Deck 6: Strategic Planning

Question 1

Countries in the triad region are United States, Canada, and Honduras.

Answer 1

False

Question 2

The media revolution is creating a common fabric of attitudes and tastes among teenagers

Answer 2

True

Question 3

In highly contested consumer goods sectors, launching a new brand may cost as much as $100 million.

Answer 3

True

Question 4

Globalization strives to reduce costs by pooling production or other activities or exploiting factor costs or capabilities within a system.

Question 5

Glocalization is a mindset that says, "Go locate a product category" in an effort to substantiate target markets.

Question 6

A focus strategy is defined by its emphasis on a single industry within which the orientation may be toward either low cost or differentiation.

Question 7

Segmentation is the standardization of benefits and approaches the markets on a regional basis, ignoring political boundaries.

Question 8

NIH is an acronym for Not-Invented-Here syndrome.

Question 9

Cross-subsidization is the use of resources accumulated in one part of the world to fight a competitive battle in another.

Question 10

Global marketing can be seen as a culmination of a process of international market entry and expansion.

Question 11

Many industries have become global industries. Which one of the following is not one of the major global industries?

A) Consumer electronics
B) Pharmaceuticals
C) Home appliances
D) Charcoal manufacturing

Question 12

Leading companies, by their very actions, drive the globalization process.

Question 13

Two of the most powerful globalization drivers involve avoiding cost inefficiencies and duplication of effort.

Question 14

Mininationals are consortiums of companies (like Chambers of Commerce) that act as a lobbying force for global issues.

Question 15

In pursuing cost leadership, the global marketer offers an identical product at a higher cost than the competition.

Question 16

Strategic Business Units represent groupings based on product-market similarities.

Question 17

Institutionalization reflects a business orientation based on the belief that the world is becoming more homogenous and that distinctions between national markets are not only fading, but for some products, will eventually disappear.

Question 18

Executing global account management takes an account executive from a local firm and sends them around the world to situations of extreme need.

Question 19

A global strategy does not imply that a company should serve the entire globe.

Question 20

The quest for cost savings and improved transportation and transfer methods has allowed some marketers to concentrate customer service activities rather than have them present in all country markets.

Question 21

During the ________ stage of strategy planning, the company takes a look at its own organization and its capacity for establishing and sustaining competitive advantage within global markets.

A) external blocking
B) forensic marketing
C) internal analysis
D) competitive analysis

Question 22

____________ takes advantage of the marketer's real or perceived uniqueness on elements such as design or after-sales services.

A) Posterization
B) Flamboyance
C) Situational comedy
D) Differentiation

Question 23

When marketers plan on a country-by-country basis instead of on a global basis, the result can be ________.

A) fluid placement of products.
B) structured over-frames.
C) the hourglass phenomena.
D) spotty worldwide performance.

Question 24

One of the side benefits for international marketers that have been able to globalize is that customer service is:

A) centralized and concentrated rather than being in all country markets.
B) not required because customers do not need service.
C) government control of customer service requirements.
D) subsidized by customer service activities in the U.S.

Question 25

When a company uses resources accumulated in one part of the world to fight a competitive battle in another, this is called:

A) spot affluence.
B) trigger economics.
C) pre-sensor clearinghouse.
D) cross-subsidization.

Question 26

Which of the following strategies is not one of the three that the marketing manager has at his/her disposal for competitive strategizing?

A) Target positioning
B) Cost leadership
C) Differentiation
D) Focus

Question 27

What do the consumers in the triad nations have in common?

A) Gender and political affiliation
B) Religious groups and marital status
C) Income levels, educational backgrounds, and leisure time
D) Ethnicity and culture

Question 28

Which of the following statements about technology and international marketing is accurate?

A) Computers have not affected international marketing because it is relational.
B) Technological evolution is contributing on a rapid scale to the changes taking place in international marketing.
C) E-business has not taken hold in international marketing.
D) Web pages are written in English because of the lack of globalization.

Question 29

Which of the following is the first step in the planning process to develop strategy?

A) Identify markets served.
B) Identify competitors.
C) Provide a clear definition for the business.
D) Identify the tax base.

Question 30

What are the two portfolio models which have been proposed as tools for analysis?

A) Scrutiny and comprehensiveness
B) Speech valuation and written communication
C) Internal strength and external attractiveness
D) Competitive brevity and filtration

Question 31

When a company decides to diversify its portfolio and develops a strategy characterized by growth in a relatively large number of markets, this is known as:

A) speculation.
B) sparsity.
C) density.
D) diversification.

Question 32

The _______________ approach seeks uniformity, especially in elements that are strategic in nature, but also takes care to localize necessary tactical elements.

A) cost saving
B) peripheral
C) glocalization
D) expanded

Question 33

Which of the following geographic regions is not in the triad?

A) Spain and Portugal
B) North America
C) Europe
D) Asia-Pacific region

Question 34

When a marketer decides to focus its resources on a smaller number of markets as opposed to a broad number of markets, this is known as:

A) concentration.
B) stipulation.
C) specification.
D) breaching.

Question 35

One of the goals of globalization is to reduce costs by:

A) charging a lot more for product sold.
B) using a skimming technique of increasing prices for brand name merchandise.
C) collecting unnecessary surplus and dumping it in receptive markets.
D) reducing costs by pooling production or exploiting factor costs or capabilities.

Question 36

Which of the following represents a common trend regarding government barriers to international marketing?

A) Many regulations and laws have increased.
B) Because international marketing is global, it is not subject to government regulation.
C) Global development is regulated by the World Trade Organization (WTO).
D) Barriers have fallen dramatically in the last years to further facilitate the globalization of markets.

Question 37

Which combination of variables do most global marketers combine to expand their market shares?

A) Price and place
B) Spiritual and cultural
C) Stagnation and multi-transactional
D) Differentiation and cost containment

Question 38

Which of the following is not one of the three factors that should help determine country selection?

A) Space
B) Stand alone attractiveness
C) Global strategic importance
D) Possible synergies

Question 39

For what does the acronym SBU stand?

A) Single Buyers Union
B) Systematic Bilateral Use
C) Strategic Buyers Union
D) Strategic Business Unit

Question 40

Which of the following are the two most powerful globalization drivers?

A) War and conflict
B) External and boundary specification
C) Permission and oscillating marketing
D) Cost inefficiencies and duplication of effort

Question 41

Coca-Cola, one of the most successful international and global marketers in the history of the world, recognized the need to be concerned about local products when it purchased:

A) a new processing plant in Georgia.
B) an airplane to ship products worldwide.
C) a pipeline to send pre-produced product to bottlers.
D) Inca Cola in Peru.

Question 42

Which of the following statements is true about organizational structures in the globalization effort?

A) Various organizational structures have developed.
B) All companies have used the structure set up originally by Coca Cola's example.
C) Due to the intricate nature of global marketing, all marketers use the same approach.
D) Only companies that have both local and global offices use a globalization structure.

Question 43

Which of the following does not describe a policy to help diffuse the emergence of the NIH syndrome?

A) Ensure that local managers participate in the development of marketing strategies.
B) Dictate to the local markets the philosophy of the global headquarters.
C) Encourage local managers to generate ideas for possible global use.
D) Maintain a product portfolio that includes locals as well as regional and global brands.

Question 44

Finish this statement: Without local commitment, no global program will_______.

A) survive.
B) be local.
C) format its product line to the converse.
D) punish the consumer.

Question 45

In truly global companies, very little decision making occurs that does not support the goal of treating the world as:

A) a varying mix of important customers.
B) an influential marketing partner.
C) a single market.
D) a collection of major cities.

Question 46

Why are global marketers interested in the Triad regions of North America, Europe and the Asia Pacific region?

Question 47

NIH syndrome is about:

A) the concepts of parochial schools and their demise in face of public education.
B) local government and the inability of structured taxation to replace global expenditures.
C) local offices feeling that global headquarters are forcing the planning process on them.
D) pre-presentation of suggested quality reforms.

Question 48

The successful global marketers of the new century will be those who can achieve a balance between country managers and:

A) customers.
B) importers.
C) brands.
D) product managers at headquarters.

Question 49

A program to build relationships with important customers and to develop systems and interaction internally is known as:

A) justification.
B) global account management.
C) situational relevance.
D) VIP marketing.

Question 50

Why is standardization not the answer for companies wishing to go global?

Question 51

Why are marketers extending national account management programs across countries typically for the most important customers?

A) To deal with the globalization of customers
B) Because it is required
C) They are following the lead of other marketers.
D) Local marketing does not do this.

Question 52

The success of global marketers of the future will be defined by those who can achieve a balance between:

A) cost and expenditures.
B) local and global concerns.
C) cost and inventory control.
D) placement and price.

Question 53

How is information exchange facilitated in a global company?

A) Dictation
B) Routing
C) Worldwide conferences and periodic meetings
D) Monopolizing

Question 54

Why is strategic planning critical in global marketing?

Question 55

Giving mid-level managers more experience in working with others of different nationalities to expose them to other markets and surroundings is knows as:

A) articulation.
B) profit sharing.
C) placement of objectives.
D) personnel interchange.

Question 56

Building relationships with important customers while also allowing for the development of internal systems and interaction on a global basis is called:

A) glocalization.
B) developing focal points.
C) saturation.
D) global account management.

Question 57

Which of the following is not one of the pitfalls that handicap global marketing programs and contribute to their suboptimal performance?

A) Filesharing
B) Insufficient research
C) Over-standardization
D) Inflexibility in planning and implementation