Question 1

The prominent global market-entry strategy among small-and medium-sized companies is

Accepted Answer

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

Question 2

Microfinance refers to

Accepted Answer

A) the practice of offering small,collateral-free loans to individuals who otherwise would not have access to the capital necessary to begin small businesses or other income-generating activities in exchange for a percentage of future profits rather than repaying of loans. 
B) the lending of money contingent upon a daily accounting of all expenditures made and all income generated. 
C) the day-to-day expenses such as coffee for the office,flowers for anniversaries,etc.that are considered too small to be itemized. 
D) the practice of offering small,collateral-free loans to individuals who otherwise would not have access to the capital necessary to begin small businesses or other income-generating activities. 
E) the expenditures within an individual household assigned to each individual family member whether they personally generate income or not. 
A) the practice of offering small,collateral-free loans to individuals who otherwise would not have access to the capital necessary to begin small businesses or other income-generating activities in exchange for a percentage of future profits rather than repaying of loans. 
B) the lending of money contingent upon a daily accounting of all expenditures made and all income generated. 
C) the day-to-day expenses such as coffee for the office,flowers for anniversaries,etc.that are considered too small to be itemized. 
D) the practice of offering small,collateral-free loans to individuals who otherwise would not have access to the capital necessary to begin small businesses or other income-generating activities. 
E) the expenditures within an individual household assigned to each individual family member whether they personally generate income or not.

Question 3

Yogen Früz is a successful chain of frozen yogurt shops originating in Canada.Archeology Investments has an agreement with the Canadian firm that grants rights to its company to open and operate Yogen Früz shops in Dubai,Oman,Qatar,Bahrain,and Kuwait.Yogen Früz is engaged in

Accepted Answer

A) dual adaptation. 
B) a joint venture. 
C) direct exporting. 
D) indirect exporting. 
E) franchising. 
A) dual adaptation. 
B) a joint venture. 
C) direct exporting. 
D) indirect exporting. 
E) franchising.

Question 4

The practice of shielding one or more sectors of a country's economy from foreign competition through the use of tariffs or quotas is referred to as

Accepted Answer

A) domestic imperialism. 
B) protectionism. 
C) blocked competition. 
D) import taxation. 
E) trade restriction. 
A) domestic imperialism. 
B) protectionism. 
C) blocked competition. 
D) import taxation. 
E) trade restriction.

Question 5

Which of the following is an element of company strategy,structure,and rivalry?

Accepted Answer

A) sales of companies in an industry 
B) size of market 
C) number of suppliers 
D) intensity of competition 
E) number of sophisticated consumers 
A) sales of companies in an industry 
B) size of market 
C) number of suppliers 
D) intensity of competition 
E) number of sophisticated consumers

Question 6

What are the product and promotion strategies available to a company seeking to enter the global marketplace? How do they relate to each other in terms of the same or adapted product and promotion?

Accepted Answer

There are five product and promotional s

Question 7

KFC in Japan altered the sweetness of its coleslaw to appeal to Japanese tastes.This is an example of which type of global marketing product/promotion strategy?

Accepted Answer

A) product extension 
B) product adaptation 
C) product customization 
D) product invention 
E) product integration 
A) product extension 
B) product adaptation 
C) product customization 
D) product invention 
E) product integration

Question 8

Global consumers refer to

Accepted Answer

A) all potential consumers for any and all products or services regardless of cultural,ethnic,or national origins. 
B) customers within a nation who consider the entire world a single marketplace. 
C) consumer groups living in many countries or regions of the world who have similar needs or seek similar features and benefits from products or services. 
D) consumer groups living in many countries or regions of the world that have similar needs but seek customized features and benefits from products or services that reflect their individual cultures. 
E) multinational organizations whose products incorporate raw materials,assembly,and distribution contributions from multiple nations before they are marketed. 
A) all potential consumers for any and all products or services regardless of cultural,ethnic,or national origins. 
B) customers within a nation who consider the entire world a single marketplace. 
C) consumer groups living in many countries or regions of the world who have similar needs or seek similar features and benefits from products or services. 
D) consumer groups living in many countries or regions of the world that have similar needs but seek customized features and benefits from products or services that reflect their individual cultures. 
E) multinational organizations whose products incorporate raw materials,assembly,and distribution contributions from multiple nations before they are marketed.

Question 9

Hindustan Lever realized it could not sell to the rural poor in India unless it found ways to distribute its products such as soap,shampoos,and laundry detergents.Lever provided start-up loans to women to buy stocks of products to sell to local villagers.Today,over 45,000 poor women sell Lever products to 600,000 consumers in 135,000 villages in India.This effort was called __________.

Accepted Answer

A) Project Open Roads 
B) Project Fresh Start 
C) Project Tikva 
D) Project Shakti 
E) Project Helping Hand 
A) Project Open Roads 
B) Project Fresh Start 
C) Project Tikva 
D) Project Shakti 
E) Project Helping Hand

Question 10

Both Honda and Toyota have plants in the United States that use American labor.This example is an illustration of Honda and Toyota practicing

Accepted Answer

A) direct exporting. 
B) direct investment. 
C) joint venture. 
D) licensing. 
E) indirect exporting. 
A) direct exporting. 
B) direct investment. 
C) joint venture. 
D) licensing. 
E) indirect exporting.

Question 11

The administrative,marketing,and manufacturing operations that many international firms,multinational firms,and transnational firms have around the world are often called

Accepted Answer

A) divisions. 
B) outlets. 
C) departments. 
D) markets. 
E) holding companies. 
A) divisions. 
B) outlets. 
C) departments. 
D) markets. 
E) holding companies.

Question 12

Recipco and Tradaq are both companies that connect international companies who want to barter the products they make for the products they need without using cash or credit.Recipco and Tradaq assist international companies in making

Accepted Answer

A) countertrades. 
B) quota exchanges. 
C) trading exchanges. 
D) balances of trade. 
E) WTO trade arrangements. 
A) countertrades. 
B) quota exchanges. 
C) trading exchanges. 
D) balances of trade. 
E) WTO trade arrangements.

Question 13

The North American Free Trade Agreement was designed to encourage free trade between

Accepted Answer

A) North America,Central America,and South America. 
B) the United States and the European Union. 
C) member countries originally from NATO (North Atlantic Treaty Organization). 
D) the United States,Canada,and Mexico. 
E) North America and the Commonwealth of Independent States. 
A) North America,Central America,and South America. 
B) the United States and the European Union. 
C) member countries originally from NATO (North Atlantic Treaty Organization). 
D) the United States,Canada,and Mexico. 
E) North America and the Commonwealth of Independent States.

Question 14

Tricon was the restaurant division of PepsiCo until it was spun off in 1997.Since then,Tricon has opened 6,000 KFC restaurants abroad.It has 158 restaurants in Indonesia and more than 500 restaurants in China.All are locally owned and the owner pays a fee to Tricon.Tricon is engaged in

Accepted Answer

A) licensing. 
B) direct exporting. 
C) indirect exporting. 
D) contract manufacturing. 
E) foreign assembly. 
A) licensing. 
B) direct exporting. 
C) indirect exporting. 
D) contract manufacturing. 
E) foreign assembly.

Question 15

Cultural symbols are things that

Accepted Answer

A) can be protected by international copyrights. 
B) cannot be expressed by words or characters. 
C) represent values that exist solely within a nation. 
D) represent words through the use of pictures or designs. 
E) represent ideas and concepts. 
A) can be protected by international copyrights. 
B) cannot be expressed by words or characters. 
C) represent values that exist solely within a nation. 
D) represent words through the use of pictures or designs. 
E) represent ideas and concepts.

Question 16

Competitive advantage for global firms grows out of continuous improvement,innovation,and __________.

Accepted Answer

A) accountability 
B) change 
C) product quality 
D) company size 
E) location 
A) accountability 
B) change 
C) product quality 
D) company size 
E) location

Question 17

A global brand refers to

Accepted Answer

A) two or more domestic products that coincidentally share the same brand name but represent two completely unrelated products. 
B) two or more international products that coincidentally share the same brand name but represent two completely unrelated products. 
C) a brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs. 
D) a brand that is essentially the same but that has had minor adaptations made to meet the more specific needs of different nations. 
E) a brand marketed under different names in multiple countries with similar and centrally coordinated marketing programs. 
A) two or more domestic products that coincidentally share the same brand name but represent two completely unrelated products. 
B) two or more international products that coincidentally share the same brand name but represent two completely unrelated products. 
C) a brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs. 
D) a brand that is essentially the same but that has had minor adaptations made to meet the more specific needs of different nations. 
E) a brand marketed under different names in multiple countries with similar and centrally coordinated marketing programs.

Question 18

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power __________.

Accepted Answer

A) levels off 
B) decreases 
C) increases 
D) becomes less of an economic priority 
E) becomes progressively unstable 
A) levels off 
B) decreases 
C) increases 
D) becomes less of an economic priority 
E) becomes progressively unstable

Question 19

Which of the following is a disadvantage associated with licensing?

Accepted Answer

A) The licensee pays lower wages and sells at lower prices. 
B) The licensor may create its own competition. 
C) The foreign government dislikes it because it does not increase local employment. 
D) This is the most expensive and risky method for global expansion. 
E) The firm's brand does not get international exposure. 
A) The licensee pays lower wages and sells at lower prices. 
B) The licensor may create its own competition. 
C) The foreign government dislikes it because it does not increase local employment. 
D) This is the most expensive and risky method for global expansion. 
E) The firm's brand does not get international exposure.

Question 20

Describe the people at the bottom of the pyramid and give an example of how global companies are choosing to serve them.

Accepted Answer

About 86 percent of the world's populati

Exam 7: Understanding and Reaching Global Consumers and Markets

The prominent global market-entry strategy among small-and medium-sized companies is

Microfinance refers to

Yogen Früz is a successful chain of frozen yogurt shops originating in Canada.Archeology Investments has an agreement with the Canadian firm that grants rights to its company to open and operate Yogen Früz shops in Dubai,Oman,Qatar,Bahrain,and Kuwait.Yogen Früz is engaged in

The practice of shielding one or more sectors of a country's economy from foreign competition through the use of tariffs or quotas is referred to as

Which of the following is an element of company strategy,structure,and rivalry?

What are the product and promotion strategies available to a company seeking to enter the global marketplace? How do they relate to each other in terms of the same or adapted product and promotion?

KFC in Japan altered the sweetness of its coleslaw to appeal to Japanese tastes.This is an example of which type of global marketing product/promotion strategy?

Global consumers refer to

Both Honda and Toyota have plants in the United States that use American labor.This example is an illustration of Honda and Toyota practicing

The administrative,marketing,and manufacturing operations that many international firms,multinational firms,and transnational firms have around the world are often called

Recipco and Tradaq are both companies that connect international companies who want to barter the products they make for the products they need without using cash or credit.Recipco and Tradaq assist international companies in making

The North American Free Trade Agreement was designed to encourage free trade between

Tricon was the restaurant division of PepsiCo until it was spun off in 1997.Since then,Tricon has opened 6,000 KFC restaurants abroad.It has 158 restaurants in Indonesia and more than 500 restaurants in China.All are locally owned and the owner pays a fee to Tricon.Tricon is engaged in

Cultural symbols are things that

Competitive advantage for global firms grows out of continuous improvement,innovation,and __________.

A global brand refers to

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power __________.

Which of the following is a disadvantage associated with licensing?

Describe the people at the bottom of the pyramid and give an example of how global companies are choosing to serve them.

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility in Marketing

Understanding Consumer Behavior

Understanding Organizations As Customers

Marketing Research: From Customer Insights to Actions

Market Segmentation, Targeting, and Positioning

Developing New Products and Services

Managing Successful Products, Services, and Brands

Services Marketing

Building the Price Foundation

Arriving at the Final Price

Managing Marketing Channels and Supply Chains

Retailing and Wholesaling

Integrated Marketing Communications and Direct Marketing

Advertising, Sales Promotion, and Public Relations

Using Social Media to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Pulling It All Together: the Strategic Marketing Process

Building an Effective Marketing Plan

Financial Aspects of Marketing

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