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77) Which action should be taken when beginning the search for prospective middlemen?
A) short-listing the middlemen
B) studying the target market
C) evaluating the available financial resources
D) designing the sales force required
E) understanding the mission of the manufacturing firm
78) Sixty percent of the Japanese population lives in the ________ market area, which
essentially functions as one massive city.
A) Tokyo–Nagoya–Osaka
B) Komaki–Tokoname–Kariya
C) Nagoya–Handa–Seto
D) Nishio–Okazaki–Inazawa
E) Inuyama–Nisshin–Takahama
79) According to experienced exporters, what is the only effective way to select a middleman?
A) Conduct a background check on all the distributors available in the target market.
B) Issue a request-for-proposal to all distributors in the target market and evaluate their
responses.
C) Consult other manufacturers of similar products and select the distributor recommended by
them.
D) Consult trade organizations and select the distributor recommended by them.
E) Talk personally to ultimate consumers to find whom they consider to be the best distributors.
80) The closer the company wants to get to the customer in its channel contact,
A) the larger the sales force required.
B) the more routine the channel-building process becomes.
C) the more likely the company will use middlemen.
D) the more important it is to consult with trade organizations.
E) the more effective use of the Internet will be.
81) Abel Corp. is a wholesaler for Global Electric in the French market. Global Electric
discovered that Abel Corp. was diverting some of its goods to the English market. Abel could get
a greater profit in the English market because the goods were bought by the firm at a cheaper
price in France. What is Abel engaged in?
A) black marketing
B) parallel importing
C) backwashing
D) industrial piracy
E) smuggling
82) Parallel importing is also known as
A) secondary wholesaling.
B) black marketing.
C) backwashing.
D) industrial piracy.
E) smuggling.
83) E-commerce is more developed in ________ than the rest of the world, partly because of the
lower cost of access to the Internet than found elsewhere.
A) China
B) Brazil
C) Switzerland
D) Japan
E) the United States
84) When developing a website, what is true about the use of language?
A) English should be used, as it is the most universal language.
B) It is not necessary to use multiple languages because the customer will bridge the language
gap.
C) Simple translation of web pages is sufficient to reach foreign markets.
D) Language and culture do not impact a website's message in any significant way.
E) A country-specific (and language-specific) website may make the difference between success
and failure.
85) A website should be seen as
A) a sole means of advertising.
B) a vehicle for product delivery.
C) a substitute for marketing in more than one language.
D) a way to get around differences in cultures.
E) a means of promotion and a retail store.
86) E-commerce is a form of ________ selling.
A) direct
B) parallel
C) dual
D) indirect
E) targeted
87) A website and the product must be culturally neutral, which can be a problem when it comes
to color. For instance, the color red is associated with socialism in
A) the United States.
B) China.
C) Brazil.
D) Uruguay.
E) Spain.
88) Cargo ships are reducing transit time and are larger and thus able to carry more containers.
What is a disadvantage of this for U.S. companies' imports?
A) They are taking business away from other forms of transit.
B) Some ships are too large to fit into U.S. ports.
C) The cost is becoming prohibitive.
D) Containers cannot be shipped by rail in Europe.
E) They have impeded investment in supersonic passenger jets.
89) One result of the EU's unification is
A) the elimination of trade barriers with countries outside the EU.
B) the acceptance of universal prices on basic goods.
C) the elimination of transportation barriers among member countries.
D) an increase in the number of warehouses in member countries.
E) elimination of the need for cargo ships for distribution.
90) What happens in an import-oriented distribution structure? How are intermediaries affected?
91) The Japanese distribution structure has four distinguishing features. Discuss these and
explain how they impact Japan's market.
92) What are the main features of export management companies? Describe their advantages and
disadvantages.
93) How does complementary marketing extend a company's distribution? When is a company
most likely to use it?
94) Discuss the Export Trading Company (ETC) Act and its effects on U.S. firms.
95) What is a foreign sales corporation?
96) Discuss the continuity problem associated with a channel of distribution.
97) What are the various techniques that can be used to motivate middlemen?
98) What is secondary wholesaling and when might it be used?
99) Company B found out that the middleman it was using was skimming money from its
profits, so it decided it had to terminate the relationship. What does Company B need to know
before terminating a middleman in a foreign country?
100) What are the six issues that must be taken into consideration by an e-vendor?
