MKT 468 exam #2
True
A belgium company sells its products to a large retailer in Belgium, who in turn sells the products all over Europe and Asia. This is an example of Indirect exporting
Phase 3
A company has just completed a marketing plan for entering eastern Europe. Included in this plan are budgets and sales and profits expectations. which of the following phases of the international planning process has the company just completed?
big ticket industrial products.
A direct sales force may be required in a foreign country, especially for
competitiveness
Adam smith in his The wealth of Nations stated "By pursing his own interest he frequently promotes that of the society more effectually than when he really intended to promote it. "what behavior does this notion attempt to justify?
Transfers of knowledge
Alcoa sent line workers and managers to foreign locations to seek out new techniques and processes, and they brought them back to the home country to improve operations. This shows the benefits of
Licensing
Cho wanted to sell her custom jewelry made in china to the US market but she didn't have a lot of capital to get started, nor did she know how to get around import restrictions. She decided to give an American company the rights to produce and sell her product for a fee gave them patent rights. Cho was pursing which entry method
corporate
Harry and his team draft a plan for their organization, HD Corp. They primarily establish the overall goals that HD should accomplish in the next 25 years. In this case. Harry and his team are most likely engaged in ____ planning.
False
High power distance index countries are more egalitarian than low power distance index countries
False
High-context cultures place great importance on the verbal aspects of communication
Domestication
The government in Chile recently Mario;s company that his retail grocery chain in Chile would have to be gradually turned over to the people of chile by the year 2050 as it is a foreign company in Chile. Additionally, starting the following year 50% of the board directors of the chilean operation of the company must be chileans. What political risk action is Mario's company facing in Chile?
Tax Controls
The government of Namibia is strapped for cash and it has decided to tax all foreign investments by up to 40 percent of the appraised value. The Namibian government has found that this is the handiest and quickest means of finding operating funds. The economic risk in discussion here is
determine the marketing mix
The primary goal of phase 2 of the international planning process is to
Code
Under____ law the legal system is generally divided into three separate codes; commercial, civil, and criminal
Political payoff
an attempt to lessen political risks by paying those in power to intervene on behalf of the multinational company
evaluating the performance of a contract
apart from intellectual property laws, an illustration of how fundamental differences in common and code systems can cause difficulty is in
it is assumed a person will work for one company during their lifetime
companies in the more hierarchical countries of france and italy tend to have strong paternalistic orientations, which means that
Aristocracy
form of government that can be most accurately described as rule by few?
Using first names in business encounters.
france is higher on Hofstede's power distance index than the U.S. and formality is evident in French businesses/ which of the following American business practices would be most unacceptable to the French?
Exchange Controls
if there is a substantial amount of capital leaving a country, what is a country most likely to implement to control the situation?
contractual agreement
in the context of foreign market entry, _____ are long term, nonequity associations between a company and another in a foreign market
intellectual property
laws governing _____ offer the most striking differences between common-law and code-law systems.
pricing
phase 2 of the international planning process includes analysis of which factor ?
Conducting a Situation Analysis
phase 3 of the international planning process begins with
False
subornation payments accompany requests for a person to do a job more rapidly or more efficiently
Submit license applications via the internet
the export license application and information network is an electronic service that enables exporters to
Resources needed
the first-time foreign marketer must decide what products to develop, in which markets and
selling
the marketing orientation at KB Komponents is based on the belief that consumers and businesses alike will not buy enough without some prodding on the part of the company. Which marketing orientation does this demonstrate?
confiscation
the seizing of a company's assets without payment is called
the economic stimulus of 2008-09
what event caused a drop in "economic freedom" in the U.S., according to the Heritage Foundation?
The Plaintiff and depfendant each select a person to present their case
what generally occurs during arbitration?
Oligarchy
what is a common tern for a form of government in use today?
General or a validated license
what license is required for products exported from the United States?
indirect exporting
what marketing strategy usually means that the company sells to a buyer in the home country which in turn exports the products
Stategic
what type of planning is conducted at the highest levels of management and deals with products, capital, research, and the long and short term goals of a company?
nationalized
when an expropriated investment becomes a government-run entity it is
tend to concentrate on one thing at a time
when compared to people operating on p-time people operating on M-time
As global markets expand, more businesspeople from P-time cultures are adapting to M-time.
when considering the role of time in business, which of the following is true of P-Time and M-time?
Conciliation
when formal arbitration organizations receive requests for arbitration, they initially attempt to resolve the issue through
Export-Import Bank
which agency underwrites trade and investment for U.S firms
country's market potential
which aspect of international marketing is analyzed in the first phase of the international planning process
direct foreign investment
which mode of foreign marketing entry offered the most control and the highest potential return for a company
Department of Justice
which of the following U.S. government agencies oversees antitrust enforcement in international commerce
a corporation is an entity that has rules and continuity of existence
which of the following is consistent with the American view of the independent enterprise
Trade disputes
which one of the main political causes of instability in international markets?
countries often require companies to become domesticated as a condition for investment
which statement about domestication is correct?
expanding the investment base
which strategy can be effective in forestaling or minimizing the effect of a total takeover of multinational corporations holdings by a foreign government?
nationalism
with which term would best phrase "Buy American" be most closely associated?
The evaluation of a company's contribution to the nation's interest
within the same country, some foreign businesses may fall prey to politically induced harassment, while others may be placed under a government umbrella of protection and preferential treatment. What factor explains this difference
Establishing Friendships
would most likely be characterized as being an imperative business custom in many cultures
indirect exporting
The foreign market entry mode of ______ requires no equity investment and thus has a low risk low rate of return, and little control
the verbal expression
according to the high/low-context continuum identified by Edward t. Hall communication in a low context culture depends on
True
An american company has just entered into an agreement with a German firm to create a separate legal entity. This new firm will be allowed to conduct business and actively compete in various European Union markets, This is a Joint Venture.
decentralized management decision making
As businesses grow and professional management develops, there is a shift toward:
tactial
If a company focuses on market planning that involves specific actions and allocation of resources, the company is most likely implementing ______ planning
arbitration
In a typical ____ procedure, parties select a disinterested and informed party or parties to serve as a referee to determine the merits of the case and make a judgement that both parties agree to honor under the law
electives
Jenna does not drink alcohol and when she meets clients for dinner she knows that while the clients might enjoy a glass of wine with their meal, she is not required to. which type of business custom does this illustrate?
joint venture
Juliet is concerned with the potential for political harrassment when her company enters a new international market. to reduce the risk of political harassment, she is most likely to consider using_____ to enter the market.
Business Ethics
Kenneth is a bank executive and when one of his customers offers him box seats to a Chicago Cubs game he knows he cannot accept them because it is not appropriate to do so. However, in some countries of the world this gift would be perfectly acceptable. This reflects a difference in
False
Kyle recently transferred to Norway and is working with Britt on a marketing idea but their different approaches have created a quandary if kyle doesn't understand Britt's customs. He is more likely to evaluate Britt's behavior by relying on what is familiar to her.
Imperative
Manuel Tores a senior manager at Crawford export logistics, goes to France to negotiate a deal with the company's French partners. He dressed casually in a T-shirt and jeans. His French counterparts call off the meeting and accuse him of taking a casual attitude towards negotiations. in this scenario, dressing formally during business meetings is probably a cultural_____ for the French.
Export control Classification Number
The exporter is responsible for selecting the ____ that leads to description in the Commerce Control List and Indicates the exportability status of the item.
exchange
Marizland found that a large amount of capital was leaving the country due to foreign corporate ownership, so it instituted controls over all movements of capital to conserve the supply of foreign exchange. These are called ____ controls.
Adaptation
Marliee understands that if she wants her US based company to flourish in Italy. she must be tolerant of Italian customs and norms that ight differ from what she deals with in the United States and also be humble and not assume that her current way of doing business is the only way to do business. What characteristic is Marliee demonstrating?
indirect exporting
Mirros a US kitchenware distributor, sells its inventory twice a year to all cooks, a kitchenware retailer in the US. All Cooks, in turn sells those products through its retail stores in Vietnam and Thailand. In which of the following entry modes is Mirros most likely engaged?
Dictatorship
Monarchy, like_____ is a form of government ruled by one.
exclusive
Nina Mcridder became an embarrassment to her company when she joked about the ruling monarchy in England in front of a group of visiting English Businesspeople. she should have known that political ridicule by a foreigner is rarely accepted. Ms.McRidder has violated what is know as a cultural
The implementation and control phase
Once a "go" decision has been made in phase 3 of the international planning process. what is most likely to occur next?
Polychronic
People in Brazil describe themselves as late arrivers allow greater flexibility in defining early and late. are less concerned about being late, and are more likely to blame external factors for their delay. Which system of time do the Brazilian people most likely operate on?
True
Six high-technology companies joined forces to produce and market their products in Japan. By joining together these companies were able to enter the japanese market for the first time. This is an example of a consortium
boycotting
Stopping or refusing to trade with another nation for political reasons is called:
designed to address questions that relate to advertising and marketing
Tactical Plans are
Conciliation
Teels tacas a food company in the united states is trying to resolve a dispute with local company in Belize that has been operating under the same name in its country. All attempts made by the US company to settle the issue in a friendly manner have failed, so the owners of the US based Teels Tacos have decided to settle the dispute with local company by appointing a mediator. They also want the sessions to be private because of the fear of creating a poor public image. Which dispute resolution methods is best suited for this situation?
False
The "master of destiny" philosophy is based on the idea that individuals are not in control of their own futures but are at the mercy of decisions made by business and government.
Common
The Basis for ____ law is tradition, past practices, and legal precedents set by the courts through interpretations of statutes, legal legislation, and past rulings
The individual-country laws, which may or may not include private protection, are used in the absence of uniform and internationally accepted cyber laws
The Internet has no political or natural boundaries; as a result,
Interest
The Islamic law prohibits the payment of
False
The World Court can settle disputes between a company and a government
Licensing
The advantages of ____ are most apparent when capital is scarce. Import restrictions forbid other means of entry a country is sensitive to foreign ownership, or patents and trademarks must be protected against cancellation for nonuse.
Monarchy
The ancient greeks conceived three fundamental forms of government. which term refers to a government ruled by one?
Paris Convention
What international convention was established to recognize and protect intellectual property rights?
software
What is the most attractive target for pirates because of high development cost and low reproducibility costs?
Trade-Related Aspects of International Property Rights Agreement
What is the most comprehensive multilateral agreement on intellectual property to date and covers a full range of rights that are embodied in current international agreements?
Single European Market Act
Which act developed by the European Union erases many legal and trade differences that have existed for decades between the member nations?
Germany
Which country has enacted the most stringent green marketing laws to regulate the management and recycling of packaging waste?
World Intellectual Property Organization
Which of the following conventions is responsible for the promotion of the protection of intellectual property rights among all the member countries of the UN?
Expanding the investment base
Which strategy to minimize political vulnerability and risk has the advantage of engaging the power of several investors and banks in the host country whenever any kind of government takeover or harassment is threatened?
False
Widgets, Inc. is beginning to export its products to Taiwan, but it isn't sure if it needs a license to do so. The responsibility of determining if a license is required rest with Taiwanese company that is purchasing the products.
Globalization versus Localization
With respect to global marketing management, the argument for market segmentation in the 1980s was framed as _____.
Code Law
____ is considered complete as a result of catchall provisions found in most of this type of law systems.
Conciliation
_____ is a nonbinding agreement between parties to resolve disputes by asking a third party to mediate differences
domestication
_____ occurs when host countries gradually cause the transfer of foreign investment to national control and ownership through a series of government decrees
Sovereignty
_____ refers to both the powers exercised by a state in relation to other countries and supreme powers exercised over its own members.
Polychronic
______ Time is more dominant in high context cultures and provides time for relationships to build
cybersquatters
______ buy and register descriptive nouns, geographic names, names of ethnic groups and pharmaceutical substances, and other similar descriptors and hold them until they can be sold at an inflated price.
it is by group or consensus
a characteristic of committee decision making is that
Developing a Marketing Plan
a company is in the process of deciding the mode of entry it will use in Japan and China. The company is in which phase of the international planning process?
information-oriented
a culture that is a low context, individualistic, has a low power distance, and uses monochronic time is
enjoys full legal equality with other states
a sovereign state is one that
Democracy
according to ancient greeks, what fundamental government form represents rule by many?
