Question 1

Similar consumer needs around the world suggest that a strategy of adapted global marketing is appropriate for most international firms.

Accepted Answer

A) True 
 B)False  False

Question 2

Which of the following established a free trade zone between the United States,Mexico,and Canada?

Accepted Answer

A)  Union of South American Nations 
B)  European Union 
C)  North American Free Trade Agreement 
D)  Central American Free Trade Agreement 
E)  Latin American Free Trade Association 
A)  Union of South American Nations 
B)  European Union 
C)  North American Free Trade Agreement 
D)  Central American Free Trade Agreement 
E)  Latin American Free Trade Association C

Question 3

Straight product extension refers to marketing a product as is and finding customers for it.

Accepted Answer

A) True 
 B)False  True

Question 4

The purpose of a quota is to ________.

Accepted Answer

A)  protect local employment 
B)  provide competition to local industry 
C)  eliminate trade barriers between nations 
D)  increase the amount of foreign imports 
E)  increase the amount of foreign exchange 
A)  protect local employment 
B)  provide competition to local industry 
C)  eliminate trade barriers between nations 
D)  increase the amount of foreign imports 
E)  increase the amount of foreign exchange

Question 5

Which of the following is an advantage of management contracting?

Accepted Answer

A)  It involves the least change in a company's product lines. 
B)  It allows a contracting firm to set up its own operations at the beginning of the contract. 
C)  It is the simplest way to enter a foreign market. 
D)  It yields income from the beginning of the contract. 
E)  It gives a contracting firm an option to buy shares in the managed company immediately. 
A)  It involves the least change in a company's product lines. 
B)  It allows a contracting firm to set up its own operations at the beginning of the contract. 
C)  It is the simplest way to enter a foreign market. 
D)  It yields income from the beginning of the contract. 
E)  It gives a contracting firm an option to buy shares in the managed company immediately.

Question 6

Jazz is a costume jewelry manufacturing company based in the United States.The company decides to sell its products abroad,but it faces the major problem of price escalation.What is price escalation? How can Jazz overcome this problem?

Accepted Answer

Companies face many considerations in se

Question 7

Management contracting is an unwise choice if a domestic firm can make greater profits by undertaking a whole venture.

Accepted Answer

A) True 
 B)False

Question 8

Differentiate between industrializing economies and industrial economies.Give a few examples of each.

Accepted Answer

Industrializing economies are also known

Question 9

Botsford,a U.S.firm,builds automotive transmissions in its manufacturing facility in Taiwan to capitalize on the availability of cheap labor.Botsford's involvement in foreign markets is most likely through ________.

Accepted Answer

A)  joint ownership 
B)  direct investment 
C)  management contracting 
D)  contract manufacturing 
E)  indirect exporting 
A)  joint ownership 
B)  direct investment 
C)  management contracting 
D)  contract manufacturing 
E)  indirect exporting

Question 10

What are regional free trade zones? Explain the advantages and disadvantages of the European Union (EU).

Accepted Answer

Certain countries have formed free trade

Question 11

Which type of economy consists mostly of households with very low family incomes?

Accepted Answer

A)  post-industrial 
B)  developed 
C)  emerging 
D)  industrial 
E)  subsistence 
A)  post-industrial 
B)  developed 
C)  emerging 
D)  industrial 
E)  subsistence

Question 12

Differentiate between straight product extension and product adaptation.Give a few examples of each.

Accepted Answer

Straight product extension means marketi

Question 13

Global companies recruit management from many countries,buy components and supplies where they cost the least,and invest where the expected returns are greatest.

Accepted Answer

A) True 
 B)False

Question 14

Direct investment involves fewer changes in a company's product lines,organization,investments,or mission as compared to exporting.

Accepted Answer

A) True 
 B)False

Question 15

What is the most likely disadvantage of direct investment for an investing company?

Accepted Answer

A)  weak relationships with local distributors 
B)  minimal investment control 
C)  product standardization requirements 
D)  devalued currency risks 
E)  excessive freight charges 
A)  weak relationships with local distributors 
B)  minimal investment control 
C)  product standardization requirements 
D)  devalued currency risks 
E)  excessive freight charges

Question 16

Which of the following is most likely a benefit of contract manufacturing?

Accepted Answer

A)  Investing companies have complete control over the foreign manufacturer's processes. 
B)  Investing companies gain significant profits from handling the manufacturing of products. 
C)  Investing companies that are new entrants in international markets get a chance to start faster. 
D)  Investing companies provide new jobs in their home countries by developing manufacturing facilities. 
E)  Investing companies do not require the services of an overseas marketing organization or network. 
A)  Investing companies have complete control over the foreign manufacturer's processes. 
B)  Investing companies gain significant profits from handling the manufacturing of products. 
C)  Investing companies that are new entrants in international markets get a chance to start faster. 
D)  Investing companies provide new jobs in their home countries by developing manufacturing facilities. 
E)  Investing companies do not require the services of an overseas marketing organization or network.

Question 17

Which of the following is an example of a nontariff trade barrier?

Accepted Answer

A)  a sales tax 
B)  customs duty 
C)  a host-country regulation 
D)  excise duty 
E)  an import quota 
A)  a sales tax 
B)  customs duty 
C)  a host-country regulation 
D)  excise duty 
E)  an import quota

Question 18

Which of the following is true of the World Trade Organization (WTO)?

Accepted Answer

A)  It was replaced by the GATT in 1995. 
B)  It increases tariffs and other international trade barriers. 
C)  It lacks the power to impose international trade sanctions. 
D)  It restricts the maximum number of member nations to 100. 
E)  It mediates global trade disputes. 
A)  It was replaced by the GATT in 1995. 
B)  It increases tariffs and other international trade barriers. 
C)  It lacks the power to impose international trade sanctions. 
D)  It restricts the maximum number of member nations to 100. 
E)  It mediates global trade disputes.

Question 19

Which of the following statements is true of industrial economies?

Accepted Answer

A)  They export their goods to other types of economies for raw materials. 
B)  They have a declining middle class population. 
C)  They depend on agriculture as the primary revenue generator. 
D)  They do not trade goods amongst themselves. 
E)  They consume most of their output and barter the rest for simple goods and services. 
A)  They export their goods to other types of economies for raw materials. 
B)  They have a declining middle class population. 
C)  They depend on agriculture as the primary revenue generator. 
D)  They do not trade goods amongst themselves. 
E)  They consume most of their output and barter the rest for simple goods and services.

Question 20

Explain with examples how the political-legal environment of a country affects a global firm.

Accepted Answer

Nations differ greatly in their politica

Similar consumer needs around the world suggest that a strategy of adapted global marketing is appropriate for most international firms.

Which of the following established a free trade zone between the United States,Mexico,and Canada?

Straight product extension refers to marketing a product as is and finding customers for it.

The purpose of a quota is to ________.

Which of the following is an advantage of management contracting?

Jazz is a costume jewelry manufacturing company based in the United States.The company decides to sell its products abroad,but it faces the major problem of price escalation.What is price escalation? How can Jazz overcome this problem?

Management contracting is an unwise choice if a domestic firm can make greater profits by undertaking a whole venture.

Differentiate between industrializing economies and industrial economies.Give a few examples of each.

Botsford,a U.S.firm,builds automotive transmissions in its manufacturing facility in Taiwan to capitalize on the availability of cheap labor.Botsford's involvement in foreign markets is most likely through ________.

What are regional free trade zones? Explain the advantages and disadvantages of the European Union (EU).

Which type of economy consists mostly of households with very low family incomes?

Differentiate between straight product extension and product adaptation.Give a few examples of each.

Global companies recruit management from many countries,buy components and supplies where they cost the least,and invest where the expected returns are greatest.

Direct investment involves fewer changes in a company's product lines,organization,investments,or mission as compared to exporting.

What is the most likely disadvantage of direct investment for an investing company?

Which of the following is most likely a benefit of contract manufacturing?

Which of the following is an example of a nontariff trade barrier?

Which of the following is true of the World Trade Organization (WTO)?

Which of the following statements is true of industrial economies?

Explain with examples how the political-legal environment of a country affects a global firm.

Marketing: Creating and Capturing Customer Value

Company and Marketing Strategy: Partnering to Build Customer Relationships

Analyzing the Marketing Environment

Managing Marketing Information to Gain Customer Insights

Understanding Consumer and Business Buyer Behavior

Customer-Driven Marketing Strategy: Creating Value for Target Customers

Products,Services,and Brands: Building Customer Value

New Product Development and Product Life Cycle Strategies

Pricing: Understanding and Capturing Customer Value

Marketing Channels: Delivering Customer Value

Retailing and Wholesaling

Engaging Consumers and Communicating Customer Value: Advertising and Public Relations

Personal Selling and Sales Promotion

Direct, Online, Social Media, and Mobile Marketing

Social Responsibility and Ethics

Filters

Exam 15: The Global Marketplace

Similar consumer needs around the world suggest that a strategy of adapted global marketing is appropriate for most international firms.

Which of the following established a free trade zone between the United States,Mexico,and Canada?

Straight product extension refers to marketing a product as is and finding customers for it.

The purpose of a quota is to ________.

Which of the following is an advantage of management contracting?

Jazz is a costume jewelry manufacturing company based in the United States.The company decides to sell its products abroad,but it faces the major problem of price escalation.What is price escalation? How can Jazz overcome this problem?

Management contracting is an unwise choice if a domestic firm can make greater profits by undertaking a whole venture.

Differentiate between industrializing economies and industrial economies.Give a few examples of each.

Botsford,a U.S.firm,builds automotive transmissions in its manufacturing facility in Taiwan to capitalize on the availability of cheap labor.Botsford's involvement in foreign markets is most likely through ________.

What are regional free trade zones? Explain the advantages and disadvantages of the European Union (EU).

Which type of economy consists mostly of households with very low family incomes?

Differentiate between straight product extension and product adaptation.Give a few examples of each.

Global companies recruit management from many countries,buy components and supplies where they cost the least,and invest where the expected returns are greatest.

Direct investment involves fewer changes in a company's product lines,organization,investments,or mission as compared to exporting.

What is the most likely disadvantage of direct investment for an investing company?

Which of the following is most likely a benefit of contract manufacturing?

Which of the following is an example of a nontariff trade barrier?

Which of the following is true of the World Trade Organization (WTO)?

Which of the following statements is true of industrial economies?

Explain with examples how the political-legal environment of a country affects a global firm.

Marketing: Creating and Capturing Customer Value

Company and Marketing Strategy: Partnering to Build Customer Relationships

Analyzing the Marketing Environment

Managing Marketing Information to Gain Customer Insights

Understanding Consumer and Business Buyer Behavior

Customer-Driven Marketing Strategy: Creating Value for Target Customers

Products,Services,and Brands: Building Customer Value

New Product Development and Product Life Cycle Strategies

Pricing: Understanding and Capturing Customer Value

Marketing Channels: Delivering Customer Value

Retailing and Wholesaling

Engaging Consumers and Communicating Customer Value: Advertising and Public Relations

Personal Selling and Sales Promotion

Direct, Online, Social Media, and Mobile Marketing

Social Responsibility and Ethics

Filters