The Fox Corporation depends upon the foreign distribution of its films. The firm is
using which of the following approaches to foreign entry?
A.Licensing
B.Exporting
C.Strategic alliance
D.Direct foreign investment
“Computer nerds” in the PC category are a good example of “__________” in the
product lifecycle curve.
A.early adopters
B.early majority
C.pioneers
D.laggards
The relatively _____ makes China and the Chinese price-sensitive customers.
A.high quality products
B.low per capita income
C.low political stability
D.weak distribution system
In a very influential 1983 Harvard Business Review article, Theodore Levitt suggested
that:
A.the demand for globally standardized products was falling.
B.people everywhere do not want the same thing.
C.because of technology and communication advances global markets are becoming
homogenized.
D.in spite of technology and communication advances companies would be unable to
provide products with state-of-the-art technology at low cost.
In a multidomestic market:
A.significant differences exist among customers from different countries.
B.strategies are regional or global in scope
C.local markets operate interdependently.
D.competitors are few and present in every major market.
In the _____ tactic, the global brand is linked to the local brand for a time, after which
the local brand is dropped.
A.fade-in/fade-out
B.summary axing
C.knockoff
D.forewarning
Hanjin Corporation (a Korean company), following the lead of Japanese competitors,
routinely examines the leading brands in the markets it plans to enter in order to
identify opportunities for improvements and/or cost reductions. The firm’s strategy
would be BEST described as:
A.”me-too-plus” marketing.
B.repositioning.
C.target research.
D.test marketing.
The Gap and The Limited became active in foreign markets partly due to the actions of
which foreign competitor operating successfully in U.S. markets?
A.Toyota
B.Honda
C.Benetton
D.Microsoft
The economic upswing in the Asian high-growth markets has led to the emergence of a
significant middle class, in Thailand who are known as the:
A.”have somes’.
B.”nouveau riche’.
C.”niggerati’.
D.”nomenklatura’.
Entry barriers:
A.do not exist for services.
B.are generally greater for products than services.
C.apply only to tangible items.
D.are generally greater for services than products.
Why is it so difficult to prosecute a Chinese producer accused of dumping?
A.A cost basis for the products is very difficult to determine due to the way their
economy works.
B.Their lawyers are just better than the ones in the U.S., normally.
C.The Chinese language is very difficult to understand when they formalize contracts.
D.The Chinese are not interested in being a member of the WTO, so the rules don’t
apply to them.
To help with the size component (for regression-based forecasts) it is useful to divide a
total market or industry into smaller groups that are more:
A.homogeneous.
B.heterogeneous.
C.differentiated.
D.There is no requirement.
Coca-Cola’s experience of capturing market share from Pepsi in Russia is an example
of:
A.using financial resources as a competitive tool.
B.using global advertising as a competitive tool.
C.technology innovations overpowering global presence.
D.global price-wars.
Jever Pilsener in Germany, Fortnum & Mason in the United Kingdom, A&W root beer
in the United States, are all examples of:
A.place branding.
B.local brands.
C.experiential brands.
D.regional brands.
Nike Corporation occasionally sells products in its home market below cost to protect
its domestic market share from foreign competitors. The firm is engaging in:
A.price fixing.
B.reverse dumping.
C.dumping.
D.home guarding.
Utilitarian products include all of the following EXCEPT:
A.cell phones.
B.shampoos.
C.detergents.
D.paper products.
All of the following are examples of global management systems that are used to aid in
integrating global marketing into existing organizations EXCEPT:
A.global budgeting.
B.global stock issues.
C.global performance reviews.
D.global accounting.
In contrast to most other countries, there are no government-owned _____ in North
American markets.
A.advertising agencies
B.distribution systems
C.commercial broadcasting stations
D.noncommercial broadcasting stations
The Westin Corporation has been developing a new service concept for several years.
The firm has finally mastered the “production process,” developed its software and
hardware ingredients, and standardized its key components and features. The Westin
feels that its new service is ready for global expansion. The firm’s offering has entered
its:
A.embryonic stage.
B.growth stage.
C.introductory stage.
D.maturity stage.
When would attempting to adapt to consumers’ culture would be a mistake?
A.When a genuine foreign product is more attractive.
B.When a firm is trying to make an entry into a foreign market.
C.When it is important to build long term relationships with the purchasing agents.
D.When the consumers find the product too alien to use.
Free market economists dislike fixed and set prices for producers, because
A.many agricultural commodities in advanced countries have price guarantees.
B.prices serve as a signal to what should and should not be produced by free
entrepreneurs
C.farmers have no alternative occupations.
D.it allows for profit maximization.
Which of the following countries is a part of the Middle East North Africa (MENA)?
A.Kenya
B.Libya
C.Nigeria
D.Djibouti
Which of the following was the world’s largest advertising agency brand in 2006,
according to Ad Age?
A.Interpublic Group of Companies
B.WPP Group
C.Dentsu
D.Omnicom Group
Due to their pioneer spirit, the people of Queensland, Australia have been compared to
people from which state in the U.S.?
A.New England
B.California
C.Chicago
D.Texas
L. L. Bean Corporation would like to establish a link between its advertising
expenditures and purchase behavior so as to guide its future budgeting efforts. This can
best be attempted through:
A.direct observation.
B.focus groups.
C.attitude scaling.
D.causal research.
The global financial turmoil at the end of the 90s led to:
A.deregulation, privatization, and global integration.
B.a backlash in some countries against free markets.
C.trading blocs which encouraged economic integration.
D.removal of entry barriers for foreign firms.
Which of the following statements describes the disadvantage of global brands for
firms?
A.Global brands are not adapted to local conditions and preferences.
B.Capturing the scale economies require skillful top-down coordination.
C.Global brands are more unique than local brands.
D.Global brands are perceived as dominating local brands and threatening local culture.
Across South America, the most effective combination of advertising theme and
product characteristic for the sale of automobile tires was safety and security:
A.and leadership positioning.
B.with an emotional authority-based approach.
C.based on technology transfer.
D.founded on a rational appeal for advanced technology.
Which of the following is the most common form of initial qualitative research used for
exploratory purposes?
A.Focus groups
B.Random samples
C.Delphi units
D.Assessment terms
Which of the following is the MOST effective and difficult means of resolving conflicts
between the global account groups at headquarters and local market managers?
A.Let country managers retain local brands and marketing budgets.
B.Involve country managers in the formulation of the global marketing strategy.
C.Solicit country managers’ inputs for new product development.
D.Give country managers lead roles in global teams.
The establishment of a wholly owned subsidiary “from scratch” is called a(n):
A.acquisition.
B.turn-key project.
C.greenfield investment.
D.redeployment of assets.
A trade bloc is especially important to a company when:
A.labor costs in member states are high.
B.components and parts need to be shipped between different assembly plants.
C.market entries and foreign investment is well justified by a smaller population.
D.member states enjoy a technological advantage.
The America-First Corporation is preparing to enter foreign “local” markets. In
interpreting its marketing research, which of the following is least important?
A.Local culture
B.Moral norms.
C.Statistical expertise
D.Social forces
_____, the often unintended signals that a person projects through dress, body position,
hand and eye movements, and fidgeting, may provide all sorts of culturally slanted
interpretations.
Customer loyalty to a domestic brand is usually considered a
______________________ barrier to entry.
The international division structure is often set up as a(n) _____ which operates
essentially as a freestanding business.
According to _____ theorists such as Krugman, _____ leads to _____ and the creation
of firm-specific advantages that come from learning by doing.
The Middle American Corporation is considering the acquisition of existing foreign
firms as a means of entering foreign markets. What are the advantages and
disadvantages of this approach?
The lack of comprehensive and reliable _____ frames often precludes effective market
research in many countries.
Briefly describe gray trade. What conditions lead to its emergence?
The Kenmore Corporation routinely attempts to estimate the speed with which a new
product will diffuse across and into new markets. What factors should the firm
consider?
How can global marketers take actions against counterfeits?
A company’s _____ are major assets, worth billions to their firms.
When a brand of a product can be sold at two different retail stores at two different
prices, as is common in the U.S. market, it is called _____ competition.
The MOST critical marketing mix element facing the local marketer in developing
countries is _____.
When a potential exporter hires a home country agency to get a product to a foreign
market, that firm is involved in _________________________ exporting, but when the
domestic company itself contacts the buyers abroad, it is involved in
_________________________ exporting.
The America-First Corporation has asked you to present a brief discussion of Hofstede’s
cultural dimensions concept as part of its upcoming executive retreat. Briefly describe
each of the four original “dimensions” and provide an example of how each may affect
an American firm. How would Hofstede’s theories explain the firm’s traditional
tendency to focus on the “bottom line”?
Explain the term “brand equity.”
The America-First Corporation, a major innovator in the computer industry from its
inception, is still the dominant firm in computer design and development worldwide.
How can the firm’s continued dominance of this highly competitive industry be
explained given the concept of the international product cycle?
Why is global direct marketing more a new channel of distribution than a promotion
tool? How will its growth likely affect global marketing?