Question 1

Why does price escalation most likely occur in exporting?

Accepted Answer

A)  The WTO requires that prices increase. 
B)  Companies rely on skimming price strategies. 
C)  Greater distances and more intermediaries increase distribution costs. 
D)  Uncertain currency value changes necessitate charging higher prices. 
A)  The WTO requires that prices increase. 
B)  Companies rely on skimming price strategies. 
C)  Greater distances and more intermediaries increase distribution costs. 
D)  Uncertain currency value changes necessitate charging higher prices.

Question 2

The marketing approach a company takes internationally should be compatible with its overall aims and strategies.

Accepted Answer

A) True 
 B)False

Question 3

A company would most likely export at a price lower than its production and distribution costs in order to ________.

Accepted Answer

A)  use a skimming strategy abroad before using one domestically 
B)  test a market before making a big commitment 
C)  use a cost-plus strategy globally 
D)  encourage gray market sales 
A)  use a skimming strategy abroad before using one domestically 
B)  test a market before making a big commitment 
C)  use a cost-plus strategy globally 
D)  encourage gray market sales

Question 4

All of the following are true about the Internet and electronic commerce EXCEPT which one?

Accepted Answer

A)  Suppliers can deal more quickly with their customers. 
B)  It enhances companies' ability to differentiate their marketing methods by country. 
C)  Customers worldwide can quickly compare prices from different distributors. 
D)  To be successful, companies must be able to deliver efficiently what they sell over the Internet. 
A)  Suppliers can deal more quickly with their customers. 
B)  It enhances companies' ability to differentiate their marketing methods by country. 
C)  Customers worldwide can quickly compare prices from different distributors. 
D)  To be successful, companies must be able to deliver efficiently what they sell over the Internet.

Question 5

In a short essay,describe the various reasons for product alteration.

Accepted Answer

a.Legal reasons: Explicit legal requirem

Question 6

Ampco Industries has a production facility in an area of India in which roads are poorly maintained and dangerous. What part of Ampco's marketing mix do these conditions most likely affect?

Accepted Answer

A)  distribution 
B)  branding 
C)  product standardization 
D)  promotion 
A)  distribution 
B)  branding 
C)  product standardization 
D)  promotion

Question 7

What is the LEAST likely reason that international companies are concerned about the gray market?

Accepted Answer

A)  undermining the long-term viability of the distributorship system 
B)  causing a firm's operations in different countries to compete against each other 
C)  requiring companies to make frequent price adjustments to capture the market 
D)  preventing companies from charging what the market will bear in each country 
A)  undermining the long-term viability of the distributorship system 
B)  causing a firm's operations in different countries to compete against each other 
C)  requiring companies to make frequent price adjustments to capture the market 
D)  preventing companies from charging what the market will bear in each country

Question 8

Which of the following statements is important to companies in order for them to gain contracts with foreign distributors?

Accepted Answer

A)  Convince the distributors that the product and company are viable. 
B)  Offer high margins so distributors will compete to get the account. 
C)  Determine the distribution gap before signing a contract. 
D)  Establish in-house distribution to demonstrate what is desired. 
A)  Convince the distributors that the product and company are viable. 
B)  Offer high margins so distributors will compete to get the account. 
C)  Determine the distribution gap before signing a contract. 
D)  Establish in-house distribution to demonstrate what is desired.

Question 9

In a short essay,discuss the standardization of two marketing components: advertising and distribution.

Accepted Answer

In addition to reducing costs,advertisin

Question 10

Antidumping regulations of the WTO allow countries to establish restrictions against any exports that fail to meet quality standards.

Accepted Answer

A) True 
 B)False

Question 11

When the currency value in the location where a company produces becomes stronger,the company most likely needs to adjust its margins downward to be competitive in export markets.

Accepted Answer

A) True 
 B)False

Question 12

What is the most common way of identifying market segments within a country?

Accepted Answer

A)  psychographics 
B)  the Internet 
C)  gap analysis 
D)  demographics 
A)  psychographics 
B)  the Internet 
C)  gap analysis 
D)  demographics

Question 13

Why are MNEs criticized for exporting to developing countries the same products they sell in developed countries?

Accepted Answer

A)  The prices of the products are too low in developing countries. 
B)  Many of the products are deemed to be unnecessary for low income consumers. 
C)  The sales enhance local company failures in developing countries. 
D)  Developing countries need local production rather than imports. 
A)  The prices of the products are too low in developing countries. 
B)  Many of the products are deemed to be unnecessary for low income consumers. 
C)  The sales enhance local company failures in developing countries. 
D)  Developing countries need local production rather than imports.

Question 14

Which of the following best describes a company that follows a social marketing orientation?

Accepted Answer

A)  It considers political and safety dimensions of its products. 
B)  It is a not-for-profit entity based in a developed country. 
C)  It is a government-owned entity from an emerging economy. 
D)  It generates sales to niche markets using social networking sites. 
A)  It considers political and safety dimensions of its products. 
B)  It is a not-for-profit entity based in a developed country. 
C)  It is a government-owned entity from an emerging economy. 
D)  It generates sales to niche markets using social networking sites.

Question 15

A push strategy for international sales is most likely preferable to a pull strategy when ________.

Accepted Answer

A)  there are few prohibitions on advertising 
B)  the price of the product is high relative to incomes 
C)  people rely on friends' opinions before buying a product 
D)  literacy rates are high 
A)  there are few prohibitions on advertising 
B)  the price of the product is high relative to incomes 
C)  people rely on friends' opinions before buying a product 
D)  literacy rates are high

Question 16

Gap analysis is ________.

Accepted Answer

A)  a method for estimating a company's potential sales by identifying segments it is not serving adequately 
B)  an investment advisor's report on the future of one of the leading clothing retailers 
C)  the leap-frogging of demand in many developing economies whereby consumers skip certain generations of products, buying the latest model instead 
D)  an estimation of the disparity in incomes between the very rich and the very poor in a given market 
A)  a method for estimating a company's potential sales by identifying segments it is not serving adequately 
B)  an investment advisor's report on the future of one of the leading clothing retailers 
C)  the leap-frogging of demand in many developing economies whereby consumers skip certain generations of products, buying the latest model instead 
D)  an estimation of the disparity in incomes between the very rich and the very poor in a given market

Question 17

The most common way of identifying market segments is through demographics.

Accepted Answer

A) True 
 B)False

Question 18

What is the gray market?

Accepted Answer

A)  sales targeted to elderly consumers 
B)  selling goods through unofficial distributors 
C)  a legal black market run by governments 
D)  selling counterfeit merchandise 
A)  sales targeted to elderly consumers 
B)  selling goods through unofficial distributors 
C)  a legal black market run by governments 
D)  selling counterfeit merchandise

Question 19

Which of the following statements is most likely true?

Accepted Answer

A)  Consumers in most countries believe that imported products are better than locally made products. 
B)  Brand names have little impact on perceptions about a product's country-of-origin. 
C)  Consumers in most countries favor locally made products over imported products. 
D)  A positive brand image helps overcome negative perceptions about a product's country-of-origin. 
A)  Consumers in most countries believe that imported products are better than locally made products. 
B)  Brand names have little impact on perceptions about a product's country-of-origin. 
C)  Consumers in most countries favor locally made products over imported products. 
D)  A positive brand image helps overcome negative perceptions about a product's country-of-origin.

Question 20

Critics complain that pharmaceutical research budgets emphasize non-debilitating conditions common in developed countries rather than life-threatening diseases common in developing countries. People answering this criticism have contended that ________.

Accepted Answer

A)  correction of developed country conditions, such as balding, are necessary to stimulate developing country innovations that push global economic growth 
B)  very small portions of research budgets actually target these non-debilitating conditions 
C)  by being located almost entirely in developed countries, pharmaceutical companies lack access to locations where they can study diseases such as malaria and sleeping sickness 
D)  pharmaceutical companies cannot recoup expenses for research on some of the developing country problems, so governmental research centers and nonprofit foundations should handle this research 
A)  correction of developed country conditions, such as balding, are necessary to stimulate developing country innovations that push global economic growth 
B)  very small portions of research budgets actually target these non-debilitating conditions 
C)  by being located almost entirely in developed countries, pharmaceutical companies lack access to locations where they can study diseases such as malaria and sleeping sickness 
D)  pharmaceutical companies cannot recoup expenses for research on some of the developing country problems, so governmental research centers and nonprofit foundations should handle this research

Why does price escalation most likely occur in exporting?

The marketing approach a company takes internationally should be compatible with its overall aims and strategies.

A company would most likely export at a price lower than its production and distribution costs in order to ________.

All of the following are true about the Internet and electronic commerce EXCEPT which one?

In a short essay,describe the various reasons for product alteration.

Ampco Industries has a production facility in an area of India in which roads are poorly maintained and dangerous. What part of Ampco's marketing mix do these conditions most likely affect?

What is the LEAST likely reason that international companies are concerned about the gray market?

Which of the following statements is important to companies in order for them to gain contracts with foreign distributors?

In a short essay,discuss the standardization of two marketing components: advertising and distribution.

Antidumping regulations of the WTO allow countries to establish restrictions against any exports that fail to meet quality standards.

When the currency value in the location where a company produces becomes stronger,the company most likely needs to adjust its margins downward to be competitive in export markets.

What is the most common way of identifying market segments within a country?

Why are MNEs criticized for exporting to developing countries the same products they sell in developed countries?

Which of the following best describes a company that follows a social marketing orientation?

A push strategy for international sales is most likely preferable to a pull strategy when ________.

Gap analysis is ________.

The most common way of identifying market segments is through demographics.

What is the gray market?

Which of the following statements is most likely true?

Critics complain that pharmaceutical research budgets emphasize non-debilitating conditions common in developed countries rather than life-threatening diseases common in developing countries. People answering this criticism have contended that ________.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

Globalization and Society

International Trade and Factor Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Global Manufacturing and Supply Chain Management

International Accounting Issues

The Multinational Finance Function

International Human Resources

Filters

Exam 16: Marketing Globally

Why does price escalation most likely occur in exporting?

The marketing approach a company takes internationally should be compatible with its overall aims and strategies.

A company would most likely export at a price lower than its production and distribution costs in order to ________.

All of the following are true about the Internet and electronic commerce EXCEPT which one?

In a short essay,describe the various reasons for product alteration.

Ampco Industries has a production facility in an area of India in which roads are poorly maintained and dangerous. What part of Ampco's marketing mix do these conditions most likely affect?

What is the LEAST likely reason that international companies are concerned about the gray market?

Which of the following statements is important to companies in order for them to gain contracts with foreign distributors?

In a short essay,discuss the standardization of two marketing components: advertising and distribution.

Antidumping regulations of the WTO allow countries to establish restrictions against any exports that fail to meet quality standards.

When the currency value in the location where a company produces becomes stronger,the company most likely needs to adjust its margins downward to be competitive in export markets.

What is the most common way of identifying market segments within a country?

Why are MNEs criticized for exporting to developing countries the same products they sell in developed countries?

Which of the following best describes a company that follows a social marketing orientation?

A push strategy for international sales is most likely preferable to a pull strategy when ________.

Gap analysis is ________.

The most common way of identifying market segments is through demographics.

What is the gray market?

Which of the following statements is most likely true?

Critics complain that pharmaceutical research budgets emphasize non-debilitating conditions common in developed countries rather than life-threatening diseases common in developing countries. People answering this criticism have contended that ________.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

Globalization and Society

International Trade and Factor Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Global Manufacturing and Supply Chain Management

International Accounting Issues

The Multinational Finance Function

International Human Resources

Filters