Question 1

An example of an emerging country (with respect to market attractiveness)is
the Philippines.

Accepted Answer

A) True 
 B)False

Question 2

One of the chief disadvantages of a wholly owned subsidiary is that:

Accepted Answer

A) it is often perceived as a threat to cultural or economic sovereignty. 
B) it is often perceived as generating low profits. 
C) it is often perceived as having problems in supply lines. 
D) it is often perceived as being more expensive 
E) it is often perceived as a threat to the local media for promotion.

Question 3

Colgate-Palmolive views per capita purchasing power as a major driver
behind market opportunities.

Accepted Answer

A) True 
 B)False

Question 4

______________________ means that the firm enters into an agreement with another firm (local or foreign)where the partner will use its distribution network
To sell the exporter's goods.

Accepted Answer

A) Licensing 
B) Parallel exporting 
C) Cooperative exporting 
D) Venture exporting 
E) Indirect exporting

Question 5

In the mode of entry,many companies see liaison office as a low-cost ___________________.

Accepted Answer

A) joint venture 
B) export management company 
C) listening post 
D) contract exporter 
E) alliance post

Question 6

All of the following are considered benefits of forming joint ventures EXCEPT:

Accepted Answer

A) greater return potential. 
B) shared profits instead of shared royalties. 
C) more control over operations. 
D) increased cost controls. 
E) synergies.

Question 7

When going abroad most companies start their international expansion with
_______________.

Accepted Answer

The answer of When going abroad most companies start their...

Question 8

To identify market opportunities for a given product (or service),the international
marketer usually starts off with a large pool of candidate cities.

Accepted Answer

A) True 
 B)False

Question 9

When Colgate-Palmolive sees prospects in countries with purchasing power as a major driver behind market opportunities and Coca-Cola looks at per capita income
And the number of minutes that it would take someone to work to be able to afford a
Coca-Cola product,they are following which of the following steps of the initial
Screening process for market entry?

Accepted Answer

A) indicator and data selection. 
B) analyze parallel strengths and weaknesses of the market. 
C) determine the importances of country indicators. 
D) rate the countries in the pool on each indicator. 
E) compute overall scores for each country.

Question 10

Preliminary screening is an accepted method of reducing the number of candidates
for market entry.

Accepted Answer

A) True 
 B)False

Question 11

_________________ countries (with respect to market attractiveness)can be used to
gather intelligence and establish a network.

Accepted Answer

The answer of _________________ countries (with respect to market attractiveness)can...

Question 12

A _________________________ perspective argues that the desirable governance structure (high- versus low-control mode)will depend on the comparative transaction
Costs (the costs of running an operation).

Accepted Answer

A) demand-delivery 
B) just-in-time management 
C) management-by-objectives 
D) quantity-cost allocation 
E) transaction-cost analysis

Question 13

The key determinant in the market entry choice decisions is the:

Accepted Answer

A) risk. 
B) local infrastructure. 
C) flexibility. 
D) internal resources and assets. 
E) market size and growth potential.

Question 14

Markets can be classified in four types of countries based on their respective market attractiveness.Which of the following countries would most likely be listed as
A growth country?

Accepted Answer

A) Hong Kong. 
B) Vietnam. 
C) China. 
D) Taiwan. 
E) Japan.

Question 15

Markets can be classified in four types of countries based on their respective market attractiveness.Which of the following of those types can be used to build up an
Initial presence (such as through a liaison office)?

Accepted Answer

A) platform countries. 
B) emerging countries. 
C) maturing and established countries. 
D) growth countries. 
E) none of the above

Question 16

When marketers are making the decision to enter an international market or not,the final step in the decision process is generally to:

Accepted Answer

A) decide on a control system to monitor the performance of the entered market. 
B) decide on the target product/market. 
C) decide on the goals of the target markets. 
D) decide on the mode of entry. 
E) decide on the time of entry.

Question 17

With respect to joint ventures,the ________________ argument is illustrated by not only shared capital and risk but possible contributions brought in by the local
Partner in land,raw materials,expertise on the local environment,and access to
Local distribution networks.

Accepted Answer

A) demand 
B) parallel management 
C) consensus management 
D) domestication 
E) synergy

Question 18

Benefits of licensing include:

Accepted Answer

A) not very demanding on company resources. 
B) always protected against copying or technical theft. 
C) always a strong partner relationship. 
D) low profits,therefore,low taxes. 
E) licensee is always enthusiastic.

Question 19

In a cooperative joint venture,the partners agree to raise capital in proportion to the equity stakes agreed upon.

Accepted Answer

A) True 
 B)False

Question 20

Markets can be classified in four types of countries based on their respective market attractiveness.All of the following are part of the classification scheme EXCEPT:

Accepted Answer

A) platform countries. 
B) emerging countries. 
C) low-tech countries. 
D) growth countries. 
E) maturing and established countries.

Exam 9: Global Market Entry Strategies

An example of an emerging country (with respect to market attractiveness)is the Philippines.

One of the chief disadvantages of a wholly owned subsidiary is that:

Colgate-Palmolive views per capita purchasing power as a major driver behind market opportunities.

______________________ means that the firm enters into an agreement with another firm (local or foreign) where the partner will use its distribution network To sell the exporter's goods.

In the mode of entry,many companies see liaison office as a low-cost ___________________.

All of the following are considered benefits of forming joint ventures EXCEPT:

When going abroad most companies start their international expansion with _______________.

To identify market opportunities for a given product (or service),the international marketer usually starts off with a large pool of candidate cities.

Preliminary screening is an accepted method of reducing the number of candidates for market entry.

_________________ countries (with respect to market attractiveness)can be used to gather intelligence and establish a network.

A _________________________ perspective argues that the desirable governance structure (high- versus low-control mode) will depend on the comparative transaction Costs (the costs of running an operation) .

The key determinant in the market entry choice decisions is the:

Markets can be classified in four types of countries based on their respective market attractiveness.Which of the following countries would most likely be listed as A growth country?

Markets can be classified in four types of countries based on their respective market attractiveness.Which of the following of those types can be used to build up an Initial presence (such as through a liaison office) ?

When marketers are making the decision to enter an international market or not,the final step in the decision process is generally to:

With respect to joint ventures,the ________________ argument is illustrated by not only shared capital and risk but possible contributions brought in by the local Partner in land,raw materials,expertise on the local environment,and access to Local distribution networks.

Benefits of licensing include:

In a cooperative joint venture,the partners agree to raise capital in proportion to the equity stakes agreed upon.

Markets can be classified in four types of countries based on their respective market attractiveness.All of the following are part of the classification scheme EXCEPT: