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1) A sense of shame leads to sensitivity in social contacts within high-performing Asian
countries such as Hong Kong, Taiwan, and Japan.
2) Benetton uses the slogan "United Colors of Benetton" to position itself as a brand
concerned with the unity of humankind. This type of strategy is referred to as GCCP
(global consumer culture positioning).
3) The World Bank has developed a four-category classification system for stages of
marketing development which uses GDP as a base.
4) The "balance of payments" is a record of all economic transactions between the
residents of a country and the rest of the world.
5) The history of twentieth-century world economic thought has been called a "battle of
ideas."
6) According to a Ghanaian economist, George Ayittey, the Cheetah generation is
composed of fast-moving citizens who do not accept corruption and who believe that
democracy and transparency lead to better governance.
7) Partial nudity and same-sex couples are frequently seen in ads in Latin America and
Europe.
8) CVDs are duties imposed on imported videodiscs.
9) The fact that significant numbers of pizza-loving consumers are found in many
countries indicates that they are eating the exact same thing in all parts of the world.
10) Value, competitive advantage, and the focus required to achieve them are universal
in their relevance and should guide global marketing efforts in any part of the world.
11) A global company that uses market skimming as a pricing strategy is likely to invite
charges of "dumping" by competitors in host-country markets.
12) A market penetration pricing strategy calls for setting price levels that are high
enough to quickly build market share.
13) Yong Nam, CEO of LG, recently stipulated that English would be required
throughout the company. He explained that the speed of innovation that is required to
compete in the world mandates that we must
have seamless communication.
14) The strong rivalry in the U.S. market between Dell, Gateway, Hewlett-Packard,
Apple, and other computer companies has helped make the United States a world leader
in personal computers.
15) Mercosur or the Common Market of the South resulted from a treaty signed by four
countries: Argentina, Brazil, Paraguay, and Venezuela.
16) Building layers of advantage, searching for loose bricks, changing the rules of
competitive engagement, and collaborating are elements of the competitive advantage
framework developed by:
A) W.E. Deming
B) Hamel and Prahalad
C) Porter
D) Drucker
E) D'Aveni
17) Implementation of the Central American Free Trade Agreement with the United
States created a free trade area known as DR-CAFTA.
18) During the past two decades, the world economic environment has become
increasingly dynamic. To achieve success, executives and marketers must take into
account all of the following realities except:
A) capital movements have replaced trade as the driving force of the world economy
B) production has become "uncoupled" from employment
C) the world economy dominates the scene
D) the struggle between capitalism and socialism continues
E) the growth of e-commerce diminishes the importance of national barriers
19) A fundamental difference between regular marketing and global marketing is:
A) the lack of marketing mix
B) the scope of activities
C) the lack of strategic planning
D) the focus on resources
E) the lack of communication
20) In spite of having about 45% of the world's known oil reserves, Saudi Arabia and
other Middle Eastern countries post current-account deficits, largely because:
A) of poor accounting practices
B) of vast economic diversification
C) they must import most of the goods and services
D) most of the oil is exported
E) new businesses are being developed
21) The words that are the spoken or written communication elements in advertisements
are known as:
A) copy
B) manuscript
C) idea
D) script
E) writings
22) Predicting economic and income growth rates is particularly important when
researching which type of market?
A) existing markets
B) latent markets
C) parallel markets
D) incipient markets
E) local markets
23) Which of the following lists some of the steps in the market research process in the
correct order?
A) determine information requirementproblem definitionchoose unit of
analysisexamine data availabilityassess value of research
B) problem definitionassess value of researchdetermine information requirementchoose
unit of analysisexamine data availability
C) examine data availabilityproblem definitionchoose unit of analysisassess value of
researchdetermine information requirement
D) choose unit of analysisassess value of researchproblem definitiondetermine
information requirementexamine data availability
E) examine data availabilityassess the value of researchproblem definitionpresentation
24) The formulation, imagery, and consumer appeal of Colgate's Total brand toothpaste
were designed to translate across national boundaries. This new global brand represents
which type of product innovation?
A) discontinuous innovation
B) dynamically continuous innovation
C) continuous innovation
D) comparative innovation
E) dynamically discontinuous innovation
25) Wal-Mart's international division currently generates only 25% of company sales,
but the world's biggest retailer is staking its claim in:
A) Mexico
B) Germany
C) China
D) Malaysia
E) Turkey
26) The term magalog is used to describe which communication medium?
A) direct mail
B) Groupons
C) coupons
D) catalogs
E) infomercials
27) When one of the parties to a barter transaction is not willing to accept the goods
included in the transaction, that party is likely to utilize the services of a:
A) switch trader
B) Foreign Trade Organization
C) Foreign Sales Corporation
D) Mittelstand owner
E) broker
28) A few years ago, Philips Electronics developed a new consumer electronics product
called the Digital Compact Cassette player. DCC did more than allow users to record
and playback in a new digital format; DCC was also designed to play the older, analog
cassette tapes that many people own. However, die-hard audio buffs were the only ones
to buy DCC and Philips ultimately discontinued the product. Which of the following
statements based on adopter categories describes this?
A) early adopters bought, but innovators didn't
B) innovators bought, but early adopters didn't
C) innovators bought, and everyone else was a laggard
D) early majority bought, but late majority didn't
E) DCC was a laggard
29) Slumdog Millionaire, a movie which received several awards and an Oscar in 2009,
was filmed on a location in and around:
A) London
B) San Francisco
C) Cancun
D) Mumbai
E) Moscow
30) Outdoor advertising is experiencing explosive growth in China.
31) When Wal-Mart Stores first expanded into Mexico, management established a joint
venture with the country's largest retailer. Judging by the approach Wal-Mart used,
management must have viewed Mexico as:
A) culturally close and easy to enter
B) culturally distant and easy to enter
C) culturally close and difficult to enter
D) culturally distant and difficult to enter
E) culturally difficult and easy to enter
32) In fall 2002, a new Broadway production of Puccini's La Boheme was set in Paris
circa 1957. The stage set included billboards for luxury pen maker Montblanc and
Piper-Heidsieck champagne. This is an example of:
A) consumer sales promotion
B) sampling
C) product placement
D) trade sales promotion
E) global awareness
33) Worldwide spending on outdoor advertising amounts to about ________ of total ad
spending.
A) 1%
B) 2%
C) 4%
D) 6%
E) 10%
34) According to David Whitwam, former CEO of Whirlpool, one must create an
organization whose people are:
A) adept at exchanging ideas
B) absolutely free of the not-invented here syndrome
C) constantly working together to identify best global opportunities
D) working together to solve the biggest global problems
E) able to adapt to systems across borders
35) Yong Nam, CEO of LG, recently stipulated that English would be required
throughout the company. His reasons for this action included all of the following
statements except:
A) the need to have seamless communication
B) not to depend on a small group of people
C) impede information sharing
D) facilitate decision making
E) utilizing everybodys wisdom
36) When companies operate abroad in the absence of home-country legal constraints,
the best choice for ethical conduct would be:
A) to ignore bribery and act as if it does not exist
B) to maintain home-country ethics worldwide with no adaptations
C) to abandon any attempt to maintain company ethics
D) to have a product that is clearly superior to that of the competition
E) to adapt in varying degrees to local customs and practices
37) While some food preferences remain deeply embedded in culture, there is plenty of
evidence that global dietary preferences are converging. Examples of such a change can
be predicted from:
A) the popularity of Domino's Pizza in Italy
B) the preference for local hamburgers from a local chain, Jollibee's, in Philippines
C) the growing number of McDonald's restaurants globally
D) the increased sales of soups and noodles in Thailand
E) popularity of Chinese foods in Taiwan
38) About 70% of Ecuador's flower harvest is exported to:
A) Bolivia
B) United States
C) Colombia
D) Peru
E) Venezuela
39) As a result of CFTA, the U.S. automakers participate in the Canadian auto market,
thereby benefiting due to:
A) greater economies of scale
B) decreased production costs
C) reduced competition
D) ease of exporting automobiles
E) creating a continental demand
40) Measuring elevator populations in countries measured as units installed per
thousand people gives an estimate of the market for elevators. That China has about one
half an elevator per thousand people is indicative of:
A) low product saturation level
B) high product saturation level
C) high population level
D) high technological level
E) low technological level
41) A true global strategic partnership is unique and different. Using the example of
Sony's strategic alliance with Samsung, discuss attributes that are needed for a fine
working partnership.
42) As a company's international business grows, the need for having international
divisions becomes evident. Explain how an international division structure works and
what factors contribute to the establishment of an international division.
43) In response to the ongoing economic crisis, U.S. President Barack Obama created a
National Export Initiative and established the President's Export Council. What is
meant by export marketing and export selling?
44) How important is the nationality of the top management position holder in global
businesses?
45) What is the significance of innovation in global marketing? Describe different
categories of innovation with examples.
46) What are demand conditions? Why is the nature of home demand conditions for the
firm's or industry's products and services important?
47) How do ethnocentric orientations of a company differ from polycentric
orientations? Give examples of how companies react under both orientations.
