Question 1

McDonald's global marketing strategy is based primarily on local marketing mix elements.

Accepted Answer

False

Question 2

Gap is a global brand, but recently the company has struggled to connect with customers in the United States.

Accepted Answer

This statement is true as Gap's sales and popularity have declined in the United States in recent years.

Question 3

An organization that engages in global marketing focuses its resources and competencies on global market opportunities and threats.

Accepted Answer

This statement is true. A global marketing strategy involves identifying and targeting global market opportunities and addressing global threats to the business. It requires an understanding of cultural differences, market trends, and political environments in various regions of the world.

Question 4

Harley-Davidson's motorcycles competitive advantage is based in part on its "Made in the USA" positioning.

Accepted Answer

Harley-Davidson's "Made in the USA" positioning is a key element of their brand and sets them apart from competitors who manufacture overseas. This helps to appeal to consumers who value American-made products and contributes to the company's overall competitive advantage.

Question 5

The perceived value equation can be represented as Value = Price/Benefits.

Accepted Answer

The answer of The perceived value equation can be represented...

Question 6

Examining the size of individual product markets, measured in terms of annual sales, provides another perspective on global marketing's importance.

Accepted Answer

Examining the size of individual product markets in terms of annual sales can provide insights into the significance of global marketing.

Question 7

With rapid global market expansion, McDonald's identity as the quintessential American fast-food restaurant is becoming blurred.

Accepted Answer

The answer of With rapid global market expansion, McDonald's identity...

Question 8

If Nestlé decides not to market biscuits (cookies)in the United States due to competitive reasons, it is considered as a lack of strategic focus and missed opportunity.

Accepted Answer

The answer of If Nestlé decides not to market biscuits...

Question 9

Global localization means that a successful global marketer must have the ability to think locally and act globally.

Accepted Answer

Global localization requires understanding and adapting to local cultures, preferences, and behavior while maintaining a consistent global brand image and strategy. It involves thinking from a local perspective and acting accordingly while keeping in mind the bigger global picture.

Question 10

Value, competitive advantage, and the focus required to achieve them are universal in their relevance and should guide global marketing efforts in any part of the world.

Accepted Answer

This statement is true. The concepts of value, competitive advantage, and focus are universally relevant and should be considered in global marketing efforts regardless of the country or region.

Question 11

The Coca-Cola Company supports its Coke, Fanta, and PowerAde brands with marketing mix elements that are both global and local.

Accepted Answer

The Coca-Cola Company uses a mix of global and local marketing strategies to support its brands like Coke, Fanta, and PowerAde. This allows them to tailor their marketing messages to different markets while still maintaining consistent branding across the globe.

Question 12

The discipline of marketing is universal, and such marketing practices do not vary from country to country.

Accepted Answer

Marketing practices can vary from country to country due to differences in cultural values, consumer behavior, and legal regulations. Companies must adapt their marketing strategies to the specific market they are targeting in order to be successful.

Question 13

Nations referred to as MINTs, which hold great potential marketing opportunities, are Mexico, India, Nigeria, and Turkey.

Accepted Answer

The MINT countries are Mexico, Indonesia, Nigeria, and Turkey, not India.

Question 14

Nike dropped their well known tag line "Just do it" in advertising women's clothing in Europe and replaced it by the slogan "Here I am" since college-age women in Europe are not as competitive about sports as men are.

Accepted Answer

This statement is true. Nike did replace the tag line "Just do it" with "Here I am" in advertising women's clothing in Europe, but the reason given was to target a messaging more focused on self-expression and confidence rather than competitiveness in sports.

Question 15

McDonald's home delivery of burgers in India is an example of unusual standardized global marketing practice.

Accepted Answer

McDonald's adapts its menu and services to local tastes and preferences, which is a common practice in global marketing to cater to different markets.

Question 16

Wal-Mart is the largest corporation, based on revenues, according to the Fortune 500 Global ranking for 2011.

Accepted Answer

This is true, as per the Fortune 500 Global ranking for 2011, Wal-Mart is the largest corporation based on revenues.

Question 17

The way a company addresses recognition of the extent to which programs can be expanded worldwide and adaptations required to do so is a reflection of its global marketing strategy.

Accepted Answer

The statement is true. The recognition of the potential for global expansion and the adaptations required to achieve it are critical considerations of a company's global marketing strategy.

Question 18

The transformation of formerly local or national industries into global ones is a part of a broader economic process of globalization.

Accepted Answer

The statement is true. The globalization process has resulted in the expansion of markets, increased competition, and the emergence of multinational corporations that operate on a global level rather than just a local or national one.

Question 19

Starbucks is entering India via an alliance with the Tata Group.The next phase will likely involve opening Starbucks outlets in Tata's upscale Taj Hotels in India.These are examples of Market Penetration.

Accepted Answer

These are examples of Market Development, as Starbucks is entering a new geographic market (India) and forming alliances to expand its presence. Market Penetration refers to increasing market share in existing markets.

Question 20

Starbucks is building on its loyalty card and rewards program in the United States with a smartphone app that enables customers to pay for purchases electronically.This is an example of Market Penetration.

Accepted Answer

Market penetration is a strategy where a company aims to increase its sales of existing products in its current market. By expanding its loyalty program to include a smartphone app for electronic payments, Starbucks is increasing convenience and accessibility for its existing customers, thereby penetrating the market further.

Quiz 1: Introduction to Global Marketing