Chapter 13: The International Promotional Mix and Advertising Strategies
TRUE/FALSE
1. Cultural differences may create noise in the international communication process.
2. In Germany, the main purpose of the Peugeot bicycle is recreation.
3. In Poland, Pizza Hut is an upscale restaurant.
4. English is used in many markets because it requires less space in print.
5. English requires more air time for broadcast advertising.
6. In Saudi Arabia, the mailing system is not reliable.
7. In countries like Saudi Arabia, where the mailing system is reliable, mail is the medium for
distributing samples.
8. In Rwanda and Burundi international brands are frequently advertised through radio because it is the
only broadcast medium available.
9. International advertising is defined as a nonpersonal communication by an identified sponsor across
international borders, using broadcast, print, and/or interactive media.
10. Certain types of media might simply not be available in a company’s target markets.
11. Publishers accepting more advertisements than they can print is an example of the challenge of media
availability.
12. In some countries, and advantage of media is that they cluster ads and separate them from editorial
content.
13. By using the Hindi language, an international market can successfully communicate to the masses in
India.
14. English is the language most used in advertising worldwide.
15. Kiosks display advertisements for the international products they sell.
16. Because kiosks are so plentiful in developing countries, they are a fairly expensive communication
venue for multinational firms if they wish to cover the entire market.
17. In the United States, shopping bags display neighborhood announcements.
18. Infomercials and television shopping networks are still primarily a North American phenomenon.
19. Product placement in movies does not produce a greater level of advertising recall than television
advertising.
20. The United Kingdom and Ireland believe that comparative advertising is unfair advertising and
prohibit this type of advertising.
21. In Europe, comparative advertising is perceived as unfair advertising; consequently, this type of
advertising is prohibited.
22. France has regulations requiring advertisers to use only French in their advertisements.
23. A company that uses a localized strategy is more likely to hire a local advertising agency.
24. In general, if a company uses a standardized strategy for its products or services, it is more likely to
use local advertising agency.
25. More than half of the top 50 advertising agencies are from the United States.
26. Hiring an international advertising agency with local offices normally precludes the use of local
advertising agencies.
27. Coca-Cola uses the Interpublic Group to design its message for advertising worldwide, but it also
encourages each country office to appoint local agencies to implement the brand message devised by
Interpublic.
28. Shrinking product life cycles encourage companies to use localized communication strategies.
29. Canadian firms have a predilection for standardized communication approach.
30. The decision of whether or not to standardize is most often contingent on the degree of cultural
similarity between the sponsor and the target market.
31. Standardization of communication is recommended when there is similarity between senders and
receivers in the communication process.
32. The Objective-and-Task method is the most popular method used by multinational corporations in the
process of deciding on the advertising budget.
33. Swedish and Argentinean firms frequently use the Objective-and-Task method of budget setting while
firms from Canada and Singapore use it less frequently.
34. The Percent-of-Sales method is difficult to adopt for firms entering new markets.
35. The Percentage-of-Sales method is most popular in Brazil and less popular in Germany.
36. The Historical method of budget setting is recommended for firms that operate in unstable economic
environments.
37. The Competitive-Parity method of budgeting is not recommended for firms that are entering a new
market or whose brands are not known locally.
38. On average, firms worldwide allocate ninety percent of their advertising budgets to advertising to the
final consumer.
39. The United States spends on advertising more than half of the world total.
40. Eastern Bloc countries, China, and Indonesia are increasing their advertising spending.
MULTIPLE CHOICE
1. Which of the following is not a component of the international promotional mix?
a.
Product management
c.
International sales promotion
b.
Salesforce management
d.
International advertising
2. Which of the following media is considered to be a personal medium?
a.
Print
c.
Interactive
b.
Broadcast
d.
Trade show
3. In the international communication model, the consumer is
a.
the sender
c.
the receiver
b.
the encoder
d.
a medium
4. When encoding the message, the source determines if the ____ of consumers in the international target
market are different from those in the home-country target market.
a.
attitudes, interests, and motivations
b.
demographics and psychographics
c.
income, media availability, and language
d.
media availability, media reliability, and media restrictions
5. Which of the following promotes an effective international communication process?
a.
Cultural similarity
c.
Competition from other channels
b.
Audience inattention
d.
Noise
6. In which country is Pizza Hut considered to be an upscale restaurant?
a.
United Kingdom
c.
France
b.
Poland
d.
Germany
7. Why is it not advisable to distribute samples through the mail in India?
a.
In India, a direct mail package might be perceived as suspicious.
b.
The Indian mail system is unreliable.
c.
It is illegal to use the mail system to distribute samples in India.
d.
The hot and humid conditions in India frequently damages mail samples.
8. Through which medium do marketers in Burundi reach the mass market?
a.
Television
c.
Newspapers
b.
Radio
d.
Billboards
9. Which of the following is not a source of noise in the international communication channel?
a.
Cultural differences
c.
Competition from other channels
b.
Audience inattention
d.
All of the above are sources of noise.
10. Which of the following display neighborhood announcements in the United States?
a.
Shopping bags
c.
Outdoor umbrellas
b.
Kiosks
d.
All of the above
11. Which of the following display advertisements for plays, concerts and art exhibits in the United
States?
a.
Shopping bags
c.
Outdoor umbrellas
b.
Construction fences
d.
All of the above
12. In much of the rest of the world, especially in developing countries, ____ display advertisements for
the international products they sell.
a.
Shopping bags
c.
Outdoor umbrellas
b.
Kiosks
d.
All of the above
13. Which of the following are valuable, yet inexpensive communication venues for international
companies?
a.
Billboards
c.
Print advertising
b.
Kiosks
d.
All of the above
14. Which of the following is not a media challenge?
a.
Media availability
c.
Media validity
b.
Media reliability
d.
Media restrictions
15. In some countries, local newspapers might not be of a high enough quality to print advertising for a
global brand. Which type of media challenge does this represent?
a.
Media availability
c.
Media validity
b.
Media reliability
d.
Media restrictions
16. In which country may television advertisements be aired only between programs, in clusters?
a.
Canada
c.
Brazil
b.
Mexico
d.
Australia
17. Why are marketers likely to use cinema advertisements in Brazil instead of using television
commercials?
a.
Few Brazilians own televisions.
b.
The government owns all of the Brazilian television channels.
c.
Television ads in Brazil tend to be ignored.
d.
Low literacy rates affect television advertisements adversely.