An important objective of the member states of the United Nations is bringing about
mutual economic development.
Quotas are more flexible than import licenses.
Abolition of apartheid in South Africa is an example of a positive uncontrollable
element in an international marketing scenario.
Code law prohibits the receipt and payment of interest on loans.
Political sanctions are the most effective means of achieving the desired goal of forcing
a country to accept demands of the boycotting country.
Except for cash in advance, letters of credit afford the greatest degree of protection for
the seller.
Sovereignty refers to both the powers exercised by a state in relation to other countries
and the supreme powers exercised over its own members.
In the United States, bribery is increasingly being considered a way of life because it is
necessary for business.
In general, the rate of diffusion of a product is negatively related to its relative
advantage.
Today, the market segmentation argument in global marketing is framed as
‘standardization versus adaptation.”
Antidumping laws were specifically designed to prevent foreign producers from
investing in the U.S. local markets.
The European Commission (EC) mandate requires a product to be evaluated on all
significant environmental effects throughout its life cycle, from manufacturing to
disposal.
Which of the following statements is true regarding the Japanese corporate culture?
A. Employees like to work on their own rather than in a group.
B. Opinions of all the employees are to be taken into consideration before taking a
decision.
C. Decisions are generally taken by lower level employees who directly deal with the
problem.
D. The process of decision making is extremely complex and time consuming.
E. The focus on consensus and group makes it hard to challenge what has been decided.
In Japanese business organizations, subordinates do not pass along bad news to their
superiors. This lack of internal communications can be attributed to:
A. the inherently shy nature of the Japanese.
B. the Japanese emphasis on hierarchical relationships.
C. the practice of omerta or solemn oath-taking.
D. the insistence on solving problems at the point of origin and not escalating them.
E. Guanxi, the Japanese practice of personal connections.
Lower prices to the buyer may also mean lower tariffs, because most tariffs are levied
on a(n) _____ basis.
A. specific
B. alternative
C. accrual
D. shorter; lower
E. ad valorem
Which of the following is one of the two basic types that marketing research methods
can be grouped into?
A. Analytical research
B. Qualitative research
C. Descriptive research
D. Deductive research
E. Basic research
If a company wished to alter a product’s platform so that the product could be
manufactured in a variety of forms, to meet local differences in five different foreign
markets, the _____ of the product component model would be in consideration.
A. support services component
B. packaging component
C. functional component
D. global component
E. core component
The marketing tasks of an international marketer differs from that of a domestic
marketer as:
A. the international marketer has fewer uncontrollable elements to deal with compared
to a domestic marketer.
B. the level of technology and cultural forces are controllable elements for the domestic
marketer.
C. the structure of distribution is an uncontrollable element for the international
marketer.
D. the competitive structure is one of the controllable factors for an international
marketer.
E. the international marketer is less concerned about geography and infrastructure than
the domestic marketer.
Dr. Mark Townes is a dentist practicing in Denver. During a four-day stretch in March,
it snowed so heavily that not a single patient was able to visit him. Since all the
appointments were missed, he did not make any money for those four days, even
though his normal expenses remained. Which of the following characteristics of
services is affecting Dr. Townes’ business?
A. Indivisibility
B. Inseparability
C. Profitability
D. Heterogeneity
E. Perishability
A service is perishable in that once created it cannot be stored but must be consumed
simultaneously with its creation.
The ISO 9000 standards concerns the:
A. cost-effectiveness of the production of a good.
B. registration and certification of a manufacturer’s quality system.
C. profitability of a production line.
D. ability of a company’s computer system to adapt to SAP, a business management
software.E. marketing and promotional strategies of a firm.
Which of the following U.S. government agencies oversees antitrust enforcement in
international commerce?
A. Department of State
B. Department of Justice
C. Department of Commerce
D. Department of Defense
E. Department of Home Land Security
The Antitrust Division is committed to controlling foreign transactions at home or
abroad that have a substantial and foreseeable effect on U.S. commerce. When such
business practices occur, there is no question in the Antitrust Division of the
Department of Justice that U.S. laws apply.
What was the overall end result of the Mexican War of 1846-1848?
A. Mexico was forced to cede California to the U.S.
B. The U.S. and Mexico signed a non-aggression pact.
C. Mexico gave up California and the U.S. gave up Baja California.
D. Mexico paid the U.S. $5 million for war damages.
E. The U.S. signed a pledge to not invade Mexico again.
Which of the following types of data are commercial sources, trade associations,
management groups, and state and local governments a good source of?
A. Referential data
B. Secondary data
C. Tertiary data
D. Parallel data
E. Derived data
Which of the following countries is a member of the free trade agreement DR-CAFTA?
A. Bahrain
B. Bhutan
C. Morocco
D. Costa Rica
E. Oman
Consumers have broad but somewhat vague stereotypes about specific countries and
specific product categories that they judge “best.” Which of the following would not fit
in the “best” stereotype scheme?
A. English tea
B. American chocolate
C. French perfume
D. Chinese silk
E. Jamaican rum
Consumers have broad but somewhat vague stereotypes about specific countries and
specific product categories that they judge “best”: English tea, French perfume, Chinese
silk, Italian leather, Japanese electronics, Jamaican rum, and so on. American chocolate
is not one of them.
Which of the following agencies underwrites trade and investments for U.S. firms?
A. Export-Import Bank
B. The Federal Trade Commission
C. The Agency for International Development
D. Social Security Advisory Board
E. The Overseas Private Investment Corporation
Export-Import Bank (Ex-Im Bank) underwrites trade and investments for U.S. firms.
A culture that is low context, individualistic, low power distance, and uses
monochromic time is _____.
A. information-oriented
B. relationship-oriented
C. hierarchy-oriented
D. labor-oriented
E. task-oriented
Analysis of which of the following factors is carried out in Phase 2 of the international
planning process?
A. Company character
B. Budgets
C. Situation analysis
D. Advertising
E. Standards