Question 1

A joint venture refers to

Accepted Answer

A)  offering the right to a trademark,patent,trade secret,or similarly valued items of intellectual property in return for a royalty or fee.
B)  contracting with a foreign firm to manufacture products according to certain specifications.
C)  when a foreign company and a local firm invest together to create a local business.
D)  having a company handle its own exports directly,but using intermediaries for importing.
E)  exporting through an intermediary,which often has the knowledge and means to succeed in selling a firm's product abroad.

Question 2

The study of similarities and differences among consumers in two or more nations or societies is referred to as __________.

Accepted Answer

A)  market synthesis
B)  cross-cultural analysis
C)  international sociographics
D)  transnational anthropology
E)  multicultural ethnocentrism

Question 3

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.

Question 4

An assessment of a country's or region's political-regulatory climate includes an analysis of its political stability and __________.

Accepted Answer

A)  economic infrastructure
B)  stock market performance
C)  trade regulations
D)  cultural diversity
E)  currency exchange rates

Question 5

Before Apple's iPhone 4S was officially for sale in China,it was being sold there.These phones were purchased in the United States and Australia,and then resold by unauthorized vendors in China for between $1,700 and $2,000.These products are considered to be part of

Accepted Answer

A)  the gray market.
B)  under the counter sales.
C)  over the counter sales.
D)  integrated global channels.
E)  breaking the distribution monopoly.

Question 6

A gray market refers to

Accepted Answer

A)  the segment of products specifically designed for the need of older buyers.
B)  a situation where products are sold through unauthorized channels of distribution.
C)  a once active and powerful market that is rapidly becoming the bottom of the barrel.
D)  a pricing structure that is based upon "haggling" that is considered acceptable in some countries but not others.
E)  the willingness of one party to accept "gifts" in exchange for better prices or price allowances.

Question 7

The EU has benefited firms in its member nations because

Accepted Answer

A)  it provides a safe haven in times of world economic crises.
B)  there is a common language advantage among EU consumers.
C)  most companies within the EU are engaging in strategic global partnerships.
D)  there is now a legally binding code of economic conduct.
E)  firms do not need to market their products and services on a nation-by-nation basis.

Question 8

A law,amended by the International Anti-Dumping and Fair Competition Act,makes it a crime for U.S.corporations to bribe an official of a foreign government or political party to obtain or retain business in a foreign country,is referred to as the

Accepted Answer

A)  International Law for Egalitarian Ethics Act.
B)  International Fair Practices Act.
C)  Law of International Equity Act.
D)  International Law of Ethical Business Practices Act.
E)  Foreign Corrupt Practices Act.

Question 9

A brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs is referred to as a

Accepted Answer

A)  transnational brand.
B)  international brand.
C)  multinational brand.
D)  global brand.
E)  meganational brand.

Question 10

Fluctuations in the __________ among the world's currencies have direct impact on the sales and profits made by global companies.

Accepted Answer

A)  production costs
B)  transportation
C)  reciprocity
D)  exchange rates
E)  economic infrastructure

Question 11

3M Company executives were perplexed when the company's Scotch-Brite floor-cleaning product initially produced lukewarm sales in the Philippines.A Filipino employee explained that consumers generally clean floors by pushing coconut shells around with their feet.3M changed the shape of the pad to a foot and sales soared.3M changed its product in response to a Filipino __________.

Accepted Answer

A)  value
B)  belief
C)  custom
D)  idiosyncrasy
E)  demographic pattern

Question 12

Identify and describe the factors a company should consider in order to do a thorough cross-cultural analysis.In your answer,be sure to define cross-cultural analysis.

Accepted Answer

Cross-cultural analysis involves the stu...

Question 13

"A signal that the world's trading nations are committed to open markets-and will resist protectionism-would inject confidence and energy into our markets," says the U.S.Trade Representative.Discuss this statement.

Accepted Answer

This statement indicates that the U.S.Tr...

Question 14

Coca-Cola has operations in all but three nations in the world and Pepsi-Cola is now available in more than 160 countries and territories,making the soft drink industry an example of

Accepted Answer

A)  acculturation.
B)  free trade.
C)  global competition.
D)  global branding.
E)  transactional exchange.

Question 15

Unilever markets its Snuggle fabric softener differently in different parts of the world.Unilever is a(n) __________ firm.

Accepted Answer

A)  ethnocentric
B)  multinational
C)  transnational
D)  global
E)  international

Question 16

Explain the difference between joint venture and direct investment market entry strategies.What are the advantages and disadvantages of each approach?

Accepted Answer

When a foreign company and a local firm ...

Question 17

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 women sell Lever products to 600,000 consumers in 135,000 villages in India.This is an example of Lever's use of

Accepted Answer

A)  macrofinance.
B)  macrocapitalization.
C)  microfinance.
D)  microcapitalization.
E)  currency exchange.

Question 18

Foreign countries with very low per capita incomes may still be attractive markets for some goods.To get a more reliable picture of a country's purchasing power,a country's __________ must also be considered.

Accepted Answer

A)  total income
B)  total area
C)  geographical location
D)  culture
E)  income distribution

Question 19

Almost all countries have some division of social class (upper,middle,and lower) .The determining factor for the assignment to one of these classes may differ from country to country.For example,in the United States,the primary determining factor is occupation; in India,it is birthright; in China,it is geographical region and education; and in Singapore,it is income.These differences are best explained in terms of a country's

Accepted Answer

A)  cultural mores.
B)  legal system.
C)  customs.
D)  religion.
E)  values.

Question 20

The U.S.motorcycle manufacturer Harley-Davidson uses intermediaries to sell its motorcycles in numerous nations outside the United States.Harley-Davidson uses

Accepted Answer

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

Exam 6: Understanding and Reaching Global Consumers and Markets

Foreign countries with very low per capita incomes may still be attractive markets for some goods.To get a more reliable picture of a country's purchasing power,a country's __________ must also be considered.

Correct Answer
verified

Fluctuations in the __________ among the world's currencies have direct impact on the sales and profits made by global companies.

Correct Answer
verified

Correct Answer
verified

"A signal that the world's trading nations are committed to open markets-and will resist protectionism-would inject confidence and energy into our markets," says the U.S.Trade Representative.Discuss this statement.

Correct Answer
verified
This statement indicates that the U.S.Tr...
View Answer

A brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs is referred to as a

Correct Answer
verified

Correct Answer
verified

Identify and describe the factors a company should consider in order to do a thorough cross-cultural analysis.In your answer,be sure to define cross-cultural analysis.

Correct Answer
verified
Cross-cultural analysis involves the stu...
View Answer

A joint venture refers to

Correct Answer
verified

A gray market refers to

Correct Answer
verified

Explain the difference between joint venture and direct investment market entry strategies.What are the advantages and disadvantages of each approach?

Correct Answer
verified
When a foreign company and a local firm ...
View Answer

Correct Answer
verified

The study of similarities and differences among consumers in two or more nations or societies is referred to as __________.

Correct Answer
verified

The EU has benefited firms in its member nations because

Correct Answer
verified

The U.S.motorcycle manufacturer Harley-Davidson uses intermediaries to sell its motorcycles in numerous nations outside the United States.Harley-Davidson uses

Correct Answer
verified

Coca-Cola has operations in all but three nations in the world and Pepsi-Cola is now available in more than 160 countries and territories,making the soft drink industry an example of

Correct Answer
verified

Unilever markets its Snuggle fabric softener differently in different parts of the world.Unilever is a(n) __________ firm.

Correct Answer
verified

An assessment of a country's or region's political-regulatory climate includes an analysis of its political stability and __________.

Correct Answer
verified

Before Apple's iPhone 4S was officially for sale in China,it was being sold there.These phones were purchased in the United States and Australia,and then resold by unauthorized vendors in China for between $1,700 and $2,000.These products are considered to be part of

Correct Answer
verified

A law,amended by the International Anti-Dumping and Fair Competition Act,makes it a crime for U.S.corporations to bribe an official of a foreign government or political party to obtain or retain business in a foreign country,is referred to as the

Correct Answer
verified

Global consumers refer to

Correct Answer
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Exam 6: Understanding and Reaching Global Consumers and Markets

Foreign countries with very low per capita incomes may still be attractive markets for some goods.To get a more reliable picture of a country's purchasing power,a country's __________ must also be considered.

Correct AnswerverifiedShow Answer

Fluctuations in the __________ among the world's currencies have direct impact on the sales and profits made by global companies.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

"A signal that the world's trading nations are committed to open markets-and will resist protectionism-would inject confidence and energy into our markets," says the U.S.Trade Representative.Discuss this statement.

Correct AnswerverifiedThis statement indicates that the U.S.Tr...View AnswerShow Answer

A brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs is referred to as a

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Identify and describe the factors a company should consider in order to do a thorough cross-cultural analysis.In your answer,be sure to define cross-cultural analysis.

Correct AnswerverifiedCross-cultural analysis involves the stu...View AnswerShow Answer

A joint venture refers to

Correct AnswerverifiedShow Answer

A gray market refers to

Correct AnswerverifiedShow Answer

Explain the difference between joint venture and direct investment market entry strategies.What are the advantages and disadvantages of each approach?

Correct AnswerverifiedWhen a foreign company and a local firm ...View AnswerShow Answer

Correct AnswerverifiedShow Answer

The study of similarities and differences among consumers in two or more nations or societies is referred to as __________.

Correct AnswerverifiedShow Answer

The EU has benefited firms in its member nations because

Correct AnswerverifiedShow Answer

The U.S.motorcycle manufacturer Harley-Davidson uses intermediaries to sell its motorcycles in numerous nations outside the United States.Harley-Davidson uses

Correct AnswerverifiedShow Answer

Coca-Cola has operations in all but three nations in the world and Pepsi-Cola is now available in more than 160 countries and territories,making the soft drink industry an example of

Correct AnswerverifiedShow Answer

Unilever markets its Snuggle fabric softener differently in different parts of the world.Unilever is a(n) __________ firm.

Correct AnswerverifiedShow Answer

An assessment of a country's or region's political-regulatory climate includes an analysis of its political stability and __________.

Correct AnswerverifiedShow Answer

Before Apple's iPhone 4S was officially for sale in China,it was being sold there.These phones were purchased in the United States and Australia,and then resold by unauthorized vendors in China for between $1,700 and $2,000.These products are considered to be part of

Correct AnswerverifiedShow Answer

A law,amended by the International Anti-Dumping and Fair Competition Act,makes it a crime for U.S.corporations to bribe an official of a foreign government or political party to obtain or retain business in a foreign country,is referred to as the

Correct AnswerverifiedShow Answer

Global consumers refer to

Correct AnswerverifiedShow Answer

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This statement indicates that the U.S.Tr...
View Answer

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Cross-cultural analysis involves the stu...
View Answer

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When a foreign company and a local firm ...
View Answer

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