The America-First Corporation has experienced problems in finding distributors and
other intermediaries in Japan. The Japanese have “institutionalized” Galbraith’s concept
of countervailing power in the form of:
A.buying cartels.
B.supplier blocs.
C.keiretsus.
D.kabuki blocs.
Segmentation in most Asian markets does NOT focus upon:
A.culture.
B.ethnicity.
C.religion.
D.environment.
Shipping products such as water bottles from faraway destinations to consumer markets
around the world is being questioned within the context of:
A.Fair trade practices.
B.antiglobalization.
C.carbon footprints.
D.regionalization.
As it seeks foreign opportunities, the America-First Corporation actively pursues
forward and backward vertical integration. The firm’s approach is most consistent with
the principle of:
A.decentralization.
B.market-making.
C.externalization.
D.internalization.
The PRIMARY U.S. legislation prohibiting price discrimination is the:
A.Sherman Act.
B.Clayton Act.
C.Wheeler-Lea Act.
D.Robinson-Patman Act.
Regardless of the culture in which consumers make purchase decisions, it will be
correct to assume that those buyers:
A.perceive a link between behavior and desired results.
B.are completely rational in their choice behavior.
C.are interested only in obtaining the lowest possible price.
D.are consciously aware of the real reasons for all of their purchases.
The America-First Corporation insists that its domestic managers study the culture of
the nation to which they are to be assigned. The firm is attempting to assist its potential
foreign managers in the process of improving:
A.culture shock.
B.language facility.
C.legal expertise.
D.cultural adaptation.
Axley and Rode CPA, Corporation has been quite successful in its domestic service
business. The firm would like to globalize its service business, but is not sure that its
total service delivery system can be successfully transplanted to foreign countries. The
firm’s concern centers upon:
A.augmented services.
B.core services.
C.generic benefits.
D.the formal service package.
Liz Claiborne Corporation would like to enter several emerging nations that have a long
history of political instability. While the firm desires to establish a brand presence in all
areas it believes to have potential as a major future market, Liz Claiborne can not afford
to lose significant foreign assets. Which of the following modes of entry BEST meets
the firm’s entry requirements?
A.Licensing
B.Wholly owned subsidiaries
C.Joint ventures
D.Acquisitions
Which of the following constitutes the “meat and potatoes” of descriptive marketing
research studies?
A.Sampling frames
B.Representative samples
C.Surveys of large samples
D.Focus groups
The Top Notch Corporation’s retail chains have achieved a global dominance that
allows them to exert considerable influence over the product and pricing decisions of
other channel members. The firm’s retail stores are functioning as a(n):
A.monopolist.
B.monopsonist.
C.oligopolist.
D.channel captain.
All of the following situations make it difficult for managers to implement a global
marketing strategy EXCEPT:
A.the company is already present in many markets.
B.an outcome of a global strategy will be total autonomy for the local subsidiary.
C.the firm has a history of successful operations with local autonomy.
D.the company heads have experience and status at home and in the organization.
_____ means that products, brand names, marketing communications, and distribution
channels are similar across countries to provide demand spillovers and cost efficiencies.
A.Consistent positioning
B.Horizontal grouping
C.Lateral positioning
D.Uniform positioning
A country which is more efficient/productive than all other nations with regard to a
specific product or resource is said to have a(n):
A.comparative advantage.
B.monopoly.
C.absolute advantage.
D.trade deficit.
Which of the following is ranked highest according to the “Best Global Brands 2007”
survey by London-based Interbrand consulting firm?
A.Disney
B.Intel
C.Microsoft
D.Coca-Cola
Product brands:
A.stand for the corporation as a whole.
B.represent the traditional meaning of brands and are specific to a product or service.
C.is the practice of featuring two brands on an equal level.
D.are the branded components of a product made by other manufacturers.
Newly democratized countries are distinguished from the typical developing country by
all of the following characteristics EXCEPT:
A.the satisfaction of basic needs.
B.a strong marketing infrastructure.
C.a solid basic education, social control, and security.
D.the absence of a free market.
All of the following are examples of judgmental forecasts EXCEPT which one?
A.The jury technique.
B.Expert pooling.
C.The Delphi method.
D.Time series extrapolation.
The America-First Corporation is employing Gannon’s metaphors to help prepare
domestic managers for assignments in Japan. Which metaphor the managers will use to
relate to Japanese culture?
A.A Garden
B.A Summer home
C.A Family alter
D.A Symphony
All of the following statements about the use of pattern standardization in pan-regional
advertising are true EXCEPT:
A.a regional focus allows most of the advantages of global advertising without
sacrificing too much local adaptation.
B.early involvement of local subsidiaries enriches the process and helps assure
acceptance of unified themes.
C.pattern standardization needs free and open exchange.
D.market research is not required if the firm has been active in the market for several
years.
All of the following statements about mature markets are true EXCEPT:
A.mature markets show slow growth apart from some high-technology markets.
B.customers are pampered by strong domestic and global companies competing
intensely for their satisfaction.
C.mature markets are driven by product innovation and high technology.
D.mature markets possess a rapidly developing marketing infrastructure.
P&G Pampers’ successful positioning message in Japan focused on happy babies rather
than inconvenienced mothers. This is an example of:
A.different segments, different positioning strategy.
B.different segments, similar positioning strategy.
C.similar segment, similar positioning strategy.
D.similar segment, different positioning strategy.
All of the following are environmental dimensions considered by global marketers
EXCEPT:
A.physical.
B.socio-cultural.
C.psychological.
D.economics.
Which of the following occurs before a company actually decides to enter a particular
country with its marketing program?
A.The product is developed for the area.
B.The promotions are developed for a culture
C.The currency is studied to get an idea of prices
D.A trade area is studied and pinpointed.
Which of the following statements is FALSE about the link between culture and
managerial skills?
A.Culture is more important for what decisions the managers make.
B.Culture helps a manager learn how to handle subordinates.
C.Management style varies by culture and regions of the world.
D.Managers from low context cultures are not as sensitive to nuances.
BMI Corporation has instituted global budgeting, global performance reviews, and
global accounting activities as a means of integrating global marketing into its
organization. The firm’s approach to implementing global marketing will be supported
by new:
A.stock issues.
B.computer systems.
C.turnkey systems.
D.management systems.
Why is it a risky decision for most purchasing agents to switch from an existing
domestic supplier to a foreign supplier?
A.Foreign engineers and managers are not as skillful or knowledgeable as local
engineers or managers.
B.Quality of the products delivered by the foreign supplier is always questionable.
C.Terminating an existing domestic supplier carries with it political negatives.
D.Foreign suppliers are very reluctant to start with a small order.
Specialty Beers, Inc. has just added Corona to its “imported” beer for the American
market. Corona, a product of Mexico brewed for the Pan-American taste, would be
BEST described as a:
A.global product.
B.regional product.
C.local product.
D.customized product.
Which of the following companies was “baptized by fire” in a global PR nightmare in
the last half of the 1970s and sometimes still suffers from that episode?
A.General Motors
B.Nestl
C.Carnation
D.Libby
In most developing markets, the basic segmentation criteria is:
A.age and gender.
B.educational level.
C.income level.
D.housing type and location.
In newly democratized countries, a reversion to communism, or some other form of
centralized economic system, is the major form of:
A.social risk.
B.cold war risk.
C.political risk.
D.cultural risk.
_____ can in a way be seen as a prerequisite for effective coordination, since it is more
difficult-and less needed-to coordinate across dissimilar products and marketing
activities.
A.Standardization
B.Selling Orientation
C.Centralization
D.Localization
Which of the following can be termed as hedonic products?
A.Detergents
B.Paper products
C.Apparel
D.Toothpaste
Paramount Pictures has capitalized on the popularity of Gene Roddenberry’s Star Trek
characters to develop arrangements with manufacturers of a wide range of clothing,
collectibles, and toy items based on their images and adventures. Briefly describe the
firm’s strategy and explain why the use of “fictional” characters for this purpose may be
“safer” than the use of athletes.
Pet Foods Corporation hopes to benefit from the major potential advantages by using a
global brand. The firm is “banking” on _____, _____, and _____.
As a part of its plan to enter Russia and China, the McDonald Douglas Corporation
intends to devote a great deal of effort to “market education.” Why might this be
necessary, and to whom should such efforts be directed? How can the firm benefit from
this effort?
Norelco Corporation has just appointed Anne Norton as its first global marketing
director. What functions should be assigned to her position?
The stages in the product life cycle (PLC) typically involve ____________,
____________, ____________, and possibly ____________.
The King Aire Corporation enjoys a strong quality and brand image around the globe.
The firm would like to take advantage of this situation by charging prices that reflect
this _____.
Former totalitarian countries typically have a strong distrust for public announcements
and mass communications, a fact that works against the _____ of advertising. American
firms must be especially careful to avoid the use of _____ when they make claims about
a product.
After years of being content with confining itself to its domestic market, the
America-First Corporation has decided to go abroad. Briefly describe the major
objectives the firm may hope to achieve through this action. How do these objectives
inter-relate?
The global marketing planning process involves a sequence of five steps. Describe
them.
Slim-line Corporation is determined to combat the effects of gray trade. What types of
damage might the firm incur? How can Slim-line combat this problem?
The America-First Corporation is considering the sale of goods to a new foreign buyer
with which it is not familiar. The firm may protect itself against nonpayment by
requiring the foreign buyer to negotiate a _________________________ with a
domestic bank and withholding the _________________________ needed for the
buyer to take possession of the goods until payment is received.
St. Louis Corporation is preparing to launch its first global advertising effort. The firm
must first build awareness for its global products. In those nations in which it is
available, St. Louis would probably prefer to employ _____ as a medium for this
purpose.
Whenever possible, the America-First Corporation ships products destined for foreign
markets through free-trade areas or customs-free depots. Why are free-trade zones used
so frequently by international marketers?
The _____ associated with the demand curve in economic theory identify how many
customers are willing to buy how much of the product at various price levels.
Reebok Corporation is considering entry into several NDC markets around the world.
Management has requested a briefing on what characteristics, if any, distinguish these
markets from the typical developing country. Briefly discuss the factors you would
include.
The Newcombe Corporation, a newcomer to marketing in developing countries, has
been “shocked” by the weak marketing infrastructure available for its use. Explain how
infrastructure weakness can affect the firm’s activities. What is the impact of this
weakness upon marketing research?
Great China Corporation has just embarked upon a global advertising campaign. The
firm will probably realize its first returns from its efforts in the form of an enhanced
_____, but global advertising can be more direct and come closer to _____ action, also.
Briefly describe the factors thought to be globalization drivers. Which factor is
generally considered to be dominant? Why?
It is said that the Japanese still have difficulty understanding why an affluent nation like
the United States should be so price conscious. Briefly describe the “simple” reason for
this phenomenon. What market characteristics underlie this reality? Why might the
Japanese find the phenomenon especially hard to understand?
In the second _____ stage, market research is used to collect data on the potential
customers in each of the countries belonging to the selected cluster or clusters.
