Marketing 233 (Ch:1) Exam Preparations Questions and Answers 2023/2024 Updates Rated A+, Exams of Marketing

Download Marketing 233 (Ch:1) Exam Preparations Questions and Answers 2023/2024 Updates Rated A+ and more Exams Marketing in PDF only on Docsity! MARKETING 233 (CH:1) EXAM PREPARATIONS QUESTIONS AND ANSWERS 2023/2024 UPDATES RATED A+ 1. Growing interest in international marketing is due to: (a) increased opportunities to enter foreign markets. (b) increased competition from domestic and foreign firms. (c) lowered trade barriers. (d) All of the above. (e) None of the above. Ans: D 2. More rapid growth in globalization has been limited by the lack of improvements in logistics and supply chain management. (a) True (b) False ANS: B 3. China has become more important in international business (a) as a major exporter of manufactured goods. (b) as a major consumer of raw materials. (c) because of its large and growing domestic market. (d) All of the above. (e) None of the above. ANS: D 4. A major weakness of the Chinese economy is the almost complete lack of both domestic and foreign research and development facilities. (a) True (b) False ANS: B 5. India (a) continues to have a very low growth rate in its national economy. (b) is now a major exporter of manufactured goods. (c) has become a major exporter/international supplier of information services. (d) All of the above. (e) None of the above. ANS: C 6. Greatly reduced turbulence in the international marketplace has been a major factor in increasing international trade. (a) True (b) False ANS: B 7. Success in the international marketplace usually depends upon some combination of customer focus, innovation, and market segmentation. (a) True (b) False ANS: A 15. In the modern international environment, profit is no longer a necessary goal for the private business firm. (a) True (b) False ANS:B 16. The basic marketing mix decision includes planning and strategy with regard to market entry, products, promotion, channels of distribution, and price. (a) True (b) False ANS: A 17. There is a single accepted definition for the term ‘globalization’. (a) True (b) False ANS: B 18. A company with a global view operates without regard for national boundaries, except as they affect the relative desirability of one course of action over another. (a) True (b) False ANS: A 19. Importing may be linked to making products for export by: (a) importing technology/intellectual property for use in developing products for export. (b) importing equipment to be used for producing exports. (c) importing components for assembly into products to be exported. (d) All of the above. (e) None of the above. ANS: D 20. The basic decisions facing potential and actual international marketing management are: (a) whether to engage in international marketing activities at all. (b) what specific individual markets are to be served. (c) the method or system to be used to get the products into the hands of the users in foreign countries (d) All of the above. (e) None of the above. ANS: D 21. Innovations and changes have created new opportunities for some individuals and companies while creating threats or challenges to other companies. (a) True (b) False ANS: A 22. The World Wide Web will soon replace the Internet. (a) True (b) False ANS; B 23. E-business: (a) includes only activities carried out on the World Wide Web. (b) includes only the functions of buying and selling goods. (c) has resulted in the development of an international industry in the development and marketing of software to support e-business. (d) All of the above. (e) None of the above. ANS: C 24. At present, online marketplaces are being used only by large corporations. (a) True (b) False ANS: B 25. The exporting of services of knowledge-industry workers is done almost exclusively by high technology companies in the highly developed countries. (a) True (b) False ANS: B 4. In Germany, machinery costs $10 per unit and furniture costs $5 per unit; in Denmark, machinery costs $12 per unit & furniture $7 per unit. (a) Comparative advantage (b) No advantage (c) Absolute advantage ANS: A 5. Motivation for engaging in exporting may come from which of the following combinations of factors? (a) Internal and proactive only (b) Internal and reactive only (c) Internal or external and proactive or reactive (d) External and proactive only (e) External and proactive only ANS: C 6. Although international trade grew rapidly in total amount during the last half of the 20th century, its relative importance decreased in most economies. (a) True (b) False ANS: B 7. While imports provide consumers with an increase in the supply and variety of goods, they do not provide any benefits to domestic industry. (a) True (b) False ANS: B 8. The product life-cycle theory says that a nation will export that product for which a large amount of the relatively abundant (cheap) input is used, and it will import that product in the production of which the relatively scarce (expensive) input is used. (a) True (b) False ANS: B 9. Many, but not all, exporting companies probably face less total risk than nonexporting firms by virtue of having diversified geographical markets. (a) True (b) False ANS: A 10. Through which of the following can a company strengthen its international network? (a) International extension (b) Penetration (c) International integration (d) All of the above (e) None of the above ANS: D 11. Relationship marketing is based upon several assumptions including the following: (a) Transaction costs will be higher, but lower prices will be paid for components purchased. (b) Continuous bidding from potential competing suppliers is highly desirable. (c) Presents dangers of loss of control and release of internal information. (d) All of the above. (e) None of the above. ANS: C 12. Ethics is comprised of what most people in a society view as being moral, good and right. (a) True (b) False ANS: A 13. Examples of differences in ethics between different societies include attitudes toward: (a) the paying of interest on loans. (b) the place of women in the workforce. (c) the paying of bribes or ‘facilitating payments.’ (d) All of the above. (e) None of the above ANS: D 14. The international marketer will always be safe following the laws and customs of the host country. (a) True (b) False ANS: B CHAPTER 3 1. Major components of the foreign environment that the international marketing company faces include: (a) political/legal forces (b) socio-cultural forces (c) competition (d) All of the above (e) None of the above ANS: D 2. Terrorism has expanded to a worldwide phenomenon affecting individuals and businesses in many countries. (a) True (b) False ANS:A 3. Because of China’s restrictive government policies, the country’s rapid growth as a manufacturer has not yet led to many opportunities for foreign marketers. (a) True (b) False ANS: B 4. Culture affects: (a) types, designs, styles, and colors of products. (b) methods of negotiation. (c) themes and presentation of advertisement. (d) All of the above. (e) None of the above. ANS: D 5. Regarding culture: (a) there are no cultural universals. (b) culture frequently changes very rapidly over time. (c) culture is the sum of a group’s learned behavior patterns, attitudes, and material things. (d) All of the above. (e) None of the above. ANS: C 6. In communicating across cultural boundaries, it is important to understand that: (a) accurate translation of the spoken words is the most important aspect of negotiations. (b) behavior itself is a form of communication. (c) in high context cultures, the precise meaning of words must be known. (d) All of the above. (e) None of the above. ANS: B 7. In communications in high context culture societies like Japan, the situation, relationships, and unspoken understandings may carry more meaning and importance than the words themselves. (a) True (b) False ANS: A 8. Governments intervene in a country’s and the world’s economy by: (a) being a participator, planner, controller, or stimulator. (b) by promoting international export marketing transactions. (c) by impeding and competing in international export marketing transactions. (d) All of the above. (e) None of the above. ANS: D 9. With the decline of Communism, government organizations no longer compete with private companies in the international marketplace. (a) True (b) False ANS: B 17. National governments are often a source of valuable basic information upon which marketing decisions are based. (a) True (b) False ANS: A 18. In the process of economic integration, all companies in the integrated area will benefit from: (a) the growth effect. (b) the preference effect. (c) trade diversion. (d) All of the above. (e) None of the above. ANS: E 19. Many companies attempt to distinguish their products from those of competitors in order to avoid the problem that producers of homogeneous products have in increasing profit margins. (a) True (b) False ANS: A CHAPTER 4 1. The international marketer must focus on: (a) individual products and their foreign markets. (b) strategic measures used in strategic planning. (c) the role of each product within the corporate portfolio. (d) All of the above. (e) None of the above. ANS: D 2. Experienced international marketers virtually never fail to determine if there is an adequate market for their products or services prior to market entry. (a) True (b) False ANS: B 3. With the introduction of the Euro, the European customers comprise a single market in every way. (a) True (b) False ANS: B 4. Market segmentation is a process of breaking down overall markets into segments of types of customers for particular products in particular countries. (a) True (b) False ANS: A 5. In market segmentation, ‘actionability’ refers to deciding whether or not to take action. (a) True (b) False ANS: B 6. In choosing an export market expansion strategy, a market concentration strategy is characterized by: (a) funneling resources that can be made available into a small number of markets. (b) a gradual rate of growth in the number of markets served. (c) Both of the above. (d) None of the above. ANS: C 7. In market selection procedures: (a) contractible methods are used to reduce total foreign involvement. (b) contractible methods usually focus first on the nearest neighbor. (c) expansive methods work outward from the core. (d) All of the above. (e) None of the above. ANS: C 8. In the contractible method of market selection procedures, you work outward from the core market to the nearest neighbors. (a) True (b) False ANS: B CHAPTER 5 1. Secondary sources of information available to exporters: (a) may provide an overwhelming amount of information. (b) include information from commercial banks, consulates, and freight forwarders. (c) usually should not be relied upon as a sole source. (d) All of the above. (e) None of the above. ANS: D 2. The key dimension(s) in assessing market potential include the number of possible users of the product and the maximum expected purchase rate. (a) True (b) False ANS: A 3. Useful techniques for estimating export market size include: (a) income elasticity measurements. (b) lead-lag analysis. (c) regression analysis. (d) All of the above. (e) None of the above. ANS: D 4. Problems in international marketing research data collection and interpretation include: (a) lack of secondary data available for some countries. (b) problems in establishing comparability and equivalence of data and research conducted in different contexts. (c) translation equivalence in questions. (d) All of the above. (e) None of the above. ANS: D 5. International marketing research is no longer needed once a company is selling in a foreign country since its sales tell it what it needs to know. (a) True (b) False ANS: B 6. As a general observation, the sources of international market and product information are very limited, and the problem is to find data. (a) True (b) False ANS: B 7. The basic international marketing research process is no different from the general domestic approach to marketing research. (a) True (b) False ANS: B 8. Many companies overlook, underutilize, or ignore internal data sources. (a) True (b) False ANS: A 9. Primary data refers to information obtained directly from those about whom one desires the information. (a) True (b) False ANS: A 10. Qualitative research in Europe and the US is virtually identical because the countries all use rationally-based approaches. (a) True (b) False ANS: B 11. Data analysis of information gathered in the EU is relatively easy because of the standardization of definitions and categories. (a) True (b) False ANS: B 12. Dangers arising from measure equivalence (translation equivalence) in questionnaires are that a poorly worded item: (a) may cause respondent’s difficulty in answering. (b) may produce data that are not valid. (c) Both of the above. (d) None of the above. ANS: C 13. Using the Web has made the gathering of secondary data easier and cheaper, but may not provide all of the information required. (a) True (b) False ANS: A 7. In the interests of efficiency and economies of scale, for any one product a single entry strategy should be used for every foreign market. (a) True (b) False ANS: B 8. Only in unusual and poorly run companies will management prejudice have any influence on types of entry mode or channel used. (a) True (b) False ANS: B 9. The international marketer does not necessarily control the choice of all individual firms in the marketing channel. (a) True (b) False ANS: A 10. Government regulations/taxes/actions regarding e-commerce and the Internet are: (a) consistent within Europe (b) have not been enacted/taken in China (c) are evolving, changing, and vary widely (d) All of the above (e) None of the above ANS: C 11. Various criteria for channel selection may point to different recommendations regarding the approach that should be used. (a) True (b) False ANS: A CHAPTER 7 1. Germany’s Mittelstand or midranking companies: (a) pay high wages, but employ few workers. (b) target small but profitable niches. (c) save money by avoiding R&D expenditures. (d) All of the above. (e) None of the above. ANS: B 2. Japan’s sogo shosha or general trading companies: (a) are supply and demand oriented rather than production or user oriented. (b) deal only internationally, not domestically. (c) do not provide financing. (d) All of the above. (e) None of the above. ANS: A 3. The government of the PRC has avoided fostering multipurpose trading houses because of the problems faced by Japanese and Korean conglomerates in the Asian financial crisis (1997–1998). (a) True (b) False ANS: B 4. Export desk jobbers: (a) are also called export drop shippers or cable merchants. (b) take title but not physical possession. (c) are used primarily in international sales of raw materials. (d) All of the above. (e) None of the above. ANS: D 5. Piggyback marketing: (a) is used for competing products from unrelated companies. (b) always uses the brand name of the carrier. (c) is never used for industrial products. (d) All of the above. (e) None of the above. ANS: E 6. Regarding foreign-based distributors and agents/representatives: (a) a distributor is a merchant and a customer of the exporter. (b) an agent is a representative of the exporter. (c) the terms distributor and agent are often used interchangeably or incorrectly. (d) All of the above. (e) None of the above. ANS: D 16. The percentages of the populations having Internet access are similar in the US and the European countries. (a) True (b) False ANS: B 17. In e-commerce: (a) B2C commerce is much larger than B2B commerce. (b) B2C commerce is no longer growing. (c) There is very little e-commerce in China. (d) All of the above. (e) None of the above. ANS: E CHAPTER 8 1. First-mover advantages may include: (a) reaching customers before others (b) establishing brand recognition (c) finding distributors and retailers who do not already handle the same type of products/ services (d) All of the above (e) None of the above. ANS: D 2. The strategic focus of companies that have nonexport foreign market-based operations tends to vary among companies from various countries: (a) US companies in the UK market tended to focus more on cost reduction. (b) Japanese companies in the UK market tended to focus more on volume. (c) US companies in the UK market tended to focus more on improved productivity. (d) All of the above. (e) None of the above. ANS: D 3. International strategic alliances: (a) refer to cooperative activities between companies from two or more countries. (b) have become less common as increased competition has reduced trust among companies. (c) are seldom used by large, strong companies. (d) All of the above. (e) None of the above. ANS: A 4. A fundamental purpose of an international or global strategic alliance is to enhance the long-run competitiveness of the strategic partners. (a) True (b) False ANS: A 5. In the Ford–Mazda collaboration discussed in ‘how to succeed in a joint venture/strategic alliance,’ (a) Ford provided expertise in manufacturing and product development. (b) Mazda provided expertise in international marketing and finance. (c) top management involvement, frequent meetings, and anticipation of cultural differences were important in success. (d) All of the above. (e) None of the above ANS: C 6. Market entry modes that have the drawback of training potential competitors are: (a) licensing. (b) greenfield wholly owned manufacturing. (c) contract manufacturing. (d) only answers (a) and (c) are correct. (e) only answers (b) and (c) are correct. ANS: D 7. The exhibit discussing the approach used by Korean companies in the European market indicated that: (a) rapid growth in their market share to over 20% each inspired them to find even better ways to continue their rapid expansion. (b) Daewoo, Goldstar, and Samsung all used the same approach. (c) a key to their approach is stressing the advantage they have because of the reputation they have for high quality. (d) All of the above. (e) None of the above. ANS:E 8. An advantage of mergers and acquisitions as a form of market entry is that there is no problem of integrating management styles. (a) True (b) False ANS:B 9. A foreign assembly operation differs from a typical manufacturing operation in that the (b) they may not have strategically relevant information on the actual and future market size, rate of growth, and shares. (c) the key factors determining their success may not be costs, prices and market shares. (d) All of the above. (e) None of the above. ANS: D 5. In branding decisions: (a) a single brand helps to identify products and improve efficiency of advertising. (b) local brands help to meet individual market needs. (c) there is a need to consider possible hidden meanings or implications of brands. (d) All of the above. (e) None of the above. ANS: D 6. For some products, like automatic washing machines, people in different EU member countries have the same preferences. (a) True (b) False ANS: B 7. The two most relevant characteristics of a producer’s portfolio are its expected return and its degree of risk. (a) True (b) False ANS: A 8. Japanese producers of color televisions and video disc players sold their products in the US before selling them at home. (a) True (b) False ANS: A 9. For some products, the world is divided by groups or types of people rather than national or regional boundaries. (a) True (b) False ANS: A 10. A product can be viewed as including: (a) the physical product core. (b) the product package. (c) auxiliary services. (d) All of the above. (e) None of the above. ANS: D 11. There are products that have a small share of any given national market, but are successful in world markets. (a) True (b) False ANS: A 12. Packaging is probably the cheapest, quickest, and easiest way to adapt a product to make it more suitable for foreign markets. (a) True (b) False ANS: A