Question 1

Export incentive schemes such as the Export Expansion Grant Schemes are NOT regarded as being part of the dumping approach.

Accepted Answer

A) True 
 B)False

Question 2

The use of the internet to remove parts of the distribution channel is known as:

Accepted Answer

A)  optimisation. 
B)  disengaging. 
C)  disintermediation. 
D)  customisation. 
E)  direct distribution. 
A)  optimisation. 
B)  disengaging. 
C)  disintermediation. 
D)  customisation. 
E)  direct distribution.

Question 3

The only variable that can be changed in the international market at short notice is distribution.

Accepted Answer

A) True 
 B)False

Question 4

Explain how a business firm can utilise transfer pricing to gain benefit, and highlight any outcomes that might produce a negative result for any parties affected by the transfer pricing process.

Accepted Answer

Transfer pricing occurs when a firm has

Question 5

From the buyer's perspective, which method of payment is the most advantageous?

Accepted Answer

A)  cash in advance 
B)  documents against acceptance 
C)  open account 
D)  letter of credit 
E)  consignment 
A)  cash in advance 
B)  documents against acceptance 
C)  open account 
D)  letter of credit 
E)  consignment

Question 6

The role of price is an important element in a firm's international marketing mix because price will:

Accepted Answer

A)  help to produce profit for the firm. 
B)  affect demand for a product. 
C)  generate revenue for the firm. 
D)  affect the perceived value of the product. 
E)  all of the above. 
A)  help to produce profit for the firm. 
B)  affect demand for a product. 
C)  generate revenue for the firm. 
D)  affect the perceived value of the product. 
E)  all of the above.

Question 7

Which of the following statements related to the role of pricing and distribution in an overseas country is NOT true?

Accepted Answer

A)  The selected channels of distribution often dictate export pricing. 
B)  Reducing the number of intermediaries reduces the international escalation of price. 
C)  The length of the distribution channel varies from country to country, which can add to the cost of the price charged for a product. 
D)  The costs and margins of a given channel vary from country to country. 
E)  When a firm has a subsidiary in an overseas market it is able to exert less control on the price charged for the product in that market. 
A)  The selected channels of distribution often dictate export pricing. 
B)  Reducing the number of intermediaries reduces the international escalation of price. 
C)  The length of the distribution channel varies from country to country, which can add to the cost of the price charged for a product. 
D)  The costs and margins of a given channel vary from country to country. 
E)  When a firm has a subsidiary in an overseas market it is able to exert less control on the price charged for the product in that market.

Question 8

When determining the final price in international marketing, which of the following needs to be factored in?

Accepted Answer

A)  terms of sales 
B)  terms of payment 
C)  consistency with other elements of the marketing mix 
D)  all of the above 
E)  options B and C only 
A)  terms of sales 
B)  terms of payment 
C)  consistency with other elements of the marketing mix 
D)  all of the above 
E)  options B and C only

Question 9

When a foreign firm intentionally sells at a loss in another country this form of dumping is referred to as ________ dumping.

Accepted Answer

A)  internationally 
B)  sporadic 
C)  unintentional 
D)  intentionally 
E)  predatory 
A)  internationally 
B)  sporadic 
C)  unintentional 
D)  intentionally 
E)  predatory

Question 10

There are four possible methods of transfer pricing between national divisions of a country, one of which is arm's length sales.

Accepted Answer

A) True 
 B)False

Question 11

There are five possible methods of transfer pricing between national divisions of a company, which are:

Accepted Answer

A)  sale at the local competitive cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
B)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient distributor in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
C)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at competitive prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
D)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
E)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to dependent customers. 
A)  sale at the local competitive cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
B)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient distributor in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
C)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at competitive prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
D)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to independent customers. 
E)  sale at the local manufacturing cost, sale at the local manufacturing cost plus a standard mark-up, sale at the cost of the most efficient producer in the company plus a standard mark-up, sale at negotiated prices on those prevailing in the foreign market and arm's length sales using the same prices as quoted to dependent customers.

Question 12

Discuss the concept of reference prices in international marketing. What non-price factors of the marketing mix help to differentiate the pricing of products away from the core reference price held in the mind of the market?

Accepted Answer

The price that an international buyer pa

Question 13

Where there are currency fluctuations and the Australian dollar is weak, emphasising price benefits and expanding the product line or adding product features are valid strategies in a foreign market.

Accepted Answer

A) True 
 B)False

Question 14

The internet reduces the exporter's ability to extract price premiums from buyers.

Accepted Answer

A) True 
 B)False

Question 15

Ways of responding to price changes in international markets often focus on reducing the cost of goods as supplied to the market. Ways of achieving reduced costs include:

Accepted Answer

A)  manufacturing the product in the overseas country. 
B)  assembling the product in the overseas market using local labour. 
C)  eliminating costly product features. 
D)  reducing the number of international intermediaries. 
E)  all of the above. 
A)  manufacturing the product in the overseas country. 
B)  assembling the product in the overseas market using local labour. 
C)  eliminating costly product features. 
D)  reducing the number of international intermediaries. 
E)  all of the above.

Question 16

In international markets, dumping refers to the practice of selling products overseas at a price:

Accepted Answer

A)  lower than the cost of production. 
B)  higher than the current domestic value in the country of origin. 
C)  lower than the current domestic value in the country of destination. 
D)  higher than the current domestic value in the country of destination. 
E)  lower than the current domestic value in the country of origin. 
A)  lower than the cost of production. 
B)  higher than the current domestic value in the country of origin. 
C)  lower than the current domestic value in the country of destination. 
D)  higher than the current domestic value in the country of destination. 
E)  lower than the current domestic value in the country of origin.

Question 17

A marketplace-based approach to price setting in new international markets starts with knowledge of:

Accepted Answer

A)  competitors' costs. 
B)  the level of consumer demand. 
C)  the price of competitive products in the overseas market. 
D)  the firm's internal cost structure. 
E)  the product's research and development capabilities. 
A)  competitors' costs. 
B)  the level of consumer demand. 
C)  the price of competitive products in the overseas market. 
D)  the firm's internal cost structure. 
E)  the product's research and development capabilities.

Question 18

When considering a global pricing strategy, which one of the following is NOT a consideration for devising the firm's strategy?

Accepted Answer

A)  transfer pricing 
B)  standard world prices 
C)  market-differentiated prices 
D)  modified pricing policy 
E)  none of the above 
A)  transfer pricing 
B)  standard world prices 
C)  market-differentiated prices 
D)  modified pricing policy 
E)  none of the above

Export incentive schemes such as the Export Expansion Grant Schemes are NOT regarded as being part of the dumping approach.

The use of the internet to remove parts of the distribution channel is known as:

The only variable that can be changed in the international market at short notice is distribution.

Explain how a business firm can utilise transfer pricing to gain benefit, and highlight any outcomes that might produce a negative result for any parties affected by the transfer pricing process.

From the buyer's perspective, which method of payment is the most advantageous?

The role of price is an important element in a firm's international marketing mix because price will:

Which of the following statements related to the role of pricing and distribution in an overseas country is NOT true?

When determining the final price in international marketing, which of the following needs to be factored in?

When a foreign firm intentionally sells at a loss in another country this form of dumping is referred to as ________ dumping.

There are four possible methods of transfer pricing between national divisions of a country, one of which is arm's length sales.

There are five possible methods of transfer pricing between national divisions of a company, which are:

Discuss the concept of reference prices in international marketing. What non-price factors of the marketing mix help to differentiate the pricing of products away from the core reference price held in the mind of the market?

Where there are currency fluctuations and the Australian dollar is weak, emphasising price benefits and expanding the product line or adding product features are valid strategies in a foreign market.

The internet reduces the exporter's ability to extract price premiums from buyers.

Ways of responding to price changes in international markets often focus on reducing the cost of goods as supplied to the market. Ways of achieving reduced costs include:

In international markets, dumping refers to the practice of selling products overseas at a price:

A marketplace-based approach to price setting in new international markets starts with knowledge of:

When considering a global pricing strategy, which one of the following is NOT a consideration for devising the firm's strategy?

Rationale for International Marketing

Avoiding the Pitfalls of the International Political and Legal Environment

Catering for the Social and Cultural Environment of International Marketing

Technology Change and International Marketing

Contemporary Environmental Variables in International Marketing

Research in International Markets

International Market Selection and Entry

International Competitive Strategy

Internationalization, Relationships and Networks

Globalization

Planning for Effective International Marketing

Modifying Products for International Markets

Promotion in International Marketing

Effective International Distribution

Marketing Services and Projects Overseas

International Marketing in the Decade Ahead

Filters

Exam 14: International Pricing for Profit

Export incentive schemes such as the Export Expansion Grant Schemes are NOT regarded as being part of the dumping approach.

The use of the internet to remove parts of the distribution channel is known as:

The only variable that can be changed in the international market at short notice is distribution.

Explain how a business firm can utilise transfer pricing to gain benefit, and highlight any outcomes that might produce a negative result for any parties affected by the transfer pricing process.

From the buyer's perspective, which method of payment is the most advantageous?

The role of price is an important element in a firm's international marketing mix because price will:

Which of the following statements related to the role of pricing and distribution in an overseas country is NOT true?

When determining the final price in international marketing, which of the following needs to be factored in?

When a foreign firm intentionally sells at a loss in another country this form of dumping is referred to as ________ dumping.

There are four possible methods of transfer pricing between national divisions of a country, one of which is arm's length sales.

There are five possible methods of transfer pricing between national divisions of a company, which are:

Discuss the concept of reference prices in international marketing. What non-price factors of the marketing mix help to differentiate the pricing of products away from the core reference price held in the mind of the market?

Where there are currency fluctuations and the Australian dollar is weak, emphasising price benefits and expanding the product line or adding product features are valid strategies in a foreign market.

The internet reduces the exporter's ability to extract price premiums from buyers.

Ways of responding to price changes in international markets often focus on reducing the cost of goods as supplied to the market. Ways of achieving reduced costs include:

In international markets, dumping refers to the practice of selling products overseas at a price:

A marketplace-based approach to price setting in new international markets starts with knowledge of:

When considering a global pricing strategy, which one of the following is NOT a consideration for devising the firm's strategy?

Rationale for International Marketing

Avoiding the Pitfalls of the International Political and Legal Environment

Catering for the Social and Cultural Environment of International Marketing

Technology Change and International Marketing

Contemporary Environmental Variables in International Marketing

Research in International Markets

International Market Selection and Entry

International Competitive Strategy

Internationalization, Relationships and Networks

Globalization

Planning for Effective International Marketing

Modifying Products for International Markets

Promotion in International Marketing

Effective International Distribution

Marketing Services and Projects Overseas

International Marketing in the Decade Ahead

Filters