CH 15 QUIZ

As an economic​ community, which of the following contains more than half a billion​ consumers, accounts for almost 20 percent of the​ world's imports and​ exports, and is one of the​ world's largest single​ markets? A. India B. ​Trans-Pacific Partnership C. European Union D. China E. ​Asia-Pacific Economic Cooperation

European Union

_____________________ eliminated trade barriers and investment restrictions among three large global countries while establishing a single market of 487 million people who produce and consume over​ $23 trillion of goods and services annually. A. GATT B. ​CAFTA-DR C. UNASUR D. ​Trans-Pacific Partnership E. NAFTA

NAFTA

Amazon's Alexa speaks Hinglish long dash —a blend of Hindi and English long dash —with an unmistakable Indian accent. She knows Independence Day is August​ 15, not July​ 4, and wishes listeners​ "Happy Diwali and a Prosperous New​ Year!" What is this an example​ of? A. Promotion B. Product adaptation . C. Straight product extension D. Product invention E. Communication adaptation

Product adaptation

_________ are limits countries can set on the amount of foreign imports that they will accept in certain product categories. A. Exchange controls B. Tariffs C. Nontariff trade barriers D. Quotas E. Duties

Quotas

In which of the following does top management tell its marketing​ people, "Take the product as is and find customers for​ it"? A. Promotion B. Product invention C. Communication adaptation D. Straight product extension E. Product adaptation

Straight product extension

In the​ whole-channel view of​ distribution, the first​ link, ________,​ move(s) company products from points of production to the borders of countries within which they are sold. A. price B. channels within nations C. channels between nations D. promotion E. communication adaptation

channels between nations

In the​ whole-channel view of​ distribution, the second​ link, _________, moves products from their market entry points to the final consumers. A. channels between nations B. channels within nations C. final user or buyer D. global value delivery network E. communication adaptation

channels within nations

The General Agreement on Tariffs and Trade​ (GATT) was​ ____________________. A. designed to promote world trade by reducing tariffs and other international trade barriers B. designed to promote agricultural trade by reducing tariffs C. created to support domestic trade D. created to promote international​ green, clean, and sustainable trade E. passed to support lower tariffs on medical devices and pharmaceuticals

designed to promote world trade by reducing tariffs and other international trade barriers

The biggest involvement in a foreign market comes through​ ________ for the development of​ foreign-based assembly or manufacturing facilities. A. contract manufacturing B. licensing C. joint venturing D. management contracting E. direct investment

direct investment

When a company begins doing business​ internationally, it generally starts with​ ____________________, working through independent international marketing intermediaries. A. licensing B. contract manufacturing C. joint venturing D. indirect exporting E. management contracting

indirect exporting

Why are​ U.S.-based international companies concerned when the U.S. dollar is strong compared to other​ currencies?

A strong dollar makes exports from other countries more attractive to the U.S.​ consumers, causing increased price competition for​ U.S.-based international companies.

_______ is the simplest way to enter a foreign market. A. Importing B. Tariffs C. Exporting . D. Direct investment E. Joint venturing

Exporting

Companies manage their international marketing activities in at least three different ways. Which of the following is the last step in their organizational​ activities? A. Direct investment B. Global organization C. Export department D. International division E. Joint venture

Global organization

____ economies are major exporters of manufactured​ goods, services, and investment funds. A. Subsistence B. Industrial C. ​Raw-material exporting D. Income distribution E. Emerging

Industrial

Marketers that wish to enter an international environment have to consider the​ political-legal environment. Of the​ following, which is NOT among the factors marketers should consider within the​ political-legal environment? A. Investment opportunities B. International buying C. Monetary regulations D. Government bureaucracy E. Political stability

Investment opportunities

Marketers operating in international environments must study and understand each​ country's economy. Which of the following are the primary economic factors that reflect a​ country's attractiveness as a​ market? A. Its industrial structure and income distribution B. Its industrial structure and technology infrastructure C. Its sociocultural environment and workforce supply D. Its income distribution and GDP E. Its GDP and technology infrastructure

Its industrial structure and income distribution

______ include biases against a​ company's bids, restrictive product​ standards, or excessive​ host-country regulations or enforcement. A. Quotas B. Nontariff trade barriers C. Duties D. Exchange controls E. Tariffs

Nontariff trade barriers

In the​ whole-channel concept for international​ marketing, which of the following is NOT a global value delivery​ network? A. Final user or buyer B. Price escalation C. Channels within nations D. Channels between nations E. International seller

Price escalation

___ is when a company adds the cost of​ transportation, tariffs, importer​ margin, wholesaler​ margin, and retailer margin to its​ product's factory price. A. Price escalation B. Product invention C. Straight extension D. Product adaptation E. Communication adaptation

Price escalation

Before making a decision to operate in other​ countries, what must a company​ understand? A. The governmental regulatory market B. The internal marketing environment C. The international marketing environment . D. The sociocultural marketing environment E. The domestic marketing environment

The international marketing environment

When a company considers international​ marketing, which of the following is a fundamental issue within the global environment that it must understand thoroughly from the​ outset? A. Importing regulations B. The socioeconomic situation of target markets C. Exporting regulations D. The international trade system E. The internal trade system

The international trade system

Which of the following replaced GATT in​ 1995, imposes international trade​ sanctions, and mediates global trade​ disputes? A. IMF B. NAFTA C. IBRD D. CAFTA E. WTO

WTO

The purpose of a tariff is to​ _______________________. A. increase the amount of foreign exchange B. force the protection of local employment C. provide competition to local industry D. force favorable trade behaviors E. increase the amount of foreign imports

force favorable trade behaviors

Many companies get involved in several international markets and ventures. They can be​ __________, with country managers who are responsible for​ salespeople, sales​ branches, distributors, and licensees in their respective countries. A. export departments B. international subsidiaries C. world product groups D. international divisions E. geographical organizations

geographical organizations

FancyFace, a cosmetics firm located in the United​ States, markets its products in Asian and European countries through independent distributors. In this​ case, FancyFace has entered international markets through​ ________. A. joint venturing B. franchising C. joint ownerships D. indirect exporting . E. direct investment

indirect exporting

University Boutiques promotes its brand in new international markets by providing rights to local boutiques to use its patented designs and brand name. In this​ case, University​ Boutiques' market-entering strategy is referred to as​ ________. A. contract manufacturing B. exporting C. joint ownership D. licensing E. management contracting

licensing