Question 1

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 2

Firms alter their products for foreign markets for all of the following reasons EXCEPT ________.

Accepted Answer

A) the home country export requirement 
B) religious differences abroad 
C) weak infrastructures in some countries 
D) to respond to legal requirements 
A) the home country export requirement 
B) religious differences abroad 
C) weak infrastructures in some countries 
D) to respond to legal requirements

Question 3

A push strategy is most likely preferable to a pull strategy when the price of the product is high relative to incomes.

Accepted Answer

A) True 
 B)False

Question 4

A company that prices its products at a desired margin over cost is using a cost-plus strategy.

Accepted Answer

A) True 
 B)False

Question 5

Dixon Electronics recently introduced a new computer with features unavailable from other products on the market.Dixon is charging a very high price for the computer and has plans to progressively lower the price over the next year.Dixon is most likely using a ________ strategy.

Accepted Answer

A) cost-plus 
B) skimming 
C) penetration 
D) diversification 
A) cost-plus 
B) skimming 
C) penetration 
D) diversification

Question 6

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

Accepted Answer

a.Legal reasons: Explicit legal requirem

Question 7

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 8

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

Question 9

In comparing international and domestic marketing, it is best to state that ________.

Accepted Answer

A) similar principles are at work 
B) mass-market orientations are most effective 
C) principles differ for product and price, but not for advertising 
D) the differences between them can be studied through gap analysis 
A) similar principles are at work 
B) mass-market orientations are most effective 
C) principles differ for product and price, but not for advertising 
D) the differences between them can be studied through gap analysis

Question 10

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 11

Companies using a sales orientation find their greatest ability to sell the same product in more than one country when ________.

Accepted Answer

A) promotional programs are identical in each country 
B) consumer characteristics are similar 
C) the product is a household item 
D) the product has a low price relative to incomes 
A) promotional programs are identical in each country 
B) consumer characteristics are similar 
C) the product is a household item 
D) the product has a low price relative to incomes

Question 12

Gap analysis may show that the combined market potential among several countries may justify product development costs.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following BEST describes globally standardized advertising?

Accepted Answer

A) a campaign that is identical in all markets 
B) a campaign that meets the legal and ethical standards of all countries 
C) a campaign that is similar but not identical from market to market 
D) a campaign that depends primarily on push rather than pull promotion 
A) a campaign that is identical in all markets 
B) a campaign that meets the legal and ethical standards of all countries 
C) a campaign that is similar but not identical from market to market 
D) a campaign that depends primarily on push rather than pull promotion

Question 14

Passive exports involve the filling of unsolicited orders from abroad.

Accepted Answer

A) True 
 B)False

Question 15

How do foreign government regulations affect pricing and promotion for international businesses?

Accepted Answer

Government regulations may directly or i

Question 16

Higher disposable income and technological advances help overcome many geographic constraints on product demand and distribution.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following is true concerning countries' distribution systems?

Accepted Answer

A) They reflect the economic levels of countries, so countries at similar economic levels have similar distribution systems. 
B) They are difficult to change because they have evolved over time, reflecting countries' cultural, economic, and legal environments. 
C) They are more similar among countries than pricing and promotional systems are. 
D) When standardized, they offer more cost savings for international companies than when products are standardized. 
A) They reflect the economic levels of countries, so countries at similar economic levels have similar distribution systems. 
B) They are difficult to change because they have evolved over time, reflecting countries' cultural, economic, and legal environments. 
C) They are more similar among countries than pricing and promotional systems are. 
D) When standardized, they offer more cost savings for international companies than when products are standardized.

Question 18

Tommy Hilfiger has encountered some European resistance to the sale of its products because ________.

Accepted Answer

A) many European consumers associate France and Italy, rather than the United States, with upscale fashions 
B) its customary prices, especially for the German market, have been out of reach for its target market 
C) it has refused to adjust products to fit the tastes and needs of local consumers 
D) it has depended on self-service in its company-owned stores 
A) many European consumers associate France and Italy, rather than the United States, with upscale fashions 
B) its customary prices, especially for the German market, have been out of reach for its target market 
C) it has refused to adjust products to fit the tastes and needs of local consumers 
D) it has depended on self-service in its company-owned stores

Question 19

Agreements on international product standards are hampered by all the following factors EXCEPT ________.

Accepted Answer

A) the fact that standardization increases production costs 
B) consumer reluctance to change 
C) the cost of redesigning and retooling 
D) governments' desires to protect investments 
A) the fact that standardization increases production costs 
B) consumer reluctance to change 
C) the cost of redesigning and retooling 
D) governments' desires to protect investments

Question 20

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.

Gap analysis is ________.

Firms alter their products for foreign markets for all of the following reasons EXCEPT ________.

A push strategy is most likely preferable to a pull strategy when the price of the product is high relative to incomes.

A company that prices its products at a desired margin over cost is using a cost-plus strategy.

Dixon Electronics recently introduced a new computer with features unavailable from other products on the market.Dixon is charging a very high price for the computer and has plans to progressively lower the price over the next year.Dixon is most likely using a ________ strategy.

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

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

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 ________.

In comparing international and domestic marketing, it is best to state that ________.

What is the gray market?

Companies using a sales orientation find their greatest ability to sell the same product in more than one country when ________.

Gap analysis may show that the combined market potential among several countries may justify product development costs.

Which of the following BEST describes globally standardized advertising?

Passive exports involve the filling of unsolicited orders from abroad.

How do foreign government regulations affect pricing and promotion for international businesses?

Higher disposable income and technological advances help overcome many geographic constraints on product demand and distribution.

Which of the following is true concerning countries' distribution systems?

Tommy Hilfiger has encountered some European resistance to the sale of its products because ________.

Agreements on international product standards are hampered by all the following factors EXCEPT ________.

Why does price escalation most likely occur in exporting?

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

Global Capital Markets

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 and Finance Issues

International Human Resource Management

Filters

Exam 17: Marketing Globally

Gap analysis is ________.

Firms alter their products for foreign markets for all of the following reasons EXCEPT ________.

A push strategy is most likely preferable to a pull strategy when the price of the product is high relative to incomes.

A company that prices its products at a desired margin over cost is using a cost-plus strategy.

Dixon Electronics recently introduced a new computer with features unavailable from other products on the market.Dixon is charging a very high price for the computer and has plans to progressively lower the price over the next year.Dixon is most likely using a ________ strategy.

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

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

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 ________.

In comparing international and domestic marketing, it is best to state that ________.

What is the gray market?

Companies using a sales orientation find their greatest ability to sell the same product in more than one country when ________.

Gap analysis may show that the combined market potential among several countries may justify product development costs.

Which of the following BEST describes globally standardized advertising?

Passive exports involve the filling of unsolicited orders from abroad.

How do foreign government regulations affect pricing and promotion for international businesses?

Higher disposable income and technological advances help overcome many geographic constraints on product demand and distribution.

Which of the following is true concerning countries' distribution systems?

Tommy Hilfiger has encountered some European resistance to the sale of its products because ________.

Agreements on international product standards are hampered by all the following factors EXCEPT ________.

Why does price escalation most likely occur in exporting?

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

Global Capital Markets

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 and Finance Issues

International Human Resource Management

Filters