Question 1

Entering into a global franchise agreement exposes a company to higher risk than if the company had entered into direct investment in the country.

Accepted Answer

A) True 
 B)False

Question 2

In a joint venture,the burden of ownership,control,and profits is not shared.

Accepted Answer

A) True 
 B)False

Question 3

The most common measure of market potential of an economy is a country's

Accepted Answer

A)  GNI. 
B)  GDP. 
C)  PPP. 
D)  CPI. 
E)  APR. 
A)  GNI. 
B)  GDP. 
C)  PPP. 
D)  CPI. 
E)  APR.

Question 4

To determine the market potential for its particular product or service,a firm should use

Accepted Answer

A)  GDP data. 
B)  unemployment data. 
C)  purchasing power parity data. 
D)  inflation data. 
E)  as many metrics as it can obtain. 
A)  GDP data. 
B)  unemployment data. 
C)  purchasing power parity data. 
D)  inflation data. 
E)  as many metrics as it can obtain.

Question 5

Which of these trade agreements represents the highest level of integration among participating nations?

Accepted Answer

A)  NAFTA 
B)  EU 
C)  GNI 
D)  ASEAN 
E)  CAFTA 
A)  NAFTA 
B)  EU 
C)  GNI 
D)  ASEAN 
E)  CAFTA

Question 6

Franco,a former retailer,has been living in the United States for five years and wants to start a business.He does not have an existing firm or a product,and he doesn't have a lot of capital,but since he loves McDonald's food,he decides to

Accepted Answer

A)  open a McDonald's franchise. 
B)  directly invest in McDonald's. 
C)  export McDonald's products to other countries. 
D)  form a strategic alliance with McDonald's. 
E)  form a joint venture with McDonald's. 
A)  open a McDonald's franchise. 
B)  directly invest in McDonald's. 
C)  export McDonald's products to other countries. 
D)  form a strategic alliance with McDonald's. 
E)  form a joint venture with McDonald's.

Question 7

A __________ limits the quantity of imported merchandise,thus minimizing competition faced by domestic products.

Accepted Answer

A)  tariff 
B)  duty 
C)  trading bloc 
D)  trade agreement 
E)  quota 
A)  tariff 
B)  duty 
C)  trading bloc 
D)  trade agreement 
E)  quota

Question 8

Tariffs,quotas,and currency exchange policies affect global

Accepted Answer

A)  offshore product design. 
B)  pricing strategies. 
C)  advertising. 
D)  logistics. 
E)  promotion. 
A)  offshore product design. 
B)  pricing strategies. 
C)  advertising. 
D)  logistics. 
E)  promotion.

Question 9

Celia's firm has developed a breakfast cereal targeted toward children.Rather than compete in the mature U.S.market,she has decided instead to introduce the product in Europe,where she feels it will be innovative.Her advertising agency urged caution because

Accepted Answer

A)  advertising regulations differ in other countries, including advertising to children. 
B)  print media are different in Europe, and it would be difficult to create a global campaign. 
C)  literacy rates are significantly lower in Europe, and print ads would be ineffective. 
D)  research indicates that European children do not eat breakfast as often as American children. 
E)  domestic advertising agencies cannot earn commissions on advertising they place overseas. 
A)  advertising regulations differ in other countries, including advertising to children. 
B)  print media are different in Europe, and it would be difficult to create a global campaign. 
C)  literacy rates are significantly lower in Europe, and print ads would be ineffective. 
D)  research indicates that European children do not eat breakfast as often as American children. 
E)  domestic advertising agencies cannot earn commissions on advertising they place overseas.

Question 10

Briefly describe the four key elements of a country's infrastructure that would concern marketers.

Accepted Answer

The elements of a country's infrastructu

Question 11

Gerald is assessing global entry strategies for his gourmet sandwich business.He does not have significant capital for expansion and does not want to take a lot of risk.He is also willing to limit his control of international stores.What are his global entry options? Given his situation and priorities,which option is most logical? Why?

Accepted Answer

Gerald's five options are franchising,ex

Question 12

Which of the following is a potential negative factor for foreign investment in China?

Accepted Answer

A)  China's population is aging and is likely to continue to do so for many years. 
B)  China drastically restricts the goods it allows U.S. companies to export to China. 
C)  China's standard of living has dropped over the past 30 years. 
D)  China has imported fewer goods from the United States each year for the past decade. 
E)  Chinese consumers are not interested in purchasing products from the United States. 
A)  China's population is aging and is likely to continue to do so for many years. 
B)  China drastically restricts the goods it allows U.S. companies to export to China. 
C)  China's standard of living has dropped over the past 30 years. 
D)  China has imported fewer goods from the United States each year for the past decade. 
E)  Chinese consumers are not interested in purchasing products from the United States.

Question 13

Gross national income consists of GDP

Accepted Answer

A)  minus net consumer spending. 
B)  plus government spending on international trade. 
C)  minus purchasing power parity. 
D)  plus the net income earned from investments abroad (minus any payments made to nonresidents who contribute to the domestic economy). 
E)  plus gross domestic international investment. 
A)  minus net consumer spending. 
B)  plus government spending on international trade. 
C)  minus purchasing power parity. 
D)  plus the net income earned from investments abroad (minus any payments made to nonresidents who contribute to the domestic economy). 
E)  plus gross domestic international investment.

Question 14

Which country has a rapidly aging population due to its one-child policy?

Accepted Answer

A)  Brazil 
B)  Russia 
C)  India 
D)  China 
E)  Japan 
A)  Brazil 
B)  Russia 
C)  India 
D)  China 
E)  Japan

Question 15

What are the five major trade agreements that cover two-thirds of the world's international trade?

Accepted Answer

The five major trade agreements include

Question 16

When the value of the dollar declines in relation to other currencies,it benefits U.S.marketers who

Accepted Answer

A)  export goods to other countries. 
B)  import goods from other countries. 
C)  engage in countertrade. 
D)  enforce import quotas. 
E)  outsource labor. 
A)  export goods to other countries. 
B)  import goods from other countries. 
C)  engage in countertrade. 
D)  enforce import quotas. 
E)  outsource labor.

Question 17

The Big Mac Index is a novel measure of

Accepted Answer

A)  GDP. 
B)  purchasing power parity. 
C)  per capita GNI. 
D)  economic growth. 
E)  international trade surplus. 
A)  GDP. 
B)  purchasing power parity. 
C)  per capita GNI. 
D)  economic growth. 
E)  international trade surplus.

Question 18

Manufacturers would prefer to produce in a country with a trade __________,because it signals a greater opportunity to export products to more markets.

Accepted Answer

A)  surplus 
B)  deficit 
C)  discrepancy 
D)  bonus 
E)  balance 
A)  surplus 
B)  deficit 
C)  discrepancy 
D)  bonus 
E)  balance

Question 19

Sophia owns a string of boutiques in Italy.As such she is allowed to have sales only twice a year,in January and June or July.

Accepted Answer

A) True 
 B)False

Question 20

Graham had developed an extremely successful advertising and promotion campaign for a client in the United States.The client wanted to roll out the same campaign to markets worldwide,but Graham cautioned against doing this,most likely because

Accepted Answer

A)  differences in languages, customs, and culture might make the campaign meaningless and ineffective in some markets. 
B)  copyright and intellectual property concerns prevented him from wanting to share his good ideas outside of the U.S. market. 
C)  he had not applied for or received international certification that was required for working outside the United States. 
D)  he was unfamiliar with the code of ethics for advertising in other countries. 
E)  he did not have the budget for a global rollout. 
A)  differences in languages, customs, and culture might make the campaign meaningless and ineffective in some markets. 
B)  copyright and intellectual property concerns prevented him from wanting to share his good ideas outside of the U.S. market. 
C)  he had not applied for or received international certification that was required for working outside the United States. 
D)  he was unfamiliar with the code of ethics for advertising in other countries. 
E)  he did not have the budget for a global rollout.

Entering into a global franchise agreement exposes a company to higher risk than if the company had entered into direct investment in the country.

In a joint venture,the burden of ownership,control,and profits is not shared.

The most common measure of market potential of an economy is a country's

To determine the market potential for its particular product or service,a firm should use

Which of these trade agreements represents the highest level of integration among participating nations?

Franco,a former retailer,has been living in the United States for five years and wants to start a business.He does not have an existing firm or a product,and he doesn't have a lot of capital,but since he loves McDonald's food,he decides to

A __________ limits the quantity of imported merchandise,thus minimizing competition faced by domestic products.

Tariffs,quotas,and currency exchange policies affect global

Celia's firm has developed a breakfast cereal targeted toward children.Rather than compete in the mature U.S.market,she has decided instead to introduce the product in Europe,where she feels it will be innovative.Her advertising agency urged caution because

Briefly describe the four key elements of a country's infrastructure that would concern marketers.

Which of the following is a potential negative factor for foreign investment in China?

Gross national income consists of GDP

Which country has a rapidly aging population due to its one-child policy?

What are the five major trade agreements that cover two-thirds of the world's international trade?

When the value of the dollar declines in relation to other currencies,it benefits U.S.marketers who

The Big Mac Index is a novel measure of

Manufacturers would prefer to produce in a country with a trade __________,because it signals a greater opportunity to export products to more markets.

Sophia owns a string of boutiques in Italy.As such she is allowed to have sales only twice a year,in January and June or July.

Graham had developed an extremely successful advertising and promotion campaign for a client in the United States.The client wanted to roll out the same campaign to markets worldwide,but Graham cautioned against doing this,most likely because

Overview of Marketing

Developing Marketing Strategies and a Marketing Plan

Conscious Marketing,corporate Social Responsibility,and Ethics

Analyzing the Marketing Environment

Consumer Behavior

Business-To-Business Marketing

Segmentation,targeting,and Positioning

Marketing Research

Product,branding,and Packaging Decisions

Developing New Products

Services: the Intangible Product

Pricing Concepts for Establishing Value

Supply Chain and Channel Management

Supply Chain and Channel Management

Retailing and Omnichannel Marketing

Integrated Marketing Communications

Advertising,public Relations,and Sales Promotions

Personal Selling and Sales Management

Filters

Exam 8: Global Marketing

Entering into a global franchise agreement exposes a company to higher risk than if the company had entered into direct investment in the country.

In a joint venture,the burden of ownership,control,and profits is not shared.

The most common measure of market potential of an economy is a country's

To determine the market potential for its particular product or service,a firm should use

Which of these trade agreements represents the highest level of integration among participating nations?

Franco,a former retailer,has been living in the United States for five years and wants to start a business.He does not have an existing firm or a product,and he doesn't have a lot of capital,but since he loves McDonald's food,he decides to

A __________ limits the quantity of imported merchandise,thus minimizing competition faced by domestic products.

Tariffs,quotas,and currency exchange policies affect global

Celia's firm has developed a breakfast cereal targeted toward children.Rather than compete in the mature U.S.market,she has decided instead to introduce the product in Europe,where she feels it will be innovative.Her advertising agency urged caution because

Briefly describe the four key elements of a country's infrastructure that would concern marketers.

Which of the following is a potential negative factor for foreign investment in China?

Gross national income consists of GDP

Which country has a rapidly aging population due to its one-child policy?

What are the five major trade agreements that cover two-thirds of the world's international trade?

When the value of the dollar declines in relation to other currencies,it benefits U.S.marketers who

The Big Mac Index is a novel measure of

Manufacturers would prefer to produce in a country with a trade __________,because it signals a greater opportunity to export products to more markets.

Sophia owns a string of boutiques in Italy.As such she is allowed to have sales only twice a year,in January and June or July.

Graham had developed an extremely successful advertising and promotion campaign for a client in the United States.The client wanted to roll out the same campaign to markets worldwide,but Graham cautioned against doing this,most likely because

Overview of Marketing

Developing Marketing Strategies and a Marketing Plan

Conscious Marketing,corporate Social Responsibility,and Ethics

Analyzing the Marketing Environment

Consumer Behavior

Business-To-Business Marketing

Segmentation,targeting,and Positioning

Marketing Research

Product,branding,and Packaging Decisions

Developing New Products

Services: the Intangible Product

Pricing Concepts for Establishing Value

Supply Chain and Channel Management

Supply Chain and Channel Management

Retailing and Omnichannel Marketing

Integrated Marketing Communications

Advertising,public Relations,and Sales Promotions

Personal Selling and Sales Management

Filters