Question 1

Which defensive strategy involves diversifying into new products and markets?&#10;A) counteroffensive&#10;B) preemptive&#10;C) position&#10;D) mobile

Accepted Answer

The mobile defense strategy involves diversifying into new products and markets to protect a company's overall market position. This approach allows a company to move into new areas that can serve as future growth opportunities while defending against competitive threats.

Question 2

Which offensive strategy involves addressing needs or market segments that a competitor has neglected?&#10;A) bypass&#10;B) flanking&#10;C) guerilla&#10;D) encirclement

Accepted Answer

Flanking involves identifying a market niche or need that the competitor has not addressed. This allows the business to enter the market with a unique value proposition and gain an advantage over the competition. Bypass involves finding alternative distribution channels or market segments, guerilla involves using unconventional tactics to establish a foothold in the market, and encirclement involves targeting multiple aspects of the competitor's business simultaneously.

Question 3

Company X wants a low risk method for entering the global market that will not require a significant amount of resources.Which of the following methods would be LEAST appropriate for Company X?&#10;A) exporting&#10;B) licensing&#10;C) joint venture&#10;D) franchising

Accepted Answer

Joint venture involves sharing profits, risks, and control with another company, which can be a significant commitment of resources and may involve more risk than other entry methods. Exporting, licensing, and franchising are generally considered low risk methods for entering the global market that require fewer resources.

Question 4

A ________ strategy involves selling domestic products to a foreign market without making any adaptations.&#10;A) joint venture&#10;B) international&#10;C) multinational&#10;D) transnational

Accepted Answer

The strategy described is known as an international strategy, which involves selling domestic products to a foreign market without making any modifications or adjustments. Joint ventures, multinational strategies, and transnational strategies all entail varying degrees of adaptation or collaboration with foreign partners.

Question 5

Which strategy is characterized by inconsistent brand image,limited subsidiary control,and high marketing costs?&#10;A) multinational strategy&#10;B) exporting strategy&#10;C) international strategy&#10;D) licensing strategy

Accepted Answer

A multinational strategy often involves tailoring products and marketing strategies to specific local markets, which can lead to an inconsistent brand image across different countries. This approach also typically involves granting subsidiaries a degree of autonomy to respond to local conditions, which can limit the parent company's control. Additionally, adapting products and marketing efforts to fit various local markets can result in higher marketing costs.

Question 6

With the bypass strategy,a firm ________.&#10;A) uses new technology to overtake a former market leader&#10;B) offers many products to an undeveloped market segment&#10;C) launches many attacks on multiple market segments&#10;D) offers innovative products at competitive prices

Accepted Answer

The bypass strategy involves using new technology or a new market channel to overtake a former market leader. Therefore, option A is the best choice. Options B, C, and D do not accurately describe the bypass strategy.

Question 7

Which of the following is an advantage of the first-mover strategy?&#10;A) limited regulatory involvement&#10;B) access to important resources&#10;C) control over subsidiaries&#10;D) lower start-up costs

Accepted Answer

Access to important resources is an advantage of the first-mover strategy because it allows a company to establish strong relationships with suppliers, secure the best locations, and obtain scarce resources before competitors enter the market.

Question 8

What is a disadvantage of using the follower strategy?&#10;A) Value chains are unclear.&#10;B) The market needs to be educated.&#10;C) Innovation costs and risks are high.&#10;D) The most attractive market position has been taken.

Accepted Answer

The disadvantage of using the follower strategy is that the most attractive market position has already been taken, making it more difficult for a follower to gain market share and compete effectively. This is why D is the best choice. The other options are not specifically related to the follower strategy.

Question 9

What is a transnational strategy? Why has this market entry strategy become increasingly popular? What are the advantages and disadvantages of a transnational strategy?

Accepted Answer

The answer of What is a transnational strategy? Why has...

Question 10

The flexibility and low costs associated with exporting make the strategy popular among companies entering international markets for the first time.

Accepted Answer

Exporting allows companies to enter international markets without the high costs and risks associated with other entry modes such as foreign direct investment or licensing. It also offers flexibility in terms of scaling up or down the business according to market demand. Therefore, the statement is true.

Question 11

An international strategy is most effective if the foreign market resembles the domestic market; however,the organizational structure associated with an international strategy is highly complex.

Accepted Answer

The answer of An international strategy is most effective if...

Question 12

In many cases,the first mover acts as a ________.&#10;A) monopoly&#10;B) small business&#10;C) global strategist&#10;D) strategic business unit

Accepted Answer

The answer of In many cases,the first mover acts as...

Question 13

A follower strategy may lead to limited market share because first movers have taken the best customer segments.

Accepted Answer

The answer of A follower strategy may lead to limited...

Question 14

A firm using the follower strategy will most likely enter the market with a(n)________.&#10;A) new product that has never been seen&#10;B) product sold domestically and abroad&#10;C) improved version of an existing product&#10;D) adaptation of an online international product

Accepted Answer

The answer of A firm using the follower strategy will...

Question 15

What is the primary disadvantage of a joint venture?&#10;A) lack of local market knowledge&#10;B) imbalanced sharing of risks&#10;C) ineffective standards&#10;D) differences in culture

Accepted Answer

The answer of What is the primary disadvantage of a...

Deck 20: Note : Specific Marketing Strategies