Question 1

What are the factors that a company should consider when deciding which markets to enter?

Accepted Answer

Before going abroad,a company should try

Question 2

Restrictive product standards is an example of ________.

Accepted Answer

A) tariffs 
B) excise 
C) quotas 
D) nontariff trade barriers 
E) exchange controls 
A) tariffs 
B) excise 
C) quotas 
D) nontariff trade barriers 
E) exchange controls

Question 3

Which of the following is true of the World Trade Organization (WTO)?

Accepted Answer

A) The WTO was replaced by the GATT in 1995. 
B) The WTO strengthens tariffs and other international trade barriers. 
C) The WTO's actions have not been very productive. 
D) The WTO restricts the maximum number of member nations to 100. 
E) The WTO mediates global trade disputes. 
A) The WTO was replaced by the GATT in 1995. 
B) The WTO strengthens tariffs and other international trade barriers. 
C) The WTO's actions have not been very productive. 
D) The WTO restricts the maximum number of member nations to 100. 
E) The WTO mediates global trade disputes.

Question 4

________ are a type of operating unit under an international division that are responsible for their own sales and profits.

Accepted Answer

A) World product groups 
B) Geographical organizations 
C) International subsidiaries 
D) Global organizations 
E) Export departments 
A) World product groups 
B) Geographical organizations 
C) International subsidiaries 
D) Global organizations 
E) Export departments

Question 5

Which of the following is true of a joint ownership?

Accepted Answer

A) The domestic firm exports management services rather than products. 
B) Whereas local firms like to reinvest earnings for growth, many U.S. firms often prefer to take out these earnings. 
C) Whereas U.S. firms emphasize the role of marketing, local investors may rely on selling. 
D) The domestic company sells its trademark and patent for a fee or royalty. 
E) The domestic company is in total possession and control of the business. 
A) The domestic firm exports management services rather than products. 
B) Whereas local firms like to reinvest earnings for growth, many U.S. firms often prefer to take out these earnings. 
C) Whereas U.S. firms emphasize the role of marketing, local investors may rely on selling. 
D) The domestic company sells its trademark and patent for a fee or royalty. 
E) The domestic company is in total possession and control of the business.

Question 6

Pizza House,a leading Italian restaurant,recently opened a new restaurant in New York called Papa James.The property is locally owned,but Pizza House operates the restaurant with its world-renowned culinary expertise.Pizza House has used the ________ method of entering the foreign market.

Accepted Answer

A) contract manufacturing 
B) management contracting 
C) licensing 
D) joint ownership 
E) direct investment 
A) contract manufacturing 
B) management contracting 
C) licensing 
D) joint ownership 
E) direct investment

Question 7

Product invention consists of ________.

Accepted Answer

A) marketing a product in a foreign market without making any changes to the product 
B) taking the product as is and finding customers for it 
C) modifying advertising messages to local markets 
D) creating something new to meet the needs of consumers in a given country 
E) upgrading the product to meet local requirements, conditions, or wants 
A) marketing a product in a foreign market without making any changes to the product 
B) taking the product as is and finding customers for it 
C) modifying advertising messages to local markets 
D) creating something new to meet the needs of consumers in a given country 
E) upgrading the product to meet local requirements, conditions, or wants

Question 8

Harry's Pizza,a leading chain of Italian restaurants,wants to open a chain of outlets in the American and Asian markets.In order to be successful in these markets,which international marketing strategy do you think Harry's Pizza should use?

Accepted Answer

(Student answers can vary.)
Companies th

Question 9

Which of the following is a disadvantage of licensing?

Accepted Answer

A) The company gains entry into a foreign market at a high risk. 
B) It takes a lot of time for the licensee to gain production expertise and name. 
C) Licensing is a complex way for a manufacturer to enter international marketing. 
D) When the contract ends, the firm may find that it has created a competitor in the licensee. 
E) The licensee does not have the power to buy the company's trade secret. 
A) The company gains entry into a foreign market at a high risk. 
B) It takes a lot of time for the licensee to gain production expertise and name. 
C) Licensing is a complex way for a manufacturer to enter international marketing. 
D) When the contract ends, the firm may find that it has created a competitor in the licensee. 
E) The licensee does not have the power to buy the company's trade secret.

Question 10

The difference between exporting and joint venturing is that joint venturing involves ________.

Accepted Answer

A) lesser risk 
B) production of goods mainly in the home country 
C) lesser changes in a company's product lines 
D) association with a host country partner to sell abroad 
E) lesser investment 
A) lesser risk 
B) production of goods mainly in the home country 
C) lesser changes in a company's product lines 
D) association with a host country partner to sell abroad 
E) lesser investment

Question 11

Which of the following is an example of nontariff trade barriers?

Accepted Answer

A) sales tax 
B) customs 
C) host-country regulations 
D) excise duty 
E) import quota 
A) sales tax 
B) customs 
C) host-country regulations 
D) excise duty 
E) import quota

Question 12

Leonards,a leading French garment manufacturing company,is looking for ways to go global.Penny,a designer from California,wishes to open a fashion boutique in the neighborhood,and gain production expertise and name without having to invest significantly.She learns about Leonards' global expansion plans,and buys the right to use its manufacturing process for a royalty fee.This allows it to gain entry into a foreign market at little risk.Leonards has used the ________ method of entering a foreign market.

Accepted Answer

A) licensing 
B) exporting 
C) joint ownership 
D) contract manufacturing 
E) management contracting 
A) licensing 
B) exporting 
C) joint ownership 
D) contract manufacturing 
E) management contracting

Question 13

Which of the following is true of geographical organizations?

Accepted Answer

A) Geographical organizations are operating units under the export department. 
B) Geographical organizations are usually formed if the company is simply shipping out its goods. 
C) Geographical organizations are managed by multiple country managers, each responsible for the whole organization's sales and profits. 
D) Geographical organizations are inadequate if the firm moves into joint ventures or direct investments. 
E) Geographical organizations are managed by country managers responsible for salespeople, distributors, and licensees in their respective countries. 
A) Geographical organizations are operating units under the export department. 
B) Geographical organizations are usually formed if the company is simply shipping out its goods. 
C) Geographical organizations are managed by multiple country managers, each responsible for the whole organization's sales and profits. 
D) Geographical organizations are inadequate if the firm moves into joint ventures or direct investments. 
E) Geographical organizations are managed by country managers responsible for salespeople, distributors, and licensees in their respective countries.

Question 14

Which of the following is a type of joint venture?

Accepted Answer

A) exporting 
B) management contracting 
C) direct investment 
D) Greenfield investment 
E) acquisition 
A) exporting 
B) management contracting 
C) direct investment 
D) Greenfield investment 
E) acquisition

Question 15

The difference between direct and indirect exporting is that indirect exporting involves ________.

Accepted Answer

A) higher risks 
B) self-handling of exports 
C) greater investment 
D) change in a company's product lines 
E) lesser returns 
A) higher risks 
B) self-handling of exports 
C) greater investment 
D) change in a company's product lines 
E) lesser returns

Question 16

________ means marketing a product in a foreign market without making any changes to the product.

Accepted Answer

A) Product adaptation 
B) Straight product extension 
C) Dual adaptation 
D) Product invention 
E) Communication adaptation 
A) Product adaptation 
B) Straight product extension 
C) Dual adaptation 
D) Product invention 
E) Communication adaptation

Question 17

Which of the following is true of channels within nations?

Accepted Answer

A) Channels within nations takes into account the entire global supply chain and marketing channel. 
B) Products are moved from points of production to the borders of countries within which they are sold. 
C) Channels within nations designs and manages an effective global value delivery network. 
D) Products are moved from their market entry points to the final consumers. 
E) Channels within nations is the first point of delivery in the global value delivery network. 
A) Channels within nations takes into account the entire global supply chain and marketing channel. 
B) Products are moved from points of production to the borders of countries within which they are sold. 
C) Channels within nations designs and manages an effective global value delivery network. 
D) Products are moved from their market entry points to the final consumers. 
E) Channels within nations is the first point of delivery in the global value delivery network.

Question 18

Explain product invention with the help of an example.

Accepted Answer

Product invention consists of creating s

Question 19

Which of the following is true of exporting?

Accepted Answer

A) Exporting is the most complex way to enter a foreign market. 
B) Exporting usually offers more control over pricing. 
C) Exporting typically requires products to be modified for the foreign market. 
D) Exporting involves the least change in the company's product lines. 
E) Exporting involves a huge investment. 
A) Exporting is the most complex way to enter a foreign market. 
B) Exporting usually offers more control over pricing. 
C) Exporting typically requires products to be modified for the foreign market. 
D) Exporting involves the least change in the company's product lines. 
E) Exporting involves a huge investment.

Question 20

Lemon N' Honey is a juice manufacturing company in the U.S.It exports its products to Australia,licenses to China,has a joint ownership venture in France,and owns a subsidiary in Brazil.It will eventually create a(n)________ to handle all its worldwide activities.

Accepted Answer

A) international division 
B) truly global organization 
C) value delivery network 
D) export department 
E) domestic division 
A) international division 
B) truly global organization 
C) value delivery network 
D) export department 
E) domestic division

What are the factors that a company should consider when deciding which markets to enter?

Restrictive product standards is an example of ________.

Which of the following is true of the World Trade Organization (WTO)?

________ are a type of operating unit under an international division that are responsible for their own sales and profits.

Which of the following is true of a joint ownership?

Pizza House,a leading Italian restaurant,recently opened a new restaurant in New York called Papa James.The property is locally owned,but Pizza House operates the restaurant with its world-renowned culinary expertise.Pizza House has used the ________ method of entering the foreign market.

Product invention consists of ________.

Harry's Pizza,a leading chain of Italian restaurants,wants to open a chain of outlets in the American and Asian markets.In order to be successful in these markets,which international marketing strategy do you think Harry's Pizza should use?

Which of the following is a disadvantage of licensing?

The difference between exporting and joint venturing is that joint venturing involves ________.

Which of the following is an example of nontariff trade barriers?

Which of the following is true of geographical organizations?

Which of the following is a type of joint venture?

The difference between direct and indirect exporting is that indirect exporting involves ________.

________ means marketing a product in a foreign market without making any changes to the product.

Which of the following is true of channels within nations?

Explain product invention with the help of an example.

Which of the following is true of exporting?

Lemon N' Honey is a juice manufacturing company in the U.S.It exports its products to Australia,licenses to China,has a joint ownership venture in France,and owns a subsidiary in Brazil.It will eventually create a(n)________ to handle all its worldwide activities.

Marketing Creating and Capturing Customer Value

Company and Marketing Strategy: Partnering to Build Customer Relationships

Analyzing the Marketing Environment

Managing Marketing Information to Gain Customer Insights

Understanding Consumer and Business Buyer Behavior

Customer-Driven Marketing Strategy: Creating Value for Target Customers

Product,Services,and Brands: Building Customer Value

Developing New Products and Managing the Product Life Cycle

Pricing: Understanding and Capturing Customer Value

Marketing Channels Delivering Customer Value

Retailing and Wholesaling

Communicating Customer Value

Personal Selling and Sales Promotion

Direct and Online Marketing: Building Direct Customer Relationships

Sustainable Marketing: Social Responsibility and Ethics

Filters

Exam 15: The Global Marketplace

What are the factors that a company should consider when deciding which markets to enter?

Restrictive product standards is an example of ________.

Which of the following is true of the World Trade Organization (WTO)?

________ are a type of operating unit under an international division that are responsible for their own sales and profits.

Which of the following is true of a joint ownership?

Pizza House,a leading Italian restaurant,recently opened a new restaurant in New York called Papa James.The property is locally owned,but Pizza House operates the restaurant with its world-renowned culinary expertise.Pizza House has used the ________ method of entering the foreign market.

Product invention consists of ________.

Harry's Pizza,a leading chain of Italian restaurants,wants to open a chain of outlets in the American and Asian markets.In order to be successful in these markets,which international marketing strategy do you think Harry's Pizza should use?

Which of the following is a disadvantage of licensing?

The difference between exporting and joint venturing is that joint venturing involves ________.

Which of the following is an example of nontariff trade barriers?

Which of the following is true of geographical organizations?

Which of the following is a type of joint venture?

The difference between direct and indirect exporting is that indirect exporting involves ________.

________ means marketing a product in a foreign market without making any changes to the product.

Which of the following is true of channels within nations?

Explain product invention with the help of an example.

Which of the following is true of exporting?

Lemon N' Honey is a juice manufacturing company in the U.S.It exports its products to Australia,licenses to China,has a joint ownership venture in France,and owns a subsidiary in Brazil.It will eventually create a(n)________ to handle all its worldwide activities.

Marketing Creating and Capturing Customer Value

Company and Marketing Strategy: Partnering to Build Customer Relationships

Analyzing the Marketing Environment

Managing Marketing Information to Gain Customer Insights

Understanding Consumer and Business Buyer Behavior

Customer-Driven Marketing Strategy: Creating Value for Target Customers

Product,Services,and Brands: Building Customer Value

Developing New Products and Managing the Product Life Cycle

Pricing: Understanding and Capturing Customer Value

Marketing Channels Delivering Customer Value

Retailing and Wholesaling

Communicating Customer Value

Personal Selling and Sales Promotion

Direct and Online Marketing: Building Direct Customer Relationships

Sustainable Marketing: Social Responsibility and Ethics

Filters