The Gap Corporation traditionally makes its sales forecasts by soliciting a series of
“rounds” of numerical forecasts from a pre-selected number of experts. The process
continues until the experts agree on a single forecast amount. The firm is employing
the:
A.Delphi method.
B.time series extrapolation approach.
C.expert pooling technique.
D.jury pooling method.
The “platform” that defines the basic structure of a firm’s offering is called the:
A.base model.
B.core product.
C.foundation offering.
D.modular design.
Export licenses are usually issued by the:
A.Department of Defense.
B.Department of Trade.
C.International Trade Organization.
D.Department of Commerce.
In which of the following countries the GNP per capita is greater than $10,000?
A.Egypt
B.Turkey
C.Australia
D.The Netherlands
Which of the following modes of transportation is responsible for the clogged roads in
European countries?
A.Roll-on-roll-off system
B.Truck transportation
C.Global carrier alliances
D.Pipeline transportation
Browning-Ferris Corporation is a major global exporter. The firm’s products are sold in
many foreign markets characterized by a wide variety of tariff barriers, nontariff
barriers, and governmental regulations which make pricing uniformity difficult, if not
impossible. The firm is MOST likely to approach this problem by using:
A.dumping pricing.
B.skimming pricing.
C.transfer pricing.
D.cost-plus pricing.
All of the following are considered to be vital to the success of a salesperson EXCEPT:
A.appearance.
B.overt aggression.
C.self-confidence.
D.enthusiasm.
The America-First Corporation has instituted a requirement that all domestic managers
become fluent in the language of the foreign countries in which they may be based.
Language fluency will be most important in which of the following types of cultures?
A.High content cultures
B.Low content cultures
C.High context cultures
D.Low context cultures
In comparing prototype advertising to pattern standardization, which of the following
statements is false?
A.The brand name remains the same in both strategies.
B.Pattern standardization strategy gives very little freedom to reshoot a commercial.
C.Types of media used are a matter of local choice in pattern standardization.
D.Choice of actors and the actual words spoken are chosen locally in pattern
standardization.
In which of the following sales forecasting methods is the forecast the result of the
compilation of separate estimates from individuals knowledgeable about certain
segments of the market?
A.The build-up method
B.Forecasting by analogy
C.The jury technique
D.Expert pooling
Advertising:
A.exhibits an equal degree of intensity across countries.
B.is unaffected by religious beliefs.
C.tends to vary directly with a nation’s GDP in per capita terms.
D.as a percentage of GDP, is more significant in Great Britain than in the United States.
The use of more or less uniform advertising across many countries often, but not
necessarily, in media vehicles with global reach is at the core of:
A.localized advertising.
B.global advertising.
C.multidomestic advertising.
D.adapted advertising.
In economic theory, the number of customers who will buy a given quantity of a
product at various price levels is predicted by:
A.the cost elasticity of demand.
B.the price elasticity of supply.
C.the price elasticity of demand.
D.the cost elasticity of supply.
As a true, global company, the America-First Corporation often starts price wars in
selected markets to “occupy” rivals and conceal its entry into new markets. This
strategy is an example of:
A.integrated competitive moves.
B.global advertising.
C.strategic intent.
D.leveraged local presence.
In countries like Malaysia, size distribution of wholesalers approximates:
A.retail volume.
B.the pyramid rule.
C.manufacturing volume.
D.the 80-20 rule.
The America-First Corporation would like to evaluate the difficulty of entering a
country culturally distant from its own and how much culture shock its managers are
likely to encounter. The firm is most likely to employ which of the following for this
purpose?
A.Hofstede’s mapping
B.Gannon’s metaphors
C.Porter’s diamond of national advantage
D.Hall’s silent leadership
The America-First Corporation routinely collects local production data for any foreign
country it may consider a candidate for entry. The firm subtracts exports and adds
imports to local production in order to generate a direct measure of:
A.market growth.
B.competitive intensity.
C.trade barrier effectiveness.
D.market size.
The BEST rationalization for the introduction of a globalized marketing strategy is the:
A.cost savings that may be realized.
B.ability to expand outsourcing.
C.potential to expand automation.
D.emergence of global customers.
A resource-based strategy defines the firm in terms of:
A.the products it markets.
B.the services it markets.
C.the needs it seeks to satisfy.
D.what it is capable of doing.
The America-First Corporation has determined that its entry into several potential
foreign markets will only be feasible if it includes a significant amount of “local
content” in the products it plans to produce there. This conclusion was probably reached
during the firm’s in-depth screening of the candidate nation’s:
A.market size.
B.trade barriers.
C.market growth.
D.competitive intensity.
Japanese consumers are noted for their strong loyalty to domestic brands. Foreign firms
seeking to enter this market must be prepared to overcome this:
A.tariff barrier.
B.distribution monopoly.
C.natural barrier.
D.access barrier.
In order to successfully sell through large retailers, manufacturers are increasingly
forced to adopt:
A.monopolistic pricing.
B.relationship marketing.
C.vertical integration.
D.horizontal integration.
The fact that consumers in NDC markets are not familiar with the American use of
“puffery” will have its GREATEST impact on which of the following portions of the
marketing mix?
A.Product design
B.Pricing
C.Distribution
D.Advertising
Specialists, such as freight forwarders, ship lines, and customs agents, are often
contracted to handle the:
A.pricing function.
B.promotion function.
C.production function.
D.logistics function.
In China, personal selling is much more likely than advertising to establish the highly
desirable feeling of:
A.bon-zal.
B.ho-tal.
C.tae-bo.
D.guanxi.
Marriott Corporation is preparing to embark on a major foreign investment in wholly
owned subsidiaries. With which of the following factors should the firm exhibit the
GREATEST concern?
A.The ability to reduce transportation costs and customs fees.
B.The ability to guarantee goods to local retailers.
C.The ability to reduce country-of-origin effects.
D.The ability to meet local content requirements.
The most common source of new product ideas is:
A.new technology.
B.focus groups.
C.consumer surveys.
D.web-based data.
All of the following are primary requirements for statistical forecasting of foreign sales
EXCEPT which one?
A.Data must be available.
B.Past events are relevant for the future.
C.No other method is available.
D.Statistics are a better judge of events than more informal or anecdotal accounts.
Which of the following techniques has allowed even the smallest marketer, located in
the smallest and most remote location, to effectively compete globally?
A.Trade promotions
B.Global advertising
C.Cross-marketing
D.Direct marketing
Once a seller ships goods guaranteed under a letter of credit issued by a domestic bank
on behalf of a foreign buyer, the seller will typically receive payment by presenting the
letter of credit to:
A.the domestic bank.
B.the foreign bank.
C.the buyer.
D.the World Bank.
Which of the following functions of the expatriate manager is MOST critical to the
implementation of global marketing strategy?
A.Pushing headquarters’ directions through the local office.
B.Being a champion for the headquarter at the local office.
C.Serving as a link between headquarters and other country offices.
D.Recruiting more expatriates to carry out local marketing efforts.
The first firm to enter a market may find it easier to build brand recognition, develop
customer loyalty and distribution networks, and create a reputation for innovation that
can become powerful:
A.firm-specific advantages.
B.country-of-origin advantages.
C.adaptation advantages.
D.me-too advantages.
Those less visible obstacles to entry into a foreign country such as slow customs
procedures, special product tests, and bureaucratic inertia are called
__________________________ barriers.
In-depth screening, the heart of foreign country attractiveness evaluation, focuses upon
specific industry and product markets within candidate countries by evaluating
information relevant to ________________________, _________________________,
_________________________, and _________________________.
The primary advantage enjoyed by local products vis–vis global brands is derived from
the importance of _____.
The Microsoft Corporation, a major producer of computer systems, is considering the
use of direct marketing in several of its foreign markets. Briefly review the major
strategic alternatives available to the firm. Which is Microsoft most likely to choose?
The Outback Corporation is preparing to enter several large trading areas. Briefly
review the arguments in favor of the use of pattern standardization in such markets.
_____ or _____ refers to the notion that in many instances the firm not only is selling
some particular physical product or offering a single service, but is also providing the
buyer with a complete “package.”
Many American firms believe that Japan’s keiretsu system places them at a
disadvantage in international trade. What is a keiretsu, and how does it differ from the
export management companies that may be used by an American firm? Why don’t
American companies simply form keiretsus of their own?
Empirical research has shown that generally diversified strategies tend to lead to greater
sales abroad, while concentrated or focused strategies tend to result in somewhat _____
profitability.
In some nations of the world, the AOL Corporation would be forced to utilize a local
partner by the local government. How would such arrangements be BEST described?
Why would AOL prefer to avoid such arrangements? How can the firm best protect
itself against the potential risks of this approach?
Explain the BCG growth-share matrix.
IBM Corporation would like to establish a “firm” link between its advertising
expenditures and sales results. What type of research is needed? What problems might
be encountered?
Hewlett-Packard Corporation markets a wide variety of products in diverse foreign
markets. Some of its products would generally be described as high-involvement goods,
while others would be best described as low-involvement offerings. How would the
level of consumer involvement affect consumer search? What other factors affect this
decision process?
The Espirit Corporation is determined to attack gray trade in the most constructive
manner possible. The firm is most likely to employ the tactic of _____.
The popularity of cost-plus pricing was greatly enhanced by the discovery of the _____
effect.
Standardization usually starts with a _____, which may be “tailored” to local market
preferences through the use of _____.
Marvel Comics Corporation is experiencing the typical problems of conflict between
corporate headquarters and its local subsidiaries. What conflict resolution tools might
the firm choose from? Which is MOST likely to be effective?
Marketing in North America requires an understanding of _____, _____, _____, and
_____.
Briefly compare and contrast the major characteristics of emerging, new growth, and
mature markets.
_____ is the term applied to a marketing effort involving various personalized services,
creation of new and additional services, and customizing a company’s offering to the
needs of a special buyer.
