Question 1

What global market-entry strategy involves slightly more risk than indirect exporting for a company but also opens the door to increased profits?

Accepted Answer

A)  direct exporting
B)  licensing
C)  cooperative
D)  joint venture
E)  direct investmentF) B) and C)
G) C) and D)

Question 2

The __________ imposed on imported bananas by Western European countries cost consumers $2 billion a year in higher prices.

Accepted Answer

A)  boycotts
B)  tariffs
C)  quotas
D)  sanctions
E)  subsidiesF) A) and B)
G) A) and C)

Question 3

President Bill Clinton attempted to protect American firms from foreign competition by placing a government tax on Japanese automobiles imported to the United States.President Clinton's goal was to raise the price on Japanese imports,thereby encouraging American consumers to purchase American-made automobiles.The tax the President threatened to impose is an example of a __________.

Accepted Answer

A)  boycott
B)  tariff
C)  quota
D)  sanction
E)  subsidyF) D) and E)
G) C) and D)

Question 4

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power __________.

Accepted Answer

A)  levels off
B)  decreases
C)  increases
D)  becomes less of an economic priority
E)  becomes progressively unstableF) C) and D)
G) B) and E)

Question 5

Mars,America's second-largest candy company,began doing business in Russia in the late 1980s.The Snickers bar is one of the top selling candies in Russia and is marketed in much the same way as it is in the United States.Mars is most likely a(n) __________ firm.

Accepted Answer

A)  international
B)  multidomestic
C)  transnational
D)  meganational
E)  multinationalF) C) and D)
G) B) and D)

Question 6

The U.S.Commerce Department imposed additional duties of 31 percent to 250 percent on Chinese solar manufacturers of imported photovoltaic products after ruling they sold them below cost.The Commerce Department took this action in response to what it saw as __________.

Accepted Answer

A)  tariff avoidance
B)  countertrade
C)  surplus marketing
D)  dumping
E)  underbiddingF) C) and D)
G) A) and E)

Question 7

Two-thirds of the commercial transactions in Russia involve non-monetary forms of payment due to limits in formal operating procedures among financial institutions and even limits on the notion of private property there.These would best be described as constraints in the country's __________.

Accepted Answer

A)  capital infrastructure
B)  political infrastructure
C)  economic infrastructure
D)  geopolitical system
E)  financial exchange systemF) C) and D)
G) A) and C)

Question 8

Direct exporting refers to

Accepted Answer

A)  offering the right to a trademark,patent,trade secret,or similarly valued items of intellectual property in return for a royalty or fee.
B)  contracting with a foreign firm to manufacture products according to certain specifications.
C)  when a foreign country and a local firm invest together to create a local business.
D)  using additional parties when a firm sells its domestically produced goods in another country.
E)  when a firm sells its domestically produced goods in a foreign country without intermediaries.F) A) and B)
G) A) and E)

Question 9

If your primary motive was to raise prices on imports,would you use tariffs or quotas? Why would you want to do this?

Accepted Answer

If your primary motive was to raise pric...

Question 10

Global companies have five strategies for matching products and their promotion efforts to global markets.The strategy of selling virtually the same product in other countries is referred to as

Accepted Answer

A)  product adaptation.
B)  product invention.
C)  brand adaptation.
D)  product extension.
E)  product integration.F) A) and E)
G) B) and D)

Question 11

Why has Dell,Inc.,embarked on a global growth initiative?

Accepted Answer

A)  National sales have decreased.
B)  Dell was recently purchased by Lenovo,a major Chinese competitor.
C)  There was too much competition in Dell's direct marketing channel.
D)  There are fewer restrictions in computer technology outside the United States.
E)  Emerging economies offer significant growth potential.F) A) and E)
G) A) and D) E

Question 12

Which form of entry into a global market makes a firm the most vulnerable to harm regarding its brand name or reputation?

Accepted Answer

A)  direct exporting
B)  indirect exporting
C)  licensing
D)  direct investment
E)  joint ventureF) A) and D)
G) A) and C) C

Question 13

Once a company has decided to enter the global marketplace,it must select a means of market entry.Four general options exist: (1) __________; (2) licensing; (3) joint venture; and (4) direct investment.

Accepted Answer

A)  exporting
B)  accreditation
C)  countertrading
D)  cooperative
E)  franchisingF) None of the above
G) C) and D) A

Question 14

Global companies have five strategies for matching products and their promotion efforts to global markets.Designing a product to serve the unmet needs of a foreign nation is which type of global marketing product/promotion strategy?

Accepted Answer

A)  product extension
B)  product customization
C)  product adaptation
D)  product invention
E)  product integrationF) A) and B)
G) A) and C)

Question 15

-S.appliance manufacturers find that different customs about shopping must be used to determine product design.For instance,people in Northern Europe shop only once a week,so they need bigger refrigerators than Southern Europeans,who shop daily.Furthermore,Northern Europeans insist that freezers should be on the top just as firmly as Southern Europeans insist that freezers should be on the bottom.Consumers in other regions use their appliances differently and have other different product demands.Given this information,you should conclude U.S.appliance manufacturers would be more likely successful if they used a(n) __________ marketing strategy.

Accepted Answer

A)  global
B)  multidomestic
C)  transnational
D)  meganational
E)  internationalF) B) and C)
G) A) and B)

Question 16

In September 2009,the United States imposed a 35% tariff on Chinese tire imports in hopes of sustaining U.S.jobs in tire manufacturing.This addition of tariffs is an example of

Accepted Answer

A)  imposing the rule of eminent domain.
B)  increasing ethnocentrism.
C)  enhancing domestic imperialism.
D)  increasing protectionism.
E)  slowing countertrade.F) C) and E)
G) A) and C)

Question 17

Dell established its company primarily with direct telephone-and Internet-based sales.In terms of Dell's global expansion strategy,which of the following statements is most accurate?

Accepted Answer

A)  Dell sells its computers via word of mouth,which is the most powerful method for electronics.
B)  Dell partners with each country's largest department stores and sell its computers in the small appliance department.
C)  Dell issues its own credit card through multinational banks,making it possible for customers who would not normally qualify for credit to do so.
D)  Dell distributes its products through individual sales associates who reach out to customers with a first-hand experience at their doorsteps.
E)  Dell maintains the exact same U.S.strategies that brought it this far because it sees no reason to "mess with success."F) B) and C)
G) D) and E)

Question 18

Which of the following examples best demonstrates a company's appreciation of another country's values?

Accepted Answer

A)  American companies in Germany encourage the use of all types of credit cards.
B)  In Brazil,American companies are extremely careful to keep to a strict agenda and time schedule,even though an informal structure is preferred.
C)  Bath products are advertised by portraying intimate scenes between husbands and wives in countries where personal privacy is important.
D)  McDonald's restaurants in India serve a full line of products except for hamburgers made from beef.
E)  Vogue Italia publishing a feature with a model wearing "slave earrings" which it said were "worn by women of color during the slave trade".F) A) and D)
G) A) and E)

Question 19

Trade among nations or regions depends on political stability.In recent times,billions of dollars have been lost in __________ and __________ as a result of internal political strife,terrorism,and war.

Accepted Answer

A)  Russia; Poland
B)  France; Spain
C)  China; Japan
D)  the Middle East; Africa
E)  Germany; the United KingdomF) C) and D)
G) A) and B)

Question 20

Many changes influenced the opportunities for global sales of Breathe Right strips.One of these is:

Accepted Answer

A)  an increase in pollution resulting in a larger number of people suffering from allergies,who would benefit from the product.
B)  a heightened interest in products considered to be "quick fixes."
C)  a distrust of the formal medical community and a desire for self-healing alternatives.
D)  an expansion of the pharmacist role from that of medical professional to selling and marketing OTC products.
E)  a desire to avoid invasive procedures or medications.F) B) and C)
G) A) and E)

Exam 6: Understanding and Reaching Global Consumers and Markets

What global market-entry strategy involves slightly more risk than indirect exporting for a company but also opens the door to increased profits?

Correct Answer
verified

The __________ imposed on imported bananas by Western European countries cost consumers $2 billion a year in higher prices.

Correct Answer
verified

Correct Answer
verified

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power __________.

Correct Answer
verified

Mars,America's second-largest candy company,began doing business in Russia in the late 1980s.The Snickers bar is one of the top selling candies in Russia and is marketed in much the same way as it is in the United States.Mars is most likely a(n) __________ firm.

Correct Answer
verified

The U.S.Commerce Department imposed additional duties of 31 percent to 250 percent on Chinese solar manufacturers of imported photovoltaic products after ruling they sold them below cost.The Commerce Department took this action in response to what it saw as __________.

Correct Answer
verified

Two-thirds of the commercial transactions in Russia involve non-monetary forms of payment due to limits in formal operating procedures among financial institutions and even limits on the notion of private property there.These would best be described as constraints in the country's __________.

Correct Answer
verified

Direct exporting refers to

Correct Answer
verified

If your primary motive was to raise prices on imports,would you use tariffs or quotas? Why would you want to do this?

Correct Answer
verified
If your primary motive was to raise pric...
View Answer

Global companies have five strategies for matching products and their promotion efforts to global markets.The strategy of selling virtually the same product in other countries is referred to as

Correct Answer
verified

Why has Dell,Inc.,embarked on a global growth initiative?

Correct Answer
verified
E

Which form of entry into a global market makes a firm the most vulnerable to harm regarding its brand name or reputation?

Correct Answer
verified
C

Once a company has decided to enter the global marketplace,it must select a means of market entry.Four general options exist: (1) __________; (2) licensing; (3) joint venture; and (4) direct investment.

Correct Answer
verified
A

Global companies have five strategies for matching products and their promotion efforts to global markets.Designing a product to serve the unmet needs of a foreign nation is which type of global marketing product/promotion strategy?

Correct Answer
verified

Correct Answer
verified

In September 2009,the United States imposed a 35% tariff on Chinese tire imports in hopes of sustaining U.S.jobs in tire manufacturing.This addition of tariffs is an example of

Correct Answer
verified

Dell established its company primarily with direct telephone-and Internet-based sales.In terms of Dell's global expansion strategy,which of the following statements is most accurate?

Correct Answer
verified

Which of the following examples best demonstrates a company's appreciation of another country's values?

Correct Answer
verified

Trade among nations or regions depends on political stability.In recent times,billions of dollars have been lost in and as a result of internal political strife,terrorism,and war.

Correct Answer
verified

Many changes influenced the opportunities for global sales of Breathe Right strips.One of these is:

Correct Answer
verified

Exam 6: Understanding and Reaching Global Consumers and Markets

What global market-entry strategy involves slightly more risk than indirect exporting for a company but also opens the door to increased profits?

Correct AnswerverifiedShow Answer

The __________ imposed on imported bananas by Western European countries cost consumers $2 billion a year in higher prices.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power __________.

Correct AnswerverifiedShow Answer

Mars,America's second-largest candy company,began doing business in Russia in the late 1980s.The Snickers bar is one of the top selling candies in Russia and is marketed in much the same way as it is in the United States.Mars is most likely a(n) __________ firm.

Correct AnswerverifiedShow Answer

The U.S.Commerce Department imposed additional duties of 31 percent to 250 percent on Chinese solar manufacturers of imported photovoltaic products after ruling they sold them below cost.The Commerce Department took this action in response to what it saw as __________.

Correct AnswerverifiedShow Answer

Two-thirds of the commercial transactions in Russia involve non-monetary forms of payment due to limits in formal operating procedures among financial institutions and even limits on the notion of private property there.These would best be described as constraints in the country's __________.

Correct AnswerverifiedShow Answer

Direct exporting refers to

Correct AnswerverifiedShow Answer

If your primary motive was to raise prices on imports,would you use tariffs or quotas? Why would you want to do this?

Correct AnswerverifiedIf your primary motive was to raise pric...View AnswerShow Answer

Global companies have five strategies for matching products and their promotion efforts to global markets.The strategy of selling virtually the same product in other countries is referred to as

Correct AnswerverifiedShow Answer

Why has Dell,Inc.,embarked on a global growth initiative?

Correct AnswerverifiedE

Which form of entry into a global market makes a firm the most vulnerable to harm regarding its brand name or reputation?

Correct AnswerverifiedC

Once a company has decided to enter the global marketplace,it must select a means of market entry.Four general options exist: (1) __________; (2) licensing; (3) joint venture; and (4) direct investment.

Correct AnswerverifiedA

Global companies have five strategies for matching products and their promotion efforts to global markets.Designing a product to serve the unmet needs of a foreign nation is which type of global marketing product/promotion strategy?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

In September 2009,the United States imposed a 35% tariff on Chinese tire imports in hopes of sustaining U.S.jobs in tire manufacturing.This addition of tariffs is an example of

Correct AnswerverifiedShow Answer

Dell established its company primarily with direct telephone-and Internet-based sales.In terms of Dell's global expansion strategy,which of the following statements is most accurate?

Correct AnswerverifiedShow Answer

Which of the following examples best demonstrates a company's appreciation of another country's values?

Correct AnswerverifiedShow Answer

Trade among nations or regions depends on political stability.In recent times,billions of dollars have been lost in __________ and __________ as a result of internal political strife,terrorism,and war.

Correct AnswerverifiedShow Answer

Many changes influenced the opportunities for global sales of Breathe Right strips.One of these is:

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
If your primary motive was to raise pric...
View Answer

Correct Answer
verified

Correct Answer
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E

Correct Answer
verified
C

Correct Answer
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A

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Trade among nations or regions depends on political stability.In recent times,billions of dollars have been lost in and as a result of internal political strife,terrorism,and war.

Correct Answer
verified

Correct Answer
verified