1) A marketer of fine French cognac offers a fancy cigar ashtray to persons who
correctly solve a crossword puzzle and mail it in. This is an example of a trade
promotion.
2) Organizations as diverse as Disney, Caterpillar, and National Basketball Association
make extensive use of licensing in overseas markets.
3) According to the 2011 Index of Economic Freedom compiled by the Heritage
Foundation, Hong Kong is ranked as having the highest degree of economic freedom.
4) Culture includes both conscious and unconscious values, idea, attitudes, and symbols
that shape human behavior and that are confined to one generation.
5) According to Kenichi Ohmaes view of the world, there are 30 regions with
populations ranging from 5 million to 20 million people. Based on this, China would be
viewed as several distinct regions.
6) Toyota’s decision to launch the new Sienna minivan in the United States reflects the
company’s understanding of latent and incipient markets.
7) Global brand is synonymous with global product and is often used interchangeably.
8) Sony was the first company to manufacture and market a transistor radio.
9) When designing sales promotion programs, marketers should keep in mind that the
most fundamental thing consumers want to do is try before they buy.
10) The advantage of the mass producers lasted until the Japanese auto companies
further revised the value chain and created lean production.
11) A market research study of soft drink consumption and distribution in Hungary
commissioned by an American company indicated that soft drinks were available in
drugstores. However, Western-style drugstores do not exist in Hungary. This illustrates
an important issue in global marketing research, namely:
A) inflated data
B) using convenience samples
C) market estimation by analogy
D) comparability of data
E) using multiple dimensional scaling
12) Regulators in different countries have proposed various regulations for product
labeling. All of the following statements pertaining to such regulations are true except:
A) mandatory health warnings on tobacco products are required in most countries
B) the American Automobile Labeling Act clarifies the country of origin as well as the
final assembly point
C) in 2008, the United States enacted a country of origin labeling (COOL) law
D) the use of terms “light” and “natural” are allowed on labels only in the United States
E) McDonald’s is posting nutrition information on all food packaging and wrappers in
selected markets
13) Manufacturers of Splenda, a low-calorie sugar, wanted to arrange a focus group to
find out its use in different markets. Open-ended questions were used in order to secure
the unconscious attitudes and biases held by the subjects. This type of technique is
known as:
A) scaling technique
B) qualitative technique
C) projective technique
D) reactivity technique
E) MDS technique
14) One study of adult involvement in household tasks revealed greater similarities
between the UK and the U.S. compared with France, Belgium, and French Canada.
Thus, the U.S. and UK were “twins” based on common language. This study is an
example of:
A) market latency
B) conjoint analysis
C) factor analysis
D) multidimensional scaling
E) cluster analysis
15) Which of the following is not one of Clayton Christensen’s principles of disruptive
innovation?
A) Companies depend on customers for resources
B) Small markets don’t satisfy the growth needs of large companies
C) Markets that don’t exist can’t be analyzed
D) Technology supply may not equal market demand
E) E-commerce activities can be divided into three categories
16) Comparing and contrasting the diffusion of innovations in Western countries and in
Asia, one can say that:
A) the process occurs in an identical manner in both regions
B) in Asia, the adoption process begins more slowly but ramps up more rapidly than it
does in Western countries
C) in Western countries, the adoption process begins more slowly but ramps up more
rapidly than it does in Asia
D) the diffusion of innovation framework is applicable in the West but not in Asia
E) the diffusion of innovation framework is applicable in Asia but not in the West
17) To speed adoption of a new product, the marketing team should:
A) ensure that features and benefits can be communicated or demonstrated
B) design the maximum amount of complexity into the product
C) discourage limited use on a “trial” basis
D) attempt to make a clean break with existing customer values
E) rely heavily on word-of-mouth marketing
18) When countries or regions experience currency and/or economic stress, all of the
following events can take place except:
A) increased exposure to certain risks
B) new profit opportunities
C) lower local currency financing costs
D) bad debts occur
E) cancellation of aircraft equipment sales
19) Generally speaking, a company has little control over media. To compensate for this
lack of control, many companies utilize:
A) image advertising
B) advocacy advertising
C) corporate advertising
D) TV advertising
E) radio advertising
20) Market capitalism is an economic system in which:
A) individuals and firms allocate resources and production resources that are privately
owned
B) the state has broad powers to serve the public interest as it sees fit
C) market resource allocation is commanded by both private and state ownership
D) there is no correlation between economic freedom and a nation’s economy
E) market-oriented economies function in an identical manner
21) In Singapore, Coca-Cola wanted to develop an advertisement program. They
selected a group of teenagers in a room, and a trained moderator facilitated discussion
asking questions on brand’s image, advertisement, social trends, TV watching habits,
and snack usage. This type of research is called:
A) survey research
B) observational studies
C) comparison studies
D) focus group research
E) experimental research
22) Which member of the Central American Integration System has both the largest
economy and the largest population?
A) El Salvador
B) Honduras
C) Guatemala
D) Nicaragua
E) Costa Rica
23) According to C.K. Prahalad and A. Hammond, the poor often pay higher prices for
many goods, and so there is an opportunity for efficient competitors to realize attractive
margins by offering quality and low prices.
24) Which of the following pioneers of the digital revolution developed URL, http, and
HTML, thus paving the way for the World Wide Web?
A) Robert Noyce and Jack Kilby
B) Vincent Atanasoff and Clifford Berry
C) Vint Serf and Bob Kahn
D) Steve Jobs and Steve Wozniak
E) Tim Berners-Lee
25) In order to fight piracy in China, Budweiser Beer’s approach includes:
A) printing labels in Chinese
B) changing color of beer cans
C) beer cans in China have fluted edges
D) printing labels both in Chinese and English
E) making beer very cheap in price in China
26) The possible arrangements of the responsibilities for handling exports include all of
the following except:
A) as a part-time activity performed by domestic employees
B) through an export partner affiliated with the domestic marketing structure
C) through an export department within an international division
D) through an export department that is independent of the domestic marketing
structure
E) through an export department of an embassy in foreign country
27) Islamic law is a comprehensive code based in part on:
A) Anglo-Saxon common law
B) Roman law and the Napoleonic Code
C) the Uniform Commercial Code
D) the Koran
E) the French Civil Code
28) A ________ company possesses a critical marketing advantage with respect to
marketing communications.
A) domestic
B) local
C) global
D) glocal
E) multinational
29) According to the Transparency International’s Corruption Perceptions Index scores
for 2010, the country which was listed as most corrupt was:
A) Iraq
B) Uzbekistan
C) Chad
D) Afghanistan
E) Somalia
30) One of the problems with Web site sales is credit card fraud. All of the following
countries are those where fraud is rampant except:
A) Indonesia
B) Russia
C) Croatia
D) Malaysia
E) Bosnia
31) When identifying global market segments, a fundamental guiding principle should
be the need to determine:
A) shared demographic characteristics
B) similar languages
C) similar needs and buying behavior
D) similar ethnic backgrounds
E) similar geographic regions
32) A market researcher who uses multidimensional scaling (MDS) will:
A) attempt to estimate market size by analogy
B) ask respondents to rate a particular product or brand in terms of multiple
characteristics or attributes
C) ask respondents to evaluate product or brand pairs in terms of similarity
D) attempt to determine the combination of product features that create the greatest
utility for consumers
E) conduct a focus group
33) U.S. advertisements contain more ________ information, and are more likely to
include comparative appeals than Arabic ads.
A) people
B) process
C) price
D) sex
E) context
34) A key player in the cell phone business who could have been first to market with a
cell phone camera is:
A) Ericsson
B) Samsung
C) Motorola
D) Sprint
E) AT&T
35) The organizational decision to purchase production inputs, components, or finished
goods from domestic or foreign producers is known as the ________ decision.
A) import/export
B) NTB
C) preferential
D) sourcing
E) security
36) GATT and the U.S. Congress have both defined dumping. What is the difference in
their definitions? Why is dumping a major issue in global marketing?
37) Singapore and Korea offer large sums of money to private citizens and business to
pay for broadband equipment and consulting services. However, the spread of
broadband is very slow in the United States. Giving reasons for slow movement in the
United States, explain how broadband works?
38) What are brands, and what are their functions in global marketing? How do brands
develop their image, identity, and equity? Are global product and global brands the
same?
39) What are the differences between a patent, trademark, and a copyright? What is
meant by counterfeiting?
40) A joke among the Japanese says that the only way to escape from the salesperson is
to leave the country. Explain this statement highlighting the differences between lean
producers and U.S. mass producers.
41) What is meant by “documentary credit?” How does “documentary collection” differ
from “cash in advance” and ‘sales on open account”?