Question 1

Some global marketers make the strategic decision to establish a presence on the Web without offering transaction opportunities even though the product could be sold that way. Such sites are known as:

Accepted Answer

Promotion sites are designed primarily for advertising or promotional purposes, rather than direct sales. These sites aim to increase awareness and interest in a product or company, without necessarily offering the option to conduct transactions online.

Question 2

Until recently, visitors to Web sites for most luxury goods purveyors were not given the opportunity to buy. The reason behind this was:

Accepted Answer

Luxury goods purveyors strive to create a shopping experience that is consistent with their brand image and values. They want to offer customers a personalized, intimate experience with their products, which is difficult to replicate online. By providing a physical space for customers to interact with their products, luxury goods brands can control the customer experience and build stronger relationships with their customers. However, with the recent shift to e-commerce and the growing importance of digital channels, many luxury goods brands are now starting to offer online sales as well, while still maintaining their emphasis on creating a unique shopping experience.

Question 3

In South Korea, the Netherlands, Greenland, the UAE, Bahrain, and Qatar, more than 90 percent of the population is online.

Accepted Answer

According to the World Bank, in 2019, the percentage of the population that is online in South Korea was 96.6%, in the Netherlands it was 96.1%, in Greenland it was 90.2%, in the UAE it was 91.0%, in Bahrain it was 98.0%, and in Qatar it was 97.3%. So, more than 90% of the population is online in all of these countries.

Question 4

Web sites that provide news and entertainment and support a company's PR efforts are known as:

Accepted Answer

Content sites are webpages that provide news and entertainment, and they can also be used to support a company's public relations efforts. These sites may have articles, blogs, videos, and other types of content that can attract visitors and build brand awareness. Examples of content sites include news websites, lifestyle blogs, and entertainment portals.

Question 5

Today Microsoft lags behind new industry entrants in high-growth, consumer-oriented areas such as search and social networking. Which of the principles of disruptive innovation does this fact pertain to?

Accepted Answer

The answer of Today Microsoft lags behind new industry entrants...

Question 6

________ are online retail operations that allow customers to purchase goods and services.

Accepted Answer

Transaction sites are online retail operations that allow customers to purchase goods and services. Promotion sites advertise and promote products, matrix sites use a network structure for compensation, transfer sites facilitate the transfer of funds, and content sites provide informational or entertainment content.

Question 7

The top Digital Agency Network by 2014 Interactive Marketing Revenue is:

Accepted Answer

The answer of The top Digital Agency Network by 2014...

Question 8

Each network has its own "metrics of value." For laptop computers this value would include all of the following except:

Accepted Answer

The given choices are all features that contribute to the value of a laptop computer as a network. However, memory capacity is not a metric of value for a network, but rather for the individual user of the laptop. Therefore, the correct answer is D, memory capacity.

Question 9

According to Christensen's five principles of disruptive innovations, the following statement is not true:

Accepted Answer

Christensen's principles of disruptive innovation suggest that large companies often overlook small markets because they do not meet their growth needs initially. These companies focus on larger, more established markets, leaving room for disruptive innovations to take root in smaller, initially less profitable markets.

Question 10

Web "content sites" provide news and entertainment and support a company's PR efforts.

Accepted Answer

The answer of Web "content sites" provide news and entertainment...

Question 11

Internet penetration is less than 10 percent in:

Accepted Answer

Burundi has the lowest internet penetration rate among the given options, with less than 10% of its population having internet access.

Question 12

Web sites can be classified by purpose as represented by the term:

Accepted Answer

Promotion sites are designed specifically to advertise or promote a product, service, or brand.

Question 13

"Small markets don't solve the growth needs of large companies" and "markets that don't exist can't be analyzed" are two principles of disruptive innovation. These principles are integral to:

Accepted Answer

The two principles mentioned are part of the theory of disruptive innovation, which was coined and explained in the book "The Innovator's Dilemma" by Clayton Christensen. Therefore, the best choice is D, which directly mentions the book title. A, B, and C are not related to the principles provided, and E is not a known concept.

Question 14

Which of the following principles of disruptive innovation pertains to the notion of agnostic marketing?

Accepted Answer

The principle of agnostic marketing relates to the idea that markets which do not yet exist cannot be analyzed using traditional market research methods, as there is no existing data or customer feedback to rely on. This concept is a key part of disruptive innovation theory, which often involves creating new markets or significantly altering existing ones.

Question 15

As Pandora CEO Joe Kennedy recently remarked, "The good news is that the Internet is global and that the copyright law is country by country."

Accepted Answer

Joe Kennedy did not make this remark; it was actually made by Tim Westergren, the founder of Pandora.

Question 16

Describe the principles developed by Christensen in order to help managers recognize the innovator's dilemma and develop appropriate responses to environmental change.

Accepted Answer

The answer of Describe the principles developed by Christensen in...

Question 17

According to the forecast regarding online retail sales among select European countries by the year 2018 Germany will be ranked at the top in the region.

Accepted Answer

By 2018, the UK was expected to be the leading country in online retail sales among European countries, not Germany.

Question 18

Amazon.com, the leading Internet bookseller, allows users to purchase books, CDs, and other products online. Amazon.com is primarily a(n)________ site.

Accepted Answer

Amazon.com is primarily a transaction site, as it allows users to purchase products online.

Question 19

What is meant by e-commerce? How can e-commerce activities be classified?

Accepted Answer

The answer of What is meant by e-commerce? How can...

Question 20

In every industry, companies are embedded in a(n)________, which has a cost structure associated with it that dictates the margins needed to achieve profitability.

Accepted Answer

A value network refers to the group of organizations that work together to deliver a product or service to the end customer. Each organization in the value network has a specific role to play and the cost structure associated with it contributes to the overall cost of the product or service. The margins needed to achieve profitability are dictated by the cost structure of the value network. Therefore, option D is the best choice as it explains the concept of cost structure and the relationship between the value network and profitability.

Quiz 15: Global Marketing and the Digital Revolution