Deck 8: Global Marketing Strategies

Question 1

A contributing factor in the globalization of markets is the spread of _____ as the international language of international business.

A)German
B)English
C)French
D)Chinese
E)Hindi

Answer 1

B

Question 2

Field representatives using laptop computers, faxes, and satellite uplinks to communicate with the field and the home office are all examples of:

A)internet buying.
B)intranet buying.
C)extranet data exchange.
D)online communication.
E)nonpersonal communication.

Answer 2

D

Question 3

An increasing number of multinational firms have begun to use internal Web servers on the Internet to facilitate communications and transactions among employees, suppliers, independent contractors, and distributors.This would be an example of which of the following organizational forms?

A)vertical
B)horizontal
C)matrix
D)consensus
E)e-company

Answer 3

E

Question 4

Top retailers such as Wal-Mart and Costco get information from their stores around the world every two hours via telecommunications.This would be an example of _____ in action.

A)productivity management
B)trend management
C)a very costly procedure
D)management by objectives
E)real-time management

Question 5

Since the 1980s, the explosion of _____ has forever changed the nature of competition around the world.Geographical distance has become increasingly less relevant in designing global strategy.

A)new product designs
B)genetic breakthroughs
C)information technology
D)fuel efficient automobiles
E)interest in the stock market

Question 6

Thanks to the development of _____, products that used to be considered completely different and separate, such as smartphones and home appliances, are getting increasingly interconnected with each other.

A)WiFi
B)internet
C)the internet of things
D)Bluetooth

Question 7

_____ is the largest e-commerce market in the world.

A)Ireland
B)China
C)Singapore
D)Taiwan
E)US

Question 8

Which of the following is not a characteristic of blockchain technology?

A)It creates a shared system of record among business network members
B)Each member of the network must have access privileges
C)Computerized mining equipment is required
D)Information is shared only on a need-to-know basis
E)Consensus is required from all members and all validated transactions are permanently recorded.

Question 9

Product diffusion times in this century have:

A)increased-there are more people in the world, so it takes longer.
B)stayed the same as in the 1900s.
C)decreased, but only in the developed nations.
D)decreased mostly for high tech products.
E)increased for all products because the choices are more numerous.

Question 10

This company has now adopted blockchain technology into its supply chain management for its global cargo shipments.

A)Amazon
B)FedEx
C)US Postal Service
D)General Motors
E)United Parcel Service

Question 11

Because of its complexities, _____ development presents one of the stiffest challenges for international managers.

A)local strategy
B)regional strategy
C)multidomestic strategy
D)transnational strategy
E)global strategy

Question 12

One of the major impacts of information technology is:

A)lengthened product life cycles.
B)dispersed product life cycles.
C)vertical product life cycles
D)horizontal product life cycles.
E)shorter product life cycles.

Question 13

Geographical boundaries and distances have become less of a constraint in designing strategies for the global market because of:

A)a stable demand structure in the international marketplace.
B)a growing travel industry.
C)the revived role of the United Nations.
D)the explosion of information technology that has changed global competition.
E)the expanding role of government in international trade.

Question 14

Ordering and purchasing components, which was once a cumbersome, time-consuming process, is now done by _____, reducing the time involved in such transactions from weeks to days and eliminating a considerable amount of paperwork.

A)Electronic Data Systems (EDS)
B)Purchasing International Network (PIN)
C)Electronic Data Interchange (EDI)
D)Global Buying Network (GBN)
E)Internet Buying Network (IBN)

Question 15

Which of these is not an advantage of online communication?

A)sales reps are in constant contact with their offices and customers
B)information can be transmitted instantly
C)sequential problem solution
D)customers can seek assistance 24/7 from around the globe
E)All of the above are pluses.

Question 16

_____ is the second largest e-commerce market in the world.

A)Ireland
B)China
C)Singapore
D)Taiwan
E)US

Question 17

People in India watching CNN and Star TV now know instantaneously what is happening in the world.Such information access creates demand that would not have existed before and it restricts the power of governments to influence consumer choice.This is an example of:

A)stable demand structure in the international marketplace.
B)the explosion of information technology that has changed global competition.
C)a growing travel industry.
D)how the Japanese are changing global competition.
E)how the governments of the world distrust the mass media.

Question 18

In 1995, only 4 percent of Americans used the Internet every day.In 2016, the figure was what?

A)47 percent
B)58 percent
C)68 percent
D)78 percent
E)85.8 percent

Question 19

The chief executive officer of a firm can know the previous day's sales down to a penny because of the increased capacity of information technology.This leads to _____.

A)lags
B)real-time management
C)cyclical trends
D)confusion in strategic planning
E)None of the above

Question 20

In 2016, about what percentage of the world population used the internet?

A)47 percent
B)58 percent
C)68 percent
D)78 percent
E)85.8 percent

Question 21

All of the following are examples of market forces except:

A)common customer needs.
B)global customers and channels.
C)transferable marketing.
D)experience curves.
E)spread of global and regional media

Question 22

Market globalization forces include the following except:

A)converging per capita incomes.
B)global customers and channels.
C)global advertising.
D)rich consumers in emerging markets.
E)manufacturing.

Question 23

In a(an) _____ strategy, a firm manages its international activities like a portfolio.

A)interdependent strategy
B)global strategy
C)transcontinental strategy
D)supercompetitive strategy
E)multidomestic strategy

Question 24

Cost forces include the following except:

A)political parties of host countries.
B)global economies of scale and scope.
C)accelerating technology innovations.
D)shorter product life cycle.
E)high product development costs.

Question 25

In today's world, _____ also comes from suppliers and customers, as well as substitute products or services.

A)indirect competition
B)hyper competition
C)unique competition
D)all of the above
E)none of the above

Question 26

Industry globalization forces include the following except:

A)cost forces.
B)market forces.
C)social forces.
D)government forces.
E)competitive forces.

Question 27

Which of the following would not be considered a competitive driver with respect to industry globalization forces?

A)more countries as key battlegrounds
B)increase in world trade
C)globalized financial markets
D)interdependence in some industries
E)reduction of tariff and nontariff barriers

Question 28

_____ are defined as those industries where a firm's competitive position in one country is affected by its position in other countries, and vice versa.

A)Interdependent industries
B)Global industries
C)Transcontinental industries
D)Transnational industries
E)Multidomestic industries

Question 29

_____ raise the globalization potential of their industry and spur the need for a response on the global strategy level.

A)Cost forces
B)Competitive forces
C)Quality forces
D)Government forces
E)Market forces

Question 30

With respect to industry globalization forces, _____ depend on the nature of customer behavior and the structure of channels of distribution.

A)cost forces
B)competitive forces
C)quality forces
D)government forces
E)market forces

Question 31

In a(an) _____ strategy, a firm integrates the activities of a firm on a worldwide basis to capture the linkages among countries and to treat the entire world as a single, borderless market.

A)interdependent strategy
B)global strategy
C)transcontinental strategy
D)supercompetitive strategy
E)multidomestic strategy

Question 32

Import tariffs and quotas, nontariff barriers, export subsidies, and local content requirements are all examples of which kind of industry globalization driver?

A)cost forces
B)competitive forces
C)quality forces
D)government forces
E)market forces

Question 33

_____ depend on the economics of the business.These forces particularly affect production location decisions.

A)Cost forces
B)Competitive forces
C)Quality forces
D)Government forces
E)Market forces

Question 34

All of the following are examples of cost forces except:

A)advances in transportation.
B)low labor costs in newly industrializing countries.
C)global economics of scale and scope.
D)flexible manufacturing.
E)transferable marketing.

Question 35

Which of the following would be considered a market driver with respect to industry globalization forces?

A)favorable logistics.
B)steep experience curves.
C)global economics of scale and scope.
D)global sourcing efficiencies.
E)convergence of lifestyles and tastes.

Question 36

Differences in country costs, high product development costs, and fast-changing technology would all be examples of what kind of industry globalization forces?

A)cost forces
B)competitive forces
C)quality forces
D)government forces
E)market forces

Question 37

All of the following might be considered as being competitive globalization forces except:

A)high imports and exports.
B)compatible technical standards.
C)competitors from different continents and countries.
D)interdependent countries.
E)globalized competitors.

Question 38

Government globalization forces include the following except:

A)favorable trade policies.
B)industry deregulation.
C)Privatization
D)establishment of world brands
E)open market economies.

Question 39

Which of the following poses the threat of the most profound change to an industry?

A)government intervention
B)threat of substitute products
C)bargaining power of suppliers
D)hypercompetition
E)bargaining power of channel members

Question 40

By 2014, Honda boosted its North American production capacity by 40 percent.This would be an example of a firm that sees itself as being in a(n):

A)hybrid industry.
B)global industry.
C)transcontinental industry.
D)supercompetitive industry.
E)expert industry.

Question 41

Porsche and Saab maintain their competitive strengths in the high-power sports car enthusiast category by following a(n) _____ strategy.

A)product differentiation
B)cost leader
C)price leader
D)innovator
E)niche

Question 42

Which is not true about economies of scale?

A)economies of scale come about because larger plants are more efficient to run
B)with economies of scale, per-unit cost of production is less
C)economies of scale are typical in service businesses
D)with economies of scale, overhead costs are allocated across large volumes of production
E)economies of scale can result from learning effects

Question 43

_____ determine the rivalry among existing firms.

A)New entrants to the market
B)The bargaining power of suppliers
C)The bargaining power of buyers
D)The threat of substitute products or services
E)Industry competitors

Question 44

The concept of creative destruction assumes continuous change.This is a basic assumption behind the concept of _____, where the firm's focus is on disrupting the market.

A)low differentiation
B)cost leader
C)price leader
D)innovator
E)hypercompetition

Question 45

The strength of Intel as a dominant producer of microprocessors would be an example of _____ in the PC industry.

A)strength of potential new entrants to the market
B)the bargaining power of suppliers
C)the bargaining power of buyers
D)the threat of substitute products or services
E)existing rivals or competitors

Question 46

According to the textbook, benefits of global marketing strategy may include four factors:

A)cost reduction, improved products and program effectiveness, customer preference, and competitive advantage.
B)cost reduction, improved products and program effectiveness, customer preference, and raw materials.
C)cost reduction, improved products and program effectiveness, customer preference, and intellectual capital.
D)cost reduction, improved products and program effectiveness, customer preference, and transportation.
E)none of the above.

Question 47

Firms using a _____ strategy focus exclusively on a highly specialized segment of the market.

A)niche
B)supply
C)demand
D)regional
E)global

Question 48

Which of the following could be used as an advantage by first-movers?

A)infrastructure is there for you to develop as you wish
B)cutting edge technology supports rapid innovation and product introduction
C)uncertainties of customer desires
D)once in, you can rest on your laurels as market leader
E)none of the above

Question 49

Which of the following are ways that cost reduction can be achieved by following a program of global marketing?

A)standardized packaging.
B)customized products.
C)using old products from one market for another.
D)hiring more workers.
E)eliminating warranties.

Question 50

_____ can be deterred by strong entry barriers.

A)Potential new entrants to the market
B)The bargaining power of suppliers
C)The bargaining power of buyers
D)The threat of substitute products or services
E)Existing rivals or competitors

Question 51

A company that uses flexible manufacturing, economies of scale, and perhaps limited product offerings is likely seeking an advantage as a _____.

A)loser
B)follower
C)cost leader
D)niche player
E)product differentiator

Question 52

The text refers to three primary approaches to gaining competitive advantage.Which is not one of them?

A)technology-driven approaches
B)financially-focused approaches
C)competitor-focused approaches
D)customer-driven approaches

Question 53

Estee Lauder has successfully responded to the needs of different market.This strategy is influenced by:

A)mail-focused approach.
B)linear-focused approach.
C)game-focused approach.
D)customer-focused approach.
E)Internet-focused approach.

Question 54

One of the chief barriers or limits to global marketing is the:

A)lack of respect for foreigners.
B)diversity of local environments.
C)amount of poor people in the world.
D)desire for affluent markets.
E)government control of markets.

Question 55

In global competition, _____ companies may be vulnerable to large-scale operators.

A)demand-oriented
B)niche players
C)supply-oriented
D)technology-oriented
E)consumer-oriented

Question 56

Traditionally, _____ has been concentrated in the headquarters country of a global company.

A)hiring and firing
B)human resources
C)manufacturing
D)research and development
E)none of the above

Question 57

The multidimensional nature of competitive industry structure includes the following except:

A)language translation
B)bargaining power of suppliers.
C)threat of new entrants.
D)threat of substitute products.
E)bargaining power of buyers.

Question 58

What are some of the possible hallmarks of interdependency?

A)reliance on other firms for supplies or technology
B)relocating in foreign markets because of government intervention
C)component standardization
D)technology intensity
E)all of the above

Question 59

BMW of Germany and Volvo of Sweden are examples of companies using a(n) _____ strategy to achieve success.

A)product differentiation
B)cost leader
C)price leader
D)innovator
E)niche

Question 60

Cost leaders may be vulnerable to firms that use:

A)a quality strategy.
B)a timing strategy.
C)a local strategy.
D)a marketing strategy.
E)a product differentiation strategy.

Question 61

The textbook discusses four different ways of developing a global product policy, all of which are generally considered an effective means to streamline manufacturing except:

A)core components standardization.
B)product design families.
C)universal product with all features.
D)universal product with different positioning.
E)local product with core components.

Question 62

One of the real sources of Japanese inspiration and competitiveness is that they excel in the management of the _____ interface.

A)production/quality
B)marketing/R&D
C)purchasing/marketing
D)purchasing/outsourcing
E)budget/manufacturing

Question 63

Which of the following is one of the four ways of developing a global product policy to streamline manufacturing (thus lowering manufacturing cost without sacrificing marketing flexibility)?

A)dynamic service packages
B)multiple source options
C)universal electrification of components
D)core component standardization
E)universal prices.

Question 64

Research has shown that the marketplace has become a virtual _____ for Japanese companies to gain production and marketing experience, as well as to perfect technology.

A)human laboratory
B)marketing laboratory
C)psychological laboratory
D)R&D laboratory
E)promotions laboratory

Question 65

Jollibee Foods, a family-owned fast food company is from:

A)South Korea
B)China
C)Japan
D)the Philippines
E)Singapore

Question 66

A _____ is where unique local competition is nurturing product and service standards to be adopted by the rest of the world over time.

A)lead market
B)slow market
C)backward market
D)grey market
E)black market

Question 67

In the area of _____ product with different positioning, a _____ product can be developed with different market segments in mind.

A)national
B)multinational
C)regional
D)local
E)universal

Question 68

Bajaj is an Indian _____ manufacturer.

A)Scooter
B)Bicycle
C)Steel
D)high-tech
E)shoe

Question 69

Seiko, a Japanese watchmaker, offers a wide range of designs and models, but they are based on only a handful of different operating mechanisms.This would be an example of which of the global product policies listed below?

A)core component standardization
B)core component miniaturization
C)product design families
D)universal product with all features
E)universal product with different positioning

Question 70

A key to pursuing a product policy of product design families (or product design standardization) lies in:

A)good engineering.
B)quality control.
C)good die-casts.
D)standardization of components and basic designs.
E)standardization of labor.

Question 71

Honda markets the Honda Accord around the world by positioning it differently from country to country.The car, however, is almost identical no matter which market it is sold in.This would be an example of which of the following product policy options?

A)core components standardization
B)core components miniaturization
C)product design families
D)universal product with all features
E)universal product with different positioning

Question 72

Regional strategies can be defined as the _____ in pursuit of regional production, branding, and distribution advantages.

A)cross-subsidization of market share battles
B)cross-harmonization of market share battles
C)cross-miniaturization of market share battles
D)cross-globalization of market share battles
E)none of the above

Question 73

Toyota Motor Company offers several car models based on a similar family design concept, ranging from Lexus models to Toyota Avalon, Camrys, and Corollas.This is an example of:

A)brand design families.
B)high-tech design families.
C)hybrid design families.
D)unique design families.
E)product design families.

Question 74

Successful _____ policy requires development of universal products, or products that demand no more than a cosmetic change for adaptation to differing local needs and use conditions.

A)core product
B)global product
C)regional product
D)quality product
E)local product with core components

Question 75

Japanese consumers fond of high-tech gadgets may even set the world standard for gas pumps that come equipped with online service that offer motorists access to weather forecasts and traffic information.This is an example of a:

A)grey market.
B)slow market.
C)backward market.
D)lead market.
E)black market.

Question 76

Lead markets represent countries where innovations in particular industries are prone to take place.All of the following are examples of lead countries except:

A)the United States in smartphones.
B)Japan in fax machines.
C)Germany for industrial control equipment.
D)France for fashion clothing and perfume.
E)Canada for computer hardware.

Question 77

All of the following are examples of global product policies except:

A)core component standardization.
B)core component miniaturization.
C)product design families.
D)universal product with all features.
E)universal product with different positioning.

Question 78

Multinational firms using profit gained in a market where they have a strong competitive position to beef up their competitive position in a weak market is referred to as the:

A)cross-exploration of markets.
B)cross-harmonization of markets.
C)cross-homogenization of markets.
D)cross-subsidization of markets.
E)none of the above.

Question 79

Electrolux, a Swedish appliance manufacturer, has adopted which of the following product policies when offering different products under four different brand names, but using the same basic designs?

A)core component standardization
B)core component miniaturization
C)product design families
D)universal product with all features
E)universal product with different positioning

Question 80

When a universal product is developed with different market segments in mind, it is an example of which of the following product policies?

A)core components standardization
B)core components miniaturization
C)product design families
D)universal product with all features
E)universal product with different positioning