Question 1

________________, the use of brand names which are source and/or target blank may be an effective strategy in transferring brand names across national borders.

Accepted Answer

A)  Translation 
B)  Triangulation 
C)  Transliteration 
D)  Transparency D

Question 2

What is the first step in the process of global product development?

Accepted Answer

A)  Test marketing the product in various countries around the world 
B)  Testing the concept with members of a focus group 
C)  Idea creation 
D)  Global product launch C

Question 3

Identify two strategies open to the firm (i.e. the owner of the intellectual property) to combat the negative impact of counterfeit production.

Accepted Answer

To combat the negative impact of counterfeit production, a firm that owns intellectual property (IP) can employ several strategies. Here are two effective approaches:

1. **Legal Enforcement and Litigation:**
   The firm can take legal action against counterfeiters by enforcing its intellectual property rights. This involves:

- **Monitoring the Market:** Regularly scanning the market for counterfeit goods, possibly by hiring specialized agencies or using software that identifies fake products online.
   - **Working with Authorities:** Collaborating with local and international law enforcement agencies to crack down on the production and distribution of counterfeit goods. This may include customs and border protection agencies to prevent the import and export of counterfeit products.
   - **Civil Litigation:** Filing lawsuits against individuals or companies that are found to be manufacturing or selling counterfeit versions of the firm's products. This can lead to injunctions, which are court orders that stop the counterfeit activity, and potentially monetary damages.
   - **IP Registration:** Ensuring that all intellectual property is properly registered in all relevant jurisdictions, which is a prerequisite for legal action in many countries.

2. **Proactive IP Protection and Consumer Education:**
   In addition to legal action, the firm can take proactive steps to protect its IP and educate consumers:

- **Anti-Counterfeiting Technologies:** Implementing advanced packaging and labeling technologies such as holograms, QR codes, RFID tags, or blockchain-based tracking systems that make it more difficult to replicate products and easier for consumers to verify authenticity.
   - **Consumer Awareness Campaigns:** Launching educational campaigns to inform consumers about the differences between genuine and counterfeit products, the risks associated with buying counterfeits (such as safety hazards or lack of warranty), and how to report suspected counterfeit goods.
   - **Building a Strong Brand:** Creating a strong brand presence and loyalty can make consumers less likely to purchase counterfeit products. This can be achieved through quality products, excellent customer service, and consistent branding.
   - **Supply Chain Management:** Tightening control over the supply chain to ensure that only authorized manufacturers and distributors handle the products. This may involve regular audits and requiring suppliers to adhere to strict anti-counterfeiting measures.

By combining legal enforcement with proactive protection and consumer education, a firm can significantly reduce the impact of counterfeit production on its business and maintain the integrity of its intellectual property.

Question 4

In considering the decision to customize or standardize its products the global marketing firm must consider the nature of the product. Some products such as steel, fertilizer and agricultural equipment tend to be less _________________ than products such as food.

Accepted Answer

A)  Globalized 
B)  Culturally grounded 
C)  Price sensitive 
D)  Fully adapted

Question 5

A number of criteria are used by firms in the screening of new product ideas. Identify three criteria used by firms to screen new product ideas and state why they are important.

Accepted Answer

The answer of A number of criteria are used by...

Question 6

The factors that drive the need for product adaptation may be classified as:

Accepted Answer

A)  Country-level drivers 
B)  Industry/firm-level drivers 
C)  Product-level drivers 
D)  All of the above 
E)  (a) and (c) only

Question 7

Product modifications are often required when entering foreign markets. One approach is to build country specific product features on a global platform. This strategy is known as _______________ and allows the firm to cater to the needs of customers in various markets while controlling production cost.

Accepted Answer

A)  Global outsourcing 
B)  Mass customization 
C)  Multi-domestic production 
D)  Cross cultural manufacturing

Question 8

Fade-in/Fade-out and Forewarning are two brand changeover strategies available to the multinational firm. What is the difference between these two strategies?

Accepted Answer

The answer of Fade-in/Fade-out and Forewarning are two brand changeover...

Question 9

Which of the following (if any) is NOT a reason that counterfeit production is problematic for the firm?

Accepted Answer

A)  Leads to lost sales as authentic products are crowded out of the market by fake products 
B)  Results in lost goodwill for the owner of the intellectual property if the product does not perform according to consumer expectations 
C)  Increases the firm's cost of operation as resources must be allocated to monitoring and policing the market for pirated products 
D)  Dampens the incentive for innovation 
E)  Results in the firm's having to choose a more expensive hierarchical entry mode

Question 10

The product modifications firms utilize when entering foreign markets may be classified as either localization or adaptation. What is the difference between these two types of product modification?

Accepted Answer

The answer of The product modifications firms utilize when entering...

Question 11

Global, highly standardized products may not appeal very well to any particular consumer segment in any country and are said to be _____________

Accepted Answer

A)  Off-target 
B)  Globally unappealing 
C)  Overly standardized 
D)  Lacking in cultural homogenization 
E)  Misplaced

Question 12

When a firm develops a drastically simplified version of a product due to lack of purchasing power in a foreign market the process is referred to as:

Accepted Answer

A)  Forward innovation 
B)  Backward innovation. 
C)  Reshoring 
D)  Outsourcing

Question 13

Unlike multi-domestic and mass customization product strategies a global product strategy assumes that the firm is targeting homogeneous customer segments.

Accepted Answer

A) True 
 B)False

Question 14

______________________ is a brand changeover strategy that involves the company informing consumers in advance that their local brand will soon be known by its new global name.

Accepted Answer

A)  Fade in/Fade out 
B)  Summary axing 
C)  Forewarning 
D)  Transliteration

Question 15

In modifying products for international markets firms may employ a multi-domestic product strategy or a mass customization product strategy. Distinguish between these two alternative strategies.

Accepted Answer

The answer of In modifying products for international markets firms...

Exam 9: Global Product Services