Exam 9: Reaching Global Markets

Before the 1990s,most firms entered international markets

One of the effects of NAFTA is the simplification of country-of-origin rules.This will likely hinder the international trade activities of

Because of continuing disputes and inconsistencies among the administrations of member states,it will be many years before the European Union truly becomes one deregulated market.

High Plains Furnishings,a furniture manufacturer in southern Montana,markets its furniture products in markets within the United States.It has also found several niche target markets in Finland,Chile,and Argentina.High Plains Furnishings is engaging in

The unconscious reference to one's own cultural values,experiences,and knowledge when encountering new and different cultures is known as

Levi Strauss markets its denim jeans in many countries and develops its marketing strategy as if the world were a single market.This approach to selling a standardized product in all countries represents which type of international marketing?

A multinational enterprise is a firm that has operations or subsidiaries located in many countries.

Toshiba Electronics is very interested in taking advantage of business opportunities in India but does not have access to India's market.Toshiba has the patent on a low-cost,quality computer system that could assist small businesses in India.Sony Computer,Toshiba's competitor,is experienced in India's small business market but does not have a computer comparable to Toshiba's.If Toshiba and Sony work together to utilize these strengths to seize this opportunity in India,what type of business structure would they likely use?

Globalization of marketing involves developing marketing strategies as though the entire world (or major regions of it)were a single entity.

Scenario 9.1 Use the following to answer the questions. Harley-Davidson Motors manufactures all of its motorcycles in the U.S.at one of four sites.With a large number of its bikes sold in markets all around the world,it still retains the manufacturing close to the headquarters for several reasons,one being that its management wants to keep close watch on the quality of its products.However,for all the accessories,apparel,and other riding gear,Harley-Davidson contracts out to other manufacturers to produce the items with the Harley name and logo.Some of these items,particularly the apparel,are made in China.Lately,some members of the Harley Owners' Group (HOG)have been complaining to the company about this practice,citing that "everything Harley should be made in America". -Refer to Scenario 9.1.Harley-Davidson's practice of having manufacturers in China produce apparel items with the Harley logo is an example of

Brand name,product characteristics,packaging,and media allocation are among the easiest marketing mix variables to standardize around the world.

The forces that affect foreign markets may differ dramatically from those affecting domestic markets.This makes a careful ____ a critical part of a successful international marketing strategy.

Tony & Guy is a global hairdressing and education business headquartered in England.It has recently opened salons in Mongolia,adding to its numerous salons worldwide.Tony & Guy allows foreign businesspeople to use its name,logo,methods of operation,advertising,and products.In exchange,Tony & Guy receives a financial commitment and an agreement to conduct business in accordance with its standard of operations.Tony & Guy is engaging in

Cultural relativism is the unconscious reference to one's own cultural values,experiences,and knowledge when traveling in other countries.

Exporting,licensing,and using trading companies are preferred modes of international market entry for firms with a(n)____ structure.

Contract manufacturing occurs when a firm pays a commission or royalties on sales or supplies used in manufacturing.

Northeastern University and Penn State University both offer online MBA programs that are available to students around the world.This is an example of

Scenario 9.2 Use the following to answer the questions. KFC opened its first franchised restaurant outside of North America in England in 1964.Now,over a billion KFC chicken dinners are sold annually at more than 80 countries and territories around the world.KFC has established its own processing plants in these countries to ensure the quality of its chickens and other food items.In the U.S. ,the menu at KFC is usually the same in all restaurants,with only a very few additional items available in different regions.However,when KFC first franchised into Asian countries,it added many unusual local delicacies to the menu-items such as fried octopus and squid.Additionally,the franchised stores in Asian countries display cooked food in "plates" near windows at the front of the store.This is a tradition for many restaurants in these countries-to offer the customer passing by a preliminary view of their product. -Refer to Scenario 9.2.Which of the following alliances will KFC most likely utilize to guide its business transactions in Japan and China?

Once a company makes a long-term commitment to a foreign market that has a promising political and economic environment,which of the following options then emerges as a possibility?

The World Trade Organization was an important outcome of the unification of Europe.