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15 Cards in this Set

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Which of the following is NOT atype of industrial structure?

a) subsistence economy

b) raw material export economy


c) emerging economy


d) industrial economy


e) post-war economy

post-war economy

Which of the following bestdescribes a group of nations organized to work toward common goals in theregulation of international trade?

a) international trade group

b) geographical organization


c) economic community


d) global market


e) joint partnership

economic community

A large Asian country has a tradepartnership with America. In retaliation for the Asian country banning a largepercentage of American wheat and barley products from entering the country,America has imposed a 250 percent tax on imports of the Asian country’sfoodstuffs. Which of the following has America imposed on the large Asiancountry?

a) quotas

b) exchange controls


c) trade barriers


d) tariffs


e) sales taxes

tariffs

An American company is planningto sell its product in a foreign market. Which of the following should beconsidered before planning any marketing program?

a) product quality

b) cultural differences


c) profit margins


d) logistical organization


e) product distribution

cultural differences

Which of the following is themost important factor in whether or not a company decides to globalize?

a) its profit margin

b) its ability to navigate a foreign market


c) its product line


d) its business acumen


e) its longevity in the market

its ability to navigate a foreign market

All of the following affect how acompany enters a foreign market EXCEPT which?

a) the contacts a company has in another country

b) the extent the company wishes to sell in a foreign market


c) the type of product the company sells


d) the economic environment of a company


e) the cultural practices of a country

the type of product the company sells

Which of the following is NOT afactor in whether or not a company adapts its products or marketing strategyfor a foreign market?

a) the particular company's culture

b) the political or legal system in place


c) the economic environment


d) the organizational structure of the company


e) the type of product being sold

the organizational structure of the company

Entering foreign markets byselling goods produced in the company’s home country, often with littlemodification, is known as which of the following?

a) contracting

b) exporting


c) importing


d) foreign investing


e) globalization

exporting

Kids’ Television Network (KTN) isa broadcasting network whose newest star is Puce Panther. A clothing companyhas purchased the right to use Puce Panther’s likeness on its children’s lineof clothes. Which of the following describes what the clothing company hasdone?

a) licensing

b) contract marketing


c) management contracting


d) joint ownership


e) direct investment

licensing

The Aberdeen Group, headquarteredin Los Angeles, specializes in the design, production, and distribution ofapparel for men, women, and children. The company has a well-establishedinternational presence, operating 92 stores across eight countries. The companyis considering moving its production operations to the Indian Ocean islandcountry of Sri Lanka, with a long-term goal of eventually entering South Asianmarkets. Some company executives favor the idea of contract manufacturing usinglocal players, while others feel a direct investment strategy would be better.Which of the following, if true, would most strengthen the argument forcontract manufacturing?

a) Aberdeen does not want to assume too much risk, at least initially.

b) Most of Aberdeen’s competitors have opted for licensing.


c) Aberdeen would like to have complete control over the manufacturingprocess.


d) Aberdeen will be able to provide employment to the locals.


e) This move will help promote ties with the local government.


Aberdeen does not want to assume too much risk, at least initially.


The Aberdeen Group, headquarteredin Los Angeles, specializes in the design, production, and distribution ofapparel for men, women, and children. The company has a well-establishedinternational presence, operating 92 stores across eight countries. The companyis considering moving its production operations to the Indian Ocean islandcountry of Sri Lanka, with a long-term goal of eventually entering South Asianmarkets. Some company executives favor the idea of contract manufacturing usinglocal players, while others feel a direct investment strategy would be better.Which of the following, if true, would most strengthen the argument for directinvestment?

a) The Sri Lankan government offers attractive short-term tax incentives.

b) The operation will be used as an export hub for South Asian markets.


c) Sri Lanka is a preferred direct investment destination for many foodcompanies.


d) Aberdeen has successfully entered other markets through direct investment.


e) Joint ownership is a prerequisite for entry into the Sri Lankan market.



The operation will be used as an export hub for South Asian markets.


Which of the following involveschannel design that takes the entire global supply chain and marketing channelinto account in order to forge an effective global value delivery network?

a) global channel view

b) holistic channel view


c) whole channel view


d) limited channel view


e) international channel view

whole channel view

Country Candy is a candy companythat sells old-fashioned candies to American markets. The company has recentlyopened markets in Europe. However, European candy tends to have a richer flavorand less sugar. Consequently, Country Candy has changed its signature flavor tocater to European tastes. Which of the following best describes the approachtaken by Country Candy?


a) standardized global marketing


b) adapted global marketing


c) product invention


d) product adaptation


e) straight product extension

product adaptation

Online Office is a Web-based organization thatsells office supplies to any place with Internet access. In order to simplifyits operations, the company has divided its operations by product rather thanlocation: each different product group is overseen by a different operationsmanager. Which of the following best describes the organization of OnlineOffice?

a) geographical organization

b) international subsidiary


c) export department


d) global organization


e) world product group

world product group

Which of the following is theinitial step for most companies in entering into a foreign market?

a) create an export department

b) import products from a foreign country


c) create an international division


d) develop a global organization


e) engage in management contracting

create an export department