Question 1

Algonquin Cosmetics markets skin care products for teenage girls between sixteen and nineteen.In approaching its international markets,Algonquin believes that its target segment spans multiple countries,transcending national borders.Algonquin Cosmetics' target segment is called a(n)_____ segment.

Accepted Answer

A) intermarket 
B) uniform 
C) cosmopolitan s se 
D) divergence 
E) global

Question 2

_____ refers to the use of price as a competitive weapon to drive weaker competitors out of a national market.

Accepted Answer

A) Multipoint pricing 
B) Predatory pricing 
C) Leader pricing 
D) Price discrimination 
E) Price skimming

Question 3

The sales manager for Smith Exports is deciding on the firm's distribution strategy in several markets.He wants to know which factor is likely to shorten channel length in a particular country.Which of the following factors helps a firm shorten channel length?

Accepted Answer

A) entry of large discount superstores 
B) firm's insistence on dealing with wholesalers instead of manufacturers 
C) fragmentation of a retail system 
D) small sales force 
E) smaller sales orders generated from sales calls

Question 4

Which of the following is an argument against standardized advertising?

Accepted Answer

A) One large effort to develop a campaign fails to produce better results than 40 or 50 smaller efforts. 
B) It fails to make use of local talent available in other cultures. 
C) Advertising regulations may block implementation of standardized advertising. 
D) Royalties make it the most expensive form of advertising. 
E) It increases the costs of value creation.

Question 5

In persuading the CEO of Gundogan Food Products to carefully develop the company's international strategy,Daisy Armitage,its newly hired International Sales Manager,is a strong advocate of market segmentation.She has made various statements about market segmentation to the CEO.Which of the following is true of market segmentation?

Accepted Answer

A) An important market segment in a foreign country always has a parallel in a firm's home country. 
B) Markets can be segmented only on the basis of geography and demography. 
C) The structure of market segments is quite similar across various countries. 
D) Since market segments are similar across various countries,firms can pursue a global marketing strategy without varying the marketing mix. 
E) For a segment to transcend national borders,consumers in that segment must have some compelling similarities along important dimensions.

Question 6

Describe the differences between distribution systems of various countries in terms of channel quality.

Accepted Answer

The answer of Describe the differences between distribution systems of...

Question 7

Describe the influence of integrating research and development,marketing,and production on new-product development.

Accepted Answer

The answer of Describe the influence of integrating research and...

Question 8

Elderly travelers as well as those who are physically challenged find it hard to climb stairs when they are allotted motel rooms which are not on the first floor.The Convenience Inn has succeeded in catering to this specific group of customers via its motels,all of which have one floor of rooms with no stairs to climb.Which of the following refers to The Convenience Inn's success in identifying distinct groups of consumers whose needs,wants,and purchasing behavior differ from others in important ways?

Accepted Answer

A) market penetration 
B) market development 
C) market segmentation 
D) product development 
E) diversification

Question 9

The number of intermediaries between the product (or manufacturer)and the consumer is referred to as

Accepted Answer

A) channel length. 
B) channel quality. 
C) channel exclusivity. 
D) channel fragmentation. 
E) channel concentration.

Question 10

What occurs when the retail sector is very concentrated?

Accepted Answer

A) It is more expensive for a firm to make contact with each individual retailer. 
B) It makes sense for a firm to deal directly with retailers,cutting out wholesalers. 
C) A relatively large sales force is required to deal with the retail sector. 
D) The channels of distribution tend to be long. 
E) The growth of wholesalers is promoted.

Question 11

Which industry is often thought of as one in which global standardization of the marketing mix is the norm?

Accepted Answer

A) electronics 
B) retail 
C) pharmaceutical 
D) financial services 
E) heavy machinery

Question 12

Which of the following is true of the barriers to international communication?

Accepted Answer

A) Noise tends to increase the probability of effective communication. 
B) Source effects can be beneficial for an international business when potential consumers in a target country have a bias against foreign firms. 
C) Many international businesses try to promote positive source effects by deemphasizing their foreign origins. 
D) Fewer firms vie for the attention of prospective customers in developing countries,thus the noise level is lower. 
E) Research suggests that a consumer may use country of origin as a cue when evaluating a product,particularly if he or she has detailed knowledge of the product.

Question 13

Discuss the arguments for and against standardized advertising.

Accepted Answer

The answer of Discuss the arguments for and against standardized...

Question 14

The Indian retail market is very fragmented with many small independent stores.The distribution structure in India typically involves two levels of distributors (large regional wholesalers and smaller city-wide wholesalers).All of these lead to India having a long distribution channel.Acme Products is concerned about India's long distribution channel for its products.Which of the following is a drawback of longer distribution channels?

Accepted Answer

A) higher selling costs in a fragmented retail sector 
B) inability to enter exclusive distribution channels 
C) lower selling costs in a concentrated retail sector 
D) lower product prices 
E) greater aggregate markups

Question 15

Which of the following is a drawback of longer distribution channels?

Accepted Answer

A) higher selling costs in a fragmented retail sector 
B) inability to enter exclusive distribution channels 
C) lower selling costs in a concentrated retail sector 
D) higher prices charged to consumers 
E) greater aggregate markups due to a lack of intermediaries

Question 16

Describe the differences between the distribution systems of various countries in terms of channel length.

Accepted Answer

The answer of Describe the differences between the distribution systems...

Question 17

If a firm is unable to keep its national markets separate,individuals or businesses may undercut its attempt at price discrimination by engaging in

Accepted Answer

A) speculation. 
B) arbitrage. 
C) dumping. 
D) predatory pricing. 
E) forecasting.

Question 18

Firms vary their marketing mix from country to country depending on differences in national culture.

Accepted Answer

A) True 
 B)False

Question 19

The Jones Consumer Products Company wants to expand internationally.In order to do this successfully,the company's CEO,Meredith Jones believes that new products are vital.Which of the following functions of the Jones Consumer Products Company is required to create new products?

Accepted Answer

A) supply chain 
B) logistics 
C) operations 
D) research and development 
E) customer service

Question 20

When Algonquin Cosmetics looked at entering the Brazil market,it noticed that a few retailers supplied most of the market.What kind of a retail system does Brazil have for the products that Algonquin Cosmetics is trying to sell?

Accepted Answer

A) fragmented 
B) dispersed 
C) isolated 
D) concentrated 
E) exclusive

Exam 16: Global Marketing and Research and Development

Algonquin Cosmetics markets skin care products for teenage girls between sixteen and nineteen.In approaching its international markets,Algonquin believes that its target segment spans multiple countries,transcending national borders.Algonquin Cosmetics' target segment is called a(n) _____ segment.