Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
Test Bank
Chapter 6: Markets and Segmentation in an International Context
1. People with wants and needs, money to spend, and the willingness to spend money on those
wants and needs constitute a ______.
a. group of consumers
b. territory
c. market
d. region
e. set of shoppers
2. Which of the following is NOT a cultural characteristic that affects international marketing?
a. language
b. customs and rituals
c. religion
d. social institutions and practices
e. economic conditions
3. Which is creating perceptions in the minds of consumers about the nature of a company, its
brands, and its products and services?
a. segmentation
b. targeting
c. positioning
d. promotion
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
e. perceptual influence
4. International consumer market segments may be based on ______.
a. age
b. income
c. education
d. ethnicity
e. all of these
5. Which consumers are less likely to focus on price and instead buy products that meet global
quality standards?
a. global
b. glocal
c. local
d. globe
e. concentric
6. The strongly held belief that one’s culture is superior to others is ______.
a. selfishness
b. egocentrism
c. ethnocentrism
d. nationalism
e. patriotism
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
7. Which is the opposite of cosmopolitanism?
a. selfishness
b. egocentrism
c. ethnocentrism
d. nationalism
e. patriotism
8. Which type of consumer generally exhibits a tendency to avoid purchasing foreign-produced
products?
a. risk averse
b. ethnocentric
c. egocentric
d. nationalist
e. patriotic
9. Firms that sell virtually the same goods or services to both consumers and businesses engage
in ______.
a. dual branding marketing
b. dual channel marketing
c. dual distribution marketing
d. dual promotion marketing
e. dual product marketing
10. Dual channel marketing often results from ______.
a. governmental regulations
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
b. economic development
c. trade embargoes
d. tariff restrictions
e. trade negotiations
11. Which, when combined with the degree of income distribution as dictated by the economic
system, dramatically affects the presence or absence of potential target markets?
a. tariffs
b. embargoes
c. per capita income
d. disposable income
e. materialism
12. Which coefficient measures the income inequality within a country?
a. Gini
b. alpha
c. chi
d. phi
e. theta
13. The higher this coefficient, the higher the income inequality in a country?
a. Gini
b. alpha
c. chi
d. phi
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
e. theta
14. Which Gini coefficient would represent perfect income equality?
a. 0
b. 1
c. less than 1
d. greater than 1
e. none of the above
15. GLOBE Societal Clusters include all of the following EXCEPT ______.
a. Nordic Europe
b. Eastern Europe
c. Central Africa
d. Sub-Saharan Africa
e. Latin America
16. Ronen and Shenkar Clusters include all of the following EXCEPT ______.
a. near Europe
b. Nordic
c. Germanic
d. Far Eastern
e. African
17. In many bottom-of-the-pyramid nations, which has become a driving force in purchases?
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
a. trade restrictions
b. sustainability
c. price inelasticity
d. international boycotts
e. materialism
18. Which represents the total number of individuals or businesses that could purchase a product
in a given area?
a. market demand
b. market potential
c. brand demand
d. company demand
e. industry demand
19. Which consists of the total sales of all brands sold in an area?
a. market demand
b. market potential
c. brand demand
d. company demand
e. industry demand
20. Which is the estimated demand for a company’s brand?
a. market demand
b. market potential
c. industry demand
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
d. market penetration
e. none of the above
21. Market share is also called?
a. market demand
b. market potential
c. brand demand
d. company demand
e. industry demand
22. The penetration rate for a product that sells 400,000 units, when the market potential is
20,000,000 units would be ______.
a. .5%
b. 1%
c. 2%
d. 5%
e. 8%
23. In the STP model, the P stands for ______.
a. participation
b. patronage
c. plurality
d. popularity
e. positioning
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
24. Which is NOT a demographic market segment characteristic?
a. age
b. gender
c. psychographics
d. ethnicity
e. income
25. Profiles of activities, interests, and opinions are ______.
a. demographics
b. ethnographics
c. psychographics
d. benefit segmentation profiles
e. usage segmentation profiles
26. Combining an analysis of topography with population characteristics represents which
approach?
a. demographics
b. geodemographics
c. psychographics
d. benefit segmentation
e. usage segmentation
27. Frequent travelers, occasional travelers, and rare travelers are examples of which type of
segmentation?
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
a. demographics
b. geodemographics
c. psychographics
d. benefit segmentation
e. usage segmentation
28. Identifying segments by health, automotive, financial, or clothing at the business-to-business
level is segmentation by ______.
a. industry
b. size
c. economy
d. benefit
e. usage
29. Brand switching is also called ______.
a. changeover
b. turnover
c. churn
d. quits
e. passage
30. When individuals who buy a particular brand at work have positive experiences and, as a
result, purchase the same brand for personal use, it is a ______.
a. transitional sale
b. duplicate sale
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
c. form of churn
d. spin-off sale
e. replicate market
31. Characterizing business-to-business segment by low-, medium-, and high-purchase groups is
segmentation by ______.
a. dual channel marketing
b. customer value
c. benefit
d. industry
e. marketplace
32. A market consists of people with wants and needs, money to spend, and the willingness to
spend money on those wants and needs.
a. True
b. False
33. Cultural factors are considered last when segmenting international markets.
a. True
b. False
34. Geographical factors do not influence the origins of culture.
a. True
b. False
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
35. Topography influences both lifestyles and culture.
a. True
b. False
36. Topography is related to population density.
a. True
b. False
37. Climate has an impact on culture.
a. True
b. False
38. Examination of values constitutes a common background for cultural research.
a. True
b. False
39. Stimulation is an individual-level cultural value.
a. True
b. False
40. The STP approach includes segmentation, targeting, and positioning.
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
a. True
b. False
41. Positioning is creating perceptions in the minds of consumers about the nature of a company,
its brands, and its products and services.
a. True
b. False
42. For a market segment to be viable for an international marketing campaign, consumers in the
segment should have a diverse set of needs.
a. True
b. False
43. Psychographics are influenced heavily by religious training, customs, and language.
a. True
b. False
44. Demographic segmentation is influenced largely by geographic differences that exist in a
country.
a. True
b. False
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
45. When a company chooses benefit segmentation, the benefits that are promoted may vary
greatly according to the targeted country.
a. True
b. False
46. Consumers who view themselves as being a part of a large, global community rather than as
merely maintaining an allegiance to the local culture are known as cosmopolitans.
a. True
b. False
47. Glocal consumers buy global products routinely and have a strong preference for global
brands.
a. True
b. False
48. Local consumers rarely buy or consume foreign products.
a. True
b. False
49. Usage segmentation is based on how frequently groups use or purchase products or services.
a. True
b. False
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
50. The primary goals of business segmentation are to provide better customer service and to
group similar organizations into clusters to enhance international marketing efforts.
a. True
b. False
51. Methods of segmenting business markets include by industry, size, geographic location,
product usage, and customer value.
a. True
b. False
52. Spin-off sales occur when a business buys one product from an international marketer and
then decides to buy another from the same supplier.
a. True
b. False
53. One of the primary challenges facing green marketers has been the inability to entice
consumers to spend more money on environmentally safe products.
a. True
b. False
54. Market potential represents the estimated demand for a company’s brand.
a. True
b. False
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
55. Market demand consists of the sales of all brands sold in an area or within a product industry.
a. True
b. False
56. Market potential factors that should be assessed when examining the potential of a region for
expansion include availability of financial resources, availability of potential substitute products,
and consumer awareness of the product.
a. True
b. False
57. Assessment criteria that may be used to study the potential benefits of entering an
international market include measurability, accessibility, profitability, and actionability.
a. True
b. False
58. Describe the various factors that can be used to segment international consumer markets.
Give examples of each factor and how they apply to international market segmentation.
59. List the four requirements for a market segment to be considered viable for an international
marketer.
Instructor Resource
Baack et al., International Marketing, 2e
SAGE Publishing, 2019
60. Discuss the difference between global, glocal, and local consumers. How do they differ in
their responsiveness to international marketing programs?
61. Describe the various methods of segmenting business-to-business markets internationally and
give examples of each method.
62. List the various ways to assess market potential in an international market. Why are these
factors important for international marketing success?