Question 1

Consumer behavior is highly consistent across different markets.

Accepted Answer

A) True 
 B)False

Question 2

Transfer prices can be set arbitrarily because,as an internal transaction,there are no financial implications to charging transfer prices that are too high or too low.

Accepted Answer

A) True 
 B)False

Question 3

MERCOSUR is a free trade zone linking which of the following South American countries

Accepted Answer

A)  Mexico, Japan, Brazil, Paraguay, and Venezuela 
B)  Mexico, Brazil, and Paraguay 
C)  Brazil, Argentina, Paraguay, and Venezuela 
D)  Canada, Brazil, and Paraguay 
E)  Brazil, Argentina, Paraguay, Uruguay, and Venezuela 
A)  Mexico, Japan, Brazil, Paraguay, and Venezuela 
B)  Mexico, Brazil, and Paraguay 
C)  Brazil, Argentina, Paraguay, and Venezuela 
D)  Canada, Brazil, and Paraguay 
E)  Brazil, Argentina, Paraguay, Uruguay, and Venezuela

Question 4

Marketers must change their conventional marketing practices to sell their products to developing countries.One of the changes that marketers can make is to ________.

Accepted Answer

A)  reduce the price of the product but increase the packaging size 
B)  reduce the size but keep the pricing the same 
C)  reduce the price of the product but keep packaging size the same 
D)  reduce the size and price of the packaging 
E)  increase the price and the packaging size because these countries have never seen the product before 
A)  reduce the price of the product but increase the packaging size 
B)  reduce the size but keep the pricing the same 
C)  reduce the price of the product but keep packaging size the same 
D)  reduce the size and price of the packaging 
E)  increase the price and the packaging size because these countries have never seen the product before

Question 5

When Sears opened department stores in Mexico and Spain,it found qualified local manufacturers to produce many of its products.This is an example of ________.

Accepted Answer

A)  management contracting 
B)  franchising 
C)  licensing 
D)  contract manufacturing 
E)  straight extension 
A)  management contracting 
B)  franchising 
C)  licensing 
D)  contract manufacturing 
E)  straight extension

Question 6

Foreign investors may join with local investors to create a joint venture.Define a joint venture and list some of the advantages and disadvantages to the firms of such a venture.

Accepted Answer

In a joint venture,foreign investors and

Question 7

When forces for global integration are low and forces for national responsiveness are high,a strategy that ________ makes sense.

Accepted Answer

A)  treats the world as a single market 
B)  views the marketplace as completely homogeneous 
C)  treats the world as a portfolio of national opportunities 
D)  standardizes all elements of the marketing mix 
E)  none of the above 
A)  treats the world as a single market 
B)  views the marketplace as completely homogeneous 
C)  treats the world as a portfolio of national opportunities 
D)  standardizes all elements of the marketing mix 
E)  none of the above

Question 8

International companies must decide on how much to adapt their marketing strategy to local conditions.At one extreme are companies that use a globally standardized marketing mix worldwide.A standardized marketing mix includes ________.

Accepted Answer

A)  a concentric strategy that includes the product, integrated marketing communications mix, and distribution strategy 
B)  standardization of the product, communication, and distribution channels, promising lowest costs 
C)  changes only to the product, keeping distribution channels and marketing communications consistent across countries 
D)  changing only the distribution channels to accommodate the host country 
E)  changes only to the product and communication message 
A)  a concentric strategy that includes the product, integrated marketing communications mix, and distribution strategy 
B)  standardization of the product, communication, and distribution channels, promising lowest costs 
C)  changes only to the product, keeping distribution channels and marketing communications consistent across countries 
D)  changing only the distribution channels to accommodate the host country 
E)  changes only to the product and communication message

Question 9

Decisions made by the channels within foreign nations in the whole-channel view of distribution include ________.

Accepted Answer

A)  what channels to use to sell the product to end consumers 
B)  how to get products to the borders of foreign nations 
C)  the types of financing and risk management used when transporting products between countries 
D)  how to get products from their entry point into the company to final buyers and users 
E)  none of the above 
A)  what channels to use to sell the product to end consumers 
B)  how to get products to the borders of foreign nations 
C)  the types of financing and risk management used when transporting products between countries 
D)  how to get products from their entry point into the company to final buyers and users 
E)  none of the above

Question 10

Regional economic integration is defined as the creation of ________.

Accepted Answer

A)  agreements between individual firms for the sake of commerce 
B)  trading agreements between individual countries 
C)  trading agreements between individual firms 
D)  trading agreements between countries and firms 
E)  trading agreements between blocs of countries 
A)  agreements between individual firms for the sake of commerce 
B)  trading agreements between individual countries 
C)  trading agreements between individual firms 
D)  trading agreements between countries and firms 
E)  trading agreements between blocs of countries

Question 11

Smaller packaging and lower sales prices are often critical in markets where incomes are limited.

Accepted Answer

A) True 
 B)False

Question 12

Product invention consists of creating something new.Forward invention is ________.

Accepted Answer

A)  creating a new product to meet a need in another country 
B)  creating a new product to meet the need in the host country 
C)  understanding the differences between host and foreign country markets 
D)  increasing the control over the development of new products 
E)  inventing something that as yet has no "market" 
A)  creating a new product to meet a need in another country 
B)  creating a new product to meet the need in the host country 
C)  understanding the differences between host and foreign country markets 
D)  increasing the control over the development of new products 
E)  inventing something that as yet has no "market"

Question 13

How do multinationals try to prevent gray markets

Accepted Answer

Multinationals try to prevent gray marke

Question 14

A company must decide on how many countries to enter and how fast to expand.A company's entry strategy typically follows one of two possible approaches.What are those approaches

Accepted Answer

The approaches are w

Question 15

Most companies would prefer to remain domestic if their domestic market were large enough.Yet several factors are drawing more and more companies into the international arena.List some of these factors.

Accepted Answer

Some of the factors are: (1)Some foreign

Question 16

Forces promoting global integration include ________.

Accepted Answer

A)  strong local preferences 
B)  heterogeneous demand 
C)  local standards and barriers 
D)  strong consumer resistance to foreign goods 
E)  capital-intensive production 
A)  strong local preferences 
B)  heterogeneous demand 
C)  local standards and barriers 
D)  strong consumer resistance to foreign goods 
E)  capital-intensive production

Question 17

A company can carry on direct exporting in several ways.These include domestic- based export department or division,overseas sales branch or subsidiary,traveling export sales representatives,and ________.

Accepted Answer

A)  foreign-based distributors or agents 
B)  marketing departments based in the foreign country 
C)  export merchants in foreign countries 
D)  export management companies 
E)  none of the above 
A)  foreign-based distributors or agents 
B)  marketing departments based in the foreign country 
C)  export merchants in foreign countries 
D)  export management companies 
E)  none of the above

Question 18

There are several variations of a licensing agreement.One of these that gives the licensee a complete brand concept and operating system is called franchising.

Accepted Answer

A) True 
 B)False

Question 19

________ is one of the most important functions of intermediaries in developing countries and helps perpetuate the long channels of distribution,which are a major obstacle to the expansion of retailing.

Accepted Answer

A)  Haggling 
B)  Breaking bulk 
C)  Risk management 
D)  Transfer pricing 
E)  Dual adaptation 
A)  Haggling 
B)  Breaking bulk 
C)  Risk management 
D)  Transfer pricing 
E)  Dual adaptation

Question 20

What are the choices available to companies when setting prices to avoid price escalation problems

Accepted Answer

The choices are: Set a uniform

Exam 21: Tapping into Global Markets

Consumer behavior is highly consistent across different markets.

Transfer prices can be set arbitrarily because,as an internal transaction,there are no financial implications to charging transfer prices that are too high or too low.

MERCOSUR is a free trade zone linking which of the following South American countries

Marketers must change their conventional marketing practices to sell their products to developing countries.One of the changes that marketers can make is to ________.

When Sears opened department stores in Mexico and Spain,it found qualified local manufacturers to produce many of its products.This is an example of ________.

Foreign investors may join with local investors to create a joint venture.Define a joint venture and list some of the advantages and disadvantages to the firms of such a venture.

When forces for global integration are low and forces for national responsiveness are high,a strategy that ________ makes sense.

International companies must decide on how much to adapt their marketing strategy to local conditions.At one extreme are companies that use a globally standardized marketing mix worldwide.A standardized marketing mix includes ________.

Decisions made by the channels within foreign nations in the whole-channel view of distribution include ________.

Regional economic integration is defined as the creation of ________.

Smaller packaging and lower sales prices are often critical in markets where incomes are limited.

Product invention consists of creating something new.Forward invention is ________.

How do multinationals try to prevent gray markets

A company must decide on how many countries to enter and how fast to expand.A company's entry strategy typically follows one of two possible approaches.What are those approaches

Most companies would prefer to remain domestic if their domestic market were large enough.Yet several factors are drawing more and more companies into the international arena.List some of these factors.

Forces promoting global integration include ________.

A company can carry on direct exporting in several ways.These include domestic- based export department or division,overseas sales branch or subsidiary,traveling export sales representatives,and ________.

There are several variations of a licensing agreement.One of these that gives the licensee a complete brand concept and operating system is called franchising.

________ is one of the most important functions of intermediaries in developing countries and helps perpetuate the long channels of distribution,which are a major obstacle to the expansion of retailing.

What are the choices available to companies when setting prices to avoid price escalation problems

Defining Marketing for the 21st Century

Developing Marketing Strategies and Plans

Gathering Information and Scanning the Environment

Conducting Marketing Research and Forecasting Demand

Creating Customer Value, Satisfaction, and Loyalty

Analyzing Consumer Markets

Analyzing Business Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Positioning

Dealing with Competition

Setting Product Strategy

Designing and Managing Services

Developing Pricing Strategies and Programs

Designing and Managing Integrated Marketing

Managing Retailing, Wholesaling, and Logistics

Designing and Managing Integrated Marketing Communications

Managing Mass Communications:

Managing Personal Communications:

Introducing New Market Offerings

Managing a Holistic Marketing Organization

Filters