Question 1

When making pricing decisions, _____ set(s) the floor.

Accepted Answer

A) profits 
B) costs 
C) demand 
D) supply 
E) service 
A) profits 
B) costs 
C) demand 
D) supply 
E) service

Question 2

All of the following are considered to be exporter strategies when the domestic currency is strong except:

Accepted Answer

A) conduct conventional cash-for-goods trade. 
B) engage in nonprice competition by improving quality, delivery, and after sale service. 
C) improve productivity and engage in vigorous cost reduction. 
D) shift sourcing and manufacturing overseas. 
E) give priority to exports to relatively strong-currency countries. 
A) conduct conventional cash-for-goods trade. 
B) engage in nonprice competition by improving quality, delivery, and after sale service. 
C) improve productivity and engage in vigorous cost reduction. 
D) shift sourcing and manufacturing overseas. 
E) give priority to exports to relatively strong-currency countries.

Question 3

A strengthening of the U.S.dollar relative to the Japanese yen has the effect of:

Accepted Answer

A) strengthening the Japanese position in the United States. 
B) strengthening the U.S.position in Japan. 
C) weakening the dollar in Europe. 
D) strengthening the yen in Europe. 
E) all positions remain unchanged. 
A) strengthening the Japanese position in the United States. 
B) strengthening the U.S.position in Japan. 
C) weakening the dollar in Europe. 
D) strengthening the yen in Europe. 
E) all positions remain unchanged.

Question 4

Which of the following are considered to be exporter strategies when the domestic currency is weak?

Accepted Answer

A) conduct conventional cash-for-goods trade. 
B) engage in nonprice competition by improving quality, delivery, and after sale service. 
C) improve productivity and engage in vigorous cost reduction. 
D) shift sourcing and manufacturing overseas. 
E) give priority to exports to relatively strong-currency countries. 
A) conduct conventional cash-for-goods trade. 
B) engage in nonprice competition by improving quality, delivery, and after sale service. 
C) improve productivity and engage in vigorous cost reduction. 
D) shift sourcing and manufacturing overseas. 
E) give priority to exports to relatively strong-currency countries.

Question 5

With _____, the export price is set by adding all costs accrued in selling the product to the international market and a gross margin.

Accepted Answer

A) rigid cost-plus pricing 
B) flexible cost-plus pricing 
C) dynamic incremental pricing 
D) revenue share pricing 
E) fixed pricing 
A) rigid cost-plus pricing 
B) flexible cost-plus pricing 
C) dynamic incremental pricing 
D) revenue share pricing 
E) fixed pricing

Question 6

In arm's-length prices, a firm uses the market mechanism as a cue for setting transfer prices.

Accepted Answer

A) True 
 B)False

Question 7

When Tesla dropped its prices in China, its customers were extremely happy.

Accepted Answer

A) True 
 B)False

Question 8

All of the following are exporter strategies when the domestic currency is weak except:

Accepted Answer

A) stress price benefits. 
B) engage in nonprice competition by improving quality, delivery, and after sale service. 
C) expand the product line and add more. 
D) shift sourcing and manufacturing to domestic market. 
E) exploit export opportunities in all markets. 
A) stress price benefits. 
B) engage in nonprice competition by improving quality, delivery, and after sale service. 
C) expand the product line and add more. 
D) shift sourcing and manufacturing to domestic market. 
E) exploit export opportunities in all markets.

Question 9

In gray markets, products marketed in low-priced countries are shipped and resold by unauthorized channels in high-priced markets.

Accepted Answer

A) True 
 B)False

Question 10

All of the alternatives listed below are ways to safeguard against inflation except:

Accepted Answer

A) modify components, ingredients, parts and/or packaging materials. 
B) source materials from low-cost suppliers. 
C) lengthen credit terms. 
D) include escalator clauses in long-term contracts. 
E) quote prices in a stable currency. 
A) modify components, ingredients, parts and/or packaging materials. 
B) source materials from low-cost suppliers. 
C) lengthen credit terms. 
D) include escalator clauses in long-term contracts. 
E) quote prices in a stable currency.

Question 11

In international marketing, purchasers often demand _____ from their suppliers.

Accepted Answer

A) uniform-pricing contracts 
B) diverse-pricing contracts 
C) bilateral-pricing contracts 
D) global-pricing contracts 
E) local-pricing contracts 
A) uniform-pricing contracts 
B) diverse-pricing contracts 
C) bilateral-pricing contracts 
D) global-pricing contracts 
E) local-pricing contracts

Question 12

When an exporter uses the _____ method, the effect can be negative.Frequent adjustments of prices in response to currency movements will distress local channels and customers.

Accepted Answer

A) local-currency price stability (LCPS) 
B) pricing-to-market (PTM) 
C) transfer pricing 
D) countertrade pricing 
E) demand mark-up pricing 
A) local-currency price stability (LCPS) 
B) pricing-to-market (PTM) 
C) transfer pricing 
D) countertrade pricing 
E) demand mark-up pricing

Question 13

Transfer pricing decisions in an international context need to balance off the interests of a broad range of stakeholders.All of the following would be examples of those stakeholders except:

Accepted Answer

A) the parent company. 
B) the competition. 
C) local country managers. 
D) host government(s). 
E) the domestic government. 
A) the parent company. 
B) the competition. 
C) local country managers. 
D) host government(s). 
E) the domestic government.

Question 14

According to textbook, _____ by and large charges the same price worldwide.

Accepted Answer

A) Starbucks 
B) IBM 
C) Coca-Cola 
D) Toyota 
E) BMW 
A) Starbucks 
B) IBM 
C) Coca-Cola 
D) Toyota 
E) BMW

Question 15

Setting prices in a floating exchange rate world poses unique problems.Comment on how a company might react to floating exchange rates.What considerations are probably the most important for the decision maker to consider?

Accepted Answer

Due to the interplay of a variety of eco

Question 16

When Leonidas, a Belgian brand of chocolates sold in the home country as a mainstream brand, decides to sell with a premium image and prices in some overseas markets, this is an example of:

Accepted Answer

A) country objective 
B) positioning strategy 
C) consumer objective 
D) monopoly objectives 
E) none of the above 
A) country objective 
B) positioning strategy 
C) consumer objective 
D) monopoly objectives 
E) none of the above

Question 17

Exchange reflect how much one currency is worth in terms of another currency.

Accepted Answer

A) True 
 B)False

Question 18

A company's pricing policy is a highly _____ process based on inputs from various departments.

Accepted Answer

A) under-functional 
B) low-functional 
C) geo-functional 
D) bi-functional 
E) cross-functional 
A) under-functional 
B) low-functional 
C) geo-functional 
D) bi-functional 
E) cross-functional

Question 19

Negotiated transfer pricing is another form of nonmarket-based pricing.

Accepted Answer

A) True 
 B)False

Question 20

_____ occurs when imports are being sold at an "unfair" price.

Accepted Answer

A) Price fixing 
B) Dumping 
C) Gray marketing 
D) Countertrade 
E) Predatory pricing 
A) Price fixing 
B) Dumping 
C) Gray marketing 
D) Countertrade 
E) Predatory pricing

When making pricing decisions, _____ set(s) the floor.

All of the following are considered to be exporter strategies when the domestic currency is strong except:

A strengthening of the U.S.dollar relative to the Japanese yen has the effect of:

Which of the following are considered to be exporter strategies when the domestic currency is weak?

With _____, the export price is set by adding all costs accrued in selling the product to the international market and a gross margin.

In arm's-length prices, a firm uses the market mechanism as a cue for setting transfer prices.

When Tesla dropped its prices in China, its customers were extremely happy.

All of the following are exporter strategies when the domestic currency is weak except:

In gray markets, products marketed in low-priced countries are shipped and resold by unauthorized channels in high-priced markets.

All of the alternatives listed below are ways to safeguard against inflation except:

In international marketing, purchasers often demand _____ from their suppliers.

When an exporter uses the _____ method, the effect can be negative.Frequent adjustments of prices in response to currency movements will distress local channels and customers.

Transfer pricing decisions in an international context need to balance off the interests of a broad range of stakeholders.All of the following would be examples of those stakeholders except:

According to textbook, _____ by and large charges the same price worldwide.

Setting prices in a floating exchange rate world poses unique problems.Comment on how a company might react to floating exchange rates.What considerations are probably the most important for the decision maker to consider?

When Leonidas, a Belgian brand of chocolates sold in the home country as a mainstream brand, decides to sell with a premium image and prices in some overseas markets, this is an example of:

Exchange reflect how much one currency is worth in terms of another currency.

A company's pricing policy is a highly _____ process based on inputs from various departments.

Negotiated transfer pricing is another form of nonmarket-based pricing.

_____ occurs when imports are being sold at an "unfair" price.

Globalization Imperative

Economic Environment

Financial Environment

Global Cultural Environment and Buying Behavior

Political and Legal Environment

Global Marketing Research

Global Segmentation and Positioning

Global Marketing Strategies

Global Market Entry Strategies

Global Product Policy Decisions I: Developing New Products for Global Markets

Global Product Policy Decisions Ii: Marketing Products and Services

Global Communication Strategies

Sales Management

Global Logistics and Distribution

Export and Import Management

Planning, Organization, and Control of Global Marketing Operations

Marketing Strategies for Emerging Markets

Global Marketing and the Internet

Sustainable Marketing in the Global Marketplace

Filters

Exam 12: Global Pricing

When making pricing decisions, _____ set(s) the floor.

All of the following are considered to be exporter strategies when the domestic currency is strong except:

A strengthening of the U.S.dollar relative to the Japanese yen has the effect of:

Which of the following are considered to be exporter strategies when the domestic currency is weak?

With _____, the export price is set by adding all costs accrued in selling the product to the international market and a gross margin.

In arm's-length prices, a firm uses the market mechanism as a cue for setting transfer prices.

When Tesla dropped its prices in China, its customers were extremely happy.

All of the following are exporter strategies when the domestic currency is weak except:

In gray markets, products marketed in low-priced countries are shipped and resold by unauthorized channels in high-priced markets.

All of the alternatives listed below are ways to safeguard against inflation except:

In international marketing, purchasers often demand _____ from their suppliers.

When an exporter uses the _____ method, the effect can be negative.Frequent adjustments of prices in response to currency movements will distress local channels and customers.

Transfer pricing decisions in an international context need to balance off the interests of a broad range of stakeholders.All of the following would be examples of those stakeholders except:

According to textbook, _____ by and large charges the same price worldwide.

Setting prices in a floating exchange rate world poses unique problems.Comment on how a company might react to floating exchange rates.What considerations are probably the most important for the decision maker to consider?

When Leonidas, a Belgian brand of chocolates sold in the home country as a mainstream brand, decides to sell with a premium image and prices in some overseas markets, this is an example of:

Exchange reflect how much one currency is worth in terms of another currency.

A company's pricing policy is a highly _____ process based on inputs from various departments.

Negotiated transfer pricing is another form of nonmarket-based pricing.

_____ occurs when imports are being sold at an "unfair" price.

Globalization Imperative

Economic Environment

Financial Environment

Global Cultural Environment and Buying Behavior

Political and Legal Environment

Global Marketing Research

Global Segmentation and Positioning

Global Marketing Strategies

Global Market Entry Strategies

Global Product Policy Decisions I: Developing New Products for Global Markets

Global Product Policy Decisions Ii: Marketing Products and Services

Global Communication Strategies

Sales Management

Global Logistics and Distribution

Export and Import Management

Planning, Organization, and Control of Global Marketing Operations

Marketing Strategies for Emerging Markets

Global Marketing and the Internet

Sustainable Marketing in the Global Marketplace

Filters