Ball Test Bank Docx Marketing Internationally - International Business 2e | Test Bank with Answer Key by Geringer and McNett by Michael Geringer, Jeanne McNett, Donald Ball. DOCX document preview.
Module 13 Marketing Internationally
1) International markets often differ widely because of great variations in the uncontrollable environmental forces.
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⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
Although the basic functions of domestic and international marketing are the same, international markets often differ widely because of great variations among nations in the uncontrollable environmental forces they face—sociocultural, resource and environmental, economic and socioeconomic, legal, and financial.
2) The marketing mix is the name given to the advertising schedule used to promote a product.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
The marketing mix is a set of strategic decisions made about the product and its promotion, pricing, and distribution in order to satisfy the needs and desires of customers in a target market.
3) The product is the central focus of the marketing mix.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
The product or service is the central focus of the marketing mix. If it fails to satisfy the needs of consumers, no amount of promotion, price-cutting, or convenient distribution will persuade people to buy.
4) The promotional product includes the physical product, brand name, accessories, after-sales service, warranty and instructions for use, company image, and package.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
This is a description of the total product not the promotional product.
5) The packaging is not considered a component of the total product.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
The total product, which is what the customer buys, includes the physical product, brand name, accessories, after-sales service, warranty, instructions for use, company image, and package.
6) Generally, industrial products require greater adaptation than consumer products to meet the demands of the world market.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
The opposite is true: industrial products usually require less adaptation, because the total and physical product are closer.
7) Consumer products that are “trendy” or based on a fad, generally require greater adaptation to local markets.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Generally, consumer products require greater adaptation than do industrial products, especially if they are stylish or the result of a fad.
8) To avoid changing the product to meet local legal requirements, manufacturers frequently design it to meet the most stringent laws, even though it is overdesigned for other markets.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Adaptations are occasionally necessary to meet local legal requirements, such as those that govern noise, safety, or emissions. To avoid the need to change the product, some manufacturers design it to meet the most stringent laws even though it will be overdesigned for the rest of its markets.
9) Luxury items such as perfume can often be sold without adaptation in many different foreign markets.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Although consumer products generally require greater modification to meet local market requirements than do industrial products, some, especially luxury products such as champagne and perfume, can be sold unchanged to certain market segments that have similar characteristics across countries, including foreign-educated and well-traveled citizens and expatriates.
10) Generally, the deeper the immediate market penetration desired, the greater the product modification must be.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
While wealthy consumers may have much in common across countries, marketers tend to find greater dissimilarities in social and cultural values as they go down the economic strata in each country. It follows from this that, in general, the deeper the desired immediate market penetration is, the greater must be the product modification.
11) The marketing of services is similar to the marketing of industrial products in that these products are generally easier to market globally than consumer products.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
The marketing of services, like the marketing of industrial products, is generally less complex globally than is the marketing of consumer products.
12) Dissimilar cultural patterns generally necessitate changes in marketing of food and other consumer goods.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Sociocultural forces play a large and challenging role in this area.
13) The great disparity in income throughout the world makes it easier to obtain worldwide product standardization.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
The disparity in income throughout the world is an obstacle to worldwide product standardization. Some products are priced too high for some consumers in developing nations, and firms must adjust to consumers’ ability to pay.
14) When considering all the forms of promotion, advertising is generally the one that changes most around the world.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Among all the promotional mix elements, advertising may be the one that changes the least around the world.
15) The Internet is considered a valuable marketing research tool because it can reach an affluent, accessible audience.
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⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-05 Discuss some of the effects the Internet may have on international marketing.
The Internet is valuable as a marketing research tool, and as an advertising medium as well. One of its advantages in international advertising is that the Internet reaches an affluent, accessible audience. Many users in a wide variety of countries read English or other common languages well, although most users prefer native-language sites.
16) Buyers of consumer goods usually act on the same motives the world over.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-05 Discuss some of the effects the Internet may have on international marketing.
Buyers of industrial goods and luxury products usually act on the same motives the world over; thus, industrial and luxury products lend themselves to a standardized approach. However, buyers of consumer goods have considerably different motives when buying.
17) Of all the promotional mix elements, personal selling has the greatest similarities worldwide.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-06 Explain glocal advertising strategies.
Topic : Challenges and Opportunities Created by Globalization
Personal selling varies considerably among cultures.
18) One way a company uses sales promotion is by providing point-of-purchase displays to retail stores.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-06 Explain glocal advertising strategies.
Topic : Challenges and Opportunities Created by Globalization
Sales promotion provides the selling aids for the marketing function and includes activities such as the preparation of point-of-purchase displays, contests, premiums, trade show exhibits, celebrity-embraced promotion, money-off offers, and coupons.
19) A middle-ground advertising strategy in which the home office and the foreign subsidiaries agree on marketing objectives is called the computerized-management approach.
⊚ true
⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-06 Explain glocal advertising strategies.
Topic : Challenges and Opportunities Created by Globalization
This strategy is the programmed management approach.
20) Disintermediation is most often the result of a company’s ability to combine the Internet with fast delivery services.
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⊚ false
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Elements That Influence International Pricing Strategies
Disintermediation is the unraveling of traditional distribution structures and is most often the result of firms’ ability to combine the Internet with fast delivery services such as FedEx and UPS. Increasingly, disintermediation is shaking up traditional distribution channels and making rapid service possible with or without a formal distribution structure.
21) The international marketing manager's task is more complex than the domestic marketing manager's in part because
A) there are greater variations in uncontrollable environmental forces among nations.
B) there are no trade barriers in international markets.
C) international markets are geographically dispersed and require coordination.
D) marketing personnel are difficult to find in an international context.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
Although the basic functions of domestic and international marketing are the same, international markets often differ widely because of great variations among nations in the uncontrollable environmental forces they face—sociocultural, resource and environmental, economic and socioeconomic, legal, and financial.
22) Generally, management prefers global product standardization because
A) it creates lower costs.
B) marketing campaigns must be consistent.
C) packaging cannot be changed to please a single market.
D) it eliminates economies of scale.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
Often, top management would prefer to standardize the marketing mix globally, using the same marketing mix in all the firm’s markets because standardization can produce significant cost savings.
23) The management team met to discuss the best way to promote, price, and distribute the new product. What is the management team working on?
A) personal selling
B) the marketing mix
C) financial analysis
D) sociocultural forces
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
The marketing mix is a set of strategic decisions made about the product and its promotion, pricing, and distribution in order to satisfy the needs and desires of customers in a target market.
24) If a company is able to standardize the marketing mix globally, how does it affect economies of scale?
A) The company can take advantage of economies of scale based on longer production runs and lower manufacturing costs.
B) The company misses out on economies of scale because it is customizing products for individual markets.
C) The company only reaches economies of scale if it returns to the domestic market.
D) The company will enjoy economies of scale for the initial introduction of a product but then lose those economies once a product matures.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
Often, top management would prefer to standardize the marketing mix globally, using the same marketing mix in all the firm’s markets because standardization can produce significant cost savings. If the domestic product and marketing mix can be exported as is, then regardless of where the product is made, the firm can plan longer production runs, which lower manufacturing costs. In addition to these economies of scale, the longer experience curve, or learning curve, can create economies as well.
25) Standardization consists of
A) using the same marketing mix in all of the firm's markets.
B) respecting traditional, standard approaches to the marketing mix.
C) respecting international measurement and technical standards set by the UN.
D) focusing on the local markets to develop the best marketing mix for them.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
Standardization is using the same mix everywhere, or as close to the same mix as possible.
26) Economies of scale, which reduce costs, can be achieved through
A) standardization.
B) localization.
C) customization.
D) arbitration.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
Economies of scale, achieved by large, standardized production runs, lower costs.
27) "The longer our experience at doing something, the better we get at it," is a description of
A) the learning curve.
B) economies of scale.
C) corporate visual identity.
D) mass customization.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
In addition to these economies of scale, the longer experience curve, or learning curve, can create economies as well: it’s usually true that the more experience we have doing something, including marketing, the better we get at that activity.
28) The name, logo, graphics, colors, and typeface associated with a firm make up its
A) corporate visual identity.
B) mission statement.
C) marketing mix.
D) vision statement.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
A standardized corporate visual identity (CVI), consisting of the firm’s name, logo, color, and slogan with graphics, can help project a consistent image around the world.
29) Standardization is best described as
A) much harder than it sounds.
B) much easier in developing markets.
C) increasingly more difficult the further from the home office the market is.
D) less costly in the short run, but produces suboptimal results in the market.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
In spite of the advantages of standardization, almost all firms find it is seldom as easy as it sounds.
30) Sorrell Agri Products needs to determine how it will promote the new product, how much it will cost, and where it will be distributed. In other words, the company is making decisions about
A) the marketing mix.
B) the corporate visual identity.
C) the vision statement.
D) standardization versus customization.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Difficulty : 2 Medium
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
Bloom's : Apply
The marketing mix is a set of strategic decisions made about the product and its promotion, pricing, and distribution in order to satisfy the needs and desires of customers in a target market.
31) What is considered the central focus of the marketing mix for every company?
A) product
B) price
C) placement
D) promotion
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : The Role of the Marketing Mix in International Marketing
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
The product or service is the central focus of the marketing mix. If it fails to satisfy the needs of consumers, no amount of promotion, price-cutting, or convenient distribution will persuade people to buy.
32) The total product consists of
A) the preproduction stage of manufacturing.
B) the physical product, brand name, accessories, and after-sales service.
C) available competitor products.
D) the physical product minus marketing.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
The total product includes the physical product, brand name, accessories, and after-sales service, along with other properties.
33) The item that a customer buys is called the
A) promotional product.
B) cost product.
C) total product.
D) physical product.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
The total product is what the consumer buys.
34) Which product would be considered the most global because it is the same everywhere?
A) tonic water
B) breakfast cereal
C) chocolate
D) instant coffee
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
Of these four choices, tonic water is the most global because it is the same everywhere.
35) When determining the product strategy, marketers know that the product is
A) more than a physical object.
B) less than the sum of its parts.
C) the same as the brand name.
D) designed with obsolescence in mind.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
The product is the total product, the entire bundle of things the consumer is acquiring.
36) Product adaptation for a new market
A) can be any part of the product, not necessarily the physical product.
B) must be the physical product, because that is what the customer is buying.
C) is a wasted effort, since the consumer wants what is in the product's home market.
D) requires a complete overhaul of the existing product.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : The Role of the Marketing Mix in International Marketing
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
There are many options for product modification—colors, design of packaging, promotion, instructions, marketing mix.
37) In terms of product modification when selling worldwide, Industrial products typically require ________ than do consumer products.
A) greater adaptation
B) greater segmentation
C) less adaptation
D) greater localization and distribution
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Although consumer products generally require greater modification to meet local market requirements than do industrial products, some, especially luxury products such as champagne and perfume, can be sold unchanged to certain market segments that have similar characteristics across countries, including foreign-educated and well-traveled citizens and expatriates.
38) Governments can force local product adaptation by enacting laws that
A) set product standards, such as noise, safety, and emissions.
B) reduce tax liability for certain products.
C) prohibit the import of certain goods.
D) reward consumers with incentives for specified behaviors.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Adaptations are occasionally necessary to meet local legal requirements, such as those that govern noise, safety, or emissions. To avoid the need to change the product, some manufacturers design it to meet the most stringent laws even though it will be overdesigned for the rest of its markets.
39) Examples of goods that can be sold worldwide without adaptation include
A) memory chips.
B) clothing.
C) cars and trucks.
D) packaged cake mixes.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Memory chips serve the same function in all markets.
40) Some luxury consumer goods sometimes need no adaptation for foreign markets. Examples are
A) champagne and perfume.
B) Porsches and Ferraris.
C) winter clothing.
D) cheeses and milk.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Although consumer products generally require greater modification to meet local market requirements than do industrial products, some, especially luxury products such as champagne and perfume, can be sold unchanged to certain market segments that have similar characteristics across countries, including foreign-educated and well-traveled citizens and expatriates.
41) A product targeting significant local market penetration will probably have
A) considerable adaptation for the local market.
B) mass manufacturing prices.
C) a standardized, global marketing mix.
D) gold packaging and a low price.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Generally, the deeper the penetration into the new market, the greater the adaptation.
42) The marketing of services ________ the marketing of industrial products.
A) shares a complexity level with
B) is easier than
C) is less difficult than
D) requires more adaptation than
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
The two are similar in their levels of complexity, which is less than the complexity of consumer goods.
43) Credit cards are an example of a(n) ________ that is marketed globally.
A) service
B) industrial product
C) consumer good
D) legal force
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
VISA, MasterCard, and American Express are examples of successful companies in the global credit card industry which is a service marketed globally.
44) Cultural patterns sometimes affect the product produced by a company because they can
A) require adjustment of the physical and total product.
B) create inflationary measures.
C) create trade barriers such as high tariffs.
D) allow the marketing mix to be standardized.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Cultural patterns often require changes in the physical product or in aspects of the total product. Appliance makers, for instance, find variations in consumer preferences for washing clothes.
45) Outside environmental forces can affect packaging which is often
A) not standardized due to cultural preferences for color.
B) changed due to legal restrictions.
C) not considered part of the total product, allowing variations.
D) a secondary consideration in product aesthetics.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Cultural preferences for color are often a critical input to the total product.
46) Bacia Pizza Products Corp. markets into many different areas of the world and in order to do well in local markets it has to print instructions on its products in the native language of each market. Which environmental force is the company responding to?
A) sociocultural
B) economic
C) legal
D) physical
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Difficulty : 2 Medium
Topic : The Role of the Marketing Mix in International Marketing
Bloom's : Apply
This is a sociocultural force. Even if the colors can remain the same, instructions on labels must be translated into the language of the local market. Firms selling in areas where two or more languages are spoken, such as Canada, Switzerland, Belgium, and the United States, may need to use multilingual labels.
47) Different meanings that colors have in various cultures include
A) blue is warm and feminine in the Netherlands.
B) pink represents baby boys in Belgium.
C) black is hopeful in the northeast United States.
D) red is calming in Japan.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
The meaning colors convey in different cultures is also a marketing consideration. For example, in the Netherlands blue is considered warm and feminine, but the Swedes consider it masculine and cold. In Belgium, blue is used to represent baby girls and pink for baby boys, the exact opposite as for the United States. While red signifies a drop in prices in North American stock markets, in East Asia it indicates stock price increases. Purple is associated with sorrow and unhappiness in India, but freedom or peace in France and royalty in the United Kingdom and China.
48) Foreign language labels can be used to enhance the total product, as in
A) French labeling on perfume in the United States.
B) Mandarin labeling on clothing in Europe.
C) Japanese language labeling and instructions on Toyotas.
D) Portuguese language labeling on exports from Brazil.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Where instructions are not required, as with some consumer or industrial products whose use is well known, there is an advantage to printing the label in the language of the country best known for the product. For example, a French label on a perfume helps strengthen the product’s image in the United States.
49) One cultural difference that companies have had to adjust to when entering the global market is the local habits of daily shopping. This habit requires companies to
A) market their products in smaller packages.
B) focus more on price than value.
C) focus more on value than price.
D) source more materials locally.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Bloom's : Understand
Difficulty : 2 Medium
Topic : The Role of the Marketing Mix in International Marketing
An important difference in social forces to which U.S. marketers are not accustomed is a preference in other nations for making daily visits to small neighborhood specialty shops and large, open markets where consumers can socialize while shopping. More frequent buying requires smaller packages, which is important to a shopper who has no automobile in which to carry purchases.
50) The evolution of the combination supermarket-discount store in Europe suggests that
A) consumers are demanding more variety in products.
B) people everywhere want the suburban lifestyle.
C) people still enjoy shopping.
D) daily shopping around the world will soon be over.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Bloom's : Understand
Difficulty : 2 Medium
Topic : The Role of the Marketing Mix in International Marketing
However, this custom is changing in Europe, where consumers are demanding the kinds of assortments that only a large store can offer. Shopping frequency is also slowing as European women, who traditionally did the food shopping, are finding they have less free time than before. One solution is the huge combination supermarket–discount house (hypermarché in France) with ample parking, typically located in the suburbs.
51) According to the Paris Convention, a company that registers its name in one country has how much time to register it elsewhere?
A) six months
B) two years
C) eight weeks
D) seven days
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
To avoid this predicament, the firm must register its brand names in every country in which it wants to use them, now or in the future, and quickly. The Paris Convention grants a firm that has registered a name in one country only six months to register it elsewhere.
52) Product safety standards can act as
A) barriers to trade, in that they protect local manufacturers.
B) an impetus to increase standards voluntarily across the industry.
C) sociocultural forces.
D) a way to build export markets.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
In some instances, governments have passed strict laws with the intent of protecting a local manufacturer from import competition.
53) Product lines frequently influenced by product purity laws include
A) food and pharmaceuticals.
B) metals and jewelry.
C) industrial goods.
D) clothing and “soft” goods.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Food and pharmaceuticals are especially influenced by laws regulating product purity and labeling.
54) In what country must maximum retail price be a part of the label?
A) Venezuela
B) Brazil
C) the United States
D) China
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
The Venezuelan government has decreed that the manufacturer or the importer must affix to the package the maximum retail price at which many products can be sold, and India has a roughly similar price regime.
55) In Saudi Arabia, labeling of what product line requires source stipulation?
A) Any meat product must identify the kind of animal that is the source of the product.
B) All foodstuffs (not drinks, which are prohibited) containing alcohol must be clearly labeled.
C) Any footwear product made from leather.
D) All cotton-fiber clothing.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Because of local desire to avoid food that contains pork, the label of any product containing animal fat or meat sold in Saudi Arabia must identify the kind of animal used or state that no swine products were used.
56) In most countries outside of the United States, a brand name belongs to the person
A) registering it first.
B) using it first.
C) with the best legal resources.
D) who invented the product and holds the patent.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
In the United States, brand name rights go to the first user; in most countries these rights go to first person who registers it.
57) To exert control of brand names, companies are advised to
A) register them quickly in every possible country in which they may do business, now and in the future.
B) begin using them everywhere to establish ownership rights.
C) secure first-rate local legal representation in all of their potential markets.
D) go after violations with legal threats immediately.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
To avoid this predicament, the firm must register its brand names in every country in which it wants to use them, now or in the future, and quickly.
58) Internet domain names belong to
A) whomever registers them first.
B) the country in which the name is registered.
C) the company that uses the name first in each market.
D) the search engine used to apply for the name.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
Internet domain names belong to whomever registers them first.
59) With Internet domain names, the United States follows
A) a first to file approach.
B) a first to invent approach, as with brand names.
C) international law, which stipulates first to invent.
D) a reason to register approach, with names approved by a board.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
The United States followed a “first to invent” policy for decades until in 2013 it changed to a “first to file” system, which brings the country in line with most of the world.
60) How has disparity of income worldwide affected companies’ attempts at standardization?
A) It is an obstacle to standardization.
B) It makes it easier for a company to use standardization.
C) It has led to standardization of the physical product but not total product.
D) It does not affect standardization.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : The Role of the Marketing Mix in International Marketing
The disparity in income throughout the world is an obstacle to worldwide product standardization. Some products are priced too high for some consumers in developing nations, and firms must adjust to consumers’ ability to pay. Sometimes they can achieve this by simplifying or repackaging the product.
61) What is an example of a physical force that can affect standardization of a product?
A) safety standards
B) income disparity
C) language
D) climate
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Bloom's : Understand
Difficulty : 2 Medium
Topic : The Role of the Marketing Mix in International Marketing
Physical forces, such as climate and terrain, also work against international product standardization. Manufacturers of clothes washers have found success in India by “hardening” their machines against heat, dirt, and power outages. The heat and high humidity in many parts of the tropics require that electrical equipment is built with extra-heavy insulation.
62) Gibson Baking Company sells its brownie mixes all over the world. The company includes directions on the package for baking the product at high altitude levels since this can affect baking times. Which type of environmental force caused this decision?
A) economic
B) legal
C) physical
D) sociocultural
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Difficulty : 2 Medium
Topic : The Role of the Marketing Mix in International Marketing
Bloom's : Apply
High altitudes, a physical force, frequently require product alteration. Food manufacturers have found they must change their cooking instructions for people who live at high altitudes because cooking takes longer there.
63) Generally, consumer products require ________ adaptation than/as industrial products to meet the demands of the world market.
A) greater
B) less
C) the same amount of
D) much less, almost no
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Consumer products require more adaptation than do industrial products.
64) The continuum from insensitive to sensitive to foreign environment begins with ________ and ends with ________.
A) basic consumer staples; high style and faddish consumer products
B) industrial products; high style and faddish consumer products
C) high style and faddish consumer products; industrial products
D) basic consumer staples; industrial products
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
The need for adjustment to the market moves from low with industrial products to high with trendy consumer products.
65) Quick Stop Fashion House produces “fast fashion” clothes that represent the current fad. In the foreign environment, this type of product is considered
A) sensitive.
B) highly sensitive.
C) insensitive.
D) nonsense.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Bloom's : Apply
High style and faddish consumer products are highly sensitive to the foreign environment.
66) ________ are the most insensitive to the foreign environment.
A) High style products
B) Faddish and consumer products
C) Industrial products
D) Basic consumer staples
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Industrial products need to change the least to meet the needs of foreign consumers. For example, steel I-beams are steel I-beams.
67) Computer memory chips are the same everywhere in the world. This means they are ________ to the foreign environment.
A) insensitive
B) highly sensitive
C) nonsense
D) sensitive
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Many industrial products can be sold unchanged worldwide. Memory chips, for example, are used wherever computers are manufactured, and there is no cultural content in nuts and bolts.
68) Generally, ________ products require greater modification to meet local market requirements worldwide.
A) insensitive
B) maintenance
C) consumer
D) industrial
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Consumer products generally need the most modification.
69) Generally, as marketers go down the economic and social strata in each country, they will tend to find
A) greater similarities among countries in social and cultural values.
B) greater dissimilarities among countries in social and cultural values.
C) no significant differences in social and cultural values.
D) greater government support and thus disposable income for each succeeding lower stratum.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
While wealthy consumers may have much in common across countries, marketers tend to find greater dissimilarities in social and cultural values as they go down the economic strata in each country. It follows from this that, in general, the deeper the desired immediate market penetration is, the greater must be the product modification.
70) Compared to marketing consumer products, marketing services are
A) generally easier.
B) always more difficult.
C) the opposite of marketing industrial products.
D) about the same.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
The marketing of services, like the marketing of industrial products, is generally less complex globally than is the marketing of consumer products.
71) Why does McDonald’s use the color hunter green as the background for its golden arches logo in Europe when it uses red in the United States?
A) The color red symbolizes war.
B) Green is used by several competitors in the same market.
C) The green is viewed as eco-friendly.
D) Red is equated with the lower class.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
While some international firms, such as Campbell’s, have been extremely successful in employing the same brand name, label, and colors worldwide, other firms learn they must change names, labels, or colors because of cultural differences. In Europe, McDonald’s uses hunter green for the background of its golden arches logo, rather than the red used in the United States, to project an eco-friendly image.
72) Signature Appliance Group decided to remove the grill unit from the ovens it sells in South America after customers complained they preferred to grill outside and would never use this feature. Which environmental force caused the company to change its product?
A) legal
B) sociocultural
C) economic
D) physical
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Bloom's : Apply
Cultural patterns often require changes in the physical product or in aspects of the total product. Appliance makers, for instance, find variations in consumer preferences for washing clothes.
73) The need to change the color of packaging when selling a product in a new market is generally a result of the influence of
A) distributive forces.
B) competitive forces.
C) political conflicts.
D) cultural differences.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Cultural differences affect color and other attributes of the packaging (shape, design elements).
74) Jet Spray Water Equipment Corp. decided to pull out of doing business in Europe when it learned that some governments required more than 50 percent of the product be made in that country. Which foreign environmental force is causing the company to make this decision?
A) sociocultural
B) legal
C) physical
D) economic
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Bloom's : Apply
Legal forces can be a formidable constraint in the design of products because if the firm fails to adhere to a country’s laws governing the product, it will be unable to do business in that country.
75) Which products are especially influenced by laws that regulate product ingredients and labeling?
A) shoes
B) office equipment
C) pharmaceuticals
D) clothing
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Food and pharmaceuticals are especially influenced by laws regulating product purity and labeling.
76) In the United States, OSHA is an example of a(n) ________ force that can affect the distribution of products.
A) legal
B) physical
C) economic
D) sociocultural
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
The Occupational Safety and Health Act (OSHA) is an example of a legal force that can affect distribution of products.
77) Of all the promotional mix elements, ________ is the one with the greatest similarities worldwide.
A) public relations
B) personal selling
C) advertising
D) sales promotion
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Among all the promotional mix elements, advertising may be the one that changes the least around the world.
78) Donaldson Equipment Corp. began marketing in parts of Europe last year. It has found that the best way to reach its customer base of housing contractors is by placing advertisements on the sides of concrete trucks. Which element of the marketing mix does this represent?
A) product
B) promotion
C) price
D) portion
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Bloom's : Apply
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
This represents promotion. In a number of developing countries, automobiles equipped with loudspeakers circulate through the cities announcing products, and street signs are furnished by advertisers whose messages hang on them. Homeowners can get a free coat of paint by permitting advertisers to put ads on their outside walls. Buses and trains carry advertisements.
79) Advertisements in the European market tend to have more sexual overtones than advertisements in the United States. Which cultural dimension does this demonstrate?
A) gender roles
B) comparison
C) explicitness
D) sophistication
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Explicitness. Europeans tend to tolerate more explicit advertisements, often with sexual overtones, than do U.S. consumers.
80) One study found that Europe and Australia’s advertising portrayed a less traditional lifestyle than the United States. Which cultural dimension does this demonstrate?
A) sophistication
B) comparison
C) gender role
D) directness versus indirectness
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Gender roles. One study found that women in U.S. advertising tended to be shown in more traditional roles than in Europe or Australia. Some countries are more traditional than the United States. African television ads are also more likely to show women in traditional roles.
81) Manufacturers increasingly are using global and regional advertising due to
A) cost, ease of transmission, brand image, and economies of scale.
B) the centralization of the marketing function.
C) the ease of supervising fewer promotion programs.
D) the demands from consumers.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
There are many advantages to using global and regional advertising including cost, ease of transmission, brand image, and economies of scale.
82) The executives from the Japanese company did not like the advertisement created by the U.S. agency. The executives said that telling the consumers about the benefits of the product was too pushy and would be viewed as arrogant. Which cultural dimension are the executives concerned with?
A) directness
B) comparison
C) gender roles
D) sophistication
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Bloom's : Apply
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Directness versus indirectness. U.S. advertising tends to be direct. What are the product benefits? Bluntness may be considered too pushy by Japanese consumers, who can read it as arrogance. How could the seller presume to know what the consumer would like?
83) One reason manufacturers are using global advertising is because identical products are easier to make which allows the company to take advantage of
A) competitive advantage.
B) customization of regional products.
C) the industrial goods market.
D) economies of scale.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Manufacturers are increasingly using global or regional advertising for a number of reasons: (1) Cost—A standardized campaign is cheaper. By producing one TV commercial for use across a region, a firm can save up to 50 percent of the production costs. (2) Quality—There is a better chance of obtaining one regional source to do high-quality work than of finding sources in several countries that will work to the same high standard. (3) Brand image—Some marketing managers believe their companies must have a single image throughout a region. (4) Regional organization—Companies are establishing regionalized organizations in which many functions, such as marketing, are centralized. (5) Ease of transmission—Global and regional satellite and cable television are widely available. (6) Economies of scale—Identical products are easier to make.
84) There are ________ basic promotional strategies available to international marketers, which can be made by making different combinations of three product options.
A) 9
B) 27
C) an infinite number of
D) 12
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
The six most common promotion strategies of the nine are covered in the text.
85) What is a good promotional strategy to use when target markets vary little in regard to product use and consumer attitudes?
A) same product–same message
B) product adaptation–same message
C) different product–same message
D) product adaptation–message adaptation
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Same product–same message. When marketers find that target markets vary little with respect to product use and consumer attitudes, they can offer the same product and use the same promotional appeals in all markets. Avon uses this strategy, so does Apple.
86) Urban Necessities is planning its promotional strategy as it enters the foreign marketplace. The company’s line of clothing serves the same function around the world so it can be promoted in the same way. However, the company will need to make slight changes to some of the clothing to meet local customer needs. Which promotion strategy should the company use?
A) Different product–same message
B) Product adaptation–same message
C) Same product–same message
D) Same product–different message
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Bloom's : Apply
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Product adaptation–same message. When the product serves the same function but must be adapted to different conditions, the changed product can carry the same message. In Japan, Lever Brothers puts Lux soap in fancy boxes because it is often purchased as a gift.
87) To avoid translation errors, the experienced advertising manager will use
A) a common language such as English, Mandarin, or French.
B) local translators.
C) back-translation along with keeping the copy short.
D) both local and home-country translators in teams.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-05 Discuss some of the effects the Internet may have on international marketing.
Topic : Challenges and Opportunities Created by Globalization
Experienced advertising managers therefore use back-translation (translating the translated copy back into the original language to double-check that the meaning is as intended) and keep the copy short with plenty of illustrations.
88) Unlike traditional television advertisements, Internet communications are
A) interactive.
B) reactive.
C) refractive.
D) attractive.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : The Role of the Marketing Mix in International Marketing
Learning Objective : 13-05 Discuss some of the effects the Internet may have on international marketing.
Unlike TV or newspaper ads, Internet communications are interactive, and consumers can choose which messages and information they receive.
89) A middle ground between an ad campaign that is standardized worldwide and an entirely local ad campaign is called a
A) hybrid advertising campaign.
B) programmed-management approach.
C) computerized-management approach.
D) shared-management approach.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-06 Explain glocal advertising strategies.
Topic : Challenges and Opportunities Created by Globalization
The programmed-management approach is another middle-ground advertising strategy in which the home office and the foreign subsidiaries agree on marketing objectives, after which each subsidiary puts together a tentative advertising campaign. This is submitted to the home office for review and suggestions. The campaign is then market-tested locally, and the home office reviews the results and offers comments.
90) Following the oil tanker spill, E-Source Energy Company needed to foster goodwill with its foreign consumers. The company launched a campaign that showed the cleanup efforts and new technologies that would prevent future disasters. What type of global advertising strategy was the company using?
A) public relations
B) personal selling
C) sales promotion
D) pop-up ads
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Difficulty : 2 Medium
Learning Objective : 13-06 Explain glocal advertising strategies.
Bloom's : Apply
Topic : Factors to Consider When Designing International Distribution Strategies
Public relations is the firm’s methods of communicating with its various publics, including the governments where it operates, to secure a favorable impression, rather than immediate sales.
91) Kenneth thought the company should promote the new product in foreign markets by having a contest in which the winner would receive a one-year supply of the product. Which type of advertising strategy is Kenneth suggesting?
A) sales promotion
B) pop-up ads
C) personal selling
D) public relations
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Difficulty : 2 Medium
Learning Objective : 13-06 Explain glocal advertising strategies.
Bloom's : Apply
Topic : Factors to Consider When Designing International Distribution Strategies
Sales promotion provides the selling aids for the marketing function and includes activities such as the preparation of point-of-purchase displays, contests, premiums, trade show exhibits, celebrity-embraced promotion, money-off offers, and coupons.
92) When considering international advertising efforts, a company that adopts a “glocal” approach is
A) focusing on a localized campaign.
B) more concerned with other elements of the marketing mix than promotion.
C) using more global campaigns than local ones.
D) developing a cost-effective common strategy for large regions.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-06 Explain glocal advertising strategies.
Topic : Factors to Consider When Designing International Distribution Strategies
In fact, companies at either end of the global–local spectrum, with purely global campaigns or only local campaigns, tend to be moving toward the middle, with a “glocal” (combined global and local) approach that allows them to develop a cost-effective common strategy for large regions.
93) Disintermediation is
A) the unraveling of traditional distribution structures.
B) a way to avoid higher taxes through transfer pricing.
C) separating markets, sometimes based on segmentation.
D) allowing orders to be placed via the Internet but delivered traditionally.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Factors to Consider When Designing International Distribution Strategies
Disintermediation is the unraveling of traditional distribution structures, popularly called “cutting out the middlemen.”
94) The ability to ship products quickly may mean that
A) companies don't need to rely on the traditional distribution structures.
B) expenditures will increase in consumer durables.
C) the process of disintermediation will be slowed down.
D) new markets will develop more quickly.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Factors to Consider When Designing International Distribution Strategies
New shipping methods may mean we don't need the dedicated channels.
95) Fairway Golf Inc. traditionally received a telephone order for its products and shipped them out. Since the packaging was bulk, customers would receive their order in about three weeks. The company has recently promoted overnight delivery service and find that most customers are willing to pay the price for this faster shipping method. What trend does this represent?
A) disintermediation
B) self-fulfilling prophecy
C) economies of scale
D) mass customization
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Learning Objective : 13-07 Define pricing and distribution strategies.
Bloom's : Apply
Disintermediation is the unraveling of traditional distribution structures and is most often the result of firms’ ability to combine the Internet with fast delivery services such as FedEx and UPS. Increasingly, disintermediation is shaking up traditional distribution channels and making rapid service possible with or without a formal distribution structure.
96) The set of strategic decisions a company makes about a product, including its promotion, pricing, and distribution is called the ________.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-01 Discuss why international marketing managers may wish to standardize the marketing mix.
Topic : The Role of the Marketing Mix in International Marketing
The marketing mix is a set of strategic decisions made about the product and its promotion, pricing, and distribution in order to satisfy the needs and desires of customers in a target market.
97) Climate and terrain work against product ________, with altitude, humidity levels, and heat often requiring product changes.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Each of these conditions requires product adaptation, so works against standardization.
98) Same product–________ is a useful promotional strategy when target markets vary little from one another.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Same product–same message. When marketers find that target markets vary little with respect to product use and consumer attitudes, they can offer the same product and use the same promotional appeals in all markets. Avon uses this strategy, so does Apple.
99) The promotional mix is communicated through advertising, publicity, personal selling, promotion, and ________.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
These are the tools for communicating these messages—the promotional mix.
100) Among the promotional mix elements, __________ changes the least around the world.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
This is largely because U.S. ad agencies have built the field, following their corporate clients.
101) Europeans, especially the French, want sophisticated advertisements, while U.S. shoppers react to more ________ appeals.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Sophistication. Europeans, particularly the French, demand a considerable level of sophistication, while U.S. shoppers may react more favorably to emotional appeals. U.S. ads seem more likely to use animal personifications than advertising in other cultures.
102) The text describes ________ as science and psychology brought together as a promise.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Brands are valuable far beyond the product value.
103) Brands outlive ________, conveying a uniform quality, credibility, and experience.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Brands are seen by some companies as having more value than their products.
104) ________ is communication between a firm and its publics to bring about a favorable buying action.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
Promotion, one of the basic elements of the marketing mix, is communication between a firm and its publics to bring about a favorable buying action and achieve confidence in the firm and the product or service it provides.
105) The variation in media availability is a strong reason to use ________ media consultants.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
There is so much variation by market in media availability and usage that decisions from the home office are not recommended.
106) Advertisers use ________ to ensure that their translations are acceptable in the local language.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-05 Discuss some of the effects the Internet may have on international marketing.
Back-translation, (translating the translated copy back into the original language to double-check that the meaning is as intended) along with illustrations and short copy are key attributes for foreign advertisements.
107) "Think globally, but act locally" is an example of a ________ approach to marketing strategy.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-06 Explain glocal advertising strategies.
This observation depicts a “glocal” advertising strategy.
108) The programmed-management approach is a newly developed ________ strategy that allows for local participation within a global framework.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-06 Explain glocal advertising strategies.
The home office can standardize parts of the advertising strategy that don't need to be localized in this iterative process.
109) Industrial products are sold more through ________ than through advertising.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-06 Explain glocal advertising strategies.
Personal selling is more common in the industrial product sector.
110) Sales ________ provides selling aids for the marketing function such as a point-of-purchase display.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Topic : Factors to Consider When Developing International Product Strategies
Learning Objective : 13-06 Explain glocal advertising strategies.
These activities include point of purchase displays, couponing, contests, and trade shows.
111) ________ pricing is local pricing in another country.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Elements That Influence International Pricing Strategies
Foreign national pricing is policy that sets local pricing based on market forces in another country.
112) ________ pricing is prices for goods manufactured in one country and exported to another.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Elements That Influence International Pricing Strategies
International pricing is for exports, which is policy that sets prices of goods produced in one country and sold in another.
113) A price ________ strategy in a new market involves setting a high price to recover development costs.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Elements That Influence International Pricing Strategies
Introducing a product into a new market may induce some firms to employ a price-skimming strategy, setting a high price to quickly recover development costs. Early adopters simply want the product and will pay a premium.
114) A ________ pricing strategy helps to quickly establish a product in a new market.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Elements That Influence International Pricing Strategies
Other firms take a penetration pricing strategy, where the price is set very low in order to quickly establish the product in a new market. Apple seems to follow a skimming strategy, while its competitors use a penetration strategy. Ultra HDTV makers are switching from skimming to a penetration pricing model.
115) Disintermediation is the unraveling of traditional ____________ structures.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Remember
Difficulty : 1 Easy
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Elements That Influence International Pricing Strategies
Often disintermediation is helped by the Internet and fast delivery services.
116) Discuss the differences between the physical product and the total product, with examples.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-02 Distinguish among the total product, the physical product, and the brand name.
117) Describe the foreign environmental forces that can affect the products and services a company offers. Provide an example of a product that has been affected by each of these forces.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Learning Objective : 13-03 Compare the way consumer and industrial products and services are modified for international sale.
Topic : Factors to Consider When Developing International Product Strategies
Difficulty : 2 Medium
Bloom's : Apply
118) Compare and contrast the six most common promotional strategies for the global market.
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-04 Identify the product strategies that can be formed from three product alternatives and three kinds of promotional messages.
119) Discuss the use of sales promotion as a marketing tool. How do cultural constraints affect sales promotion?
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Topic : Factors to Consider When Developing International Product Strategies
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-06 Explain glocal advertising strategies.
120) Discuss foreign national pricing and international pricing. How do they differ?
Question Details
AACSB : Analytical Thinking
Accessibility : Keyboard Navigation
Bloom's : Understand
Difficulty : 2 Medium
Learning Objective : 13-07 Define pricing and distribution strategies.
Topic : Elements That Influence International Pricing Strategies
Document Information
Connected Book
International Business 2e | Test Bank with Answer Key by Geringer and McNett
By Michael Geringer, Jeanne McNett, Donald Ball
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