Question 1

Which of the following is the best definition of international marketing?

Accepted Answer

International marketing involves planning and conducting transactions across national borders to create exchanges. This includes understanding cultural differences, adapting products and services to fit different markets, and developing marketing strategies for different countries. Options A, B, and D do not fully encompass the breadth of international marketing.

Question 2

One way to guard against market saturation of a product is:

Accepted Answer

Lengthening or rejuvenating the product life cycle in other countries can help to expand the market for the product and prevent market saturation in the original market. This can be done by targeting new geographic areas, demographics, or by making modifications to the product to meet the needs of different markets. Lowering interest rates or delaying the introduction of a new product may not necessarily prevent market saturation, and personalizing the message may not address the underlying issue of market saturation.

Question 3

Which of the following has traditionally been a domestic issue and is now an international issue?

Accepted Answer

Agriculture and farm policies affecting imports and exports have traditionally been a domestic issue, but with the increasing globalization and international trade, they have become an international issue. The policies of one country can have ripple effects on the economies and food security of other countries, making it a matter of global concern.

Question 4

Which country has had the most dramatic growth in exportation of merchandise and commercial services, between the periods 1990-2004?

Accepted Answer

China has had the most dramatic growth in exportation of merchandise and commercial services between the periods of 1990-2004. In 1990, China's total export of goods and services was $62.7 billion and by 2004, it had increased to $593.4 billion, representing a growth rate of 847%. This is significantly higher than the other countries listed.

Question 5

Which of the following statements is not true when describing the role of and the effect of international marketing on companies?

Accepted Answer

International marketing involves complex business decisions and strategies, and expanding into international markets can bring additional challenges and complexities. Therefore, it is not true that international marketing can simplify the process and eliminate complex business decisions.

Question 6

Which of the following events helped identify global linkages causing the world to realize that the systems of product development, distribution, and consumption are intertwined and related?

Accepted Answer

The worldwide oil crisis of 1970 revealed the global dependence on oil and the impact of political instability in oil-producing countries on the world economy. This event highlighted the interconnectedness of global systems and the impact of one system on another, leading to greater recognition of the need for international cooperation and a more sustainable approach to global development.

Question 7

Which of the following is not a bonafide trading bloc?

Accepted Answer

There is no trading bloc called SurAsia that includes both South America and Hong Kong. This answer is the odd one out as the other options are all legitimate trading blocs in their respective regions.

Question 8

Trade-based progress toward global wealth must include all of the following except:

Accepted Answer

Substantial quota increases would not be necessary for trade-based progress toward global wealth. The other options listed (substantial tariff reductions, extensive health-care and environmental aid, and massive debt write-offs) would all contribute to promoting global wealth through trade.

Question 9

By erecting barriers, charging tariffs, designing quotas, and implementing other import regulations, governments have attempted to:

Accepted Answer

By erecting barriers, charging tariffs, designing quotas, and implementing other import regulations, governments aim to restrict the impact of global trade and financial flows. These measures are intended to limit the amount of foreign goods and services entering the domestic market, which can protect domestic industries from competition and prevent the outflow of capital. However, such restrictions can also lead to higher prices for consumers and stifle innovation and growth in the protected industries.

Question 10

Common cultural pressures result in similar social phenomena and behavior around the world. To what does the text attribute more frequent shopping worldwide?

Accepted Answer

More dual-income families have led to increased disposable income and less time available for household chores, resulting in more frequent shopping worldwide.

Question 11

Technological innovation in marketing has direct effects on the efficiency of business. Which of the following statements is true?

Accepted Answer

Technological innovation allows for customization in order to meet diverse customer needs. This directly affects the efficiency of business by satisfying customers' needs and increasing the likelihood of repeat business. Options A, B, and D are incorrect as they do not accurately reflect the impact of technological innovation on business efficiency.

Question 12

What was the total GDP of the United States in 2002?

Accepted Answer

The question specifically asks for the total GDP of the United States in 2002, and the only option that provides an actual dollar amount is D, which states "Over ten trillion dollars." Options A and B provide specific dollar amounts, but they do not necessarily relate to the United States' GDP in 2002. Option C provides a comparison to Western Europe's GDP but does not give any information regarding the United States' GDP in 2002.

Question 13

The emergence of technology has created new markets for companies. Which of the following represents an example of this new market tendency?

Accepted Answer

This choice represents the emergence of a new market tendency, as it involves the delivery of traditional print media in a digital format. This shift has created new business opportunities for companies that specialize in digital publishing and distribution.

Question 14

For a firm that is just beginning to enter the global market, which of the following is not true?

Accepted Answer

The demand on time is high for a firm entering the global market due to the many complexities and challenges involved in international business. B, C, and D are all true as uncertainties about success, low level of knowledge about international complexities, and inflexible international environment are common challenges faced by firms entering the global market.

Question 15

Which of the following is an example of industries that are near extinction because of the inability of these groups to adjust to new technology?

Accepted Answer

VCRs are nearly extinct due to the rise of newer technologies such as DVD and streaming services. The inability to adjust to the changing technology has led to the decline of the industry. While the other industries listed may face challenges, they are not necessarily near extinction solely due to technology advancements.

Question 16

Terrorists succeed through:

Accepted Answer

Terrorists aim to create fear and chaos in society, often leading to a decrease in personal freedoms for individuals. This can be seen through increased security measures, surveillance, and restrictions on movement. Therefore, terrorists succeed when they are able to limit the freedoms of others.

Question 17

Which of the following adequately describes the amount of world wide exports of the United States?

Accepted Answer

According to the information provided in the question, the best choice is B. It states that in 2005, the share of U.S. exports accounted for 9 percent of world merchandise exports. This is the only option that gives a specific and current percentage of the U.S. share of worldwide exports. Options A and C both mention 1950, which is not relevant to the question. Option D talks about domestic product, which is not the same as exports.

Question 18

According to the text, international marketing differs from domestic marketing in three substantial ways. What are the three differences that marketers must take into account when conducting business internationally?

Accepted Answer

International marketing differs from domestic marketing in terms of different laws, cultures, and societies. These are important factors that marketers must take into account when conducting business internationally. Distance, products, ideas, threats, exceptions, tolerance, postage rates, telephone signals, and personal contact are not the substantial differences between international and domestic marketing.

Question 19

Which of the following is NOT one of the forms of international marketing defined in the text?

Accepted Answer

The text defines four forms of international marketing: export-import trade, licensing and franchising, joint ventures, and wholly owned subsidiaries. Government-owned operations are not considered as one of the forms of international marketing.

Question 20

For a country to remain a player in the world economy, which of the following groups need to respond aggressively with innovation, process improvements, and creativity?

Accepted Answer

Governments, companies, and individuals are the main stakeholders that are responsible for driving innovation, process improvements, and creativity in a country. Governments can create policies that promote research and development, while companies can invest in R&D and come up with new products and services. Individuals can also contribute to innovation by bringing new ideas, skills, and perspectives to the table.

Quiz 1: The International Marketing Environment