Archives: Quiz

1) Industry experts expect marketers to integrate SMS with communication via other digital channels, such as the Internet and e-mail. 2) Long-term values include persistence (perseverance), defined as a general tenacity in the pursuit of a goal. Answer: TRUE 3) […]

1) Today, ethnocentrism is one of the major internal weaknesses that must be overcome if a company is to transform itself into an effective global competitor. 2) Until recently, visitors to Web sites for most luxury goods purveyors were not […]

1) Some company executives become so committed to a current, profitable technology that they fail to provide adequate levels of investment in new, apparently riskier technologies. 2) The matrix organization requires fundamental changes in management behavior, organizational culture, and technical […]

1) When a letter of credit is used in an import/export transaction, the payment obligation lies with the importer’s bank rather than the importer itself. 2) Milan is widely regarded as the design capitol of the world. The year 2011 […]

1) The Toyota Production system (TPS) is based on two concepts. The first one is Jidoka, which involves visualizing potential problems. 2) Coca-Cola, McDonald’s, Singapore Airlines, Mercedes-Benz, and Sony are a few of the companies that have transformed local products […]

1) In global marketing research, it is important to establish scalar equivalence when obtaining information from different countries. 2) The differences between lean producers and U.S. mass producers in the way they deal with their respective dealers, distributors, and customers […]

1) Rugman and D’Cruz’s development of the flagship model was influenced by their study of Japanese keiretsu. 2) Nations referred to as MINTs, which hold great potential marketing opportunities, are Mexico, India, Nigeria, and Turkey. Answer: FALSE 3) In China, […]

1) Rivalry among firms refers to all the actions taken by firms in the industry to improve their positions and gain advantage over each other. 2) Primary stockholders include top management, employees, customers, media, and persons holding stock in the […]

1) El Salvador, Honduras, Guatemala, Nicaragua, Costa Rica, and Panama are all members of the Central American Integration System. 2) Apple operates more than 300 retail stores in the United States, Canada, Japan, and the United Kingdom. Many stores feature […]

1) A company that is ethnocentric in its approach to PR will not extend home-country PR activities into host countries. 2) Coca-Cola had to delay launching its Powerade sports drink in Europe due to the lack of uniform food safety […]

1) A patent holder retains all rights for the life of the patent even if the product is not produced or sold. 2) Africa represents a huge untapped market for shoes since most people walk barefoot. Thus, it will be […]

1) The cooperative exporters are sometimes referred to as mother hen. 2) Once a Japanese dealership gets a customer, it is absolutely determined to hang on to that customer for life. Answer: TRUE 3) In Hellmut Schutte’s modified hierarchy to […]

1) Recent research has suggested that in Asia, the highest level needs in Maslow’s hierarchy pertain to status. 2) Global marketers must determine whether a standardized or an adapted marketing mix is required to best serve the wants and needs […]

1) A free trade area represents the most fully developed form of preferential trade agreement among nations. 2) Despite the fact that Tesco is the largest supermarket chain in the United Kingdom, it lags behind retailing giants Wal-Mart and Carrefour […]

1) The Cold War decades that followed World War II saw the East and the West jockeying for geopolitical advantage. 2) As Pandora CEO Joe Kennedy recently remarked, “The good news is that the Internet is global; however, the bad […]

1) New forms of flexibility, efficiency, and responsiveness are required to meet the demands of globalizing markets. 2) A number of authors, journalists, and food critics have chronicled a disturbing trend in the land of haute cuisinethe decline in France’s […]

1) Perceptions and attitudes about a product’s origins can be positive or negative. On the positive side, “German” is synonymous with quality engineering as “Italian” is with style. 2) The term “Safe Harbor” agreement applies to privacy issues pertaining to […]

1) The joint venture between Corning Glass and Mexican manufacturer Vitro failed primarily due to conflicts arising out of cultural differences. 2) Kleptocracy refers to rampant corruption and bribery. Answer: TRUE 3) By definition, a retailer that caters to the […]

1) When a foreign country expropriates an American corporation, the U.S. court can get involved in arbitration. 2) Several Incoterms are known as “C-Terms” or “main-carriage” terms. Answer: TRUE 3) The term globaphobia is sometimes used to describe an attitude […]

1) Chile decided to become only an associate member of Mercosur since full membership would have required raising external tariffs. 2) Outsourcing means shifting undesirable jobs or work assignments to another company to cut costs. When the outsourced work moves […]

1) Lack of scale and a shortage of capital are just two of the problems associated with reaching the world’s poor. Prices can also be a problem. There is an ample evidence that world’s best known global marketers recognize this. […]

1) In Hong Kong and Singapore, efficient postal services, highly educated populations, wide use of credit cards, and high per capita income are attracting the attention of catalog marketers. 2) An “incipient market” is a market that will emerge if […]

1) A global brand has the same name and, in some instances, a similar image and positioning throughout the world. 2) A call option in foreign currency gives the buyer the right, not the obligation, to sell a specified number […]

1) Based on 2010 sales figures, Carrefour is the largest hypermarket in France. 2) It may be necessary to use inexpensive survey research that sacrifices some elegance or statistical rigor to achieve results within the constraints of the small market […]

1) A sense of shame leads to sensitivity in social contacts within high-performing Asian countries such as Hong Kong, Taiwan, and Japan. 2) Benetton uses the slogan “United Colors of Benetton” to position itself as a brand concerned with the […]

1) Competitive bidding is infrequent in a low-context culture. 2) In personal selling, the goal of negotiation should be to ensure that both the customer and the salesperson come away from the presentation as winners. Answer: TRUE 3) According to […]

1) Despite trade agreements, attempts to achieve integration in Central America have been described as uncoordinated, inefficient, and costly. There are still tariffs on imports of sugar, coffee, and alcoholic beverages. 2) In April 2010, 30,000 barrels of oil leaked […]

1) A psychographic study showed that Porsche buyers could be divided into several distinct categories, one consisting of “Top Guns” who buy Porsches and expect to be noticed. 2) Key suppliers, key customers, and key consumers are all elements of […]

1) An express warranty is a written guarantee that assures the buyer that he or she is getting what he or she has paid for or that provides recourse in case a product’s performance falls short of expectations, in an […]

1) Recently, China, India, Brazil, and the EU have taken the position that since the Internet is global, no single country should be in control. 2) The essence of marketing strategy is successfully relating the strengths of an organization to […]

1) NAFTA ensures that any product for sale in the U.S., Mexico, and Canada bearing a certificate of origin qualifies for tariff reduction. 2) If government restrictions prevent majority or 100-percent ownership by foreign companies, the investing company will have […]

1) An ad valorem duty is expressed as a percentage of the value of goods. 2) In “geocentric pricing” approach, a company fixes a single price worldwide and allows subsidiaries or local distributors to make independent pricing decisions. Answer: FALSE […]

1) When Honda’s U.S. manufacturing subsidiaries purchase parts from Japan, customs authorities in the United States have the right to scrutinize the transfer price to make sure it is a fair reflection of market value. 2) Tariffs can be thought […]

1) Toyota Production system (TPS), as the Japanese company’s manufacturing methods are known, achieves efficiencies by following a lean production system. 2) In 1994, the Chinese government banned tobacco advertising from television, radio, newspaper, magazine, and cinema ads. Answer: TRUE […]

1) Licensing is a contractual agreement whereby one company (the licensor) makes a legally protected asset available to another company (the licensee) in exchange for royalties, license fees, or some other form of compensation. 2) “Mecca Cola” and “Qibla Cola” […]

1) It will be convenient to do a telephone survey in rural areas in China since, according to the Ministry of Information Industry reports, 40% of households have at least one fixed-line telephone. 2) The “Virgin” brand is a global […]

1) The United Nations designates 50 countries in the bottom ranks of the low-income category as least-developed countries (LDCs); the term is sometimes used to indicate a contrast with developing countries and developed countries. 2) In May 1998, eleven charter […]

1) Analyzed in terms of Porter’s five forces model, online music file sharing services represent a threat to the music industry in the form of a substitute product. 2) In a Common Market there are no internal barriers to trade, […]

1) Nestle asked suppliers to find a type of glue to make the clicking sound louder when consumers snap open a tube of Smarties brand chocolate candies. 2) A commitment to the marketing concept and a desire to serve as […]

1) According to a columnist, Jon Pareles, with the new millennium the Internet swallowed culture whole and delivered it back cheaper, faster, and smaller to everyone who can get online. 2) In Michael Porter’s model, “buyers” refers to manufacturers (e.g., […]

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 […]

1) A useful way of gaining insight into competitors is through industry analysis. 2) Penetration prices often mean that the product may be sold at a loss for a certain period of time. Answer: TRUE 3) Under the HTS, only […]

1) At companies with a global orientation, the best person for top executive positions is generally considered to be a person born in the headquarters country. 2) In 2010, annual sales of camera-equipped cell phones passed the 1 billion unit […]

1) Tolling is a type of countertrade which involves the exchange of a monetary debt for another form of debt, such as an equity share or an obligation to deliver products, goods, or services. 2) Regulation 1612/68 limits the right […]

1) A national multinational enterprise is the one in which a parent firm established in one country establishes wholly owned branches and subsidiaries in other countries. 2) The doctrine of imputability does not make the state liable for an act […]

1) Inventions and trademarks are types of artistic property. 2) A charter is a document outlining the principles, functions, and organization of a juridical entity. Answer: True 3) The requirement for a person to exhaust remedies cannot be waived by […]

1) Common law is the legal system of England and countries that were once English colonies. 2) In an option contract, if the right is to buy a commodity, the option is known as a call. Answer: True 3) CISG […]

1) The doctrine used by common law courts to refuse jurisdiction is called forum non conveniens. 2) The UNFCCC divides its member countries into two main groups, Annex I countries and non-Annex I countries. Answer: True 3) Adoption of the […]

1) Depository receipts are non-negotiable instruments. 2) The Convention Relating to a Uniform Law on the International Sale of Goods (ULIS) supersedes the United Nations Convention on Contracts for the International Sale of Goods (CISG). Answer: False 3) An actionable […]

1) The IMFs Articles of Agreement requires a member to buy its own currency from other members who have acquired it as the result of current transactions. 2) A partial loss is known in the marine insurance industry as a […]