Exam 5: Developing a Global Vision

Sony,Panasonic,and other Japanese manufacturers that build products to customer order instead of churning out products in anticipation of demand have decided to hire U.S.companies to produce electronics for them.The Japanese companies will handle the marketing of the products.Japanese electronics companies are using:

A(n)_____ is a law that compels a company earning foreign exchange from its exports to sell it to a control agency,usually a central bank.

The rules,regulations,and habits used for brick-and-mortar stores tend to restrain and limit the success of those retailers engaged in e-commerce.

Breathe Right CNS,Inc.is the manufacturer of Breathe Right nasal strips,a spring-loaded adhesive device that can be stuck on your nose to open up the nasal passages.Since their introduction in the United States,Breathe Right strips have been used by athletes hoping to improve their performance through increased oxygen flow,snorers hoping for a sound night's sleep,and allergy and cold sufferers looking for relief from their stuffed noses.Because CNS is a small company,it initially had trouble promoting its product.Then San Francisco 49er Jerry Rice started regularly wearing one,and U.S.sales took off.Today,Breathe Right strips are marketed in more than 40 countries.When CNS decided to expand globally,its size made it look for a partner.It chose 3M because 3M already had a global market distribution system and because the Breathe Right strips complemented the 3M first-aid product line. -Refer to Breathe Right.In the United States,one of the standard methods for introducing a new product is couponing,but many countries prohibit the issuing of coupons.This prohibition would represent a(n)_____ element of the global environment.

Breathe Right CNS,Inc.is the manufacturer of Breathe Right nasal strips,a spring-loaded adhesive device that can be stuck on your nose to open up the nasal passages.Since their introduction in the United States,Breathe Right strips have been used by athletes hoping to improve their performance through increased oxygen flow,snorers hoping for a sound night's sleep,and allergy and cold sufferers looking for relief from their stuffed noses.Because CNS is a small company,it initially had trouble promoting its product.Then San Francisco 49er Jerry Rice started regularly wearing one,and U.S.sales took off.Today,Breathe Right strips are marketed in more than 40 countries.When CNS decided to expand globally,its size made it look for a partner.It chose 3M because 3M already had a global market distribution system and because the Breathe Right strips complemented the 3M first-aid product line. -Refer to Breathe Right.3M and CNS entered into a:

_____ is a legal process whereby a firm agrees to let another firm use its manufacturing process,trademarks,patents,trade secrets,or other proprietary knowledge in return for a fee or royalty.

Marnie and Jill both attended a party this weekend.Marnie arrived in a high-end designer dress made by forever21.Jill's dress looked exactly like Marnie's dress,but its tag read simply K-Design.Jill's dress would best be described as a:

Chinese don't like sweet cookies,and Kraft's Oreos were not selling well.Chinese consumers also thought the package was too expensive.Kraft introduced packages containing fewer Oreos at a reduced price and also created a "Chinese Oreo" consisting of four layers of crispy wafer filled with vanilla and chocolate cream,coated in chocolate.Which of the marketing mix strategies did Kraft use?

Kit Kat The popular Kit Kat chocolate bar was created by Rowntree's,a confectionary company in the United Kingdom,in 1935.By the 1940s,Rowntree's was exporting Kit Kats to Australia,New Zealand,South Africa,and Canada.The brand further expanded in the 1970s when Rowntree created a new distribution factory in Germany to meet European demand,and established agreements to distribute the brand in the USA and Japan,through the Hershey and Fujiya companies respectively.In June 1988,Nestlé acquired Kit Kat through the purchase of Rowntree's,giving Nestlé global control over the brand-except in North America,where it is made under license by the Hershey Company.Variants in the traditional chocolate bar began to appear in the mid-1990s and have continued to develop ever since.Kit Kat Japan,in particular,has many unique flavors such as mango-flavored,cucumber,and wasabi Kit Kats.Today,Nestlé produces Kit Kat bars are produced in 21 countries and has expanded its marketplace in Japan,Russia,Turkey,and South America in addition to markets throughout Europe. -Refer to Kit Kat.The Kit Kat manufacturing facilities in Egypt,Ukraine,Bulgaria,and 18 different countries are only small parts of the Nestlé organization.Nestlé can be called a(n):

A business thinking of expanding into global markets needs to examine all of the following external environments EXCEPT:

When Krispy Kreme decided to expand its operation internationally,it chose to first make its doughnuts available in Canada to minimize its risk.In accordance with the policy of risk minimization,the company sold the right to manufacture and sell its doughnuts to Canadians.In other words,Krispy Kreme used:

Zambia is internationally recognized as the world's second leading producer of cobalt,which is used to make high-speed and high-temperature cutting tools and dyes.A company that wanted to manufacture tools for shaping steel would be most attracted to which element of the Zambian environment?

All of the following statements about the use of the Internet in global marketing are true EXCEPT:

_____ are trade alliances in which several countries agree to work together to form a common trade area that enhances trade opportunities among those countries.

In which stage do multicultural companies operate when they set up foreign subsidiaries to handle sales in one country?

A(n)_____ is a company that is heavily engaged in international trade and moves its resources,goods,services,and skills across national boundaries.

The role of a domestic company that sells to an export merchant (also called a buyer for export)is to:

The International Monetary Fund (IMF)was founded in 1945 to:

Traditionally,marketing-oriented multinational corporations have operated differently in each country,with segmentation strategies that provided different marketing mixes.Today,there has been a trend toward global marketing standardization.What is global marketing standardization? Can companies truly follow the basic premise of the global marketing standardization concept?

_____ is generally defined as the sale of an exported product at a price lower than that charged for the same or a similar product in the home market of the exporter.