Deck 4: Cultural Dynamics in Assessing Global Markets

Question 1

Much of American trade policy has depended on the happenstance of cotton being the original source of the Virginia colony's economic survival in the 1600s.

Answer 1

False
Explanation: Much of American trade policy has depended on the happenstance of tobacco (i.e., the technology of a new cash crop) being the original source of the Virginia colony's economic survival in the 1600s.

Question 2

According to the World Bank, no country with less than 50 percent literacy has succeeded economically.

Answer 2

True
Explanation: According to the World Bank, no country has been successful economically with less than 50 percent literacy, but when countries have invested in education, the economic rewards have been substantial. Literacy has a profound effect on marketing.

Question 3

Markets constantly change; they are not static but evolve, expand, and contract in response to marketing effort, economic conditions, and other cultural influences.

Answer 3

True
Explanation: Markets constantly change; they are not static but evolve, expand, and contract in response to marketing effort, economic conditions, and other cultural influences.

Question 4

The Power Distance dimension of culture, identified by Geert Hofstede, has proven to be the most useful of the four dimensions.

Question 5

Marketers with little or no understanding of a religion may readily offend deeply because the influence of religion is often quite strong.

Question 6

Acculturation refers to the process of becoming an agent of change by innovating.

Question 7

According to James Day Hodgson, former U.S. ambassador to Japan, culture is like a "thicket" that is tough to get through, but effort and patience often lead to success.

Question 8

According to traditional definitions, culture is transmitted from generation to generation.

Question 9

In the context of social institutions such as families, the ratio of male to female children is affected by latitude but not culture.

Question 10

As countries move from agricultural to industrial to services economies, birth rates increase.

Question 11

Religion has a significant impact on the value systems of a society and the effect of value systems on marketing.

Question 12

When marketers introduce an innovative product or idea, they act as agents of change.

Question 13

The manner in and amount which people consume, the priority of needs and wants they attempt to satisfy, and the manner in which they satisfy them are functions of their culture.

Question 14

According to Philip Parker, a marketing professor, there are strong correlations between latitude and the per capita GDP of countries.

Question 15

For a marketer, one's own religion is most often the best guide to another's beliefs.

Question 16

For most of the 20^th century, the predominant approach to governance in the world was colonialism.

Question 17

The four social institutions that most strongly influence values and culture are schools, churches, families, and the media.

Question 18

According to Jared Diamond, a professor of physiology, innovations spread faster north to south than east to west.

Question 19

The Uncertainty Avoidance Index (UAI), one of the four dimensions of culture identified by Geert Hofstede, focuses on assertiveness and achievement.

Question 20

Dutch management professor Geert Hofstede argues that culture provides a guide for humans on how to think and behave.

Question 21

Which of the following actions is important for marketers in order to be effective in a foreign market?

A) Learning to appreciate the intricacies of cultures different from their own
B) Ensuring that the promotions for the product are indifferent to social beliefs
C) Adhering to the prominent prejudices in one's own society
D) Creating product differentiation by being indifferent to the culture of the foreign market
E) Making the product relate to one's own religion

Question 22

According to Edward Hall's comments on culture, which of the following could hurt companies and careers in foreign markets?

A) Adherence to the social norms of the foreign market
B) Being agents of change in the new market
C) Ignorance of cultural differences in the foreign market
D) Strict following of the political rules of the foreign society
E) Consideration of the economic system of the new market

Question 23

When marketers first introduced the personal digital assistant (PDA) to the American consumers, they most likely performed the role of _____ because the cultural impact of the product became widespread.

A) gatekeepers
B) conciliators
C) agents of socialization
D) agents of change
E) arbitrators

Question 24

James Day Hodgson, former U.S. ambassador to Japan, describes culture as a(n) _____, which according to him is tough to get through, but effort and patience could often lead to success.

A) neutral market
B) maze
C) intelligence test
D) thicket
E) perseverance test

Question 25

When a culture scores high in Individualism/Collectivism Index, individuals fail to identify with groups.

Question 26

When designing a product, the style, uses, and other related marketing activities, marketers must:

A) ensure they are culturally acceptable if they are to be operative and meaningful.
B) ensure that there is no cultural interaction.
C) understand that culture is static.
D) be insensitive to cultural differences if they are to be successful.
E) be indifferent to societal conditions.

Question 27

According to Dutch management professor Geert Hofstede, culture can be referred to as the:

A) "software of the mind."
B) "defining factor of life."
C) "conflict of civilization versus the masses."
D) "tool of the elite."
E) "art's triumph over banality."

Question 28

Cultures with high Uncertainty Avoidance Index scores tend to have a low level of anxiety and stress.

Question 29

Which of the following reflects Dutch management professor Geert Hofstede's perception of culture?

A) It is a weapon that is often used against the poor.
B) It is a problem-solving tool.
C) It is a bias that is used to justify racial inequality.
D) It is a relationship enhancer.
E) It is a reflection of a nation's evolution.

Question 30

The strategy of cultural congruence involves marketing products similar to ones already on the market in a manner as similar as possible with existing cultural norms, thereby minimizing resistance.

Question 31

Which of the following best describes culture?

A) It is radical in nature and readily accepts change.
B) It is the same across all countries.
C) It is the human-made part of human environment.
D) It is static in nature.
E) It is insignificant in assessing new markets.

Question 32

People from cultures with high Power Distance Index scores are more likely to have a general distrust of others.

Question 33

Cultures scoring low in Uncertainty Avoidance Index take a more empirical approach to understanding and knowledge.

Question 34

In the context of the elements of culture, marriage ceremonies and funerals are good examples of rituals.

Question 35

In the context of culture's pervasive impact, which of the following is true about birth rates?

A) A service economy usually has a higher birth rate than an industrial economy.
B) Government policies and birth control technologies may have caused a decline in birth rates.
C) The economic status of a country has minimal impact on the birth rates in that country.
D) Countries that move from agricultural economies to service economies experience increased birth rates.
E) Agricultural economies support higher birth rates than industrial economies.

Question 36

The Individualism/Collective Index, identified by Geert Hofstede, refers to the preference for behavior that promotes one's self-interest.

Question 37

The process of adjusting to a new culture is known as:

A) diffusion.
B) culture transfer.
C) acculturation.
D) assimilation.
E) transference.

Question 38

The Masculinity/Femininity Index (MAS), identified by Geert Hofstede, focuses on risk orientation.

Question 39

In some countries, language is itself thought of as a social institution, with absolutely no relation to political importance.

Question 40

Social planners gained the acceptance for hybrid grains and better sanitation methods through unplanned change among the peoples of underdeveloped societies.

Question 41

What has been the impact of women joining the workforce in growing numbers for the past thirty years on American culture?

A) An increase in the desire for large families among the American population
B) An increase in the underestimation of women in the American culture
C) A decrease in economic development
D) A decrease in the influence of family on American culture
E) A decrease in the number of single-person households in the country

Question 42

Which of the following technological innovations has had a great impact on the gender-based determination of responsibilities and roles?

A) Mobile phones
B) Computers
C) Aircrafts
D) Optogenetics
E) Birth control techniques

Question 43

Which of the following is a way individuals learn culture from social institutions?

A) Anarchy
B) Socialization
C) Cultural apathy
D) Etiquette awareness
E) Social rebellion

Question 44

Which of the following social institutions introduces most innovations to society?

A) Corporation
B) School
C) Government
D) Family
E) Religion

Question 45

Which of the following statements is true of education and the literacy rate of a country?

A) According to the World Bank, even countries with less than 50 percent literacy have been economically successful.
B) Numerous studies indicate a direct link between the literacy rate of a country and its capability for rapid economic growth.
C) Communicating in a literate market is much more difficult than communicating with one in which a marketer must depend on pictures and symbols.
D) Increasingly, schools are seen as leading to negative cultural changes.
E) Compared to governments, education has relatively little influence on culture.

Question 46

New cola alternatives (Mecca Cola, Muslim Up, Arab Cola, and Cola Turka) sprang up after the military conflicts in the Middle East in 2003. This is an example that shows how:

A) Coca-Cola played an important role in easing the cultural divide among the warring nations.
B) Coca-Cola catered to new markets through standardization.
C) specific events in history can influence consumer behavior.
D) businesses exploit cheap human labor during war times.
E) technology influences marketing practices.

Question 47

One of the advantages of the emergence of gender equality is the _____ gap between the sexes being narrowed in many places around the world.

A) emotional
B) biological
C) identity
D) education
E) language

Question 48

Family, religion, school, the media, government, and corporations are all examples of:

A) social institutions.
B) aesthetics.
C) internal variables.
D) external variables.
E) demographic variables.

Question 49

Which of the following social institutions is considered to most likely have a detrimental effect on American culture?

A) School
B) The government
C) Religion
D) Family
E) The media

Question 50

Mike grew up learning a great deal about his culture from his school, the church, the media, and his family. This kind of learning of culture is called:

A) acculturation.
B) socialization.
C) naturalization.
D) emancipation.
E) classification.

Question 51

_____ in India is a social institution that influences the roles and status positions found within Indian society.

A) A country club
B) The Ku Klux Klan
C) The Taj Mahal
D) A single-person household
E) The caste system

Question 52

Which of the following is true of governments as social institutions?

A) Governments influence thinking and behavior through the enforcement of a variety of laws affecting consumption and marketing behaviors.
B) Compared with the early and direct influences of family, religion, school, and the media, governments hold relatively more sway.
C) Americans increasingly complain about the detrimental effects of the government on American culture.
D) Governments influence all aspects of the culture except for consumer behavior.
E) Governments are the first social institution a person is exposed to outside his or her home in all cultures.

Question 53

In most cultures, the first social institution infants are exposed to outside the home is in the form of a:

A) day-care center.
B) school.
C) religious institution.
D) shopping mall.
E) government agency.

Question 54

Which of the following thinkers is famous for his statement on the deep influence of geography on history, economics, and consumer behavior?

A) Geert Hofstede
B) Philip Parker
C) Desmond Morris
D) Noam Chomsky
E) Jacques Derrida

Question 55

Which of the following social institutions has comparatively the least impact on culture?

A) The media
B) School
C) The government
D) Family
E) Religion

Question 56

Which of the following is most likely the reason for corporations being the forerunners of innovations in society?

A) They own the media, which is a requisite for foreign trade.
B) They have access to ideas from around the world.
C) They are not part of social institutions.
D) They all possess religious intolerance, which is a requisite for foreign trade.
E) They require all members to be literate.

Question 57

Which of the following is true about Professor Jared Diamond's ideas regarding the influence of geography on history and cultural values?

A) People in the plains are more likely to invade than those settled in higher altitudes.
B) Historically, societies in the north have been more developed than those in the south.
C) Civilizations near major rivers are more developed than those settled near major oceans.
D) Historically, innovations spread faster east to west than north to south.
E) Historically, invasions by warrior tribes have always happened from west to east.

Question 58

Which of the following is most likely an outcome of the usage of birth control pills?

A) Educational institutions are finding it tougher to fill in seats.
B) Midwifery, as a profession, is becoming extinct.
C) More men and women are opposing the idea of "one-child family."
D) Women and men are increasingly adhering to traditional gender roles.
E) Schools are forced to address issues like abstinence and condom distribution.

Question 59

Most traditional definitions of _____ center around the notion that it is the sum of the values, rituals, symbols, beliefs, and thought processes that are learned, shared by a group of people, and transmitted from generation to generation.

A) economy
B) sensitivity
C) population
D) demography
E) culture

Question 60

Mervin is excited about his new home in the Philippines. Though a native of Los Angeles, he has been given the opportunity to learn about a new culture, form new friendships, and capitalize on opportunities that were not available in his previous home or workplace. In this scenario, he is most likely to go through what is known as _____ as he adjusts to living in the Philippines.

A) acculturation
B) classification
C) naturalization
D) emancipation
E) standardization

Question 61

Based on Hofstede's four dimensions, in which of the following cultures is the "virtually social" activity of online chatting most likely to be acceptable?

A) One in which individualism reigns supreme
B) One in which collectivism is adopted
C) One that reflects a "we" mentality
D) One that generally subjugates the individual to the group
E) One in which people from birth onward are integrated into strong, cohesive groups

Question 62

Anthropologist Edward T. Hall tells us that culture is:

A) all-encompassing.
B) relatively minor in the scheme of life.
C) communication.
D) strongly linked to physiology.
E) standard throughout the world.

Question 63

Linguistic distance is an important factor that helps in determining differences in values across countries and the amount of trade between countries because:

A) the closer the languages the tougher the interactions.
B) crossing wider language differences increases transaction costs.
C) the more distant a language from the other, the more valuable the brand becomes in the new territory.
D) major languages have syntactical superiority over minor languages that help in brand positioning.
E) a neutral language is required to address the differences arising out of linguistic distances.

Question 64

In some parts of the world, language is itself thought of as a social institution, often with political importance. Which of the following countries best exemplifies the above statement?

A) Australia
B) United States
C) France
D) Mexico
E) Switzerland

Question 65

Cultures which are low in Uncertainty Avoidance Index are more likely to:

A) seek absolute truth.
B) accord a high level of importance to rules as a means of avoiding risk.
C) be distrustful of new ideas or behaviors.
D) dogmatically stick to historically tested patterns of behavior.
E) take a more empirical approach to understanding and knowledge.

Question 66

In the context of cultural values, the _____ Index refers to the preference for behavior that promotes one's self-interest.

A) Individualism/Collectivism
B) Power Distance
C) Uncertainty Avoidance
D) Masculinity/Femininity
E) Linguistic

Question 67

Wayne works at an overseas branch of his organization. He needs some clarification about a project. He approaches a senior manager hoping to get a good explanation. However, he is instructed to follow protocol and sent away. He is also informed that only the team leads are allowed to approach the senior managers. In this scenario, the organization is most likely to have a _____ score.

A) high Individualism/Collective Index
B) high Power Distance Index
C) low Individualism/Collective Index
D) low Power Distance Index
E) high Uncertainty Avoidance Index

Question 68

The most useful information on how cultural values influence various types of business and market behavior comes from work done by:

A) Sigmund Freud.
B) George Gallup.
C) Geert Hofstede.
D) Ayn Rand.
E) Milton Friedman.

Question 69

In the context of cultural values, which of the following statements is true?

A) Countries that are high in individualism and low in uncertainty avoidance tend to be more innovative.
B) Diffusion of innovations will be fast in countries that are low on individualism and high on uncertainty avoidance.
C) Based on the experiments done with American and Chinese students, individualistic cultures tend to respond more favorably to self-focused appeals.
D) Based on the experiments done with American and Chinese students, emotional appeals tend to attract people from collectivistic cultures.
E) Based on the experiments done with American and Chinese students, individuals dislike the novelty in relation to their own cultures.

Question 70

People from which of the following cultures are more likely to have a general distrust of others (not those in their groups) because power is seen to rest with individuals and is coercive rather than legitimate?

A) Cultures with a high Individualism/Collective Index score
B) Cultures with a high Power Distance Index score
C) Cultures with a low Individualism/Collective Index score
D) Cultures with a low Power Distance Index score
E) Cultures with a high Uncertainty Avoidance Index score

Question 71

Which of the following is a characteristic of cultures with high Uncertainty Avoidance Index (UAI)?

A) They are highly tolerant of ambiguity.
B) They tend to have a low level of anxiety.
C) They have a low level of concern with security and rule following.
D) They take a more empirical approach to understanding and knowledge.
E) They seek absolute truth.

Question 72

On the basis of Hofstede's four dimensions, cultures with high Power Distance Index (PDI) scores tend to:

A) be secular.
B) be hierarchical.
C) be flat in organization.
D) value equality.
E) cite knowledge as a source of power.

Question 73

In the context of the elements of culture, rituals are patterns of behavior and interaction that are:

A) learned and repeated.
B) scientifically verified for effectiveness.
C) enforced by governments.
D) the same across all cultures.
E) universally accepted as proper behavior.

Question 74

In the context of linguistic distance, which of the following languages is the most distant from English?

A) French
B) German
C) Spanish
D) Arabic
E) Thai

Question 75

The aesthetics of a culture must be taken into account by marketers when:

A) styling their product and its packaging.
B) determining the linguistic distance of the culture.
C) assessing if the culture is individualistic.
D) trying to quantify the influence the media has on the culture.
E) assessing if the culture is collectivistic.

Question 76

_____ pertains to societies in which people from birth onward are integrated into strong, cohesive groups.

A) Power distance
B) Individualism
C) Uncertainty
D) Collectivism
E) Masculinity

Question 77

A culture with a low _____ score is likely to reflect more egalitarian views.

A) Power Distance Index
B) Individualism/Collectivism Index
C) Distance from English Index
D) Uncertainty Avoidance Index
E) Masculinity/Femininity Index

Question 78

Linguistics researchers have determined that languages around the world:

A) originated from a single language: Latin.
B) conform to family trees based on the similarity of their forms and development.
C) have little impact on marketing activities.
D) are devoid of any political importance.
E) are not to be mistaken for social institutions.

Question 79

The Uncertainty Avoidance Index measures the tolerance of uncertainty and _____ among members of a society.

A) inequality
B) subjugation
C) ambiguity
D) oppression
E) hierarchy

Question 80

Cultures with high _____ scores tend to have a high level of anxiety and stress and a concern with security and rule following.

A) Power Distance Index
B) Individualism/Collectivism Index
C) Distance from English Index
D) Uncertainty Avoidance Index
E) Masculinity/Femininity Index