Deck 23: International Advertising

Question 1

The trade agreement that sought to open borders in the Western hemisphere.

A)ASEAN
B)NAFTA
C)SAFTA
D)Pan-Colombian
E)EU protocols

Answer 1

B

Question 2

Which of the following is NOT a factor that drove the increase in global trade?

A)saturated domestic markets in the prosperous countries
B)need for protectionism
C)desire of firms to increase sales and profitability
D)arrival of a technological means of instant communication
E)development of rapid global transportation

Answer 2

B

Question 3

According to your text, a "fairer reading" of what Harvard professor Theodore Levitt was suggesting in his global marketing concept leads to which of the following?

A)Companies should adopt a global approach whenever appropriate.
B)Companies should ignore local culture and tradition whenever possible.
C)Companies should be cautious about an overdependence on the value of branding and brand equity.
D)Efficiencies of scale will only occur at a micro level.
E)Efficiencies of scale occur only on a macro level.

Answer 3

A

Question 4

How might a firm enter the global market?

A)export goods to wholesalers and retailers in host countries
B)form joint ventures with established international businesses
C)have partially owned subsidiaries in overseas markets
D)consider only the high profit potential but ignore the high risks
E)stick to what has worked in marketing and advertising at home

Question 5

Which of the following is NOT an obstacle related to attitudes toward the United States by the international community, for American companies competing for global sales?

A)exploitation
B)corrupting influence
C)gross insensitivity and arrogance
D)perceived low quality
E)hyper-consumerism

Question 6

A commonly used management approach used by multinational companies gives local managers flexibility to:

A)set standards for product quality.
B)determine standards for advertising and promotion.
C)consolidate strategic management decisions.
D)develop specific tactics for their situation within general principles.
E)set standards of distribution.

Question 7

Which of the following is NOT where a significant percentage of growth in marketing and advertising will be concentrated?

A)Far East
B)U.S.
C)Middle East
D)South America
E)Latin America

Question 8

Which of the following does not pertain to the term glocalization?

A)was popularized by British sociologist Roland Robertson in the 1990s
B)refers to the creation or distribution of global products that are customized to suit local laws
C)using the Internet to provide local messages on a global basis
D)emphasizes the belief that international sales succeed when companies adapt the product or promotion specifically to a particular locale
E)popularized by Harvard professor Theodore Levitt

Question 9

A one-size-fits-all approach to global commerce typically means a company has:

A)products that fit various cultures' customs and tastes.
B)a mind-set based on too much research.
C)a mind-set based on too little research.
D)advertising themes and messages it strongly believes are universal but in reality are not.
E)an organizational structure that is tried and true and appropriate to all cultures.

Question 10

The second largest single language, by usage, on the Internet is:

A)English.
B)Spanish.
C)Chinese.
D)Japanese.
E)Russian.

Question 11

An essential element in the expansion of global business activity that has fueled the expansion in international marketing is:

A)the European Union and the Euro dollar.
B)increasingly subjective views of other cultures.
C)the growth of communication technology, particularly in developing regions.
D)increasing numbers of people in the middle class.
E)increased trade restrictions with China.

Question 12

The setback experienced by the EU on May 29, 2005 was:

A)Danish voters accepted the proposed constitution.
B)55% of French voters rejected the EU's proposed constitution.
C)Britain withdrew from the Union.
D)Turkey was refused entry into the Union.
E)Central American countries balked at trading with EU partners.

Question 13

It can be argued that the global business revolution of the last decade is fundamentally a:

A)fluke.
B)fad.
C)communication revolution.
D)success story for mercantilism.
E)none of the above

Question 14

U.S.-based multinational businesses can overcome economic isolationism by doing all of the following EXCEPT:

A)promoting the American way as the only way to economic freedom.
B)their willingness to learn local customs.
C)greater sensitivity to other cultures.
D)openness to new ideas.
E)openness to different ideas.

Question 15

Which of the following is NOT a question that should be asked by a firm thinking about entering a foreign market?

A)Is the company organized in terms of marketing, production, and financial aspects to successfully compete in international markets?
B)What specific markets offer the greatest chance for success, lowest risk, and highest profit potential?
C)What is the best means to enter the global market?
D)What is the most efficient marketing program organization?
E)Should I avoid joint venturing with established local businesses?

Question 16

Which of the following is NOT a significant feature of global marketing and advertising?

A)a greater ability to communicate across international borders
B)growing nationalism and suspicion of outside influences in many countries
C)increased instances of reverse engineering and copycatting
D)increasing complacency for most global firms
E)a growing sense of protectionism impeding entry into many foreign markets

Question 17

Essentially, the growth of communication technology, especially because of the Internet, has:

A)fueled rebellion in China.
B)eliminated the caste system in India.
C)helped spread democracy in the Middle East.
D)fueled the aspirations of people in the Third World for First World living standards.
E)helped make Venezuela more open to democracy.

Question 18

Assumptions that Harvard professor Theodore Levitt suggested in his global marketing concept included all of the following EXCEPT:

A)needs of consumers are basically alike worldwide.
B)companies should ignore local culture and tradition whenever possible.
C)consumers will respond to similar appeals regardless of cultural differences.
D)companies should consider going global when appropriate.
E)companies should consider going global if appropriate.

Question 19

Which of the following has accelerated the pace for growth in global marketing?

A)wireless technology
B)cellular phones with text capability
C)universal legal tenets
D)the Internet
E)ethnographic research findings

Question 20

The basic motivation of multinational companies, as with all businesses is to:

A)be more sensitive to customer needs.
B)increase profitability.
C)maintain their consumer base.
D)minimize risk.
E)increase goodwill.

Question 21

Which of the following is true regarding international advertising?

A)Advertising primarily functions outside social and cultural environments.
B)The upwardly mobile urban middle class is unreceptive to Western values and mores.
C)International advertising acts as integrating force across national boundaries.
D)It always accounts for local culture.
E)It never accounts for local culture.

Question 22

Which country has tremendously high levels of household television penetration and yet does not allow foreign programming?

A)Taiwan
B)China
C)Vietnam
D)Albania
E)Georgia

Question 23

Some ways to avoid cultural missteps in international advertising are to:

A)hire specialists such as cultural anthropologists.
B)use less in-country research and fewer consulting services.
C)exaggerate a country's culture, customs, and buying habits.
D)tie in all local customs with commercialization.
E)link all local holidays with commercialization.

Question 24

Which of the following statements is true about worldwide marketing organizations?

A)Few U.S. advertising agencies are owned by overseas holding companies.
B)Over two-thirds of the top-ten businesses are headquartered in the United States.
C)Among the top-ten firms, revenue growth is greater inside the United States.
D)Emerging markets offer less growth potential than does the U.S. economy.
E)Emerging markets in a number of regions will continue to offer more growth potential than mature U.S. and Western European economies.

Question 25

The difference between language localization and translation is:

A)simplistic versus professional changing of language.
B)Internet-based language services versus human-based.
C)language localization is a more nuanced approach that moves beyond simple word substitution.
D)the difference between slang and formal language.
E)the difference between dialects and the universal language.

Question 26

Which of the following is NOT a valid international marketing/advertising strategy mentioned in your text?

A)export both product and the advertising to other countries
B)export the product but change the name
C)keep the brand name and strategy but adapt the product, country by country
D)adapt both the product and the advertising to each country
E)adapt the product country by country but change the advertising strategy

Question 27

The need for sensitivity when dealing with local cultures was first acknowledged in:

A)the late 1800s, when robber barons were challenged.
B)1621 with the charter of the Dutch West India Company.
C)the 1930s after the Great Depression.
D)the early 1700s with the colonization of Africa by the European powers.
E)in 1927 by Canada when dealing with the native Inuit in the Northwest.

Question 28

A typical multinational advertising plan requires:

A)complete adherence to the goals and steps of the plan.
B)the advertiser deal with a host of situations unique to each country.
C)a globalized message that plays in all environments.
D)minimal use of marketing research.
E)a series of unrelated advertising and promotion messages.

Question 29

Given the objectives of a particular international campaign, advertisers must deal with a host of situations unique to each country that include all of the following EXCEPT:

A)creative considerations.
B)media buying and planning procedures.
C)cultural considerations.
D)local legal restrictions and regulations.
E)situations that are common in each country.

Question 30

As multinational companies have evolved and matured over the last 30 years, they have moved through a number of phases, the most recent of which is:

A)local emphasis in marketing strategy.
B)moving into foreign markets.
C)creating global messages.
D)research-supported localization and segmentation.
E)Internet-based global cyber-shopping.

Question 31

Outside the U.S., which of the following, if treated with sensitivity, might have more of a chance of being accepted overseas?

A)humor
B)satire
C)metaphors
D)sports heroes
E)figures of speech

Question 32

Which of the following is NOT a recent change for multinational advertising agencies?

A)Clients increasingly demand greater coordination of all phases of their marketing communications programs.
B)The sources of income for major advertising holding companies has become more diverse, and less than half was derived from advertising services.
C)The need to provide a broader range of services has led to more mergers of advertising, PR, and sales promotion agencies.
D)Marketers are decentralizing their marketing communications function, utilizing more in-house departments, a number of creative firms, and media buying services.
E)provide full services in all aspects of advertising from their headquarters

Question 33

This type of advertising is extremely popular in parts of Europe but relatively minor in the United States.

A)pop-up advertising
B)personal selling
C)billboard advertising
D)cinema advertising
E)skywriting

Question 34

International marketing plans are conducted by executives with titles such as:

A)regional marketing manager.
B)global brand manager.
C)global advertising officer.
D)global vice president in charge of expansion.
E)regional marketing executive.

Question 35

Which of the following statements is FALSE regarding advertising and culture?

A)There are social, cultural, and political components to advertising.
B)The proliferation of foreign-based products has led to charges of exploitation and insensitivity in developing countries by international companies.
C)Advertisers can no longer simply introduce new products dependent on latent demand for sales and profits.
D)More sensitivity has eliminated charges of exploitation by agencies from outside the country where the advertising is targeted.
E)Advertising must communicate interesting messages in the vernacular acceptable to local customers.

Question 36

The international joint venture or minority ownership arrangement for advertising agencies begun in the 1970s by U.S. agencies eliminated the:

A)long start-up time needed to begin a new agency.
B)need for advertising plans that reflected only local business practices.
C)recognition of the growing expertise of local advertising talent.
D)need to provide client services at least on par with major American agencies.
E)need to bring much of the marketing communication function in-house.

Question 37

Research shows that challenges for marketing and advertising holding companies include all of the following EXCEPT:

A)finding a unifying theme that works across a number of brands and in various international markets.
B)problems related to packaging, specifically, design elements that can be used on packages and in-store promotions throughout the world.
C)finding ways to effectively translate key advertising and marketing findings into global advertising executions.
D)less reliance on data from clients provided to the agencies on a project-by-project basis.
E)the need for centralized planning, without which research will not be compatible across countries.

Question 38

Regardless of the function-creative, media, or research-agencies face major problems in meeting the demands of clients, including:

A)having to think locally and act globally.
B)accommodating the organizational structure of their clients.
C)creating a unified and standardized management organization.
D)translating narrow client marketing strategies to the level of broad groupings of individual consumer needs.
E)having to think globally but act regionally.

Question 39

Which of the following organizations does not monitor and limit advertising messages?

A)Federal Trade Commission
B)Advertising Standards Authority
C)Council of Better Business Bureaus
D)People's Republic Foreign Ideology Committee
E)European Advertising Standards Alliance

Question 40

Which of the following is a primary problem that the media function has suffered in international advertising?

A)local emphasis in marketing strategy
B)media availability and/or usage levels
C)degree of sophistication of an ad
D)excessive audience research
E)research-supported segmentation

Question 41

Which of the following is NOT true regarding the growing importance of multiethnic consumers?

A)expanding slower than the general population
B)expanding faster than the general population
C)Their buying power is increasing at a greater rate.
D)Companies need to recognize the need for employees with varied experiences and perspectives who can sell products and services to them.
E)They will need top-tier executives who understand different countries, different cultures.

Question 42

Even though a one-size-fits-all strategy for international marketing will always work, significant economies of scale are another reason for international expansion.

Question 43

Characteristics of ethnic print media include all of the following EXCEPT:

A)in the past, they have been largely owned by small, independent publishers.
B)major newspaper chains are introducing ethnic publications for the Asian-American market.
C)national media companies have introduced Spanish-language papers in major cities.
D)national media are competing for the Hispanic market.
E)major newspaper chains are apparently uninterested in the Asian-American market.

Question 44

Penetration of Internet communication is growing in every sector of the globe, with only Africa lagging in average usage rates.

Question 45

The Asian-American market is even more difficult to reach through ethnic networks for all of the following reasons EXCEPT:

A)AZN television has a lock on the major markets.
B)the diversity of languages within a relatively small market.
C)the lack of media usage among this ethnic group.
D)the similarity of dialects within a relatively small market.
E)the high income and education levels of that demographic.

Question 46

Likely causes for faulty information on ethnic markets include all of the following EXCEPT:

A)either little or bad contact information.
B)researchers at little or no experience in ethnic marketing.
C)respondents were sometimes uncooperative with researchers because of language barriers and a lack of understanding of the research's aims.
D)an unavailability of ethnic-oriented syndicated research studies.
E)weighting of research samples often did not fully take into account the ethnic population, especially in major markets.

Question 47

In the coming decade, New York will become the largest city on Earth due to increases in immigration.

Question 48

The strange paradox in today's international marketplace is that as our communications capability has increased at the same time a growing sense of nationalism and increasing protectionism impede expansion into foreign markets.

Question 49

Estimates regarding the U.S. population are that by 2050:

A)people of Hispanic heritage will comprise about 33 percent of the multinational population.
B)people of multinational heritage will comprise less than 50 percent of the total population.
C)the non-Hispanic white population will comprise less than 50 percent of the total population.
D)Native American population will overtake the Asian-American population.
E)people of multinational heritage will comprise about 67 percent of the total population.

Question 50

Which of the following is NOT an area of legal prohibitions that international advertisers need understand?

A)Internet advertising
B)advertising to children
C)print advertising
D)comparative advertising
E)standards of truth

Question 51

The basic motivation of multinationals to make a profit by selling their excess and obsolete merchandise to other countries.

Question 52

The global business revolution of the last decade is a communications revolution that has resulted in demands for more open political systems, which leads to demands for more economic choice.

Question 53

Hyper-consumerism is one of the issues at the root of negative attitudes toward American products and brands.

Question 54

The Toyopet Crown?-the first Toyota automobile imported in United States and a dismal failure-was redesigned as the Corona to suit American drivers.

Question 55

Many American consumers do not know or care whether a brand is made by an overseas company.

Question 56

Among other so-called ethnic minorities, Asian-Americans comprise about ________ percent and Native Americans comprise less than ________ percent of the total U.S. population.

A)1; 4
B)4; 1
C)5; 1
D)2; 5
E)3; 2

Question 57

When it comes to available research, which of the following is NOT true for media planners who must plan an international campaign?

A)Research data is notoriously unreliable.
B)Basic target audience data may be unavailable.
C)Paid circulation may be unavailable or not audited.
D)Television ratings data is never found outside the United States.
E)Data about audience purchase and media usage habits may be unavailable.

Question 58

The ethnic market most likely to receive attention in the American marketplace in the near future is:

A)Native Americans.
B)African-Americans.
C)Asian-Americans.
D)Hispanics.
E)Indian immigrants.

Question 59

Which of the following is NOT true regarding the Hispanic market in the United States?

A)Hispanic market will grow by as much as one third by 2010.
B)The increase of Hispanic population ages the overall demographic in America.
C)Some counties in Southern states saw increases of more than 500% from 1990 to 2000.
D)Eight counties in Texas have Hispanic populations in excess of 90%.
E)North Carolina, Georgia, and Arkansas have the fastest-growing Hispanic populations.

Question 60

The fact that a number of major U.S. companies are spending more than 50 percent of their advertising budgets abroad indicates a trend toward more global selling and an opportunity for future growth in marketing and advertising.

Question 61

One of the major management challenges for multinational corporations is developing a strategic plan for branding and advertising that can be easily adapted globally.

Question 62

The ________ is an approach used to link the exporting business with an established local business in the target country, allowing the exporting company to legally enter the foreign market.

Question 63

The idea of global marketing is becoming more of a reality due to the ease with which marketers can accommodate all the cultural and national differences into a single marketing strategy.

Question 64

Observers say a root cause for anti-American opinions among international prospects is the notion of American as a ________, and that American brands will enhance thinking and behavior that clash with local customs and debase cultural or religious norms.

Question 65

Because of the open nature of the Internet, there are no restrictions or regulations regarding Internet advertising.

Question 66

Whereas at one time creative strategy was normally generated in the United States and adapted abroad, we are routinely seeing ideas and advertising executions originating in a foreign market and adapted for global use.

Question 67

Multicultural research underscores the fact that consumers have traditional buying habits and customs that must be reflected in advertising and promotion.

Question 68

Advertising clients are increasingly demanding that agencies be able to coordinate all phases of the marketing communications programs.

Question 69

Over the past 30 years, multinational companies have undergone a maturation process, with the final phase involving a local emphasis in their market strategy.

Question 70

Italians drink more bottled water than any other people in the world, but consider it bad manners to drink it anywhere but at the table, thus illustrating the point that cultural differences make it difficult to adopt a truly global marketing plan.

Question 71

All advertising, regardless of country, begins with sound planning and adherence to basic marketing strategy.

Question 72

The degree and type of advertising regulation is usually a function of (1)the length of time that advertising has existed and the level of sophistication it has attained and (2)the degree of freedom that businesses and the press enjoy.

Question 73

Companies are coming to realize it is not enough to simply identify ethnic market segments; they must develop products and messages that realistically meet the special needs of market segments and communicate in a credible manner.

Question 74

In the '40s and '50s, American advertising agencies expanded by starting foreign branches that were responsible for the advertising of the few large U.S. clients in a limited number of countries.

Question 75

In the United States, race is becoming more and more difficult to determine as millions of census respondents listed more than one racial background.

Question 76

China allegedly ________ ideas of Western car manufacturers and can produce similar cars at about half the price; yet, there is little objection because of the potential to sell Western cars in China, the world's fastest growing car market.

Question 77

Popularized by British sociologist Roland Robertson in the '90s, ________ combines the aims of globalization and localization.

Question 78

There are times when exporting the product but changing its name is a viable product and marketing strategy.

Question 79

A strict adherence to centralized management makes it easier for decision-makers to effectively manage diverse markets using local executives.

Question 80

One of the keys to globalization and effective marketing is ________ to the host countries where they operate.