question

International marketing involves selling of a company's goods and services to consumers or users in more than one nation for a profit

answer

True: International marketing is the performance of business activities designed to plan, price, promote, and direct the flow of a company's goods and services to consumers or users in more than one nation for a profit.

question

What is the difference between Domestic and International Marketing?

answer

international marketing activities take place in more than one country.

question

What What are the uncontrollable elements of a domestic environment?

answer

Home-country elements: political and legal forces, economic climate, and competition

question

An international marketer must deal with at least two levels of uncontrollable uncertainty

answer

True: Geography and infrastructure of a country

question

What are the uncontrollable elements of a foreign environment?

answer

Political/legal forces, economic forces, competitive forces, level of technology, structure of distribution, geography and infrastructure, and cultural forces

question

A multinational corporation or multinational enterprise is a corporation that is registered in more than one country or that has operations in more than one country

answer

MNC

question

What 2 major challenges were facing MNC's?

answer

resistance to direct investment and increasing competition in export marketes.

question

What records all financial transactions between its residents and those of the rest of the world during a given period of time - usually one year. It represents the difference between receipts from foreign countries and payments to them and includes three main accounts::Capital, current and reserves

answer

balance of payment statement

question

Imports and Exports of goods and services and unilateral transfer of funds.

answer

Current Account

question

Direct and portfolio investments and capital movements

answer

Capital Account

question

Exports and imports of gold, increases and decreases of foreign exchange and liabilities to foreign central banks

answer

Reserves account

question

set of tariff and non‐tariff barriers to the entry of goods in a certain country

answer

Protectionism

question

For companies today, becoming international is a luxury only some can afford

answer

False

question

Companies from Japan are the leading group of investors in the United States

answer

False

question

International marketing involves selling of a company's goods and services to consumers or users in more than one nation for a profit.

answer

True

question

The difference between domestic and international marketing lies in the different concepts of marketing.

answer

False

question

An international marketer must deal with at least two levels of uncontrollable uncertainty

answer

True

question

The geography and infrastructure of a country are uncontrollable factors that influence the business decisions of a company in an international market.

answer

True

question

The uncontrollable factors affecting international marketing are limited to political forces, economic climate, and competitive structure

answer

False

question

Which of the following is a dynamic trend that is affecting the current global business strategies?

answer

The trend toward the acceptance of the free market system among developing countries

question

Companies from _____ lead in foreign investment in the United States

answer

United Kingdom

question

Which of the following is true regarding the impact of globalization on domestic markets in the United States

answer

Multinational manufacturing companies in all industries and sizes have outperformed their domestic counterparts.

question

Which of the following is an essential requirement for companies to succeed in international markets

answer

Committing themselves completely to foreign markets

question

_____ is the performance of business activities designed to plan, price, promote, and direct the flow of a company's goods and services to consumers or users in more than one nation for a profit

answer

International marketing

question

Which of the following is the most critical difference between domestic marketing and international marketing

answer

The environment in which marketing plans must be implemented

question

Which of the following elements in the marketing environment poses a challenge to both domestic and international marketers due to its uncontrollable nature

answer

Political/legal forces

question

Which of the following is a controllable element for an international marketer

answer

Channels of distribution

question

Which of the following is an uncontrollable element for an international marketer

answer

Level of technology

question

For an international marketer, the _____ can be altered in the long run and, usually, in the short run to adjust to changing market conditions, consumer tastes, or corporate objectives

answer

controllable elements

question

Which of the following is an uncontrollable factor for a marketer in a domestic environment?

answer

Competitive structure

question

Which of the following political actions is likely to favor international marketing

answer

Paraguay imposing low tariffs and tax rates for manufacturing industries.

question

Which of the following reflects the relationship between international business and domestic business?

answer

The ability to invest abroad is to a large extent a function of domestic economic vitality

question

Which of the following is a possible outcome of the "alien status" of a company?

answer

An increase in protectionist federal policies

question

With respect to the environment in which a business operates, factors such as competition, political and legal forces, economic climate, would all be classified as:

answer

uncontrollable elements

question

_____ is a controllable element in both domestic and international marketing environments.

answer

Price of products

question

The marketing tasks of an international marketer differs from that of a domestic marketer as:

answer

he structure of distribution is an uncontrollable element for the international marketer

question

Robert Jonas is in charge of a new marketing effort directed toward Peru. In order for his company to effectively market and distribute to all of Peru's major cities, Mr. Jonas must devise a logistics plan for crossing the Andes Mountains on a daily basis. Which of the following foreign environment uncontrollable variables would be a chief concern as Mr. Jonas devises his plan?

answer

Geography and infrastructure

question

Compared to the foreign environment uncontrollable variables, which of the following elements is excluded from the domestic marketer's list of uncontrollable variables?

answer

Cultural forces

question

Amy Sims has been assigned the task of preparing a marketing plan for her company for the next year's business activities. She knows that she should begin her plan by examining the variables that she has some control over. These controllable variables would include price, product, channels-of-distribution, and _____.

answer

promotion

question

M&M, a company producing musical instruments, had dominated its home market for several years before venturing into international markets. The company was focusing more on international operations until a German company in the same business entered its home market. The German company started selling good quality products at prices much lower than M&M's and affected its sales adversely. Which of the following elements in the marketing environment has affected the business of M&M in the above scenario?

answer

Competition in the domestic market

question

Ralph Waite is a marketing manager at a video game console manufacturing firm. Ralph has been asked to review the marketing opportunities of his company in a foreign market. Ralph is aware that he can modify certain elements of the marketing environment to suit the foreign market needs. He is primarily focusing his attention on the factors that are not under his control and might affect their business prospects. Which of the following uncontrollable elements is most likely to affect the company's business prospects in the foreign market?

answer

The level of technology in the targeted market

question

The _____ issues faced by a company are often amplified by the "alien status" of the company, which increases the difficulty of properly assessing and forecasting the dynamic international business climate.

answer

political/legal

question

Which of the following best illustrates the political and legal issues faced by companies because of their "alien status" when they attempt to do business in foreign countries?

answer

A company being forced by the local government to share its core competencies in order to continue doing business.

question

_____ is the conscious effort on the part of the international marketer to anticipate the influences of both the foreign and domestic uncontrollable factors on a marketing mix and then to adjust the marketing mix to minimize the effects.

answer

Adaptation

question

The primary obstacles to success in international marketing are a person's _____ and an associated ethnocentrism.

answer

self-reference criterion

question

_____ is an unconscious reference to one's own cultural values, experiences, and knowledge as a basis for decisions.

answer

Self-reference criterion

question

Which of the following is closely related to the self-reference criterion?

answer

Ethnocentrism

question

_____ impedes the ability of a person to assess a foreign market in its true light.

answer

Ethnocentrism

question

Which of the following is true of ethnocentrism

answer

it is a problem that arises when managers from affluent countries work with managers and markets in less affluent countries.

question

The most effective way to control the influence of ethnocentrism and the SRC is to

answer

recognize their effects on our behavior.

question

To avoid errors in business decisions, it is necessary to conduct a cross-cultural analysis that isolates the self-reference criterion influences. Which of the following should be the first-step to avoid the aforementioned errors?

answer

Defining the business problem or goal in home-country cultural traits, habits, or norms

question

Understanding one's own culture requires additional study as:

answer

much of the cultural influence on market behavior is at the subconscious level.

question

Which of the following types of nontariff barriers strictly falls under the category of specific limitations on trade?

answer

Embargoes

question

Which of the following characterizes a globally aware manager?

answer

Allowing others to be different and equal.

question

Which of the following will aid a manager in understanding the way people of different countries think and act?

answer

A historical perspective

question

Which of the following is the most effective way to achieve organizational global awareness?

answer

Having a culturally diverse senior executive staff or board of directors.

question

Which of the following organizations seems better equipped for internationalization?

answer

A firm that has a production capacity that is much greater than home market demand

question

Which of the following firms has a better chance of accelerating the internationalization process?

answer

international regulatory bodies set export/import limits

question

Which of the following is true regarding the stages of international marketing involvement?

answer

A firm may be in more than one stage simultaneously

question

Which of the following best describes the stage of development where the company's products reach a foreign market without any conscious effort on the part of the marketer?

answer

No direct foreign marketing

question

if a marketer is motivated to initiate an international marketing effort mainly because of temporary surpluses in the domestic market, which of the following stages best characterizes the stage of international marketing involvement for this marketer?

answer

Infrequent foreign marketing

question

Which of the following is true of firms in the first two stages of international marketing involvement—no direct foreign marketing and infrequent foreign marketing?

answer

They are more reactive in nature and embark on internationalization without planning.

question

In which of the following stages of international marketing involvement, companies primarily focus all their operations and production to service domestic market needs, even though they have a permanent productive capacity devoted to the production of goods to be marketed in foreign markets?

answer

Regular foreign marketing

question

The firms at the stage of regular foreign marketing of international marketing involvement:

answer

primarily focus all their operations and production to service domestic market needs

question

Which of the following is true of firms at the international marketing stage of marketing involvement?

answer

Planning generally entails production of goods outside the home market.

question

What is the most profound change for firms at the global marketing stage of internationalization?

answer

Companies treat the world, along with home market, as one market

question

For a company at the _____ stage of internationalization, market segments are defined by income levels, usage patterns, or other factors that frequently span countries and regions.

answer

global marketing

question

Which of the following acronyms refers to the international forum that was created for member countries to engage in the negotiation of tariffs and other barriers to trade?

answer

GATT

question

What was the outcome for the GATT after the ratification of the Uruguay Round agreements?

answer

It became part of the World Trade Organization.

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