Question 1

A waterfall approach to entering foreign markets is described as entering countries simultaneously.

Accepted Answer

A) True 
 B)False

Question 2

In which of the following modes of licensing does the firm hire local producers to produce the product, giving the company less control over the manufacturing process?

Accepted Answer

A)  contract manufacturing 
B)  management contracts 
C)  direct investment 
D)  joint venture production 
E)  greenfield venturing 
A)  contract manufacturing 
B)  management contracts 
C)  direct investment 
D)  joint venture production 
E)  greenfield venturing

Question 3

Which of the following modes of entry into a foreign market involves the maximum commitment and risk?

Accepted Answer

A)  franchising 
B)  direct investment 
C)  joint ventures 
D)  licensing 
E)  direct exporting 
A)  franchising 
B)  direct investment 
C)  joint ventures 
D)  licensing 
E)  direct exporting

Question 4

Which of the following is most likely to be successful when introduced in foreign markets as a straight extension?

Accepted Answer

A)  laundry detergent 
B)  khaki pants 
C)  dessert mixes 
D)  digital camera 
E)  condensed soup 
A)  laundry detergent 
B)  khaki pants 
C)  dessert mixes 
D)  digital camera 
E)  condensed soup

Question 5

Most brands are adapted to some extent to reflect significant differences in consumer behavior, brand development, competitive forces, and the legal or political environment. Identify the five international product and communication strategies available to firms that expand their businesses to foreign countries.

Accepted Answer

The five internation

Question 6

Various governments force companies to charge the ________ price, which is charged by other competitors for the same or a similar product.

Accepted Answer

A)  gray market 
B)  implicit 
C)  arm's-length 
D)  authorized 
E)  contingent 
A)  gray market 
B)  implicit 
C)  arm's-length 
D)  authorized 
E)  contingent

Question 7

Describe the whole-channel concept of international marketing.

Accepted Answer

Many U.S. manufacturers think their job

Question 8

The creation of the European Union has benefited marketers wanting to enter Europe because they now have access to a homogeneous market consisting of 27 countries.

Accepted Answer

A) True 
 B)False

Question 9

What is a global firm?

Accepted Answer

A)  A firm that operates in one country and exports its goods and services to foreign countries. 
B)  A firm that operates in more than one country and has a sales and marketing staff in those countries. 
C)  A firm that operates in more than one country and captures R&D, production, logistical, marketing, and financial advantages not available to purely domestic competitors. 
D)  A firm that sells its products and services across the world but restricts manufacturing to the home country. 
E)  A firm that operates in more than one country but restricts the sale of its products to the home country. 
A)  A firm that operates in one country and exports its goods and services to foreign countries. 
B)  A firm that operates in more than one country and has a sales and marketing staff in those countries. 
C)  A firm that operates in more than one country and captures R&D, production, logistical, marketing, and financial advantages not available to purely domestic competitors. 
D)  A firm that sells its products and services across the world but restricts manufacturing to the home country. 
E)  A firm that operates in more than one country but restricts the sale of its products to the home country.

Question 10

Explain how marketers are using the Web for international business.

Accepted Answer

Marketers are using the Web to attract n

Question 11

Backward invention occurs when a firm ________.

Accepted Answer

A)  creates a new product to meet a need in another country 
B)  reintroduces earlier product forms adapted to suit another country's needs 
C)  invents products that are similar to competing offerings 
D)  takes an existing product into a new market 
E)  produces its own raw materials 
A)  creates a new product to meet a need in another country 
B)  reintroduces earlier product forms adapted to suit another country's needs 
C)  invents products that are similar to competing offerings 
D)  takes an existing product into a new market 
E)  produces its own raw materials

Question 12

Global firms plan, operate, and coordinate their activities on a worldwide basis.

Accepted Answer

A) True 
 B)False

Question 13

Contract manufacturing is one mode of licensing that allows a company to start faster, with the opportunity to form a partnership or buy out the local manufacturer later.

Accepted Answer

A) True 
 B)False

Question 14

When companies sell on the Internet, price becomes transparent, and price differentiation between countries declines.

Accepted Answer

A) True 
 B)False

Question 15

Product adaptation not only involves altering the product to meet local preferences, but also calls for a change in the communication strategy.

Accepted Answer

A) True 
 B)False

Question 16

Your firm has decided to enter the international market with your product called "Trema," a combination of a pocket organizer and cell phone. Even though the product has been a huge success in the home country, market research suggests some changes may be required before it can be introduced in Europe. Your CMO is of the opinion that the product requires certain extra features and the product will also have to be marketed differently. Your CMO is advocating ________.

Accepted Answer

A)  product invention 
B)  dual adaptation 
C)  straight extension 
D)  forward adaptation 
E)  product standardization 
A)  product invention 
B)  dual adaptation 
C)  straight extension 
D)  forward adaptation 
E)  product standardization

Question 17

"BRIC" is an acronym for ________.

Accepted Answer

A)  Brazil, Russia, India, and China 
B)  Bolivia, Russia, Indonesia, and China 
C)  Brazil, Russia, Indonesia, and China 
D)  Bolivia, Russia, India, and Canada 
E)  Bolivia, Russia, Indonesia, and Canada 
A)  Brazil, Russia, India, and China 
B)  Bolivia, Russia, Indonesia, and China 
C)  Brazil, Russia, Indonesia, and China 
D)  Bolivia, Russia, India, and Canada 
E)  Bolivia, Russia, Indonesia, and Canada

Question 18

Regional free trade zones exist around the world. One of the oldest is the European Union, formed in 1957. Describe the purpose of the EU and discuss some of the benefits to firms engaged in trade within the European Union.

Accepted Answer

The EU creates a single European market

Question 19

Regional economic integration has intensified in recent years, which makes it more difficult for marketers to expand globally.

Accepted Answer

A) True 
 B)False

Question 20

Some types of products travel better across borders than others. What types of products are most likely to be successful as straight extensions.

Accepted Answer

Straight extension introduces

A waterfall approach to entering foreign markets is described as entering countries simultaneously.

In which of the following modes of licensing does the firm hire local producers to produce the product, giving the company less control over the manufacturing process?

Which of the following modes of entry into a foreign market involves the maximum commitment and risk?

Which of the following is most likely to be successful when introduced in foreign markets as a straight extension?

Various governments force companies to charge the ________ price, which is charged by other competitors for the same or a similar product.

Describe the whole-channel concept of international marketing.

The creation of the European Union has benefited marketers wanting to enter Europe because they now have access to a homogeneous market consisting of 27 countries.

What is a global firm?

Explain how marketers are using the Web for international business.

Backward invention occurs when a firm ________.

Global firms plan, operate, and coordinate their activities on a worldwide basis.

Contract manufacturing is one mode of licensing that allows a company to start faster, with the opportunity to form a partnership or buy out the local manufacturer later.

When companies sell on the Internet, price becomes transparent, and price differentiation between countries declines.

Product adaptation not only involves altering the product to meet local preferences, but also calls for a change in the communication strategy.

"BRIC" is an acronym for ________.

Regional free trade zones exist around the world. One of the oldest is the European Union, formed in 1957. Describe the purpose of the EU and discuss some of the benefits to firms engaged in trade within the European Union.

Regional economic integration has intensified in recent years, which makes it more difficult for marketers to expand globally.

Some types of products travel better across borders than others. What types of products are most likely to be successful as straight extensions.

Defining Marketing for the 21st Century

Developing Marketing Strategies and Plans

Collecting Information and Forecasting Demand

Conducting Marketing Research

Creating Long-Term Loyalty Relationships

Analyzing Consumer Markets

Analyzing Business Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Positioning

Competitive Dynamics

Setting Product Strategy

Designing and Managing Services

Developing Pricing Strategies and Programs

Designing and Managing Integrated Marketing Channels

Managing Retailing, Wholesaling, and Logistics

Designing and Managing Integrated Marketing Communications

Managing Mass Communications: Advertising, Sales Promotions, Events and Experiences, and Public Relations

Managing Personal Communications: Direct and Interactive Marketing, Word of Mouth, and Personal Selling

Introducing New Market Offerings

Managing a Holistic Marketing Organization for the Long Run

Filters

Exam 21: Tapping into Global Markets

A waterfall approach to entering foreign markets is described as entering countries simultaneously.

In which of the following modes of licensing does the firm hire local producers to produce the product, giving the company less control over the manufacturing process?

Which of the following modes of entry into a foreign market involves the maximum commitment and risk?

Which of the following is most likely to be successful when introduced in foreign markets as a straight extension?

Various governments force companies to charge the ________ price, which is charged by other competitors for the same or a similar product.

Describe the whole-channel concept of international marketing.

The creation of the European Union has benefited marketers wanting to enter Europe because they now have access to a homogeneous market consisting of 27 countries.

What is a global firm?

Explain how marketers are using the Web for international business.

Backward invention occurs when a firm ________.

Global firms plan, operate, and coordinate their activities on a worldwide basis.

Contract manufacturing is one mode of licensing that allows a company to start faster, with the opportunity to form a partnership or buy out the local manufacturer later.

When companies sell on the Internet, price becomes transparent, and price differentiation between countries declines.

Product adaptation not only involves altering the product to meet local preferences, but also calls for a change in the communication strategy.

"BRIC" is an acronym for ________.

Regional free trade zones exist around the world. One of the oldest is the European Union, formed in 1957. Describe the purpose of the EU and discuss some of the benefits to firms engaged in trade within the European Union.

Regional economic integration has intensified in recent years, which makes it more difficult for marketers to expand globally.

Some types of products travel better across borders than others. What types of products are most likely to be successful as straight extensions.

Defining Marketing for the 21st Century

Developing Marketing Strategies and Plans

Collecting Information and Forecasting Demand

Conducting Marketing Research

Creating Long-Term Loyalty Relationships

Analyzing Consumer Markets

Analyzing Business Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Positioning

Competitive Dynamics

Setting Product Strategy

Designing and Managing Services

Developing Pricing Strategies and Programs

Designing and Managing Integrated Marketing Channels

Managing Retailing, Wholesaling, and Logistics

Designing and Managing Integrated Marketing Communications

Managing Mass Communications: Advertising, Sales Promotions, Events and Experiences, and Public Relations

Managing Personal Communications: Direct and Interactive Marketing, Word of Mouth, and Personal Selling

Introducing New Market Offerings

Managing a Holistic Marketing Organization for the Long Run

Filters