Question 1

Which type of person is also known as parent-company nationals?

Accepted Answer

Home-country nationals - known also as parent-company nationals - are preferred by companies whose products are at the forefront of technology.

Question 2

Which of the following is not a disadvantage of using home-country nationals?

Accepted Answer

Cost is a disadvantage of hiring home-country nationals: in addition to salary and commissions, the employee receives standard international assignment compensation - e.g., cost-of living allowance, housing allowance, education allowance, etc. Other disadvantages are cultural barriers, the expenses involved in training the home-country national in the local culture, the lack of local personal connections to decision makers in the local government, and the difficulty of finding employees willing to take on international assignments.

Question 3

What traits of the international sales representatives are likely to convey information that shapes the relationship of the firm to the target market?

Accepted Answer

International sales representatives are often the frontline personnel in a firm's relationship with an international target market. Their expertise, ability, demeanor, and appearance all convey information that is integral to the firm's product or service offering and help shape the firm's relationship with the target market. This information is found in the introductory paragraphs.

Question 4

Anya was born in Russia, educated in America, and represents Ford in Moscow. Which type of salesperson is Anya most likely to be?

Accepted Answer

The host-country national works in her home country for an international corporation. She understands the U.S. business environment, is well trained technically at an accredited U.S. institution, and is willing to return to her home country to work for a U.S. multinational firm.

Question 5

International sales representatives are often the frontline personnel in a firm's relationship with the

Accepted Answer

International sales representatives help shape the firm's relationship with the target market, distributors, suppliers, and local government agencies overseeing the firm's operations. This information is found in the introductory paragraphs.

Question 6

Which type of representative is preferred by companies whose products are at the forefront of technology, or when the selling function relies on extensive training and highly-specialized information?

Accepted Answer

Home-country nationals are likely to understand the company's product the best. For complex products it is often easier to train a home-country representative on the foreign culture than it is to train a host-country national on the nuances of the product.

Question 7

In the case of both home-country nationals and third-country nationals it should be noted that:

Accepted Answer

Because third-country nationals have a great deal of experience working in foreign countries and foreign cultures it is unlikely that they will experience culture shock. Also, because the third-country national is not from the home-country, repatriation is not an issue. However, for both home-country and third-country nationals, it is not uncommon for local governments to delay visas or otherwise complicate the hiring process.

Question 8

In which country should the salesperson focus on closing the deal and aim towards the next sale?

Accepted Answer

Saudi Arabia, Brazil, and Japan are high context cultures; there, Western style negotiations are less likely to be successful. Germany is a low context culture; there, hard sell and a focus on closing the deal is likely to be more effective.

Question 9

Which of the following is not an example of an expatriate working in a particular foreign country?

Accepted Answer

Host-country nationals are not expatriates since they are working in the country of their origin.

Question 10

In the international selling context, the order taker

Accepted Answer

In the international selling context, the order taker, the individual who processes routine orders from the customer, is likely to be a local employee who is familiar with the local customs and culture. That does not mean that he has no initiative: He can make product suggestion and can persuade the buyer to buy a larger quantity of the product.

Question 11

An electronic data interchange (EDI) relationship enables the buying and selling firms to share important data on

Accepted Answer

Companies can also set up an electronic data interchange (EDI) relationship, whereby buying and selling firms are able to share important data on production, inventory, shipping, and purchasing.

Question 12

Which of the following does not characterize order getters? They are individuals who

Accepted Answer

Order getters are individuals who actively generate potential leads and persuade customers to purchase the firm's products. Order getters selling to other businesses would go to their clients' places of business. Order getters selling to consumers directly would go to consumers' homes; for example, direct marketers such as Avon and multilevel marketers such as Amway hire salespeople to sell products to their network of friends.

Question 13

In which country is a hard sell most likely to succeed?

Accepted Answer

Saudi Arabia, Brazil, and Japan are high context cultures; there, a hard sell will be ineffective. Germany is a low context culture and the hard sell technique is likely to be more effective.

Question 14

Which type of representative is likely to cost the least?

Accepted Answer

Usually, third-country nationals cost less than home-country nationals but more than host-country (i.e., local) nationals. Host-country nationals are the least expensive because they are more likely to work for a salary that is high locally, but typical much lower than that of an expatriate; the host-country national does not require relocation costs.

Question 15

Order getters

Accepted Answer

In international marketing, most order getters work in the business-to-business area as field salespeople, going to customers to solicit business. They are either local or international staff who are highly skilled technically.

Question 16

Which of the following is considered to be a "professional expatriate?"

Accepted Answer

A third-country national is an employee working temporarily in an assignment country, who is not a national of that country, nor of the country in which the corporate headquarters of the company he or she works for are located. Third-country nationals are "professional expatriates." They are accustomed to constantly adapting to new environments.

Question 17

Companies involved in exporting are likely to

Accepted Answer

Companies primarily involved in exporting are likely to engage in only minimal international sales activity. An example of such an activity might be sending representatives to an international trade show, to exhibit the firm's products.

Question 18

Which of the following is a requirement for an electronic data interchange (EDI) relationship?

Accepted Answer

EDI relationships are possible primarily if the firms have the appropriate resources and trust their local partner with the information. Most firms in developed countries have established some type of EDI relationship for optimal performance.

Question 19

Why do international firms often prefer to hire a local employee over an expatriate?

Accepted Answer

Locals have a similar level of education and training, but cost much less than an expatriate. The host-country national also speaks the local language and often has a well-developed network within the local industry. Since host governments restrict the number of foreign nationals working in the country, the host-country national will also fit with the country's employment policies.

Question 20

Which of the following is not true about an order taker. An order taker

Accepted Answer