Question 1

KFC has added many offerings to its menus in China to appeal to local tastes,including the "dragon twister," which is a chicken wrap with Peking-duck sauce.This is an example of which type of global marketing product/promotion strategy?

Accepted Answer

A)  product extension
B)  product customization
C)  product adaptation
D)  product invention
E)  product integrationF) All of the above
G) A) and D)

Question 2

Tricon was the restaurant division of PepsiCo until it was spun off in 1997.Since then,Tricon has opened 6,000 KFC restaurants abroad.It has 158 restaurants in Indonesia and more than 500 restaurants in China.All are locally owned and the owner pays a fee to Tricon.Tricon is engaged in

Accepted Answer

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

Question 3

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 poor women sell Lever products to 600,000 consumers in 135,000 villages in India.This effort was called __________.

Accepted Answer

A)  Project Open Roads
B)  Project Fresh Start
C)  Project Tikva
D)  Project Shakti
E)  Project Helping HandF) A) and B)
G) A) and C)

Question 4

__________ firm engages in trade and marketing in different countries as an extension of the marketing strategy in its home country.

Accepted Answer

A)  multidomestic
B)  meganational
C)  international
D)  multinational
E)  transnationalF) D) and E)
G) A) and D)

Question 5

The price of one country's currency expressed in terms of another country's currency is referred to as the

Accepted Answer

A)  balance of price.
B)  currency exchange rate.
C)  money conversion factor.
D)  balance of payments.
E)  transfer payment.F) D) and E)
G) A) and E)

Question 6

The three types of companies that populate and compete in the global marketplace are (1) international firms; (2) multinational firms; and (3) __________ firms.

Accepted Answer

A)  multiethnic
B)  transnational
C)  multidomestic
D)  ethnocentric
E)  meganationalF) D) and E)
G) A) and D)

Question 7

Starbucks and Tata Global Beverage have together formed Starbuck Coffee A Tata Alliance in order to bring Starbucks to India.The global market-entry strategy is known as

Accepted Answer

A)  franchising.
B)  licensing.
C)  a joint venture.
D)  direct investment.
E)  exporting.F) B) and E)
G) A) and D)

Question 8

In recent years,a number of countries with similar economic goals have formed transnational trade groups or signed trade agreements for the purpose of promoting free trade.Describe the best-known two.

Accepted Answer

(1)The European Union (EU)in mid-2012 co...

Question 9

Pan-European marketing strategies are possible because: (1) firms do not need to market their products and services on a nation-by-nation basis; (2) there can be greater uniformity in product and packaging standards; (3) most tariffs that affect pricing practices have been removed; (4) European wide distribution from fewer locations is now feasible given open borders; and (5)

Accepted Answer

A)  there is a legally binding code of economic conduct.
B)  there are effective countermeasures for protectionism.
C)  there are fewer regulatory restrictions on transportation,advertising,and promotion.
D)  there is a common language advantage among EU consumers.
E)  most companies within the EU are engaging in strategic global partnerships.F) None of the above
G) C) and D)

Question 10

Yum! Brands,the parent company of KFC,has pursued an aggressive growth strategy in China.There are now over 3200 restaurants in 650 Chinese cities,and KFC has a 40% market share of the entire fast-food industry there.Yum! Brands China owns and directly manages about 90% of its Chinese stores,so it appears that the company prefers __________ in this market.

Accepted Answer

A)  licensing
B)  local assembly
C)  a joint venture
D)  direct investment
E)  local manufacturingF) A) and B)
G) B) and E)

Question 11

Which of the following is an advantage inherent in the use of licensing?

Accepted Answer

A)  The licensor retains control of its product.
B)  The licensor is protected from creating a potential competitor.
C)  The licensee gains information about the dynamics of the market.
D)  It provides an exemption from domestic trade regulations.
E)  There is an increase in potential profit compared with direct investment.F) None of the above
G) All of the above

Question 12

A New York carwash owner wanted to open a carwash in Quebec,Canada.He hired a U.S.translator to create signage for the new venture and to design some simple advertising.It was not until the business was opened that he learned that he should have used __________.His French signs actually said "car bath" instead of "car wash."

Accepted Answer

A)  Esperanto
B)  back translation
C)  semiotics
D)  semantic symbolism
E)  linguistic exchangeF) B) and E)
G) A) and B)

Question 13

Coca-Cola,Gillette razors,and Wrigley's gum are selling virtually the same product in many countries.This is an example of which type of global marketing product/promotion strategy?

Accepted Answer

A)  product customization
B)  product adaptation
C)  product extension
D)  product integration
E)  product inventionF) C) and D)
G) B) and E)

Question 14

A global brand is a brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs.However,adaptations of global brands are made

Accepted Answer

A)  if required by government regulations in the host market and for no other reason.
B)  only in its initial introduction into a market and only until the brand is recognized.
C)  by domestic competitors causing brand confusion.
D)  only when necessary to better connect the brand to consumers in different markets.
E)  when there is a serious drop in market share.F) B) and E)
G) B) and D)

Question 15

When a U.S.airplane manufacturer sells its airplanes to business executives in Germany without using intermediaries,it is referred to as

Accepted Answer

A)  direct exporting.
B)  indirect exporting.
C)  licensing.
D)  foreign manufacturing.
E)  foreign assembly.F) C) and D)
G) A) and E)

Question 16

The European Union (EU) has been beneficial to electronic commerce because it is no longer necessary to

Accepted Answer

A)  use multiple languages when settling accounts for purchases made across borders.
B)  continually monitor currency exchange rates.
C)  trade with the former Eastern European communist countries.
D)  obey international e-trade regulations.
E)  use the American dollar as the economic standard.F) All of the above
G) D) and E)

Question 17

Licensing 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 country and a local firm invest together to create a local business.
D)  having a company handle its own exports directly without intermediaries.
E)  exporting through an intermediary,which often has the knowledge and means to succeed in selling a firm's product abroad.F) B) and C)
G) A) and E)

Question 18

When foreign currencies can buy more U.S.dollars,

Accepted Answer

A)  products are more expensive and worth less to foreign customers.
B)  products are more expensive and worth more to foreign customers.
C)  products are less expensive and worth more to foreign customers.
D)  economists consider it an indicator of an impending long-term economic downturn.
E)  American consumers buy in large quantities and stockpile in fear of an impending economic crisis.F) B) and E)
G) A) and C)

Question 19

Government taxes on goods or services entering a country that primarily serve to raise prices on imports are referred to as

Accepted Answer

A)  tariffs.
B)  quotas.
C)  WTO taxes.
D)  foreign excise taxes.
E)  trade subsidies.F) A) and C)
G) B) and C)

Question 20

Which of the following statements about the emergence of a networked global marketspace is most accurate?

Accepted Answer

A)  Marketspace creates an unfair competitive environment for emerging nations.
B)  More business-to-consumer marketing is done on the Internet than business-to-business marketing.
C)  The most active participants in the networked global marketspace are companies in developing nations.
D)  All business in the networked global marketspace is conducted in English.
E)  The chief advantage of the global marketspace over the traditional bricks-and-mortar stores for customers is the ability to shop anywhere,at any time,and at a lower cost.F) A) and E)
G) B) and D)

Exam 6: Understanding and Reaching Global Consumers and Markets

Which of the following is an advantage inherent in the use of licensing?

Correct Answer
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Correct Answer
verified

Correct Answer
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Which of the following statements about the emergence of a networked global marketspace is most accurate?

Correct Answer
verified

Government taxes on goods or services entering a country that primarily serve to raise prices on imports are referred to as

Correct Answer
verified

The three types of companies that populate and compete in the global marketplace are (1) international firms; (2) multinational firms; and (3) __________ firms.

Correct Answer
verified

Correct Answer
verified

Coca-Cola,Gillette razors,and Wrigley's gum are selling virtually the same product in many countries.This is an example of which type of global marketing product/promotion strategy?

Correct Answer
verified

__________ firm engages in trade and marketing in different countries as an extension of the marketing strategy in its home country.

Correct Answer
verified

Licensing refers to

Correct Answer
verified

The European Union (EU) has been beneficial to electronic commerce because it is no longer necessary to

Correct Answer
verified

Correct Answer
verified

A global brand is a brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs.However,adaptations of global brands are made

Correct Answer
verified

Starbucks and Tata Global Beverage have together formed Starbuck Coffee A Tata Alliance in order to bring Starbucks to India.The global market-entry strategy is known as

Correct Answer
verified

When foreign currencies can buy more U.S.dollars,

Correct Answer
verified

When a U.S.airplane manufacturer sells its airplanes to business executives in Germany without using intermediaries,it is referred to as

Correct Answer
verified

In recent years,a number of countries with similar economic goals have formed transnational trade groups or signed trade agreements for the purpose of promoting free trade.Describe the best-known two.

Correct Answer
verified
(1)The European Union (EU)in mid-2012 co...
View Answer

KFC has added many offerings to its menus in China to appeal to local tastes,including the "dragon twister," which is a chicken wrap with Peking-duck sauce.This is an example of which type of global marketing product/promotion strategy?

Correct Answer
verified

The price of one country's currency expressed in terms of another country's currency is referred to as the

Correct Answer
verified

Tricon was the restaurant division of PepsiCo until it was spun off in 1997.Since then,Tricon has opened 6,000 KFC restaurants abroad.It has 158 restaurants in Indonesia and more than 500 restaurants in China.All are locally owned and the owner pays a fee to Tricon.Tricon is engaged in

Correct Answer
verified

Exam 6: Understanding and Reaching Global Consumers and Markets

Which of the following is an advantage inherent in the use of licensing?

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Which of the following statements about the emergence of a networked global marketspace is most accurate?

Correct AnswerverifiedShow Answer

Government taxes on goods or services entering a country that primarily serve to raise prices on imports are referred to as

Correct AnswerverifiedShow Answer

The three types of companies that populate and compete in the global marketplace are (1) international firms; (2) multinational firms; and (3) __________ firms.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Coca-Cola,Gillette razors,and Wrigley's gum are selling virtually the same product in many countries.This is an example of which type of global marketing product/promotion strategy?

Correct AnswerverifiedShow Answer

__________ firm engages in trade and marketing in different countries as an extension of the marketing strategy in its home country.

Correct AnswerverifiedShow Answer

Licensing refers to

Correct AnswerverifiedShow Answer

The European Union (EU) has been beneficial to electronic commerce because it is no longer necessary to

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

A global brand is a brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs.However,adaptations of global brands are made

Correct AnswerverifiedShow Answer

Starbucks and Tata Global Beverage have together formed Starbuck Coffee A Tata Alliance in order to bring Starbucks to India.The global market-entry strategy is known as

Correct AnswerverifiedShow Answer

When foreign currencies can buy more U.S.dollars,

Correct AnswerverifiedShow Answer

When a U.S.airplane manufacturer sells its airplanes to business executives in Germany without using intermediaries,it is referred to as

Correct AnswerverifiedShow Answer

In recent years,a number of countries with similar economic goals have formed transnational trade groups or signed trade agreements for the purpose of promoting free trade.Describe the best-known two.

Correct Answerverified(1)The European Union (EU)in mid-2012 co...View AnswerShow Answer

KFC has added many offerings to its menus in China to appeal to local tastes,including the "dragon twister," which is a chicken wrap with Peking-duck sauce.This is an example of which type of global marketing product/promotion strategy?

Correct AnswerverifiedShow Answer

The price of one country's currency expressed in terms of another country's currency is referred to as the

Correct AnswerverifiedShow Answer

Tricon was the restaurant division of PepsiCo until it was spun off in 1997.Since then,Tricon has opened 6,000 KFC restaurants abroad.It has 158 restaurants in Indonesia and more than 500 restaurants in China.All are locally owned and the owner pays a fee to Tricon.Tricon is engaged in

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

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verified

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verified

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verified

Correct Answer
verified

Correct Answer
verified
(1)The European Union (EU)in mid-2012 co...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified