Global marketing chapter 13

A South Korean electronics company had to add detailed instructions about the repair and replacement of its product to make it easier for the local consumers to maintain it. Which element of the Product Component Model relates to this issue? A) support services B) design C) core D) packaging E) functional

A

What is the largest services export of the United States, ranking behind only capital goods and industrial supplies when all exports are counted? A) automobile services B) international tourism C) banking services D) research and development E) education services

B

A company focusing its efforts on making its new innovation more user-friendly than before is working on the _______ of the product. A) compatibility B) trialability C) complexity D) discordancy E) observability

C

Bragster Bar, a brand of energy bars in Canada, sells its bars singly or in packs of two in South Asian markets instead of their regular multiple-item packaging that contains 10 or 20 bars. What requirement of the local market most likely influenced Bragster Bar's packaging decision? A) legal B) political C) economic D) technological E) cultural

C

How do the vast majority of services enter a foreign market? A) importing and exporting B) smuggling and pirating C) licensing, franchising, or direct investment D) through brokers E) through diaspora population

C

Maya was happy that she did not have to read the instruction manual to determine how to turn on her new camera, snap a digital picture, and export the picture to her computer. The signs (symbols) on the camera body made it very clear what she was to do to achieve digital photography success. What characteristic of Maya's "new product" makes it easy for her to begin her digital experience? A) high partibility B) low susceptibility C) low complexity D) high trialability E) low compatibility

C

What is a physical attribute of a motorcycle that is essential for its primary function? A) color B) price C) mobility D) design E) popularity

C

A manufacturer of toiletries and cleaning products uses the name Home Helper, for most products in their international markets. The name has created a universal appeal for its products as customers identify their products with the name; hence, Home Helper can be regarded as a ________ brand. A) retailer's B) shelf C) store D) global E) dual

D

What is one of the top two criteria for global market consumers when making purchase decisions? A) appearance B) size C) technology D) quality E) service

D

If a company wished to alter a product's platform so that the product could be manufactured in a variety of forms to meet local differences in five different foreign markets, the component of the Product Component Model that is most likely to be under consideration is A) support services. B) packaging. C) delivery. D) ancillary. E) core.

E

In terms of innovation characteristics, a product is said to be compatible if A) it provides greater value to the manufacturers than to the consumers. B) the degree of social repercussions associated with it is high. C) its benefits can be communicated easily. D) it has a higher degree of complexity compared with its counterparts'. E) it complies with the accepted behavior, values, and norms of the local market.

E

Innovation spreads by the process of A) diffusion. B) filtering. C) dissolution. D) flighting. E) liquidation.

A

A U.S. cosmetics company had to increase the SPF value of its sunscreen lotions marketed in the Middle East to provide more protection against UV radiation. Which requirement dictated the product adaptation? A) legal B) cultural C) economic D) climatic E) political

D

What is one of the extraneous variables that affects the rate of diffusion of an object? A) the absolute marginal value of the innovation relative to the old B) the actual attributes of the innovation C) the climatic conditions in which the market is located D) the method used to communicate the idea E) the degree of actual novelty of the innovation

D

An important first step in adapting a product to a foreign market is to determine the A) degree of newness of the product as perceived by the intended market. B) personal ethics of individuals in the target market. C) regional political parties present in the domestic market. D) language problem of the intended market. E) product's compliancy to irrational beliefs of its potential foreign consumers.

A

Downward Dog Wines had to market its products with a different name in a foreign market as it was mandatory to translate the name into the local language. Which factor has most likely influenced the compulsory change of Downward Dog's product name in the foreign market in this scenario? A) legal requirement B) climatic requirement C) technological requirement D) monetary requirement E) economic requirement

A

Dry cleaning, hair styling, and hotel accommodations have intrinsic value resulting from a process, a performance, or an occurrence that only exists while it is being created. Which characteristic of services is being referred to here? A) intangibility B) separability C) liquidity D) homogeneity E) durability

A

Exercise Away Products found out it needed to shorten the legs of its treadmills sold in China owing to the height of the average Chinese person. By doing this, Exercise Away Products has achieved A) product homologation. B) global product standardization. C) product dilution. D) product obsolescence. E) product disapprobation.

A

Sarj, a specialist in product design, is responsible for a product's functional design. With respect to the Product Component Model, in which component category would Sarj's talents most likely be used? A) core B) support services C) packaging D) invisible E) auxiliary

A

The product platform, design features, and functional features are all found in the ________ component of the physical product according to the Product Component Model. A) core B) support C) packaging D) supplementary E) auxiliary

A

The success achieved by firms when they take their inventions to market is referred to as A) conversion-ability. B) liquidation. C) formation-ability. D) homologation. E) consultation.

A

Which barrier faced by consumer service marketers is in force when a foreign market applies a tariff on the service that is operating there? A) trade protectionism B) lack of transborder data flows restrictions C) protection of intellectual property D) religious requirements for adaptation E) language translation barriers

A

A Brazilian food company had to change the labeling on its products to meet the specifications regarding vegetarian and nonvegetarian foods set by the government in the Taiwan market. It also had to mention the ingredients in Taiwanese to provide clarity to local customers. The component of the product that is affected is the ________ component. A) support services B) packaging C) functional D) design E) core

B

A women's clothing company based in Singapore had to modify its clothes before introducing them in Iran, as it needed to meet the needs of the women who are generally expected to cover themselves completely as per societal norms. To adapt its clothes to Iranian markets, the company used opaque material and provided accessories like scarves. Which requirement has dictated the product adaptation? A) legal B) cultural C) technological D) economic E) climatic

B

An insurance firm based in California had difficulty expanding its operations to Asian markets as most of the target countries had strict regulations on sharing details about their customers with the home office. The company had to obtain approval from its customers before sharing their personal information with its U.S. office. Which barrier is most likely to have affected the services of the insurance firm? A) protectionism B) control on transborder data flows C) protection of intellectual property D) cultural requirements for adaptation E) language translation barriers

B

As part of the "green movement," the European Commission has passed legislation to control all kinds of packaging waste throughout the European Union. Two critical issues that affect product development are the control of the packaging component of solid waste and A) the prevalence of similar environmental standards across different member countries. B) consumer demand for environmentally friendly products. C) higher government subsidies for greener technologies. D) the continuous availability of alternative energy resources for production. E) the proven efficient management of inventory of conventional energy products.

B

Consumers have broad but somewhat vague stereotypes about specific countries and specific product categories that they judge "best." Which item would most likely not fit in the "best" stereotype scheme? A) English tea B) Indian cars C) French perfume D) Chinese silk E) Jamaican rum

B

Eugene bought a new watch in January, and by March it stopped keeping time accurately. The warranty was still valid, so he sent it back to the manufacturer for repair. According to the Product Component Model, this demonstrates the ________ component of the product. A) core B) support services C) packaging D) functional E) styling

B

In Russia, products are divided into two categories—"ours" and "imported." This is an example of A) an autarky. B) ethnocentrism. C) theocentrism. D) feudalism. E) a closed economy.

B

Karyn, who is interested in marketing her company's diet products in Asia, studies the acceptable behavior, norms, and values in Asian markets as they relate to her product. In other words, Karyn is studying her product's ________ in the Asian markets. A) observability B) compatibility C) dissidence D) trialability E) complexity

B

Kroger grocery stores stock many food items that are sold under the brand name Simple Truth®, which is sold exclusively in Kroger stores. This is an example of a ________ brand. A) global B) private C) specialty D) market. E) retail

B

What are the two dimensions that define the quality of a product or service? A) consumer choice quality and process quality B) market-perceived quality and performance quality C) product quality and market quality D) actual quality and assumed quality E) absolute quality and relative quality

B

A Canadian computer company had difficulties when it first entered the Japanese market. Some of its computers were returned unused after customers found the wrapping on the instruction manual damaged. Though this would probably be an insignificant problem in Canada, it was certainly a cause of concern in quality-conscious Japan. Which component of the Product Component Model should the company concentrate on to fix this problem? A) core B) support services C) packaging D) functional E) design

C

A name, term, sign, symbol, design, or combination used worldwide to identify goods or services of one seller and to differentiate them from those of competitors is called a A) copyright. B) product mark. C) global brand. D) brand's equity position. E) trademark.

C

A shoe manufacturer in the Philippines shipped its entire production to San Francisco and then brought it back to the Philippines to market it as "Made in the U.S." The manufacturer believed that people would prefer buying products made in the U.S. rather than those domestically produced. The factor that is influencing the perception of the customers in the given scenario is called the ________ effect. A) doppler B) comparative advantage C) country-of-origin D) mass E) placebo

C

Appliances-a-Rama, an Indian company that manufactures kitchen appliances, alters the design of its ranges to suit the needs of its Japanese consumers. The Japanese prefer compact and efficient appliances to fit their small kitchens. According to the Product Component Model, which product component is being addressed? A) packaging B) invisible C) core D) ancillary E) support services

C

PG Autos introduces a new technology in its cars to improve their mileage and reduce carbon emissions. It also takes measures to improve its production facilities in order to reduce its carbon footprint. Actual introduction of green measures to meet the government guidelines rather than just through advertising and marketing shows that PG Autos engages in ________ marketing. A) permission B) recycle C) green D) black E) greenwash

C

What factor is mainly responsible for a perceptual bias when interpreting the characteristics of a product? A) too much product information B) a shorter distribution channel C) a market analyst's self-reference criterion D) a low number of product competitors E) authoritative product information of the market analyst

C

What impact has global competition had on business activities in the international marketplace? A) It has shifted the focus from a consumer's market to a seller's market. B) It has increased product life cycles. C) It has put more power in the hands of the customer. D) It has reduced the competitive spirit of most businesses in a marketplace. E) It has limited the choices of the consumers.

C

Which country or group of countries has been at the forefront of the "green movement"? A) The United States B) Japan C) Europe D) OPEC countries E) NAFTA countries

C

A European chocolate manufacturer received several complaints from customers about the quality of its products when it began selling them in a tropical country. The firm had to repackage its chocolate bars with an extra plastic wrapper to protect it from the heat and dust. Which factor in the local market is most likely to have dictated the company's product adaptation in this scenario? A) legal requirements B) economic requirements C) political requirements D) climatic requirements E) technological requirements

D

According to Everett Rogers, the goals of the diffusion researcher and the marketer are to shorten the time lag between A) the dispatch of the product from the company and the time it takes to reach the customer. B) the time that a budget is determined and the time needed for the funds to reach the communication channels. C) initial investment and the profits obtained from those investments. D) introduction of an idea or product and its widespread adoption. E) introduction of an idea or product and when revisions can be made.

D

An American company wants to launch a new product in Madrid. Freda asks her product manager to distribute some samples to potential customers there so that she can gauge the consumer preferences there before introducing the product. Freda is attempting to reduce the degree of economic and/or social risk, also known as ________, associated with product use. A) compatibility B) relative advantage C) complexity D) trialability E) observability

D

Because a service is individually produced and is virtually unique, the service is said to have A) liquidity. B) coherence. C) inseparability. D) heterogeneity. E) tangibility.

D

Blue Lobster considered opening restaurants in China. However, the restaurant's labor union felt that since accepting tips by wait staff is considered in bad taste in China, they would face considerable income loss. Therefore, they demanded to know how employees would be compensated for this since a great portion of a typical wait staff person's compensation comes in the form of tips. Which barrier does a consumer services marketer face in this illustration? A) protectionism B) controls on transborder data flows C) protection of intellectual property D) cultural requirements for adaptation E) language translation barriers

D

In general, the rate of acceptance or resistance of the market to a product is negatively related to A) relative advantage. B) compatibility. C) trialability. D) complexity. E) observability

D

Levon, a hairstylist at a salon in Portland, styles his customers in various ways. His work looks different on different people even though he has styled all of them. This unique character of a service that is unique for every customer as it is individually produced is referred to as A) tangibility. B) separability. C) durability. D) heterogeneity. E) divisibility.

D

Phineas is comparing the innovation characteristics of his company's water filters with those that are already being marketed in the local market. He believes there is lot of potential for his filters as they are functionally more advanced, have a longer life, and can also be marketed at a more competitive price than those of other sellers in the local market. The innovation characteristic of Phineas's product that will help in wide acceptance of his product in the local market is its A) compatibility. B) complexity. C) trialability. D) relative advantage E) observability.

D

Since the consumer is automatically angry with the manufacturer when something goes wrong with the vehicle, repair and maintenance has become a concern of the various automobile manufacturers. In which component of the Product Component Model would the management need to make improvements if problems such as this are to be solved? A) core B) functional C) packaging D) support services E) price

D

The washing machines marketed by Talcho failed in Asian markets as those countries lacked the skills necessary to repair and maintain Talcho's products. Also, the washing machine parts available in local markets were not compatible with these machines. This product failure is most likely to be a result of lack of attention by the company to the ________ component of the product. A) marketing B) price C) packaging D) support services E) style

D

What is the definition of green marketing? A) It refers to word-of-mouth marketing, where a company develops customers who become voluntary advocates of a product. B) It refers to inbound marketing used on websites in the form of a banner, text, or graphic. C) It refers to the type of marketing that takes place on the Internet, where all the marketing resources and assets are transferred online. D) It is used to identify concerns with the environmental consequences of a variety of marketing activities. E) It refers to nontraditional or stealth marketing campaigns.

D

A characteristic of a service is that it is ________, since it cannot be stored and must be consumed simultaneously with its creation. A) durable B) feasible C) indelible D) tangible E) perishable

E

A product's ________ refers to the ease with which its benefits can be communicated to the customers. A) relative advantage B) compatibility C) complexity D) trialability E) observability

E

A television manufacturer in South Korea had to simplify its televisions before introducing them to the Nigerian markets, as the country lacked the skills to repair the product in case of a malfunction. The local salesforce also did not have the sufficient knowledge about the installation of the product. The requirement that is influencing product adaptation in this scenario is A) legal B) climatic C) political D) cultural E) technological

E

AllClean develops promotional materials and product demonstrations to clearly and easily communicate the benefits of its cleaning products. In this scenario, AllClean is attempting to enhance the ________ of its products. A) relative advantage B) compatibility C) complexity D) trialability E) observability

E

Dr. Thomas is a dentist practicing in Chicago. During a four-day stretch in March, it snowed so heavily that not a single patient was able to visit him. Since none of the appointments took place, he did not make any money in those four days, even though his normal expenses remained. In this scenario, which characteristic of services most likely affected Dr. Thomas' business? A) tangibility B) feasibility C) durability D) homogeneity E) perishability

E

From a sociological viewpoint, any idea perceived as new by a group of people is considered as A) a creation B) an adaptation C) a declension D) a tradition E) an innovation

E

Product ________ is the term used to describe the changes mandated by local product and service standards. A) localization B) protectionism C) disapprobation D) dilution E) homologation

E

The ________ effect refers to the possibility that the place of manufacture may affect product or brand image. A) doppler B) polar C) transfer D) misinformation E) country-of-origin

E

When a company alters the price of its product to compete with local companies in the international market, it is focusing on the ________ component of the product, according to the Product Component Model. A) core B) support C) design D) maintenance E) packaging

E