chapter 6 connect marketing

What two trends in the past decade have significantly influenced global marketing?

presence of a networked global marketspace & economic integration among countries

How do successful marketers handle their firm's global marketing programs?

They will standardize them whenever possible.

What two situations likely exist in developing countries that cause marketers to adapt their global distribution strategies?

Traditional channels that have been used do not exist. Transportation and communication systems are underdeveloped.

Gross domestic product is the monetary value of

all products and services produced in a country during one year

Which industry accounts for about 80 percent of world trade?

manufactured goods and commodities

In what two ways do governments implement protectionism measures?

by setting quotas & by imposing tariffs

Which country is the top exporter globally?

china

Global _______among firms exists when they originate, produce, and market their products worldwide.

competition

The fact that in Japan women give men chocolates for Valentine's day is an example of how ______ can influence behavior in different societies.

customs

Assessing the political and regulatory climate for marketing in a country or region of the world involves not only identifying the current climate but also

determining how long a favorable or unfavorable climate will last

Global marketers may devise creative solutions for getting their products to hard-to-reach consumers in developing countries. This type of solution is part of the firm's ______ strategy.

distribution

The clandestine collection of trade secrets or proprietary information about competitors is known as _

economic espionage

The EU promotes trade among countries in

Europe

Pricing in the global marketplace is a difficult task for which two reasons?

Issues like tariffs and anti-dumping laws might exist. Many countries have rules governing the competitive marketplace.

Which three countries are among the leaders in world trade for manufactured products and commodities?

Japan United States & China

What are the three primary ways a product can be sold globally?

Product extension, product adaptation, and product invention

Tariffs and quotas are the tools of_____ , used by governments to shield local industries from foreign competition (one word)

Tariffs and quotas are the tools of , used by governments to shield local industries from foreign competition (one word)

Which legislation makes the theft of trade secrets by foreign entities a federal crime in the United States?

The Economic Espionage Act

The political-regulatory climate in a country would be unappealing for global companies if which conditions were present?

There had been several acts of terrorism in urban areas. There are a huge number of rules associated with selling its product there.

What is considered normal and expected about the way people do things in a specific country is known as

a custom

Exporting occurs when ______.

a firm produces a product in its own country and sells it in another

Which best describes the European Union?

a group of European countries that signed a trade agreement for the purpose of promoting free trade within their countries

The fact that in India cows are considered sacred and not to be eaten by 85 percent of the population is an example of ______.

a societal value

When a firm either produces or markets its products worldwide it is participating in what is known as

global competition

Changes in which of the following has been the driving force for growth in global markets?

global conflicts

A joint venture is a type of __

global entry strategy

Technology allows people to connect from distant parts of the world, allowing the growth of

global markets

The acronym GDP stands for _

gross domestic product

venture is a global market-entry strategy that creates a partnership between a local and a foreign firm that will share ownership, control, and profits from the new company. (one word)

joint

A local firm and the foreign firm investing together to create a local business is called a(n) _

joint venture

the four options for entering a global market.

joint venture licensing exporting direct investment

Indirect exporting is an entry strategy that involves the ______ financial risk and allows a(n) ______ return to the firm.

least; limited

A firm can choose a global market entry strategy from among four choices: exporting, ______, joint venture, and direct investment.

licensing

General Mills has a(n) ________ arrangement with French cooperative Sodima to produce and sell its Yoplait yogurt in the United States.

licensing

When a company offers the right to a trademark, patent, trade secret, or other intellectual property in return for a royalty or a fee, it is known as a(n) ________ arrangement.

licensing

Germany did not allow Walmart to sell some items below cost, an example of how a foreign government can constrain _________, which here made it impossible for Walmart to compete with local discount stores.

pricing strategy

What is not one of the three ways a product may be sold globally?

product diversification

The practice of shielding one or more industries within a country's economy from foreign competitions through the use of tariffs and quotas is known as

protectionism

the past decade, the dollar value of world trade has

roughly doubled in the past decade

A global environmental scan, marketing research, and judgments based on experience will determine the extent of ________ that global marketing programs will have

standardization or customization

A global environmental scan, marketing research, and judgments based on experience will determine the extent of ________ that global marketing programs will have.

standardization or customization

Changes in which of the following has been the driving force for growth in global markets?

technology

When the European countries signed a trade agreement creating a free trading zone between the countries, they formed a transnational trading group called

the EU

Currencies fluctuate against each other every day. The price of one's country's currency expressed in terms of another country's is called

the currency exchange rate

When people from the United States travel to countries in Europe, they might check to see how the U.S. dollar compares to the euro. In doing so, they are checking

the currency exchange rate

One important trend of the past decade on global marketing is

the growth of global competition and global consumers

An example of a societal _____is Germans' lack of interest in using credit cards like Visa and MasterCard, perhaps in part because the German word for 'debt' is the same as the word 'guilt'.

values