Question 1

Direct marketing entails selling directly to end users.

Accepted Answer

A) True 
 B)False

Question 2

When an exporter gains a price advantage because its home-country currency is weakening relative to its customer's currency, then it should consider lowering the prices of its products.

Accepted Answer

A) True 
 B)False

Question 3

Discuss four factors that would persuade firms to adapt elements of their marketing programs for individual markets. Provide suitable examples.

Accepted Answer

Although firms usually prefer to standar

Question 4

Gray marketers are ________.

Accepted Answer

A)  typically large business conglomerates 
B)  unauthorized intermediaries 
C)  authorized distributors 
D)  a firm's most effective promotional channels 
A)  typically large business conglomerates 
B)  unauthorized intermediaries 
C)  authorized distributors 
D)  a firm's most effective promotional channels

Question 5

International Price Setting (Scenario)
The Comfy Couch Corporation (CCC) is a leading American manufacturer of sofas, sectionals, and lounge chairs. Managers from the U.S.-based firm recently met a London retailer who expressed an interest in selling CCC lounge chairs in his stores. The retailer sells a number of different furniture brands in his stores, so CCC managers need to price their furniture appropriately if the firm is to be competitive in the European market.
-Which of the following should most likely be considered by managers of CCC before setting the price for the lounge chairs manufactured by the company?

Accepted Answer

A)  In what other markets could CCC export its high-priced line of furniture? 
B)  Would the London retailer be able to recommend appropriate intermediaries? 
C)  What type of pricing strategy best corresponds to the corporate goals of CCC? 
D)  Does CCC plan to implement product diversification in the future? 
A)  In what other markets could CCC export its high-priced line of furniture? 
B)  Would the London retailer be able to recommend appropriate intermediaries? 
C)  What type of pricing strategy best corresponds to the corporate goals of CCC? 
D)  Does CCC plan to implement product diversification in the future?

Question 6

Which of the following best characterizes the purpose of a global marketing strategy?

Accepted Answer

A)  guides firms on hiring highly skilled resources 
B)  provides managers with demographic data 
C)  helps managers check high employee turnover 
D)  guides firms in targeting the right customer segments 
A)  guides firms on hiring highly skilled resources 
B)  provides managers with demographic data 
C)  helps managers check high employee turnover 
D)  guides firms in targeting the right customer segments

Question 7

Taken together, the key elements of a company's marketing program are known as the ________.

Accepted Answer

A)  product mix 
B)  value chain 
C)  product lifecycle 
D)  marketing mix 
A)  product mix 
B)  value chain 
C)  product lifecycle 
D)  marketing mix

Question 8

All of the following are true of global new-product planning teams EXCEPT ________.

Accepted Answer

A)  they assemble employees with special knowledge and expertise 
B)  they are responsible for global promotion of products and services 
C)  they include geographically-diverse employees in team activities 
D)  they determine which elements of the product will be standardized 
A)  they assemble employees with special knowledge and expertise 
B)  they are responsible for global promotion of products and services 
C)  they include geographically-diverse employees in team activities 
D)  they determine which elements of the product will be standardized

Question 9

Refrigerator Adaptations (Scenario)
Cold-Aire Inc. manufactures refrigerators from its facilities in the United States and China and ships them to retail stores around the world. Kitchen sizes vary around the world, and as a result, refrigerator sizes must vary as well. U.S. retailers want large refrigerators, while European and Asian retailers demand smaller units. Cold-Aire manufactures over 20 different models of refrigerators, which often vary in size by only a few inches. Cold-Aire managers are concerned that the firm is losing money because of product adaptations. Cold-Aire management is meeting to discuss the various cost-saving options for the firm.
-Which of the following refers to an advantage for firms that adapt a unique marketing program for an individual market?

Accepted Answer

A)  By doing so, firms decrease their reliance on foreign market intermediaries for large sales. 
B)  By doing so, firms scale up production substantially to meet the needs of a large and growing market. 
C)  Products are tailored to specifically meet the exclusive needs of customers in that market. 
D)  Governments provide heavy tax reliefs to firms that modify products and services. 
A)  By doing so, firms decrease their reliance on foreign market intermediaries for large sales. 
B)  By doing so, firms scale up production substantially to meet the needs of a large and growing market. 
C)  Products are tailored to specifically meet the exclusive needs of customers in that market. 
D)  Governments provide heavy tax reliefs to firms that modify products and services.

Question 10

Briefly discuss the principal advantages of standardization.

Accepted Answer

When managers build on commonalities in

Question 11

Define international price escalation. Discuss how distribution channel length affects international business transactions.

Accepted Answer

International price escalation refers to

Question 12

The practice of pricing intermediate or finished products exchanged among the subsidiaries and affiliates of the same corporate family located in different countries is known as ________.

Accepted Answer

A)  transfer pricing 
B)  breakeven pricing 
C)  premium pricing 
D)  discounting 
A)  transfer pricing 
B)  breakeven pricing 
C)  premium pricing 
D)  discounting

Question 13

Promotional activities are typically long-term marketing activities.

Accepted Answer

A) True 
 B)False

Question 14

All of the following refer to external factors that impact international pricing EXCEPT ________.

Accepted Answer

A)  cost of manufacturing 
B)  value-added taxes 
C)  shipping 
D)  anticipated fluctuations in currency exchange rates 
A)  cost of manufacturing 
B)  value-added taxes 
C)  shipping 
D)  anticipated fluctuations in currency exchange rates

Question 15

MNEs typically centralize transfer pricing under the direction of the chief financial officer at corporate headquarters.

Accepted Answer

A) True 
 B)False

Question 16

In international business, marketing is concerned with ________.

Accepted Answer

A)  disseminating the organizational culture of a firm across global subsidiaries 
B)  identifying, measuring, and pursuing customer needs and market opportunities abroad 
C)  maintaining a steady flow of product-based innovations 
D)  interacting with global business leaders 
A)  disseminating the organizational culture of a firm across global subsidiaries 
B)  identifying, measuring, and pursuing customer needs and market opportunities abroad 
C)  maintaining a steady flow of product-based innovations 
D)  interacting with global business leaders

Question 17

A standardized marketing approach is appropriate when customers seek similar features in the product or service.

Accepted Answer

A) True 
 B)False

Question 18

Differences in culture, laws, and media availability imply ________.

Accepted Answer

A)  that culture is a weak determinant of buyer attitudes toward the role and function of advertising 
B)  that international advertising expenditures tend to remain unchanged regardless of the firm's foreign operations 
C)  that it is seldom possible to duplicate in foreign markets the type and mix of advertising used in the home market 
D)  that it is difficult to influence buyer perception through media 
A)  that culture is a weak determinant of buyer attitudes toward the role and function of advertising 
B)  that international advertising expenditures tend to remain unchanged regardless of the firm's foreign operations 
C)  that it is seldom possible to duplicate in foreign markets the type and mix of advertising used in the home market 
D)  that it is difficult to influence buyer perception through media

Question 19

What is global account management? Briefly describe the role of global account management in international business.

Accepted Answer

Serving a key global customer in a consi

Question 20

Refrigerator Adaptations (Scenario)
Cold-Aire Inc. manufactures refrigerators from its facilities in the United States and China and ships them to retail stores around the world. Kitchen sizes vary around the world, and as a result, refrigerator sizes must vary as well. U.S. retailers want large refrigerators, while European and Asian retailers demand smaller units. Cold-Aire manufactures over 20 different models of refrigerators, which often vary in size by only a few inches. Cold-Aire managers are concerned that the firm is losing money because of product adaptations. Cold-Aire management is meeting to discuss the various cost-saving options for the firm.
-Which of the following would most likely be a result of increased standardization of Cold-Aire refrigerators?

Accepted Answer

A)  Cold-Aire would stop exporting refrigerators completely. 
B)  Cold-Aire would open a facility to produce customized refrigerator models. 
C)  Cold-Aire would implement a uniform international marketing campaign. 
D)  Cold-Aire would hire fewer workers and pay lower wages. 
A)  Cold-Aire would stop exporting refrigerators completely. 
B)  Cold-Aire would open a facility to produce customized refrigerator models. 
C)  Cold-Aire would implement a uniform international marketing campaign. 
D)  Cold-Aire would hire fewer workers and pay lower wages.

Direct marketing entails selling directly to end users.

When an exporter gains a price advantage because its home-country currency is weakening relative to its customer's currency, then it should consider lowering the prices of its products.

Discuss four factors that would persuade firms to adapt elements of their marketing programs for individual markets. Provide suitable examples.

Gray marketers are ________.

Which of the following best characterizes the purpose of a global marketing strategy?

Taken together, the key elements of a company's marketing program are known as the ________.

All of the following are true of global new-product planning teams EXCEPT ________.

Briefly discuss the principal advantages of standardization.

Define international price escalation. Discuss how distribution channel length affects international business transactions.

The practice of pricing intermediate or finished products exchanged among the subsidiaries and affiliates of the same corporate family located in different countries is known as ________.

Promotional activities are typically long-term marketing activities.

All of the following refer to external factors that impact international pricing EXCEPT ________.

MNEs typically centralize transfer pricing under the direction of the chief financial officer at corporate headquarters.

In international business, marketing is concerned with ________.

A standardized marketing approach is appropriate when customers seek similar features in the product or service.

Differences in culture, laws, and media availability imply ________.

What is global account management? Briefly describe the role of global account management in international business.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

Organizational Participants That Make International Business Happen

The Cultural Environment of International Business

Ethics and International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention in International Business

Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Countertrade

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Global Sourcing

Human Resource Management in the Global Firm

Financial Management and Accounting in the Global Firm

Filters

Exam 18: Marketing in the Global Firm

Direct marketing entails selling directly to end users.

When an exporter gains a price advantage because its home-country currency is weakening relative to its customer's currency, then it should consider lowering the prices of its products.

Discuss four factors that would persuade firms to adapt elements of their marketing programs for individual markets. Provide suitable examples.

Gray marketers are ________.

Which of the following best characterizes the purpose of a global marketing strategy?

Taken together, the key elements of a company's marketing program are known as the ________.

All of the following are true of global new-product planning teams EXCEPT ________.

Briefly discuss the principal advantages of standardization.

Define international price escalation. Discuss how distribution channel length affects international business transactions.

The practice of pricing intermediate or finished products exchanged among the subsidiaries and affiliates of the same corporate family located in different countries is known as ________.

Promotional activities are typically long-term marketing activities.

All of the following refer to external factors that impact international pricing EXCEPT ________.

MNEs typically centralize transfer pricing under the direction of the chief financial officer at corporate headquarters.

In international business, marketing is concerned with ________.

A standardized marketing approach is appropriate when customers seek similar features in the product or service.

Differences in culture, laws, and media availability imply ________.

What is global account management? Briefly describe the role of global account management in international business.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

Organizational Participants That Make International Business Happen

The Cultural Environment of International Business

Ethics and International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention in International Business

Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Countertrade

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Global Sourcing

Human Resource Management in the Global Firm

Financial Management and Accounting in the Global Firm

Filters