Exam 20: Developing a Global Vision

When developing countries began encouraging foreign investors and imports,companies like Black & Decker and Pillsbury offered a wide array of products to countries throughout the world.Because of enormous populations in developing countries,these companies predicted a potential for strong annual sales.However,in addition to total population and factors such as distribution of people within a country and household incomes,companies must not overlook which of the following factor?

Which of the following statements best describes multinational firms?

FedEx entered into an alliance with Chronopost Internationale,a subsidiary of the French post office.Under this alliance,FedEx will transport French international shipments in its aircraft,and the French postal service will deliver FedEx packages across Europe.What is this an example of?

U.S.wine producers only export about 14 percent of their total annual production of wine.They would like to sell more to overseas markets,but do not want to tailor their wines to consumers' palates.For example,Californian wines are typically heartier and richer than Europeans like to drink. -Monroe plans to market its shock absorbers in several different global markets.It plans to rely on extensive advertising.Before implementing this plan,what should its advertising manager be aware of?

A Canadian executive had no idea the Japanese go through a very elaborate ritual when exchanging business cards.When he arrived at a meeting in Tokyo,he sat down and tossed some of his business cards across the table at a group of stunned Japanese businesspeople.Due to the Canadian executive's rudeness,the multimillion-dollar deal failed.The executive overlooked the importance of which environmental factor?

When IKEA,the Swedish home furnishings retailer,first entered the Japanese market,it failed.It was more successful in its second try because it was aware of the need to adapt its furnishings to fit the smaller Japanese homes. -Which environment had the greatest influence on IKEA's first failure in Japan?

The form of global organization that provides the highest potential for return on investment as well as the highest level of risk is contract manufacturing.

U.S.wine producers only export about 14 percent of their total annual production of wine.They would like to sell more to overseas markets,but do not want to tailor their wines to consumers' palates.For example,Californian wines are typically heartier and richer than Europeans like to drink. -Refer to U.S.Wine.U.S.wine makers are not having much success in selling their wines in Europe due to differences in which environment?

How can a Canadian licensor try to prevent a licensee from voiding its contract and using what it has learned to create a competitor?

Central to any society is a common set of values shared by its citizens that determine what is socially acceptable.How do marketers refer to these values collectively?

The fact that Nigeria's inflation rate has dropped by almost 2.5 percent since the beginning of this decade would be what type of factor for a company that wanted to do business in that country?

Staropramen,the second largest brewery in the Czech Republic,began brewing beer in 1842.It has agreed to let a Polish brewery use its brand and manufacturing techniques in return for a fee.What is Staropramen using to expand its global marketing?

An English manufacturer of cricket equipment sells directly to Universal Sports,which markets the products in Canada.What is the English manufacturer using?

Global marketers must be careful when considering the demographic characteristics of different countries.Why is total population an insufficient indicator of market potential? What other demographic factors should be considered in addition to or instead of population?

When Britain refused to buy bananas from South America,the U.S.government,as a means of helping its trade partners,legislated taxes on some imported British-produced goods.These taxes included a nearly 100 percent charge on Scottish wool products.What is another term for this charge?

What is the term for a company that is heavily engaged in global trade and moves its resources,goods,services,and skills across national boundaries?

U.S.wine producers only export about 14 percent of their total annual production of wine.They would like to sell more to overseas markets,but do not want to tailor their wines to consumers' palates.For example,Californian wines are typically heartier and richer than Europeans like to drink. -Refer to U.S.Wine.Which type of strategy do U.S.wine producers need to adopt if they hope to reach more of the global market?

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,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 Canada,one of the standard methods for introducing a new product is couponing,but many countries prohibit the issuing of coupons.Which element of the global environment would this prohibition represent?.

Which of the following statements describes one of the benefits of increased globalization?

Mattel lost millions of dollars on its international marketing campaign for Holiday Barbie dolls and accessories because Barbie prices were expressed in U.S.dollars and were set without regard for how they would translate into foreign currencies.The dolls were too expensive for most international markets.Which of Mattel's strategies was faulty?