed American automaker competes in the premium car market segment. It targets affluent buyers with refined tastes who would not mind paying several thousand dollars for a premium car. This is an example of both market segmentation and product positioning.

What is global account management? Briefly describe the role of global account management in international business.

Adaptation is defined as ________.

The practice of pricing intermediate or finished products exchanged among the subsidiaries and affiliates of the same corporate family located in different countries is known as ________.

The weakness of a global brand is best measured by its brand equity.

Rigid cost-plus pricing is typically favored by highly experienced exporters.

Which of the following refers to the price charged for products sold between a company's divisions or subsidiaries?

Perhaps the most important distinction between standardization and adaptation is that ________.

Adaptation is more costly than standardization because ________.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

The Cultural Environment of International Business

Ethics, Corporate Social Responsibility, Sustainability and Corporate Governance in International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention and Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Financial Management and Accounting in the Global Firm

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Global Sourcing

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Human Resource Management in the Global Firm

Filters

Exam 16: Marketing in the Global Firm

A global market segment refers to ________.

Adaptation is useful in multidomestic industries such as publishing and software, which tailor their offerings to suit individual markets.

Consumers prefer globally branded products because branding provides a sense of trust and confidence in their purchasing.

In international business, marketing is concerned with ________.

Global account management means serving a key global customer in a consistent and standardized manner, regardless of where in the world it operates.

In which of the following industries is an adaptation strategy LEAST likely to be appropriate?

Direct marketing entails selling directly to end users.

________ refers to the number of distributors or other intermediaries that it takes to get the product from the manufacturer to the market.

A reputed American automaker competes in the premium car market segment. It targets affluent buyers with refined tastes who would not mind paying several thousand dollars for a premium car. This is an example of both market segmentation and product positioning.

What is global account management? Briefly describe the role of global account management in international business.

Adaptation is defined as ________.

The practice of pricing intermediate or finished products exchanged among the subsidiaries and affiliates of the same corporate family located in different countries is known as ________.

The weakness of a global brand is best measured by its brand equity.

Rigid cost-plus pricing is typically favored by highly experienced exporters.

Which of the following refers to the price charged for products sold between a company's divisions or subsidiaries?

Perhaps the most important distinction between standardization and adaptation is that ________.

Adaptation is more costly than standardization because ________.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

The Cultural Environment of International Business

Ethics, Corporate Social Responsibility, Sustainability and Corporate Governance in International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention and Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Financial Management and Accounting in the Global Firm

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Global Sourcing

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Human Resource Management in the Global Firm

Filters