Question 1

Figure 7-4
 
-Once a company has decided to enter the global marketplace,it must select a means of market entry.All of the following are the general options except which?

Accepted Answer

A)  licensing
B)  exporting
C)  direct investment
D)  joint venture
E)  cooperativeF) A) and B)
G) All of the above

Question 2

In addition to about 11,000 other trade regulations that specify how goods are to be made and marketed,Japanese car safety rules effectively require all automobile replacement parts to be Japanese.Rules like these often function as

Accepted Answer

A)  economic infrastructure.
B)  trade barriers.
C)  universal codes.
D)  binding requirements.
E)  targets for bribery.F) A) and B)
G) A) and C)

Question 3

Figure 7-5
 
-Global companies have five strategies for matching products and their promotion efforts to global markets.According to Figure 7-5 above,E refers to which type of strategy?

Accepted Answer

A)  product extension strategy
B)  product adaptation strategy
C)  dual adaptation strategy
D)  product invention strategy
E)  communication adaptation strategyF) B) and C)
G) B) and D)

Question 4

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 sell the Maharaja Mac rather than beef products.
E)  Vogue Italia published 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) B) and D)

Question 5

A gray market is

Accepted Answer

A)  the segment of products specifically designed for the need of older buyers.
B)  a once active and powerful market that is rapidly becoming the bottom of the barrel.
C)  a situation where products are sold through unauthorized channels of distribution.
D)  a pricing structure that is based upon haggling that is considered acceptable in some countries but not others.
E)  the willingness of one party to accept gifts in exchange for better prices or price allowances.F) D) and E)
G) A) and E)

Question 6

Figure 7-4
 
-According to Figure 7-4 above,points A and D would most likely represent ________ and ________ options,respectively,for entering the global marketplace.

Accepted Answer

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

Question 7

Volvo of North America delivered automobiles to the Siberian police force when Siberia had no cash to pay for them.It accepted payment in oil,which it then sold for cash to pay for media advertising in the United States.This transaction is an example of

Accepted Answer

A)  a quota.
B)  countertrade.
C)  balance of trade.
D)  competitive advantage.
E)  a trade feedback effect.F) C) and D)
G) B) and D)

Question 8

The North American Free Trade Agreement was designed to encourage free trade between

Accepted Answer

A)  North America,Central America,and South America.
B)  the United States and the European Union.
C)  member countries originally from NATO (North Atlantic Treaty Organization) .
D)  the United States,Canada,and Mexico.
E)  the United States,Canada,and the United Kingdom.F) B) and E)
G) A) and E)

Question 9

In Japan,Japanese women give Japanese men chocolates on Valentine's Day.This is an example of a(n)

Accepted Answer

A)  custom.
B)  value.
C)  demographic pattern.
D)  belief.
E)  idiosyncrasy.F) B) and D)
G) A) and E)

Question 10

Government taxes on products or services entering a country that primarily serve to raise prices on imports are referred to as

Accepted Answer

A)  tariffs.
B)  quotas.
C)  WTO taxes.
D)  foreign excise taxes.
E)  trade subsidies.F) A) and E)
G) B) and E)

Question 11

Global marketing is affected by economic considerations.Identify the three steps that should be performed when scanning the global marketplace.

Accepted Answer

A scan of the global marketplace should ...

Question 12

What is meant by the term economic infrastructure and how can this affect a firm's plans to enter a global market?

Accepted Answer

Economic infrastructure is a country's c...

Question 13

The world's largest manufacturer of peppermint candy canes was located in Albany,Georgia,until it could no longer afford to buy the sugar needed for its operation.It moved its manufacturing business to Mexico where there are no restrictions (like those that exist in the United States) on the amount of sugar that can be brought into the nation.The business moved to Mexico because of a(n) ________ established by the U.S.government.

Accepted Answer

A)  tariff
B)  trade imbalance
C)  excise tax
D)  subsidy
E)  quotaF) C) and D)
G) A) and E)

Question 14

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 15

When a firm sells a product in a foreign country below its domestic price or below its actual cost,the practice is referred to as

Accepted Answer

A)  loss-leader pricing.
B)  surplus marketing.
C)  dumping.
D)  second-market pricing.
E)  entrepreneurial pricing.F) B) and E)
G) A) and E)

Question 16

Consumer ethnocentrism refers to

Accepted Answer

A)  the belief that all products that are foreign made are cheap and of poor quality.
B)  the belief that one should only purchase products made by indigenous groups in developing countries.
C)  the belief that all corporations are corrupt and consumers must look out for themselves.
D)  the tendency to believe that the only products that are of true quality are those that are manufactured in one's own country.
E)  the tendency to believe it is inappropriate,even immoral,to purchase foreign-made products.F) C) and E)
G) A) and B)

Question 17

Figure 7-5
 
-Black & Decker developed the Snake Light flexible flashlight.Created to address a global need for portable lighting,the product became a best seller in North America,Europe,Latin America,and Australia.This is an example of which type of global marketing product and promotion strategy?

Accepted Answer

A)  product extension
B)  product customization
C)  product adaptation
D)  product invention
E)  product integrationF) All of the above
G) B) and C)

Question 18

The U.S.Commerce Department imposed additional duties of 31 percent to 250 percent on imported photovoltaic products from Chinese solar manufacturers after ruling that 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)  underbidding.
E)  dumping.F) C) and E)
G) A) and B)

Question 19

Which of the following statements regarding global brands is most accurate?

Accepted Answer

A)  A global brand has centrally coordinated marketing programs.
B)  A global brand is marketed under different names but uses identical ads for all markets.
C)  A global brand alters the product formulation or service for each geographical region.
D)  A global brand delivers varying benefits based on the GDP of each country.
E)  A global brand is a collaborative effort among several different transnational firms.F) A) and C)
G) B) and C)

Question 20

Explain the difference between dumping and parallel importing.

Accepted Answer

Dumping refers to a firm selling a produ...

Exam 7: Understanding and Reaching Global Consumers and Markets

When a firm sells a product in a foreign country below its domestic price or below its actual cost,the practice is referred to as

Correct Answer
verified

Figure 7-4 -Once a company has decided to enter the global marketplace,it must select a means of market entry.All of the following are the general options except which?

Correct Answer
verified

The North American Free Trade Agreement was designed to encourage free trade between

Correct Answer
verified

Consumer ethnocentrism refers to

Correct Answer
verified

Figure 7-4 -According to Figure 7-4 above,points A and D would most likely represent and options,respectively,for entering the global marketplace.

Correct Answer
verified

Government taxes on products or services entering a country that primarily serve to raise prices on imports are referred to as

Correct Answer
verified

Figure 7-5 -Global companies have five strategies for matching products and their promotion efforts to global markets.According to Figure 7-5 above,E refers to which type of strategy?

Correct Answer
verified

In Japan,Japanese women give Japanese men chocolates on Valentine's Day.This is an example of a(n)

Correct Answer
verified

Global marketing is affected by economic considerations.Identify the three steps that should be performed when scanning the global marketplace.

Correct Answer
verified
A scan of the global marketplace should ...
View Answer

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

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

Correct Answer
verified

In addition to about 11,000 other trade regulations that specify how goods are to be made and marketed,Japanese car safety rules effectively require all automobile replacement parts to be Japanese.Rules like these often function as

Correct Answer
verified

A gray market is

Correct Answer
verified

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

Correct Answer
verified

Figure 7-5 -Black & Decker developed the Snake Light flexible flashlight.Created to address a global need for portable lighting,the product became a best seller in North America,Europe,Latin America,and Australia.This is an example of which type of global marketing product and promotion strategy?

Correct Answer
verified

Volvo of North America delivered automobiles to the Siberian police force when Siberia had no cash to pay for them.It accepted payment in oil,which it then sold for cash to pay for media advertising in the United States.This transaction is an example of

Correct Answer
verified

What is meant by the term economic infrastructure and how can this affect a firm's plans to enter a global market?

Correct Answer
verified
Economic infrastructure is a country's c...
View Answer

Which of the following statements regarding global brands is most accurate?

Correct Answer
verified

Explain the difference between dumping and parallel importing.

Correct Answer
verified
Dumping refers to a firm selling a produ...
View Answer

Exam 7: Understanding and Reaching Global Consumers and Markets

When a firm sells a product in a foreign country below its domestic price or below its actual cost,the practice is referred to as

Correct AnswerverifiedShow Answer

Figure 7-4 -Once a company has decided to enter the global marketplace,it must select a means of market entry.All of the following are the general options except which?

Correct AnswerverifiedShow Answer

The North American Free Trade Agreement was designed to encourage free trade between

Correct AnswerverifiedShow Answer

Consumer ethnocentrism refers to

Correct AnswerverifiedShow Answer

Figure 7-4 -According to Figure 7-4 above,points A and D would most likely represent ________ and ________ options,respectively,for entering the global marketplace.

Correct AnswerverifiedShow Answer

Government taxes on products or services entering a country that primarily serve to raise prices on imports are referred to as

Correct AnswerverifiedShow Answer

Figure 7-5 -Global companies have five strategies for matching products and their promotion efforts to global markets.According to Figure 7-5 above,E refers to which type of strategy?

Correct AnswerverifiedShow Answer

In Japan,Japanese women give Japanese men chocolates on Valentine's Day.This is an example of a(n)

Correct AnswerverifiedShow Answer

Global marketing is affected by economic considerations.Identify the three steps that should be performed when scanning the global marketplace.

Correct AnswerverifiedA scan of the global marketplace should ...View AnswerShow Answer

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

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

Correct AnswerverifiedShow Answer

In addition to about 11,000 other trade regulations that specify how goods are to be made and marketed,Japanese car safety rules effectively require all automobile replacement parts to be Japanese.Rules like these often function as

Correct AnswerverifiedShow Answer

A gray market is

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Figure 7-5 -Black & Decker developed the Snake Light flexible flashlight.Created to address a global need for portable lighting,the product became a best seller in North America,Europe,Latin America,and Australia.This is an example of which type of global marketing product and promotion strategy?

Correct AnswerverifiedShow Answer

Volvo of North America delivered automobiles to the Siberian police force when Siberia had no cash to pay for them.It accepted payment in oil,which it then sold for cash to pay for media advertising in the United States.This transaction is an example of

Correct AnswerverifiedShow Answer

What is meant by the term economic infrastructure and how can this affect a firm's plans to enter a global market?

Correct AnswerverifiedEconomic infrastructure is a country's c...View AnswerShow Answer

Which of the following statements regarding global brands is most accurate?

Correct AnswerverifiedShow Answer

Explain the difference between dumping and parallel importing.

Correct AnswerverifiedDumping refers to a firm selling a produ...View AnswerShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Figure 7-4 -According to Figure 7-4 above,points A and D would most likely represent and options,respectively,for entering the global marketplace.

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
A scan of the global marketplace should ...
View Answer

Correct Answer
verified

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

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Economic infrastructure is a country's c...
View Answer

Correct Answer
verified

Correct Answer
verified
Dumping refers to a firm selling a produ...
View Answer