Chapter 13

Vital Health Products found out that they had to reduce the length of the tread in their treadmills sold in China owing to the shorter legs of the average Chinese person. By doing this, Vital has achieved product _____. A. homologation B. standardization C. dilution D. flexibility E. repositioning

A. homologation A product may have to change in a number of ways to meet the physical or mandatory requirements of a new market, ranging from simple package changes to total redesign of the physical core product. The term used to describe the changes mandated by local product and service standards is product homologation.

A wine company had to market its products with a different name in a foreign market as it was mandatory to translate the name in the local language. The factor that is influencing product adaptation in the above scenario is _____. A. legal requirements B. climatic requirements C. technological requirements D. cultural requirements E. economic requirements

A. legal requirements Legal, economic, political, technological, and climatic requirements of the local marketplace often dictate product adaptation. Laws that vary among countries usually set specific package sizes and safety and quality standards.

A clothing company in Singapore which specialized in women's clothing, had to modify its clothes before introducing them to Iranian markets, to suit the needs of women in that country. Women in Iran are expected to cover themselves completely. The company mostly used opaque material and provided accessories like scarves. Which of the following factors is dictating product adaptation in the above scenario? A. Legal requirements. B. Cultural requirements. C. Technological requirements. D. Economic requirements. E. Climatic requirements.

B. Cultural requirements. Legal, economic, political, technological, and climatic requirements of the local marketplace often dictate product adaptation. Changes may also have to be made to accommodate climatic differences.

What are the two dimensions that help in defining the quality of a product of quality? A. Product quality and process quality. B. Market-perceived quality and performance quality. C. Product quality and service quality. D. Actual quality and assumed quality. E. Absolute quality and relative quality.

B. Market-perceived quality and performance quality. Quality can be defined on two dimensions: market-perceived quality and performance quality

Booster bar is a popular brand of energy bars in Canada. The company sold these bars singly or in packs of two in the South Asian markets, instead of their regular multiple-item packaging containing 10 or 20 bars to make it more affordable for the consumers. Which of the following requirements of the local market is influencing product adaptation in the above scenario? A. Legal requirements. B. Political requirement. C. Economical requirements. D. Technological requirements. E. Cultural requirements.

C. Economical requirements. The less economically developed a market is, the greater degree of change a product may need for acceptance. To make a purchase more affordable in low-income countries, the number of units per package may have to be reduced from the typical quantities offered in high-income countries.

Which of the following is true regarding the impact of global competition on the business activities in the marketplace? A. It has shifted the focus in the marketplace from a consumer's market to a seller's market. B. It has improved the financial position of domestic industries. C. It has put more power in the hands of the customer. D. It has shifted the focus away from the performance quality of a product. E. It has limited the choices of the consumers.

C. It has put more power in the hands of the customer. The power in the marketplace is shifting from a sellers' to a customers' market, and the latter have more choices because more companies are competing for their attention. More competition and more choices put more power in the hands of the customer, and that of course drives the need for quality.

A European chocolate manufacturer received several complaints from customers about the quality of its product when it began selling them in a tropical country. The firm had to re-package its chocolate bars in an extra plastic wrapper to protect it from the heat and dust. Which of the following factors in the local market dictated product adaptation in the current scenario? A. Legal requirements. B. Economic requirements. C. Political requirements. D. Climatic requirements. E. Technological requirements.

D. Climatic requirements. Legal, economic, political, technological, and climatic requirements of the local marketplace often dictate product adaptation.

Adore cosmetics had to increase the SPF value of their sunscreen lotions marketed in the Middle East to provide more protection against UV radiation. Which of the following factors is dictating product adaptation in the above scenario? A. Legal requirements. B. Cultural requirements. C. Economic requirements. D. Climatic requirements. E. Political requirements.

D. Climatic requirements. Legal, economic, political, technological, and climatic requirements of the local marketplace often dictate product adaptation. Changes may also have to be made to accommodate climatic differences.

_____ is a term used to identify concern with the environmental consequences of a variety of marketing activities. A. Greenhouse business B. Hybrid business C. Greenfield business D. Green marketing E. Alternative marketing

D. Green marketing Green marketing is a term used to identify concern with the environmental consequences of a variety of marketing activities.

Which of the following is the most important criterion for consumers while purchasing products? A. Appearance B. Size C. Technology D. Quality E. Service

D. Quality In most global markets, the cost and quality of a product are among the most important criteria by which purchases are made. For consumer and industrial products alike, the reason often given for preferring one brand over another is better quality at a competitive price.

_____ is the term used to describe the changes mandated by local product and service standards. A. Product localization B. Product blending C. Product standardization D. Product dilution E. Product homologation

E. Product homologation A product may have to change in a number of ways to meet the physical or mandatory requirements of a new market, ranging from simple package changes to total redesign of the physical core product. The term used to describe the changes mandated by local product and service standards is product homologation.

Nuan, a television manufacturer in Korea, had to modify its televisions before introducing it to the Zimbabwean markets, as the country did not have the skills to repair the product in case of a malfunction. The local salesforce too, did not have the sufficient knowledge regarding the installation of the product. The factor that is influencing product adaptation in the above scenario is ________. A. legal requirements B. climatic requirements C. political requirements D. cultural requirements E. technological requirements

E. technological requirements Legal, economic, political, technological, and climatic requirements of the local marketplace often dictate product adaptation. Changes may also have to be made to accommodate climatic differences.