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Chapter 01 – The Scope and Challenge of International Marketing Chapter 1 – The Scope and Challenge of International Marketing Teaching Objectives As an introductory chapter, the broad goal is to provide a view of international marketing that sets the […]

Chapter 01 – The Scope and Challenge of International Marketing Discussion Questions 1. Define: International marketing Foreign uncontrollables Controllable elements Marketing relativism Uncontrollable elements Self-reference criterion (SRC) Domestic uncontrollables Global awareness 2. “. . . the marketer’s task is the […]

Chapter 10 – Europe, Africa, and the Middle East Teaching Objectives The two most important trends in international marketing today are the emerging markets discussed in Chapter 9 and the creation and growing importance of the multinational regional market alliances. […]

Chapter 10 – Europe, Africa, and the Middle East Discussion Questions 1. Define: Multinational market regions Free-trade area 2. Elaborate on the problems and benefits for international marketers from multinational market groups. A multinational market group has both problems and […]

Chapter 11 – The Asia Pacific Region Teaching Objectives Because more than half the people on the planet live in this region it deserves a chapter focused on it characteristics. The Asia Pacific Region is also the fastest growing area […]

Chapter 11 – The Asia Pacific Region Discussion Questions 1. Define: 2. Explain why China’s economy languished for the last 500 years, but has now burgeoned in the last 20. In the 15th Century China was the most advanced society […]

Chapter 12 – Global Marketing Management: Planning and Organization Teaching Objectives An issue facing many multinationals today is how to compete in an increasingly competitive global market. Whether a small company or one of the giants, staying competitive means constantly […]

Chapter 12 – Global Marketing Management Discussion Questions 1. Define: Licensing 2. Define strategic planning. How is strategic planning different for international marketing than domestic marketing? Strategic planning is a systemized way of relating to the future. It is an […]

Chapter 13 – Products and Services for Consumers Teaching Objectives Products and services, the first part of the marketing mix to be discussed, is covered here with consumer products and services, and the next chapter on industrial products and services. […]

Chapter 13 – Products and Services for Consumers Discussion Questions 1. Define the following terms and show their significance to international marketing: 2. Debate the issue of global versus adapted products for the international market. A recurring debate exists relative […]

Chapter 14 – Products and Services for Businesses Teaching Objectives The overall objective of this chapter is to illustrate how the differences in the motives between buyers of consumer products and industrial goods and services place different emphasis on the […]

Chapter 14 – Products and Services for Businesses Discussion Questions 1. Define the following terms and show the significance to international marketing: 2. What are the differences between consumer and industrial goods and what are the implications for international marketing? […]

Chapter 15 – International Marketing Channels Teaching Objectives In some markets the distribution system may be the single biggest impediment to successful marketing. An inadequate distribution system may make the cost of reaching some consumers so high that it puts […]

Chapter 15 – International Marketing Channels Discussion Questions 1. Define: Distribution process 2. Discuss the distinguishing features of the Japanese distribution system. Distribution in Japan has long been considered the most effective non-tariff barrier to the Japanese market. The distribution […]

Chapter 16 — Integrated Marketing Communications and International Advertising Teaching Objectives The debate on the merits of standardization compared to modification of international advertising has always seemed to be a fallacious issue—it seems obvious that it is best to standardize […]

Chapter 16 – Integrated Marketing Communications and International Advertising Discussion Questions 1. Define: 2. “Perhaps advertising is the side of international marketing with the greatest similarities from country to country throughout the world. Paradoxically, despite its many similarities, it may […]

Chapter 17 – Personal Selling and Sales Management Teaching Objectives The problems of managing marketing and sales personnel in global markets is the focus of this chapter. The unique qualities of American management thinking are contrasted with the variety of […]

Chapter 17 – Personal Selling and Sales Management Discussion Questions 1. Define: Repatriation 2. Why may it be difficult to adhere to set job criteria in selecting foreign personnel? What compensating actions might be necessary? It may be difficult to […]

Chapter 18 – Pricing for International Markets Teaching Objectives Basic pricing policy questions that arise from the special cost, market, and competitive factors in foreign markets are the focus of this chapter. The additional costs of international marketing that lead […]

Chapter 18 – Pricing for International Markets Discussion Questions 1. Define: Dumping Skimming 2. Discuss the causes and solutions of parallel imports and their effect on price. Parallel imports develop when importers buy products from distributors in one country and […]

Chapter 19 – Negotiating with International Customers, Partners, and Regulators Teaching Objectives The main thrust of this last chapter is the recognition that all international marketing strategies and plans are implemented via negotiations with managers, partners, and customers from foreign […]

Chapter 19 – Negotiating with International Customers, Partners, and Regulators Discussion Questions 1. Define: 2. Why can cultural stereotypes be dangerous? Give some examples. Cultural stereotypes are quite common—the aggressive American, the quite Japanese, the pushy Brazilian. Often there is […]

Chapter 2 — The Dynamic Environment of International Trade Teaching Objectives This chapter has a short history of international trade. Included is a history of GATT and the role of multinationals from the end of World War II through the […]

Chapter 02 – The Dynamic Environment of International Trade Discussion Questions 1. Define: GATT Protectionism 2. Discuss the globalization of the U.S. economy. America’s involvement in the global economy has passed through two distinct periods: a development era during which […]

Chapter 3 – History and Geography–The Foundations of Culture Teaching Objectives Understanding the geography and history of a country can help a marketer have a better appreciation for many of the characteristics of its culture. A culture of a people […]

Chapter 03 – History and Geography–The Foundations of Culture Discussion Questions 1. Define: Manifest Destiny Sustainable development 2. Why study geography in international marketing? Geography is a study of the physical characteristics of a particular region of the earth. Involved […]

Chapter 4 – Cultural Dynamics in Assessing Global Markets Teaching Objectives Culture in this text is defined in an anthropological sense in that culture refers to the entire social heritage of a group of people. Thus, culture includes a country’s […]

Chapter 04 – Cultural Dynamics in Assessing Global Markets Discussion Questions 1. Define: Cultural sensitivity Culture Cultural values 2. Which role does the marketer play as a change agent? Whether or not the marketer is aware of it, he assumes […]

Chapter 5 – Culture, Management Style, and Business Systems Teaching Objective Business customs within a country are an extension of the country’s culture. There are many similarities in how business is conducted from country to country but the differences, if […]

Chapter 05 – Culture, Management Style, and Business Systems Comments and Suggestions 1. We begin the discussion of this chapter by stressing the importance of tolerance when dealing with cultural differences and a need to gain insight into “where the […]

Chapter 6 – The Political Environment: A Critical Concern Teaching Objectives All the cultural elements are important in international marketing but the political element is by far the most pervasive and must always be examined from both domestic and foreign […]

Chapter 06 – The Political Environment: A Critical Concern Discussion Questions 1. Define: Sovereignty Confiscation 2. Why would a country rather domesticate than expropriate? Expropriation creates problems with other governments and can cause potential investors to shy away from investments […]

Chapter 7 – The International Legal Environment: Playing by the Rules Teaching Objectives This chapter deals with two broad issues involving the legal environment. The first issue is concerned with the problems that arise with international commercial contracts and settling […]

Chapter 07 – The International Legal Environment: Playing by the Rules Discussion Questions 1. Define: Common Law Code Law 2. How does the international marketer determine what legal system will have jurisdiction when legal disputes arise? Since there is no […]

Chapter 8 – Developing a Global Vision through Marketing Research Teaching Objectives The availability and accuracy of secondary data and the challenge of collecting primary data are the main themes of this chapter. The need for good market data is […]

Chapter 08 – Developing a Global Vision through Marketing Research Discussion Questions 1. Define: Marketing research Multicultural research 2. Discuss how the shift from making “market entry” decisions to “continuous operations” decisions creates need for different types of information and […]

Chapter 9 – Economic Development and the Americas Teaching Objectives This is the first of three chapters that include discussions of key topics – economic development, economic integration, and burgeoning economic growth – all discussed in the context of the […]

Discussion Questions 1. Define: BEM 2. “It is possible for an economy to experience growth as measured by total GNP without a commensurate rise of the standard of living.” Discuss fully. A country’s “gross national product” is the total of […]

Chapter 09 – Economic Development and the Americas 5. What is marketing’s role in economic development? Discuss marketing’s contributions to economic development. Marketing is critical to economic development. Marketing is an economy’s arbiter between productivity, capacity, and consumer demand. The […]

The first stage of the business negotiation process is nontask sounding, which includes all those activities that might be described as establishing rapport or getting to know one another. Answer: As a result of the General Agreement on Tariffs and […]

In the context of foreign market entry strategies, the advantages of _____ are most apparent when capital is scarce, import restrictions forbid other means of entry, a country is sensitive to foreign ownership, or patents and trademarks must be protected […]

The notion that competition is crucial for efficiency, improvement, and regeneration is fundamental to Western management practices. Answer: In the context of social responsibility and environmental management, the process of controlling industrial wastes leads to the issue of disposal of […]

APEC is a body formed by the major governments of the Asian countries with the primary purpose of protecting their local industries against the market domination by their western counterparts. Answer: When the only marketing functions performed are demand creation […]

The _____ of the United States makes it illegal for companies to pay bribes to foreign officials, candidates, or political parties. A. Taft-Hartley Act B. Informed Consumer Standard C. Foreign Corrupt Practices Act D. Best Practices Act E. International Codes […]

One of the basic elements of the General Agreement on Tariffs and Trade (GATT) is that: A. member nations are exempt from import tariffs to other member nations. B. all tariffs shall be abolished among member nations at the time […]

The reserves account is a record of direct investment, portfolio investment, and short-term capital movements to and from countries. Answer: Religion has a significant impact on the value systems of a society and the effect of value systems on marketing. […]

In the context of international business negotiations, which of the following skills tops the list of negotiator traits? A. Preparation and planning skill B. Observational and oratory skill C. Linguistic and social skill D. Persuasion and intellectual skill E. Informational […]

The single most important difference between consumer and industrial marketing is the cyclical swings in demand inherent in the latter. Answer: Companies should use the full-cost pricing approach when it has high fixed costs relative to its variable costs. Answer: […]

Which of the following aspects of the negotiation setting is an important consideration as it may eventually determine legal jurisdiction if disputes arise? A. Preliminary research B. Communications channels C. Number of participants D. Number of translators E. Location Answer: […]

Which of the following is a provision of the commonwealth agreement signed by the Commonwealth of Independent States? A. To reject the powers of the old regimes B. To keep the ruble but allow new currencies C. To create disjointed […]

Which of the following institutions has the responsibility to debate and decide which proposals of the Single European Act to accept as binding on European Union members? A. The European Commission B. The European Parliament C. The Council of Ministers […]

Liaoning and Jilin provinces of China share borders with North Korea, and both provinces host substantial numbers of Korean minorities. Answer: The sole requirement of an arbitration clause is that the parties agree to abide by the awards resulting from […]

The Commonwealth of Independent States is: A. a political alliance with a central government. B. an economic and political alliance with open borders and no central government. C. an economic and political alliance with closed borders and a federal government. […]

Which of the following is a factor responsible for global business successes? A. Standardization rather than customization of negotiation procedures across all cultures B. Emergence of the English language as the chief medium of negotiations C. Increased homogenization of cultures […]

If, after seeking all reasonable secondary data sources, research questions are still not adequately answered, a market researcher must collect primary data. Answer: Half of Shanghai’s GDP is derived from its _____. A. financial services industries B. steel industries C. […]

The British, German, and American businesspeople are found to fall in the middle of most scales for dimensions of negotiating behaviors. Answer: The self-reference criterion is closely related to ethnocentrism. Answer: TRUE The self-reference criterion is an unconscious reference to […]

Brazil is a fully industrialized country. Answer: Spreading the portfolio of markets served brings important stability of revenues and operations to many global companies. Answer: TRUE Spreading the portfolio of markets served brings important stability of revenues and operations to […]

Companies following the _____ philosophy insist that no unit of a similar product is different from any other unit in terms of cost and that each unit must bear its full share of the total fixed and variable cost. A. […]

One of the ways that an industrial firm should manage the inherent volatility of the industrial sector is by increasing advertising expenditure during booms. Answer: The strategy of cultural congruence involves marketing products similar to ones already on the market […]

Which of the following is the last step in the international planning process? A. Defining target markets and adapting the marketing mix accordingly B. Matching company and country needs C. Adapting the marketing mix according to market segments D. Implementation […]

When countries sell off state-owned enterprises and privatize them, it usually results in a(n): A. lack of accommodation of outside investors. B. decline in productivity throughout the private sector. C. release of capital to invest in strategic areas. D. instant […]

Which of the following stages of Rostow’s five-stage model of economic growth do highly-industrialized countries like Japan and Germany fit into? A. Traditional society B. Preconditions to takeoff C. Takeoff D. Drive to maturity E. The age of mass consumption […]

Which of the following countries is considered to be the world’s most efficient user of energy? A. Canada B. Vietnam C. Japan D. India E. China Answer: She Tales, a women’s clothing company based in Singapore, had to modify its […]

Multinational market regions are those groups of countries that seek mutual economic benefit from reducing interregional trade and tariff barriers. Answer: Social planners gained the acceptance for hybrid grains and better sanitation methods through unplanned change among the peoples of […]

Which of the following is an example of a price-fixing arrangement? A. Price escalation B. Barter houses C. Letters of credit D. Cartels E. Countertrade Answer: In the context of the research process, which of the following should an organization […]

Which of the following ensures that balance-of-payments records are always in balance? A. Sum of squares recording system B. Bank reconciliation system C. Double-entry bookkeeping system D. Archival records system E. Multifactor recording system Answer: A marketer may face lower […]

In the context of international advertising, companies are moving from the commission system to a _____ system. A. tactical B. standardized C. reward-by-results D. self-regulation E. business-to-business Answer: Which of the following was designed to primarily deal with trade deficits, […]

The GATT became part of the World Trade Organization in 1995 with the ratification of the Uruguay Round agreements. Answer: Sales on open accounts are recommended when shipping is hazardous. Answer: FALSE Sales on open accounts are generally not recommended […]

Which of the following is an effective approach to prevent Chinese consumers from creatively copying foreign intellectual property? A. Boycotting all trade activities with China B. Placing embargoes on trade with China C. Charging what the market will bear D. […]

Which of the following provinces of China shares the closest economic ties with Russia? A. Liaoning B. Jilin C. Heilongjiang D. Guangdong E. Hainan Answer: Which of the following methods is considered most effective while resolving disputes with Chinese business […]

It is mandatory for importers who want to buy a foreign good from a foreign country to apply for a business permit in that country. Answer: Television is an advertising medium with no restrictions in most countries. Answer: FALSE Companies […]

Errors at the receiver end of the international communications process can be avoided if the message is encoded properly. Answer: A major issue that China has to address in its path to economic growth is improving human rights. Answer: TRUE […]

Which of the following best describes the current perception of geographical features such as mountains in the context of economic growth in Europe? A. They provide natural protection from potentially hostile neighbors. B. They are impediments to efficient trade and […]

In the context of international business negotiations, even in countries where women do not participate in management, American female negotiators are first treated as _____. A. distractions B. ignorant people C. incompetent people D. foreigners E. inexperienced people Answer: Which […]

Dutch management professor Geert Hofstede argues that culture provides a guide for humans on how to think and behave. Answer: Due to the great differences in the roles played by women across cultures, gender should be used as a selection […]

Longer channels of distribution are more appropriate for keeping prices under control than shorter channels of distribution. Answer: The most severe political risk is domestication. Answer: FALSE The most severe political risk is confiscation, that is, the seizing of a […]

For countervailing duties to be invoked, it must be shown that prices are higher in the importing country than in the exporting country. Answer: Legal advice is not necessary when entering distribution contracts with middlemen. Answer: FALSE Competent legal advice […]