Exam 8: Global Marketing

Many American fast food sellers have engaged in product adaptation, changing their menus to accommodate consumer tastes in countries like India and Japan. Other Western firms doing business abroad have engaged in promotion adaptation. Which of the following factors would most likely prompt a firm to use the latter strategy?

When KFC expanded to China, the company opened locations in smaller cities because other fast food restaurants, like McDonald's, were expanding to the bigger cities. KFC was considering the international _____ environment when it made this decision.

One disadvantage of an acquisition is that you may not acquire knowledge about foreign markets that would help build a competitive advantage.

What are the different product and promotion strategies that can be used by global marketers?

An international company chose to go with a global marketing strategy in a new location, planning to exactly duplicate the company's previous success in its home country. The venture was not a success. While it enjoyed economies of scale, the marketing campaign did not engage new customers. Which information is essential to create a new and successful marketing campaign?

VB Group, a South African firm, is a leading supplier of African agricultural products to the world. It buys products from the domestic producers and resells them in international markets. The company maintains complete control over the marketing and distribution of the products in the foreign markets. VB Group is an example of a(n) _____.

Which of the following products forms a major part of U.S. imports?

A simple and inexpensive way for first-time exporters to reach foreign customers is to sell their products to an export-trading company.

_____ is a contractual arrangement in which a wholesaler or retailer agrees to meet the operating requirements of a manufacturer.

If the exchange rate for the Japanese yen is strong compared to the U.S. dollar, then:

A franchisee receives the right to sell the franchiser's products and to use the franchiser's name as well as a variety of marketing, management, and other services.

A noticeable trend toward multinational economic integration has developed since the end of World War II.

The product invention strategy helps a firm take advantage of unique foreign market opportunities.

Indian company Godrej & Boyce developed a small, portable refrigerator for rural India. The refrigerator uses batteries to run a cooling chip and fan, keeping food items cold. This is an example of:

A nation's size, per-capita income, and stage of economic development determine its prospects as a host for international business expansion.

British Petroleum (BP) distributes petrol (or gasoline) to many countries around the world. BP changes the petrol formula in order to meet each country's regulations. This is an example of:

An investment group has decided to buy an international franchise of a nationally known custom clothing chain. The group members are convinced that the franchise's headquarters has balanced their standard practices with local customer preferences. Which characteristic of the custom clothing operation would be the best evidence of incorporating cultural considerations?​

D. J. International, a firm based in North America, is a leader in international sales and exports. The company is not directly involved in the purchase and selling of goods but helps firms find customers for their products in global markets. It also helps the companies handle all the legal formalities in foreign markets and provides guidance regarding the local labeling and testing laws. D. J. International can be regarded as a(n):

Proctor & Gamble sells Head and Shoulders shampoo and conditioner in Brazil. The company uses similar advertising and scents in Brazil as they do in the United States. This would be an example of:

Contractual agreements are less flexible compared to exporting strategies.