SB Ch11-12

The _____ region is China's political and R&D heart. -Beijing-Tianjin -Greater Pearl River -Northeast -Shanghai and Yangtze River Delta

Beijing-Tianjin

India's growth had been inhibited and molded by _____. -its complete dependence on foreign capital -policies such as import substitution -a lack of protection for domestic firms -unfettered capitalism

policies such as import substitution

Identify the market segmentation dispute in the 1970s. -Localization versus globalization -Adaptation versus standardization -Local responsiveness versus global integration -Standardization versus localization

Adaptation versus standardization

In which decade was the market segmentation argument framed as "global integration versus local responsiveness?" -1990s -1980s -1970s -1960s

1990s

Per capita incomes in the previously separate areas of Hong Kong, Macau, and Taiwan are the lowest in China. -True -False

False

The Four Asian Tigers are also referred to as the _____. -Tiger Cub Economies -Asian Elephants -Rising Tigers -Four Dragons

Four Dragons

Handles product sales throughout the world -Global product division -Geographical division

Geographical division

One of the key assets Shenzen possesses as a business center is its juxtaposition with -Shanghai. -Beijing. -Dalian. -Hong Kong.

Hong Kong.

Deal City, an online shopping portal based in China, supplies cost-effective household products to customers in North America. Identify the type of alternate market-entry strategy that best describes this scenario. -Franchising -International Internet marketing -Licensing -Direct foreign investment

International Internet marketing

Which statement is true of planning for global markets? -It has no impact on a firm's strengths and weaknesses. -It encourages hierarchical structure in an organization. -It is a structured way of thinking about anticipated and unanticipated events. -It makes external market conditions irrelevant.

It is a structured way of thinking about anticipated and unanticipated events.

Franchiser

Offers homogenized company products

Franchisee

Offers information about host country mark

The group of countries known as the Four Asian Tigers is composed of Hong Kong, South Korea, Singapore, and _______.

Taiwan

Company information and data are located in one place -centralized companies -decentralized companies

centralized companies

Determine the building strategic alliance based on the description bellow. Senior managers leveraging personal networks

committing

Determine the building strategic alliance based on the description bellow. Creating shared visions

dating

Executives have a localized view of the company, not an all-encompassing one -centralized companies -decentralized companies

decentralized companies

In many global companies, a wider portfolio of markets served _____. -decreases revenue instability -diminishes the brand image -reduces diversity in products -curtails innovation

decreases revenue instability

Determine the building strategic alliance based on the description bellow. Building trust through face-to-face interactions

fine-tuning

Determine the building strategic alliance based on the description bellow. Combining social and business time

imaging

Determine the building strategic alliance based on the description bellow. Managing conflicts inherent in making hard choices

initiating

Determine the building strategic alliance based on the description bellow. Relying on mature and established relationships

interfacing

A partnership of two or more companies with the goal of creating a separate legal entity is known as a ______. -corporation -cooperative -sole proprietorship -joint venture

joint venture

One advantage of clustering operations in specific regions is that clustering _____. -minimizes problems caused by varying time zones -increases the cultural distance between the firm and its employees -is unaffected by countries' political and economic climates -is unaffected by managerial preferences

minimizes problems caused by varying time zones

Joint ventures are -strategic agreements between firms to share resources. -licensing agreements between different companies. -partnerships between legally incorporated entities and not between individuals. -offshore holdings of multinational companies in domestic companies.

partnerships between legally incorporated entities and not between individuals.

ASEAN+3 was created because most of East Asia felt that _____. -they needed to focus less on intraregional trade and more on trade with the West -they were dissatisfied by the West's response to the financial crisis of 1997 and 1998 -the West supported well them through the financial crisis of 1997 to 1998 -they should devise a system of sharing foreign exchange reserves with the West

they were dissatisfied by the West's response to the financial crisis of 1997 and 1998

Investing in a foreign company is a means of foreign market development and entry, known as _____ _____ _____.

- direct - foreign - investment

What is a factor in Shanghai regaining its status as one of the most important centers for Asia Pacific trade and finance? -Its status as China's first Special Economic Zone -Its proximity to India and Bangladesh -Its shift away from the automobile assembly industry -Its emphasis on medium value-added and high-tech industries

Its emphasis on medium value-added and high-tech industries

Solinol Inc. is one of the largest oil refineries in Europe. Three years ago, it entered the Central African Republic and started production on several oil fields. The access to these oil fields made Solinol one of the largest oil companies in the world. Soon after that, the political situation in the Central African Republic deteriorated. Many of its assets are now under siege by rebel groups. The result has been losses of over $5 billion to Solinoil. In this scenario, the market opportunities for Solinol in the Central African Republic clashed with the _____. -firm's worldwide market -corporate culture -firm's business objectives -cost of reestablishing a brand

firm's business objectives

Identify a measure that companies take when corporate objectives do not match foreign market opportunities. -Persisting with the same plan worldwide -Ignoring the local preferences of the market -Developing a new company objective to match the opportunity -Packaging the products in bright colors

Developing a new company objective to match the opportunity

Identify an accurate statement about the disparity that exists between the four important regions of China identified in the text, which together account for a quarter of the Chinese population, and the rest of China. -Multinational companies have virtually no presence in markets outside of the four regions. -Development in the areas outside of the four regions is focused in metropolitan areas, not rural areas. -Outside the four regions, there is little difference between the average income in cities and rural areas. -The government spends more money in rural China than it does in the big industrial centers.

Development in the areas outside of the four regions is focused in metropolitan areas, not rural areas.

_____ is the stereotype of businesspeople in Northeast China, mostly held by their southern counterparts. -Directness -Greediness -Shrewdness -Laziness

Directness

Identify an accurate statement about the challenges that U.S. companies face in leveraging marketing opportunities in China. -The influence of the national government outweighs that of local governments. -It can be challenging to market products to diverse Chinese consumers. -Selling industrial products in China requires more cultural nuance than selling consumer products. -Unlike in the United States, in China the same products sell in rural and urban areas.

It can be challenging to market products to diverse Chinese consumers.

What phase of planning for global marketing is being described? Exploratory assessment of potential country markets

Phase 1

What phase of planning for global marketing is being described? Branding products keeping cultural specificities in mind

Phase 2

What phase of planning for global marketing is being described? Choosing an approach into a country market

Phase 3

What phase of planning for global marketing is being described? Evaluating a firm's operation in a country market

Phase 4

While the industrial heartland of Northeast China is still an economically significant region, development of other Chinese regions has exceeded development in the Northeast because _____. -the people in the region do not speak any foreign languages -SOEs used to dominate production in the 1970 and 1980s but China now favors free enterprise -the region is split into three culturally diverse provinces -the region is located a long distance away from China's key industrial neighbors

SOEs used to dominate production in the 1970 and 1980s but China now favors free enterprise

Which of the following was a major problem for Japan in the early days of the information technology revolution? -The simplicity of the Japanese language -The indirectness of the Japanese linguistic system -Its highly flexible enterprise structure -Its weak bureaucracy

The indirectness of the Japanese linguistic system

Identify a true statement about the economic differences between the four regions identified by the text—the industrial heartland in Northeast China, the Beijing-Tianjin information technology (IT) corridor, the Yangtze River Delta, the Pearl River Delta—and the rest of the Mainland. -These regions are substantially wealthier than other regions on the Mainland. -These regions together account for eighty percent of the GDP of the Mainland. -The per capita income of these regions is half that of the rest of the Mainland. -These regions together make up half the population of the Mainland.

These regions are substantially wealthier than other regions on the Mainland.

Which Chinese city's population is increasing the most rapidly? -Beijing -Tianjin -Shanghai -Dalian

Tianjin

Identify an accurate statement about the relationship between The People's Republic of China (PRC) and the Republic of China (ROC)--the two political units that together make up The Greater China. -Neither the PRC nor the ROC claims the other as its territory. -The relationship between the PRC and the ROC has deteriorated in recent years. -Trade between the PRC and the ROC has increased. -The governments of both the PRC and the ROC prohibit trade with the other.

Trade between the PRC and the ROC has increased.

To achieve marketing success in China, U.S. companies must learn local regulations and develop positive relationships with members of industry and government. -True -False

True

Research suggests that multinational firms like to focus on specific regions because _____. -a regional focus minimizes problems caused by cultural distance -a regional focus helps in standardizing goods and services globally -greater physical distance is conducive to effective productivity -multinational managers have an ethnocentric bias

a regional focus minimizes problems caused by cultural distance

In the first phase of planning for international marketing, companies _____. -collect information to evaluate the potential of a country market -decide on a mode of entry into a country market -develop the marketing plan for a country market -collect information to evaluate the success of a promotional campaign in a country market

collect information to evaluate the potential of a country market

Unlike decentralized organizations, centralized organizations _____. -have difficulty in maintaining control over the planning phase -give competent local managers full responsibility for operations in a region -maintain records and information at every office -engage in direct planning

engage in direct planning

When making decisions for international marketing, managers should -ensure that tactical decisions are made at the highest level of management. -ensure that policies define the decisions to be made at each managerial level. -prioritize globalization over localization. -prioritize standardization over adaptation.

ensure that policies define the decisions to be made at each managerial level.

The cause of the bubble that set off the 1990s recession in Japan can be traced to _____. -a drastic fall in product demand in the early 1990s -the cautious outlook of Japan's lending agencies at the start of the decade -the high unemployment rates in the early 1990s -excessive financial risk-taking fueled by overconfidence in the market.

excessive financial risk-taking fueled by overconfidence in the market.

Two companies decide to pool their resources and create a company to exploit opportunities in a developing market. Their agreement is a good example of a _____. -franchise -joint venture -nongovernmental organization -cooperative

joint venture

Japan was late to join the information technology revolution because of its _____. -burgeoning population -language that did not lend itself well to computer systems -cultural inability to work toward a common goal -restrictions against international travel

language that did not lend itself well to computer systems

Tactical choices for international marketing should be made at the ______ of an organization. -locus -lowest level -global level -executive level

lowest level

In the process of franchising, franchisers _____. -take a "hands off" approach to franchisees -gain a standard package of products from franchisees -provide capital to franchisees -offer management assistance to franchisees

offer management assistance to franchisees

Negotiators in Beijing are generally perceived as lacking in _____. -an imperialist perspective -sloth -cosmopolitanism -originality

originality

A consequence of the huge economic divide between rural and urban China is -that rural areas are increasingly becoming more self-sufficient. -significantly increased government spending in rural areas. -potential social friction and discord. -that multinationals are rapidly pulling out of rural areas.

potential social friction and discord.

Planning for global markets involves _____. -overlooking mandatory adaptations of products -ignoring modern technologies to stay ahead of the curve -persisting with the same strategies in every country and resisting changes -preparing for unknown and uncontrollable circumstances that may affect the company

preparing for unknown and uncontrollable circumstances that may affect the company

Rachel owns a small business that deals in custom wear and accessories. She wants to expand her business worldwide and is launching an online portal under her label. To open an effective online business, she will have to ensure that _____. -her website accepts only cash as the mode of payment -she has easy access to delivery services that operate internationally -she offers no discounts on the website to maintain effective margins -only registered customers can purchase from the website

she has easy access to delivery services that operate internationally

Businesspeople from northeastern China have a reputation for being which of the following? Multiple select question. -Capable -Creative -Truthful -Adventurous -Hardworking

-Capable -Truthful -Hardworking

Identify the three typical company structures. Multiple select question. -Global product divisions -Demand-based divisions -Profit-based divisions -Geographical divisions -Matrix organizations

-Global product divisions -Geographical divisions -Matrix organizations

Identify the factors that are hindering Vietnam's prospects for rapid economic growth. Multiple select question. -Inadequate infrastructure -Absence of investment funds -The absence of an educated workforce -Government constraints on doing business -Weak bilateral relations with the United States

-Inadequate infrastructure -Absence of investment funds -Government constraints on doing business

From the following, identify the two major political factors that contributed to Japan's recent economic crisis. Multiple select question. -The bureaucracy has no control over its elected politicians. -Japan has a powerful, narrow-minded bureaucracy. -The same party has been in power for several decades. -No single party dominates the political scene in the country.

-Japan has a powerful, narrow-minded bureaucracy. -The same party has been in power for several decades.

Identify benefits of global marketing. Multiple select question. -Sharing experience across markets -Serving a single market -Reducing the cost of producing a product -Sharing knowledge across markets

-Sharing experience across markets -Reducing the cost of producing a product -Sharing knowledge across markets

Identify events that partly explain Japan's recent economic problems. Multiple select question. -The sharp increase in Japan's population rate -The 2011 earthquake and tsunami -The economic downturn of 2008-2009 -A dip in the average age of the Japanese population

-The 2011 earthquake and tsunami -The economic downturn of 2008-2009

Identify the factors behind the creation of the bubble that preceded Japan's decade-long recession in the late 1990s. Multiple select question. -The spending habits of people and corporations tended toward thrift and frugality. -Years of economic recovery success had created national cockiness. -Companies and individuals were generally reluctant to take risks. -The Japanese engaged in excessive borrowing.

-Years of economic recovery success had created national cockiness. -The Japanese engaged in excessive borrowing.

A partnership between legally incorporated entities that join forces to create a separate, legal entity, where each partner holds an equity position, is known as a(n) _____ _____.

-joint -venture

Place the stages of building a strategic alliance in order, starting with the first stage at the top. - Interfacing - Imagining - Fine-tuning - Dating - Initiating - Committing

1. Dating 2. Imagining 3. Initiating 4. Interfacing 5. Committing 6. Fine-tuning

Rank the four phases of planning for global marketing, starting from the first phase and ending with the last phase. -Defining market segments and adapting the market mix accordingly -Implementation and control -Developing the marketing plan -Preliminary analysis and screening

1. Preliminary analysis and screening 2. Defining market segments and adapting the market mix accordingly 3. Developing the marketing plan 4. Implementation and control

The primary multinational trade group in Asia is the _____. -Southeast Asia Treaty Organization -Asia-Pacific Forum -Association of Southeast Asian Nations -Asia-Pacific Economic Cooperation

Association of Southeast Asian Nations

What is the full title of ASEAN, the multinational trade group? -Area of Southeast Asian Nations -Association of South Asian Nations -Association of Southeast Asian Nations -Asian Special Economic Area of Nations

Association of Southeast Asian Nations

After the the Asian financial crisis of 1997 to 1998, the ASEAN+3 was formed, which includes the ASEAN countries, in addition to _____. -Bangladesh, India, and Sri Lanka -China, Japan, and South Korea -China, India, and Taiwan -Japan, India, and Taiwan

China, Japan, and South Korea

Wavetel, a hardware company based in Europe, acquires Telior, its competitor in a neighboring country. Identify the market-entry strategy that best describes Wavetel's move. -Indirect exporting -Joint venture -Direct foreign investment -Franchising

Direct foreign investment

Identify the scenario that describes a consortium. -A company provides its manufacturing expertise to another company in exchange for equity. -A consumer goods company buys its competitor in another country to acquire a 100% stake. -A steel-making company decides to establish a plant in a neighboring country due to the country's business-friendly policies. -Five technology corporations and ten consulting corporations come together to form a telecommunications company in Africa for the first time.

Five technology corporations and ten consulting corporations come together to form a telecommunications company in Africa for the first time.

Why is Shanghai a prominent regional trade and investment center? -It shares borders with important trading partners like Russia and South Korea. -It has a variety of different industries and access to the Yangtze River Valley area. -It was designated as China's first Special Economic Zone. -It is putting a lot of emphasis on developing low value-added manufacturing in textiles.

It has a variety of different industries and access to the Yangtze River Valley area.

Why was India slow to grow economically in the years following its independence? -It allowed free import of foreign products. -It gave preferential treatment to multinational companies. -It was overly reliant on foreign capital. -It was opposed to opening up its market.

It was opposed to opening up its market.

What key advantage of Northeast China accounts for its economic significance? -Its proximity to Hong Kong -Its position as the political center of the country -Its position as the R&D center of the country -Its proximity to Japan, Russia, and South Korea

Its proximity to Japan, Russia, and South Korea

According to the market metrics provided for the Asia Pacific Region's eight most populated countries, _____ stands out as the country with the best economic indicators. -China -Japan -Vietnam -India

Japan

The superiority of _____ healthcare accounts for the fact that the country boasts a populace with the longest lifespans on the globe. -Japanese -Indian -Chinese -Thai

Japanese

Which of the following is a feature of Shenzen that affords it an important position in China's economic landscape? -Shenzen is located in the industrial heartland of Northeast China. -Shenzen borders Russia. -Shenzen is the political center of China. -Shenzen was China's first Special Economic Zone.

Shenzen was China's first Special Economic Zone.

Which factors suggest that Vietnam may become an Asian Tiger in the future? -The Vietnamese people are well educated, and the government is interested in economic development. -The country's infrastructure is on par with that of developed nations. -The government follows a policy of minimal intervention in business. -The country has abundant capital and technology resources within its borders.

The Vietnamese people are well educated, and the government is interested in economic development.

According to C. K. Prahalad and his associates, _____ markets consist of the 4 billion people across the globe with annual incomes of less than $1,200. -top-of-the-pyramid -premium -grassroots -bottom-of-the-pyramid

bottom-of-the-pyramid

The average annual income of the residents of rural areas in Lithasia, a small developing country, is $800. These residents would be identified as a _____ market. -top-of-the-pyramid -bottom-of-the-pyramid -hi-tech -grassroots

bottom-of-the-pyramid

Beijing business negotiators are recognized for their _____. -bureaucratic inefficiency -adventurousness and honesty -creativity and out-of-the-box thinking -industriousness and honesty

bureaucratic inefficiency

A strategic international alliance (SIA) is a(n) -business relationship between two or more companies. -business relationship between companies and their customers. -investment in domestic companies. -investment in foreign companies.

business relationship between two or more companies.

In the first phase of planning for international marketing, companies _____. -decide on a mode of entry into a country market -collect information to evaluate the potential of a country market -collect information to evaluate the success of a promotional campaign in a country market -develop the marketing plan for a country market

collect information to evaluate the potential of a country market

APEC is a forum that includes -industrialized countries in East Asia and Europe. -important economies in the Asia-Pacific region and Europe. -all the countries on the Arabian Peninsula. -many of the major countries on the Asian-Pacific Rim.

many of the major countries on the Asian-Pacific Rim.

In global marketing, the results of the first phase of planning help marketers _____. -monitor the success of a promotional campaign in a new country market -recognize potential issues in a new country market -execute a promotional campaign in a new country market -select an optimal mode of entry into a new country market

recognize potential issues in a new country market

A business relationship in which two or more companies share risks in achieving common objectives and cooperate out of mutual need is known as a ______. -contractual agreement -strategic international alliance -special economic zone -price-quality relationship

strategic international alliance

APEC provides a space where the major regional economies of the Asian-Pacific Rim are able to _____. -share their foreign exchange reserves to protect their currencies -raise trade barriers to protect their domestic industries -talk about their shared goals of increasing trade and interregional collaboration -bring their critical industries under state control

talk about their shared goals of increasing trade and interregional collaboration

The term "The Greater China" describes _____. -the entire Asia-Pacific region -the Republic of China (ROC) or Taiwan and the People's Republic of China (PRC) -the People's Republic of China, the Republic of China, and Japan -the People's Republic of China and Japan

the Republic of China (ROC) or Taiwan and the People's Republic of China (PRC)

The recent increased demand in Japan for more oil imports is a result of _____. -its rapidly growing population -the destruction of domestic power sources by the earthquake/tsunami -a sharp rise in Japan's economic fortunes -the country's population being younger than ever before

the destruction of domestic power sources by the earthquake/tsunami

In a new appraisal of Japan, Frank Gibney has written that Japan became the victim of "one-party sickness." He used this phrase to indicate that _____. -no one party in Japan has been able to form a government on its own -no party has ever been able to serve more than one term in government -there is no one party that dominates politics in Japan -the long tenure of the ruling party is harming the country's economy

the long tenure of the ruling party is harming the country's economy

Consortia reduce hazards associated with big investments because _____. -they are considered "too big to fail" and are guaranteed bailouts -they generally involve a greater amount of participants -they are always funded by the taxpayers of the country they operate in -they are protected against bad debts by legislation

they generally involve a greater amount of participants