Deck 7: The International Market Environment for Brand Promotion

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Question
There are a few human expressions that are commonly interpreted in the similar ways.
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Question
Analyzing international audiences is easy. Researchers have only to evaluate economic conditions, demographics, and product usage.
Question
Supporters of the globalization of international advertising campaigns focus on similarities between countries. Supporters of the localization of international advertising campaigns focus on the differences.
Question
A company decides to expand distribution of its brand of spaghetti sauce to several foreign markets. Optimally, market research should

A) emphasize the use of secondary sources.
B) be performed in each country the company is expanding into.
C) be performed until there appear to be consistent results between countries.
D) emphasize the use of self-reference criteria.
Question
People from different cultures can see the same picture and walk away with extremely different interpretations.
Question
When a company breaks the world into three classes of economic conditions, it does so because

A) tastes and preferences tend to be similar within economic classes.
B) cultures in newly industrialized countries are often easier to understand.
C) values tend to be similar within economic classes.
D) it helps define the economic capabilities of consumers.
Question
Cultural values are enduring beliefs about what is important to the members of a culture, which also has important effects on advertising.
Question
The biggest challenge facing international advertisers is probably in the area of media. Meeting this challenge is especially important in light of the fact that media costs represent a majority of the costs in most advertising budgets.
Question
Nearly 75 percent of the world's population lives in

A) less-developed countries.
B) newly industrialized countries.
C) emerging economies.
D) highly industrialized countries.
Question
When planning international advertising, managers must be careful to avoid reference to one's own cultural values or experiences known as ____.

A) global misunderstanding
B) international barriers
C) the self-reference criterion
D) geocentrism
Question
Advertising agencies must continuously decide how to overcome cultural barriers to communicate effectively.
Question
While a demographic analysis of a country provides guidance in media decisions, it is of minimal use in determining the type of advertising an agency should do.
Question
American consumption values are being adopted by many countries around the world.
Question
Advertisers must structure their advertising to accommodate the wide variety of international regulations.
Question
One of the biggest mistakes an advertiser can make is to assume that rituals are similar among cultures.
Question
Less-developed countries depend on consumer products to heighten their standard of living.
Question
Global agencies have the backing and resources to tap into local cultures better than any other type of agency.
Question
Ethnocentrism is the term used to describe each individual's tendency to view and value things from the perspective of one's own cultures.
Question
There is a widely held belief that words are less culturally bound than are pictures.
Question
One of the most culturally bounded approaches to advertising involves

A) language
B) humor
C) emotion
D) symbols and rituals
Question
The term localized campaign refers to

A) presenting the same creative execution to specific local markets.
B) using local agencies to prepare advertisements.
C) using different creative executions in different markets.
D) producing a campaign in the same area in which it will be run.
Question
Which of the following is assisting media buyers in meeting the global media-buying challenge?

A) The reduction in the number of media options
B) The universal acceptance of advertising in media vehicles
C) The emergence of comprehensive, consistent cross-cultural regulations
D) The emergence of global television networks
Question
Which of the following is true of rituals? They

A) perpetuate a culture's connection to its core values
B) seem perfectly natural to members of a culture
C) involve many consumer behaviors
D) all of these statements about rituals are true
Question
The advantage of a global (or worldwide) agency in preparing international advertising is that

A) if the agency handles the domestic (U.S.-based advertising) for a firm, it will know the advertiser's products well.
B) the geographic proximity of the advertiser to the agency headquarters can facilitate planning.
C) the size of a global agency can provide a benefit of economies of scale.
D) the size of a global agency can be a benefit in political leverage.
Question
Which of the following has not had a regulatory limitation placed on it in an international market?

A) The times that certain products can be advertised
B) The use of national symbols
C) The type of appeal used
D) All of these have had limits placed on them
Question
The American advertising icon the Marlboro Man is most often pictured alone. He's out roping and branding and riding and smoking and doing whatever manly things he wants to do, whenever he wants to do them. It could be said that he embodies the American spirit of individualism. When rolling out the Marlboro Man to different cultures, it is important to see how people react to this image. Research into ____ would be the most important type of research to conduct.

A) economic conditions
B) demographics
C) values
D) customs and rituals
E) product use and preferences
Question
Which of the following is not associated with the high costs of international advertising?

A) Preparing multiple ads to run in multiple languages
B) The incredible number of markets that must be reached to get full coverage
C) A shortage of available media space and time
D) The expansion of Internet advertising
Question
The book describes three distinct challenges that complicate the execution of advertising in international settings. The three challenges that must be overcome are

A) the verbal, the visual, and the symbolic.
B) product, promotion, and price.
C) creative, media, and regulatory.
D) comprehension, retention, and interpretation.
Question
High per capita income and high GDP define:

A) the G-8 countries
B) less-developed countries
C) highly industrialized countries
D) newly industrialized countries
Question
One of the most devastating mistakes an advertiser can make is to presume that consumers in one culture have the same ____ as those of another culture.

A) rituals
B) product uses
C) income
D) demographics
Question
One of the most frustrating aspects for Americans of the global media challenge is that

A) there are not enough newspapers worldwide to reach the intended audience.
B) media prices are subject to negotiation--no matter what the rate card says.
C) there are no rate cards for media in foreign markets.
D) there is no negotiation of media rates--media firms are rigid in their pricing.
Question
In today's advertising environment, conditions for globalized campaigns have become ____.

A) impossible
B) less favorable
C) more favorable
D) unpredictable
Question
A company that manufactures designer plumbing fixtures is in the process of advertising its product internationally. However, company management has expressed frustration over poor communication with agencies and a lack of cohesive creative work. Most likely, the company is working with

A) in-house agencies.
B) global agencies.
C) local agencies.
D) international affiliates.
Question
The regulatory restrictions one must be aware of when placing international advertising

A) are designed to protect products manufactured within each market.
B) reflect the cultural values within each market.
C) have not been applied to emerging media, as of yet.
D) are fairly standard across markets.
Question
The world marketplace seems to be shifting toward conditions that increase the likelihood of globalized campaigns. Which of the following is not a trend that will encourage this move?

A) Younger audiences seem to be becoming more and more similar.
B) Local values are becoming less important in the success or failure of a campaign.
C) Global communications are making viewers more similar to each other.
D) Demographic trends in many countries seem to be mirroring those in the United States.
Question
Many newly industrialized countries have a distinct opportunity to surge ahead economically; it is called

A) the natural resource dividend
B) the cultural dividend
C) the demographic dividend
D) the technology dividend
Question
Enduring beliefs about what is important to the members of a culture are

A) rituals.
B) customs.
C) attitudes.
D) values.
Question
The medium with the most localized worldwide coverage is

A) television.
B) radio.
C) magazines.
D) newspapers.
Question
The single greatest advantage that international affiliates can offer over global agencies is

A) lower production costs.
B) more branch offices.
C) greater understanding of product and strategy.
D) greater knowledge of local markets.
Question
There are numerous commercial research firms that can provide advertising relevant data on how consumers around the world

A) vote.
B) petition their governments.
C) display different product use characteristics and preferences.
D) perceive the United States.
Question
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) Local agencies that lost business to the global agency will be unhappy with the decision. They can rightly argue that the agency that won the business

A) probably will not save Heinz money in the production of materials.
B) cannot match their knowledge of area culture and conditions.
C) is too large to effectively and efficiently communicate with Heinz.
D) cannot provide the political leverage that a local agency can.
Question
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) The advertisement described would be considered mildly offensive in one culture because, while condom use in general is considered acceptable within the culture, it's considered improper for the woman to provide the condom. This information has the best chance of being revealed through cross-cultural research into

A) economic conditions.
B) demographic characteristics.
C) values.
D) customs and rituals.
Question
Scenario 7-4
It doesn't matter where in the world you are or how well off, the fast food culture has become a way of life for all of us. According to the latest findings from ACNielsen, the world's leading market research firm, nearly all Hong Kong people (97%) are fast food patrons. A fast food culture has shaped the lifestyles of us all, and with fast food operators introducing healthier options in the form of salads and low carb meals, consumers today have greater choice than ever before.
While building a good brand image is close to the heart of most marketers, it is worth noting that brand image appears to have little influence on consumer choice of take away restaurants. Brand Image ranked the least important among all respondents. Among the international fast food chains and local operators, McDonalds was the world's most popular with 68 percent of people in the 28 major countries picking it as the first choice for take away food. KFC ranks No.2 at 32 percent and Pizza Hut ranks No.3 at 29 percent. Nevertheless local fast food chains also have a strong foothold taking Hong Kong as an example, 62 percent also chose local operators as their choice of fast food restaurants, and as ACNielsen I-Scan ImpulseTM indicates those local chains include Caf'de Coral and Maxim's. (Asians the World's Greatest Fast Food Fans.Two thirds of Hong Kongers frequent at least once a week, December 23, 2004. http://acnielsen.com.)
(Scenario 7-4) In an attempt to get a fix on whether or not to enter this market, an advertiser performs an analysis of economic conditions. Which piece of information is this analysis most likely to reveal?

A) Television stations often charge a higher rate for foreign-owned enterprises to advertise.
B) 37.3 percent of the total population is between the ages of 15 and 34.
C) Chinese consumer trust in advertising is among the highest in the world.
D) Most Chinese consumers have annual incomes of less than $1000.
Question
Scenario 7-4
It doesn't matter where in the world you are or how well off, the fast food culture has become a way of life for all of us. According to the latest findings from ACNielsen, the world's leading market research firm, nearly all Hong Kong people (97%) are fast food patrons. A fast food culture has shaped the lifestyles of us all, and with fast food operators introducing healthier options in the form of salads and low carb meals, consumers today have greater choice than ever before.
While building a good brand image is close to the heart of most marketers, it is worth noting that brand image appears to have little influence on consumer choice of take away restaurants. Brand Image ranked the least important among all respondents. Among the international fast food chains and local operators, McDonalds was the world's most popular with 68 percent of people in the 28 major countries picking it as the first choice for take away food. KFC ranks No.2 at 32 percent and Pizza Hut ranks No.3 at 29 percent. Nevertheless local fast food chains also have a strong foothold taking Hong Kong as an example, 62 percent also chose local operators as their choice of fast food restaurants, and as ACNielsen I-Scan ImpulseTM indicates those local chains include Caf'de Coral and Maxim's. (Asians the World's Greatest Fast Food Fans.Two thirds of Hong Kongers frequent at least once a week, December 23, 2004. http://acnielsen.com.)
(Scenario 7-4) An international company is about to enter the Chinese market with a campaign in the medium that requires the most local knowledge to use correctly. It is going to use

A) direct mail.
B) newspapers.
C) outdoor advertising.
D) satellite transmission television.
Question
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) In 1990, when the first radio advertisements were aired in Tanzania, many listeners were bewildered by the concept of advertising. They simply did not understand what they were listening to. This is an example of

A) the brands of products being advertised not having a global appeal.
B) companies not understanding the unique demographic characteristics of Tanzania.
C) culture-free communication.
D) a low degree of shared meaning between advertiser and consumer.
Question
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) The scene in this ad most likely shares a similar interpretation by people in France. Holidays at the beach are common, so French readers can readily interpret the elements in the visual. However, if a woman in another culture has no experience with vacations on the beach and sees this ad, the visual may be unintelligible. This underscores the importance of the understanding of ____ by global advertisers.

A) picturing
B) values
C) ethnocentrism
D) product use
Question
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) A person from a different culture sees the ad and decides that the French are immoral because they run condom ads in magazines, whereas they are not seen in general consumer magazines in this country. This person is engaging in

A) the use of self-reference criteria.
B) cultural regulation.
C) ethnocentrism.
D) cultural fingerprinting.
Question
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) If Leo Burnett is going to prepare advertisements for one of Heinz's promotions, it will have to pay special attention to ____, as its use requires the most localized market knowledge.

A) outdoor advertising
B) newspaper advertising
C) radio advertising
D) global television network advertising
Question
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) Heinz is looking for a consistent image across all markets to create equity in the brand. Which of the following is not a trend that creates favorable conditions for its global efforts?

A) Young people all over the world are adopting similar consumption patterns.
B) Advertising is creating a set of shared values in what were once diverse cultures.
C) Demographic trends that emerged in the United States in the 1980s are being mirrored in cultures all over the world.
D) American goods are gaining popularity all over the world.
Question
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Country X is part of a market where 75% of the world lives. Which of the following types of country is Country X?

A) Less developed nations
B) Newly industrialized countries
C) Highly industrialized nations
D) Techno-forward countries
Question
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Research has suggested that the relatively low income consumers in Country Y constitute a market with great potential for Ash. Which of the following is most likely to be Country Y?

A) the United States
B) Japan
C) India
D) Germany
Question
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) If a condom manufacturer was considering entering a different culture with its product, just about any research it performed would have the potential for enlightenment. However, if the company was specifically trying to determine if the underlying core beliefs of a culture precluded it from being able to sell a form of birth control, the company would be best advised to research the culture's

A) economic conditions.
B) demographic characteristics.
C) values.
D) customs and rituals.
Question
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) If PSA began marketing water purification in Tanzania without ever asking if the Tanzanian market knew anything about water pollution, the organization is

A) guilty of ethnocentrism.
B) using global advertising.
C) using a self-reference criterion.
D) a victim of the regulatory challenge.
Question
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) If a condom manufacturer considers doing a global campaign for a specific brand of condoms, it must be especially concerned with two of the three major challenges that complicate the execution of advertising in international settings. These challenges are

A) global challenges and local challenges.
B) verbal challenges and visual challenges.
C) brand challenges and strategy challenges.
D) creative challenges and regulatory challenges.
Question
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) A marketer of jams and jellies considers entering the Tanzanian market. As it researches the market, it discovers that Tanzanians eat their bread dry. To discover this, the marketer most likely performed

A) research into economic conditions.
B) research into customs and rituals.
C) demographic research.
D) product use and preferences research.
Question
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) Lowe Scanad East Africa is one of the largest advertising agencies in Tanzania. With an office in Dar es Salaam, it can lay claim to having localized knowledge of a market that is unique in many ways. Over time, however, the development of ____ may help create consumption practices that are similar to those in the United States.

A) culture-free communications
B) its newspaper industry
C) localized advertising campaigns
D) DBS satellite technology
Question
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Country X buys a lot more of Ash's products for use in food processing than they do for direct sales to consumers. Which of the following classes of economic development likely best describes Country X?

A) a G-8 country
B) a less-developed country
C) an EU or EC country
D) a newly industrialized country
Question
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) Which of the following is not an argument for the localization of marketing efforts?

A) Different product attributes have different importance levels in different markets.
B) An effort cannot be successful if it ignores local customs and values.
C) Having to create individualized campaigns for local markets creates a powerful economy of scale.
D) A campaign is likely to fail if it does not fully assess and understand local competitive efforts.
Question
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Country X's consumers are, on average, much younger than consumers in the United States. Which of the following world regions in Country X most likely located in?

A) North America
B) Asia
C) Western Europe
D) Africa
Question
Scenario 7-4
It doesn't matter where in the world you are or how well off, the fast food culture has become a way of life for all of us. According to the latest findings from ACNielsen, the world's leading market research firm, nearly all Hong Kong people (97%) are fast food patrons. A fast food culture has shaped the lifestyles of us all, and with fast food operators introducing healthier options in the form of salads and low carb meals, consumers today have greater choice than ever before.
While building a good brand image is close to the heart of most marketers, it is worth noting that brand image appears to have little influence on consumer choice of take away restaurants. Brand Image ranked the least important among all respondents. Among the international fast food chains and local operators, McDonalds was the world's most popular with 68 percent of people in the 28 major countries picking it as the first choice for take away food. KFC ranks No.2 at 32 percent and Pizza Hut ranks No.3 at 29 percent. Nevertheless local fast food chains also have a strong foothold taking Hong Kong as an example, 62 percent also chose local operators as their choice of fast food restaurants, and as ACNielsen I-Scan ImpulseTM indicates those local chains include Caf'de Coral and Maxim's. (Asians the World's Greatest Fast Food Fans.Two thirds of Hong Kongers frequent at least once a week, December 23, 2004. http://acnielsen.com.)
(Scenario 7-4) A small U.S.-based company that makes and markets gardening tools has entered the Chinese market. However, management has been very frustrated by a lack of standardization in its strategic and creative efforts to reach the different regions of the country. The company is most likely using

A) a regional agency.
B) a global agency.
C) its domestic agency.
D) local agencies.
Question
List and describe the biases that make it difficult to overcome one's own cultural comfort zone. List three types of cross-cultural research and briefly explain why each is helpful in minimizing these biases when marketing a product in a different culture.
Question
Given the development phase their country is in and their demonstrated interest in western products like fast food, consumers in Singapore are likely to also be experiencing

A) changing roles for women as they enter the workforce in greater numbers
B) an Americanization of their preferences for brands and products
C) shifts in values and norms among the younger generation from traditional to global
D) all of these statements are likely to be true of consumers in Singapore
Question
Singapore has seen dozens of new Burger King restaurants open up in recent years as a result of its rapid economic growth. Which of the following classes of economic development likely best describes Singapore?

A) a G-8 country
B) a less-developed country
C) an EU or EC country
D) a newly industrialized country
Question
Describe the advantages of using a global advertising agency when you begin a global marketing effort. How is an international affiliate different from a global agency in structure? What is the disadvantage to an advertiser in using its agency's international affiliate to reach a market in a different country?
Question
Burger King managers believe that all customers are entitled to be served very high quality food. Therefore, they believe that standardization of offerings leads to higher and more consistent quality levels. Which of the following best describes this behavior?

A) values
B) rituals
C) product uses
D) preferences
Question
Scenario 7-6
Recently, an American business traveler visited a Burger King restaurant in downtown Singapore. As the customer viewed the menu board while standing in line, she noted that the menu was almost identical to that found in Burger Kind outlets in the United States. When she stepped up to place her order, she said, "I would like a Whopper; hold the mayonnaise." The man serving her at the counter, seeing that she was not a local citizen, smiled and said, "This is not the States, you can't 'have it your way.'" As a result, if she wanted to order a Whopper, she had to accept it with all of the standard condiments already applied.
(Scenario 7-6) After the server informed the customer that all sandwiches were prepared and served the same, she made the comment, "Why don't you guys do it our way and give the people a choice?" This indicates that the customer has a(n) ____ view of how business should be conducted in this market.

A) ethnocentric
B) geocentric
C) culturalcentric
D) internationalized
Question
Describe the various pressures that drive the costs of a global marketing effort upward when one is faced with buying media.
Question
Make an argument for the use of a globalized campaign as opposed to a localized campaign. Then summarize the opposing argument.
Question
Burger King advertisements in the United States and Singapore show only a picture of a fresh and delicious-looking Whopper. This is because the of role of ____ in cross-cultural communication.

A) wording
B) picturing
C) attitudes
D) demographics
Question
Explain why an understanding of the role of picturing is important to an advertiser. Describe the visual in a print advertisement that you have seen recently. Explain why it may or may not be interpreted differently by someone in a culture other than your own.
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Deck 7: The International Market Environment for Brand Promotion
1
There are a few human expressions that are commonly interpreted in the similar ways.
True
2
Analyzing international audiences is easy. Researchers have only to evaluate economic conditions, demographics, and product usage.
False
3
Supporters of the globalization of international advertising campaigns focus on similarities between countries. Supporters of the localization of international advertising campaigns focus on the differences.
True
4
A company decides to expand distribution of its brand of spaghetti sauce to several foreign markets. Optimally, market research should

A) emphasize the use of secondary sources.
B) be performed in each country the company is expanding into.
C) be performed until there appear to be consistent results between countries.
D) emphasize the use of self-reference criteria.
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5
People from different cultures can see the same picture and walk away with extremely different interpretations.
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6
When a company breaks the world into three classes of economic conditions, it does so because

A) tastes and preferences tend to be similar within economic classes.
B) cultures in newly industrialized countries are often easier to understand.
C) values tend to be similar within economic classes.
D) it helps define the economic capabilities of consumers.
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7
Cultural values are enduring beliefs about what is important to the members of a culture, which also has important effects on advertising.
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8
The biggest challenge facing international advertisers is probably in the area of media. Meeting this challenge is especially important in light of the fact that media costs represent a majority of the costs in most advertising budgets.
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9
Nearly 75 percent of the world's population lives in

A) less-developed countries.
B) newly industrialized countries.
C) emerging economies.
D) highly industrialized countries.
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10
When planning international advertising, managers must be careful to avoid reference to one's own cultural values or experiences known as ____.

A) global misunderstanding
B) international barriers
C) the self-reference criterion
D) geocentrism
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11
Advertising agencies must continuously decide how to overcome cultural barriers to communicate effectively.
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12
While a demographic analysis of a country provides guidance in media decisions, it is of minimal use in determining the type of advertising an agency should do.
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13
American consumption values are being adopted by many countries around the world.
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14
Advertisers must structure their advertising to accommodate the wide variety of international regulations.
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15
One of the biggest mistakes an advertiser can make is to assume that rituals are similar among cultures.
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16
Less-developed countries depend on consumer products to heighten their standard of living.
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17
Global agencies have the backing and resources to tap into local cultures better than any other type of agency.
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18
Ethnocentrism is the term used to describe each individual's tendency to view and value things from the perspective of one's own cultures.
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19
There is a widely held belief that words are less culturally bound than are pictures.
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20
One of the most culturally bounded approaches to advertising involves

A) language
B) humor
C) emotion
D) symbols and rituals
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21
The term localized campaign refers to

A) presenting the same creative execution to specific local markets.
B) using local agencies to prepare advertisements.
C) using different creative executions in different markets.
D) producing a campaign in the same area in which it will be run.
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22
Which of the following is assisting media buyers in meeting the global media-buying challenge?

A) The reduction in the number of media options
B) The universal acceptance of advertising in media vehicles
C) The emergence of comprehensive, consistent cross-cultural regulations
D) The emergence of global television networks
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23
Which of the following is true of rituals? They

A) perpetuate a culture's connection to its core values
B) seem perfectly natural to members of a culture
C) involve many consumer behaviors
D) all of these statements about rituals are true
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24
The advantage of a global (or worldwide) agency in preparing international advertising is that

A) if the agency handles the domestic (U.S.-based advertising) for a firm, it will know the advertiser's products well.
B) the geographic proximity of the advertiser to the agency headquarters can facilitate planning.
C) the size of a global agency can provide a benefit of economies of scale.
D) the size of a global agency can be a benefit in political leverage.
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25
Which of the following has not had a regulatory limitation placed on it in an international market?

A) The times that certain products can be advertised
B) The use of national symbols
C) The type of appeal used
D) All of these have had limits placed on them
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26
The American advertising icon the Marlboro Man is most often pictured alone. He's out roping and branding and riding and smoking and doing whatever manly things he wants to do, whenever he wants to do them. It could be said that he embodies the American spirit of individualism. When rolling out the Marlboro Man to different cultures, it is important to see how people react to this image. Research into ____ would be the most important type of research to conduct.

A) economic conditions
B) demographics
C) values
D) customs and rituals
E) product use and preferences
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27
Which of the following is not associated with the high costs of international advertising?

A) Preparing multiple ads to run in multiple languages
B) The incredible number of markets that must be reached to get full coverage
C) A shortage of available media space and time
D) The expansion of Internet advertising
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28
The book describes three distinct challenges that complicate the execution of advertising in international settings. The three challenges that must be overcome are

A) the verbal, the visual, and the symbolic.
B) product, promotion, and price.
C) creative, media, and regulatory.
D) comprehension, retention, and interpretation.
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29
High per capita income and high GDP define:

A) the G-8 countries
B) less-developed countries
C) highly industrialized countries
D) newly industrialized countries
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30
One of the most devastating mistakes an advertiser can make is to presume that consumers in one culture have the same ____ as those of another culture.

A) rituals
B) product uses
C) income
D) demographics
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31
One of the most frustrating aspects for Americans of the global media challenge is that

A) there are not enough newspapers worldwide to reach the intended audience.
B) media prices are subject to negotiation--no matter what the rate card says.
C) there are no rate cards for media in foreign markets.
D) there is no negotiation of media rates--media firms are rigid in their pricing.
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32
In today's advertising environment, conditions for globalized campaigns have become ____.

A) impossible
B) less favorable
C) more favorable
D) unpredictable
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33
A company that manufactures designer plumbing fixtures is in the process of advertising its product internationally. However, company management has expressed frustration over poor communication with agencies and a lack of cohesive creative work. Most likely, the company is working with

A) in-house agencies.
B) global agencies.
C) local agencies.
D) international affiliates.
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34
The regulatory restrictions one must be aware of when placing international advertising

A) are designed to protect products manufactured within each market.
B) reflect the cultural values within each market.
C) have not been applied to emerging media, as of yet.
D) are fairly standard across markets.
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35
The world marketplace seems to be shifting toward conditions that increase the likelihood of globalized campaigns. Which of the following is not a trend that will encourage this move?

A) Younger audiences seem to be becoming more and more similar.
B) Local values are becoming less important in the success or failure of a campaign.
C) Global communications are making viewers more similar to each other.
D) Demographic trends in many countries seem to be mirroring those in the United States.
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36
Many newly industrialized countries have a distinct opportunity to surge ahead economically; it is called

A) the natural resource dividend
B) the cultural dividend
C) the demographic dividend
D) the technology dividend
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37
Enduring beliefs about what is important to the members of a culture are

A) rituals.
B) customs.
C) attitudes.
D) values.
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38
The medium with the most localized worldwide coverage is

A) television.
B) radio.
C) magazines.
D) newspapers.
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39
The single greatest advantage that international affiliates can offer over global agencies is

A) lower production costs.
B) more branch offices.
C) greater understanding of product and strategy.
D) greater knowledge of local markets.
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40
There are numerous commercial research firms that can provide advertising relevant data on how consumers around the world

A) vote.
B) petition their governments.
C) display different product use characteristics and preferences.
D) perceive the United States.
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41
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) Local agencies that lost business to the global agency will be unhappy with the decision. They can rightly argue that the agency that won the business

A) probably will not save Heinz money in the production of materials.
B) cannot match their knowledge of area culture and conditions.
C) is too large to effectively and efficiently communicate with Heinz.
D) cannot provide the political leverage that a local agency can.
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42
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) The advertisement described would be considered mildly offensive in one culture because, while condom use in general is considered acceptable within the culture, it's considered improper for the woman to provide the condom. This information has the best chance of being revealed through cross-cultural research into

A) economic conditions.
B) demographic characteristics.
C) values.
D) customs and rituals.
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43
Scenario 7-4
It doesn't matter where in the world you are or how well off, the fast food culture has become a way of life for all of us. According to the latest findings from ACNielsen, the world's leading market research firm, nearly all Hong Kong people (97%) are fast food patrons. A fast food culture has shaped the lifestyles of us all, and with fast food operators introducing healthier options in the form of salads and low carb meals, consumers today have greater choice than ever before.
While building a good brand image is close to the heart of most marketers, it is worth noting that brand image appears to have little influence on consumer choice of take away restaurants. Brand Image ranked the least important among all respondents. Among the international fast food chains and local operators, McDonalds was the world's most popular with 68 percent of people in the 28 major countries picking it as the first choice for take away food. KFC ranks No.2 at 32 percent and Pizza Hut ranks No.3 at 29 percent. Nevertheless local fast food chains also have a strong foothold taking Hong Kong as an example, 62 percent also chose local operators as their choice of fast food restaurants, and as ACNielsen I-Scan ImpulseTM indicates those local chains include Caf'de Coral and Maxim's. (Asians the World's Greatest Fast Food Fans.Two thirds of Hong Kongers frequent at least once a week, December 23, 2004. http://acnielsen.com.)
(Scenario 7-4) In an attempt to get a fix on whether or not to enter this market, an advertiser performs an analysis of economic conditions. Which piece of information is this analysis most likely to reveal?

A) Television stations often charge a higher rate for foreign-owned enterprises to advertise.
B) 37.3 percent of the total population is between the ages of 15 and 34.
C) Chinese consumer trust in advertising is among the highest in the world.
D) Most Chinese consumers have annual incomes of less than $1000.
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44
Scenario 7-4
It doesn't matter where in the world you are or how well off, the fast food culture has become a way of life for all of us. According to the latest findings from ACNielsen, the world's leading market research firm, nearly all Hong Kong people (97%) are fast food patrons. A fast food culture has shaped the lifestyles of us all, and with fast food operators introducing healthier options in the form of salads and low carb meals, consumers today have greater choice than ever before.
While building a good brand image is close to the heart of most marketers, it is worth noting that brand image appears to have little influence on consumer choice of take away restaurants. Brand Image ranked the least important among all respondents. Among the international fast food chains and local operators, McDonalds was the world's most popular with 68 percent of people in the 28 major countries picking it as the first choice for take away food. KFC ranks No.2 at 32 percent and Pizza Hut ranks No.3 at 29 percent. Nevertheless local fast food chains also have a strong foothold taking Hong Kong as an example, 62 percent also chose local operators as their choice of fast food restaurants, and as ACNielsen I-Scan ImpulseTM indicates those local chains include Caf'de Coral and Maxim's. (Asians the World's Greatest Fast Food Fans.Two thirds of Hong Kongers frequent at least once a week, December 23, 2004. http://acnielsen.com.)
(Scenario 7-4) An international company is about to enter the Chinese market with a campaign in the medium that requires the most local knowledge to use correctly. It is going to use

A) direct mail.
B) newspapers.
C) outdoor advertising.
D) satellite transmission television.
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45
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) In 1990, when the first radio advertisements were aired in Tanzania, many listeners were bewildered by the concept of advertising. They simply did not understand what they were listening to. This is an example of

A) the brands of products being advertised not having a global appeal.
B) companies not understanding the unique demographic characteristics of Tanzania.
C) culture-free communication.
D) a low degree of shared meaning between advertiser and consumer.
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46
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) The scene in this ad most likely shares a similar interpretation by people in France. Holidays at the beach are common, so French readers can readily interpret the elements in the visual. However, if a woman in another culture has no experience with vacations on the beach and sees this ad, the visual may be unintelligible. This underscores the importance of the understanding of ____ by global advertisers.

A) picturing
B) values
C) ethnocentrism
D) product use
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47
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) A person from a different culture sees the ad and decides that the French are immoral because they run condom ads in magazines, whereas they are not seen in general consumer magazines in this country. This person is engaging in

A) the use of self-reference criteria.
B) cultural regulation.
C) ethnocentrism.
D) cultural fingerprinting.
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48
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) If Leo Burnett is going to prepare advertisements for one of Heinz's promotions, it will have to pay special attention to ____, as its use requires the most localized market knowledge.

A) outdoor advertising
B) newspaper advertising
C) radio advertising
D) global television network advertising
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49
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) Heinz is looking for a consistent image across all markets to create equity in the brand. Which of the following is not a trend that creates favorable conditions for its global efforts?

A) Young people all over the world are adopting similar consumption patterns.
B) Advertising is creating a set of shared values in what were once diverse cultures.
C) Demographic trends that emerged in the United States in the 1980s are being mirrored in cultures all over the world.
D) American goods are gaining popularity all over the world.
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50
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Country X is part of a market where 75% of the world lives. Which of the following types of country is Country X?

A) Less developed nations
B) Newly industrialized countries
C) Highly industrialized nations
D) Techno-forward countries
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51
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Research has suggested that the relatively low income consumers in Country Y constitute a market with great potential for Ash. Which of the following is most likely to be Country Y?

A) the United States
B) Japan
C) India
D) Germany
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52
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) If a condom manufacturer was considering entering a different culture with its product, just about any research it performed would have the potential for enlightenment. However, if the company was specifically trying to determine if the underlying core beliefs of a culture precluded it from being able to sell a form of birth control, the company would be best advised to research the culture's

A) economic conditions.
B) demographic characteristics.
C) values.
D) customs and rituals.
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53
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) If PSA began marketing water purification in Tanzania without ever asking if the Tanzanian market knew anything about water pollution, the organization is

A) guilty of ethnocentrism.
B) using global advertising.
C) using a self-reference criterion.
D) a victim of the regulatory challenge.
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54
Scenario 7-3
Biba is a French magazine whose audience comprises mainly women readers. In addition, it enjoys a fairly sizable international distribution. On occasion, the magazine runs advertisements from the French equivalent of the Department of Public Health. In one such ad, the visual consists of the corner of an earth-tone beach towel with sand around it. Lying on the towel is a pair of women's sunglasses, a book, a rock, and a condom in a foil wrapper. The headline reads in French, "Protection maximale."
(Scenario 7-3) If a condom manufacturer considers doing a global campaign for a specific brand of condoms, it must be especially concerned with two of the three major challenges that complicate the execution of advertising in international settings. These challenges are

A) global challenges and local challenges.
B) verbal challenges and visual challenges.
C) brand challenges and strategy challenges.
D) creative challenges and regulatory challenges.
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55
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) A marketer of jams and jellies considers entering the Tanzanian market. As it researches the market, it discovers that Tanzanians eat their bread dry. To discover this, the marketer most likely performed

A) research into economic conditions.
B) research into customs and rituals.
C) demographic research.
D) product use and preferences research.
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56
Scenario 7-1
In collaboration with the Ministries of Health and Water, PSI/Tanzania launched WaterGuard, a home water purification solution, in 2002. This simple, low-cost technology enables parents to purify their families drinking water conveniently at home, regardless of whether the water was obtained through a well, community taps, or mobile water vendor. WaterGuard is manufactured in Tanzania by a well established, private-sector soap and detergent company. Each 500 ml bottle of WaterGuard treats more than fifty 20 liter jerry cans of water- enough to provide the average family with clean drinking for a month. WaterGuard is being promoted through TV and radio advertising, point of sale signs, direct marketing events, and billboards. (PSI, http://www.psi.org, January 15, 2005).
(Scenario 7-1) Lowe Scanad East Africa is one of the largest advertising agencies in Tanzania. With an office in Dar es Salaam, it can lay claim to having localized knowledge of a market that is unique in many ways. Over time, however, the development of ____ may help create consumption practices that are similar to those in the United States.

A) culture-free communications
B) its newspaper industry
C) localized advertising campaigns
D) DBS satellite technology
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57
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Country X buys a lot more of Ash's products for use in food processing than they do for direct sales to consumers. Which of the following classes of economic development likely best describes Country X?

A) a G-8 country
B) a less-developed country
C) an EU or EC country
D) a newly industrialized country
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58
Scenario 7-2
In 1974, H. J. Heinz Company selected Leo Burnett Company, Inc. to handle national advertising for Heinz Ketchup, and in 2002, after an intensive agency review, awarded the agency the global advertising and brand positioning for Heinz Ketchup and other condiments and sauces. Forget those original 57 varieties: H.J. Heinz now has thousands of products. One of the world's largest food producers, Heinz produces ketchup, condiments, sauces, frozen foods, beans, and pasta. Heinz controls 60% of the US ketchup market. Its customers include US and international food retailers, the food service industry, and the US military. The company's leading brands include Ore-Ida frozen potatoes and Weight Watchers foods. (www.hoovers.com-Heinz).
(Scenario 7-2) Which of the following is not an argument for the localization of marketing efforts?

A) Different product attributes have different importance levels in different markets.
B) An effort cannot be successful if it ignores local customs and values.
C) Having to create individualized campaigns for local markets creates a powerful economy of scale.
D) A campaign is likely to fail if it does not fully assess and understand local competitive efforts.
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59
Scenario 7-5
Ash Chemical produces food additives and flavorings in the United States that are used by food processing companies and consumers throughout the world. Ash's products are sold under a variety of brand names based on whether the product is sold to business or consumer users. Demand differences in local markets are attributed to differences in culture, values, tastes, and preferences of end users. As a result, Ash spends a great deal of time conducting market research in dozens of different locales at any given time. Recently, Ash Chemical has devoted significant marketing effort toward Country X and Country Y.
(Scenario 7-5) Country X's consumers are, on average, much younger than consumers in the United States. Which of the following world regions in Country X most likely located in?

A) North America
B) Asia
C) Western Europe
D) Africa
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60
Scenario 7-4
It doesn't matter where in the world you are or how well off, the fast food culture has become a way of life for all of us. According to the latest findings from ACNielsen, the world's leading market research firm, nearly all Hong Kong people (97%) are fast food patrons. A fast food culture has shaped the lifestyles of us all, and with fast food operators introducing healthier options in the form of salads and low carb meals, consumers today have greater choice than ever before.
While building a good brand image is close to the heart of most marketers, it is worth noting that brand image appears to have little influence on consumer choice of take away restaurants. Brand Image ranked the least important among all respondents. Among the international fast food chains and local operators, McDonalds was the world's most popular with 68 percent of people in the 28 major countries picking it as the first choice for take away food. KFC ranks No.2 at 32 percent and Pizza Hut ranks No.3 at 29 percent. Nevertheless local fast food chains also have a strong foothold taking Hong Kong as an example, 62 percent also chose local operators as their choice of fast food restaurants, and as ACNielsen I-Scan ImpulseTM indicates those local chains include Caf'de Coral and Maxim's. (Asians the World's Greatest Fast Food Fans.Two thirds of Hong Kongers frequent at least once a week, December 23, 2004. http://acnielsen.com.)
(Scenario 7-4) A small U.S.-based company that makes and markets gardening tools has entered the Chinese market. However, management has been very frustrated by a lack of standardization in its strategic and creative efforts to reach the different regions of the country. The company is most likely using

A) a regional agency.
B) a global agency.
C) its domestic agency.
D) local agencies.
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61
List and describe the biases that make it difficult to overcome one's own cultural comfort zone. List three types of cross-cultural research and briefly explain why each is helpful in minimizing these biases when marketing a product in a different culture.
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62
Given the development phase their country is in and their demonstrated interest in western products like fast food, consumers in Singapore are likely to also be experiencing

A) changing roles for women as they enter the workforce in greater numbers
B) an Americanization of their preferences for brands and products
C) shifts in values and norms among the younger generation from traditional to global
D) all of these statements are likely to be true of consumers in Singapore
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63
Singapore has seen dozens of new Burger King restaurants open up in recent years as a result of its rapid economic growth. Which of the following classes of economic development likely best describes Singapore?

A) a G-8 country
B) a less-developed country
C) an EU or EC country
D) a newly industrialized country
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64
Describe the advantages of using a global advertising agency when you begin a global marketing effort. How is an international affiliate different from a global agency in structure? What is the disadvantage to an advertiser in using its agency's international affiliate to reach a market in a different country?
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65
Burger King managers believe that all customers are entitled to be served very high quality food. Therefore, they believe that standardization of offerings leads to higher and more consistent quality levels. Which of the following best describes this behavior?

A) values
B) rituals
C) product uses
D) preferences
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66
Scenario 7-6
Recently, an American business traveler visited a Burger King restaurant in downtown Singapore. As the customer viewed the menu board while standing in line, she noted that the menu was almost identical to that found in Burger Kind outlets in the United States. When she stepped up to place her order, she said, "I would like a Whopper; hold the mayonnaise." The man serving her at the counter, seeing that she was not a local citizen, smiled and said, "This is not the States, you can't 'have it your way.'" As a result, if she wanted to order a Whopper, she had to accept it with all of the standard condiments already applied.
(Scenario 7-6) After the server informed the customer that all sandwiches were prepared and served the same, she made the comment, "Why don't you guys do it our way and give the people a choice?" This indicates that the customer has a(n) ____ view of how business should be conducted in this market.

A) ethnocentric
B) geocentric
C) culturalcentric
D) internationalized
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67
Describe the various pressures that drive the costs of a global marketing effort upward when one is faced with buying media.
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68
Make an argument for the use of a globalized campaign as opposed to a localized campaign. Then summarize the opposing argument.
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69
Burger King advertisements in the United States and Singapore show only a picture of a fresh and delicious-looking Whopper. This is because the of role of ____ in cross-cultural communication.

A) wording
B) picturing
C) attitudes
D) demographics
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70
Explain why an understanding of the role of picturing is important to an advertiser. Describe the visual in a print advertisement that you have seen recently. Explain why it may or may not be interpreted differently by someone in a culture other than your own.
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