Chapter 16

for most of the post-WW II period, which country ranked the highest in factors associated with new product development

US

which type of distribution channels are in place when it is difficult for new firms to gain access to retail space?

exclusive

the goal of a cross-functional product development team is to take a product from ___ to ____

initial concept development to market introduction

karen's boss told the marketing department that a pull strategy should be implemented to sell the new line of footware. Which of the following communications strategies should the department use?

mass media advertising

forecasts anticipate that inter market segments will become ___ common in developed and emerging country markets

more

what characteristics are found in countries where new product development is strong

more money is spent on basic and applied research and development underlying demand is strong consumers are affluent competition is intense

Kodak and Fujifilm exemplified the use of ___ pricing as they competed against each other around the world in the market for silver halide film. When kodak issued a price for the product in one market, it affected how Fujifilm priced the product in another market

multipoint

inelastic demand occurs when a large change in price procedures a ___ change in demand

small

a company identifying potential market segments would collect data on ____

sociocultural factors, demography, geography

Nigel works at a British advertising agency and has advised his client that it's not worth the company's money to advertise its products in China because he knows there is a strong bias against goreign firms for this particular product. This demonstrates how __ can impact international marketing

source effects

consumers buying a car in a less-developed nation are more likely to be concerned with product reliability over extra features

true

nokia's use of a standardized slogan spoken in local languages in an example of how to capture the benefits of global standardization, yet at the same time responding to local cultures

true

current statistics show that about ___ of major R&D projects turn into commercially successful produ

20%

the price ____ of demand is a measure of the responsiveness of demand for a product to change in price

elasticity

since the industrial revolution, product life cycles have

shortened dramatically

which of the following demonstrates the concept of source effects in relation to internatioanl communication?

US customers refuse to buy products sold out of Indonesia after that country takes two US reporters hostage

___ may be influenced by the level of economic development of a country prompting companies to sell products with certain features to less developed nations and products with other features to developed nations

consumer behavior

select all of the following that are examples of communication channels a company can use

advertising, sales promotion, direct selling, direct marketing

programs such as LISREL, SPSS, and SAS are used to which step of the market research process?

analyzing and interpreting

the text lists two regulatory situations that can affect a company's pricing decisions. what are they?

antidumping regulations, competition policy

silicon valley is an example of a region where valuable scientific knowledge is being created and where there is a pool of skilled research talent whose job is to develop the basic technologies that become new products. Companies use centers like these ____

as the innovation engines of the firm

if a company manufactures in the US and only wants to sell products in the US then which of the following can the firm sell to directly

consumer, wholesaler, retailer

as the text relates, the tendency for greater retail concentration in developed countries has occurred because of three factors...

car ownership, number of households with refrigerators and freezers and the number of two-income households

a company must take into account several factors when determining whether to use a push or pull strategy. which of the following factors does the text list as important considerations

channel length, media availability, product type relative to consumer sophistication

a company collecting information to make marketing mix decisions would collect data on ___

communication, pricing, distribution

which of the following factors stimulate ideas for new products?

competitive conditions scientific research demand conditions

when a small change in price procedures a large change in demand, then demand is said to be ___

elastic

many US consumers prefer to purchase French wine because it is admired around the world. This demonstrates the idea of ___

country of origin effects

the replacement of the transistor by the microprocessor is an example of ___ destruction

creative

since it was the first time her company would be selling its line or snack products in Japan, it was Natalie's job to work with a Japan-based advertising company to make sure the company's US advertisements would be suitable for the Japanese consumer. Which variable of internatioanl communication is Natalie's company taking into account?

cultural barriers

the text lists three potentially critical variables that can jeopardize the effectiveness of a firm's international communication. What are those three variables?

cultural barriers, source effects, noise levels

the frozen food division of Nestle markets fish cakes and fish fingers in Great Britain but focuses on marketing beef bourguignon and coq au vin in France. This reflects___ selling products in each country

cultural differences

which of the following are benefits associated with a longer distribution channel

cuts selling costs when the retail sector is fragmented market access - easier to access an exclusive channel

the first step in the international research process is to ____

define the research objectives

understanding the scope of the research problem is a critical aspect of which step of the research process

defining the research objective

the best way for a firm to overcome cultural barriers when marketing internationally is to ___

develop cross-cultural literacy and embrace local input

tight cross-functional integration between R&D, production, and marketing allows a company to ensure that which of the following will be accomplished?

development costs are kept in check new products are developed for ease of manufacture

when considering market segmentation in a foreign country, what two things should managers be aware of?

differences between countries in the structure of market segments existence of segents that transcend national borders

when a firm sells a product for a price that is less than the cost of producing it, the company is implementing the practice known as

dumping

members of a product development team should be comprised of individuals from

each key function in the company

t/f when considering international market segmentation, the structure of market segments is typically similar from country to country

false

in a concentrated retail system, most of the market of the market is supplied ___ retailers

few

a proliferation of retailers in a given market would be found in a ___ retail system

fragmented

channel length is directly associated with the degree to which retail systems are ___

fragmented

the inability to cost-effectively manufacture a new product is a reason for the ___ rate of new product development failure

high

which of the following is an example of a long distribution channel?

in japan it is common for product to go through several wholesalers before arriving at a retail outlet

market segments that transcend national borders are more common in ___ markets

industrial

market segments that transcend nations borders are more common in ___ markets

industrial

when a large change in price produces a small change in demand for a product, demand is said to be ___

inelastic

a(n) ___ segment refers to a market segment that spans multiple countries, transcending national borders

intermarket

when a company uses a marketing message to sell products in another country, it is engaging in ___ communication

international

analyzing and interpreting cultural and environmental differences in data collection are included in the definition of _______

international market research

why is it especially important to integrate R&d and marketing when involved in international business

it may be necessary to create different versions of a product for various countries

channel ___ refers to the number of intermediaries between the manufacturer and the consumer

length

collecting secondary data is a ___ costly alternative to collecting primary data

less

the british monopolies and mergers commission promotes fair competition in GB and __

limits companies from overcharging

in which type of distribution channel is it more likely for the consumer to end up paying a higher price for the final product?

long

a company that has leading edge technology is not guaranteed to survive. the technology must be applied to developing products that satisfy customer needs. in order to do this, what three things must a compnay focus on

manufacturing, R&D, marketing

Hillary is in the process of determining who buys the company product line based on the consumer's age, income, and education level. Hillary is defining the product's ___ segmentation

market

Karl's report outlined that consumers living on the West Coast had purchased 80% more of the company's line of "green" products as compared to consumers living in the southeastern part of the country. His report demonstrates the concept of ___

market segmentation

the term used to describe the set of choices such as distribution strategy and pricing strategy, that a firm offers to its target markets is the _____

marketing mix

the amount of other messages competing for a potential customer's attention is referred to as ___

noise

it is best if members of a product development team are placed in ___ locations

one

the use of price as a competitive weapon to drive out weaker competition in a national market is called ___ pricing

predatory

the costs of collecting ____ data is typically higher than the cost of collecting ___ data

primary secondary

in many countries you would find advertisements for tobacco and alcohol only in ___ due to federal laws

print media

according to the text a ___ can be viewed as a bundle of attributes

product

which of the following are included in the four elements that make up a firm's marketing mix?

product attributes, distribution strategy, communication strategy, pricing strategy

tight cross-functional integration between R&D, production, and marketing allows a company to ensure tht which of the following will be accomplished?

product development projects are driven by customer needs new products are designed for ease of manufacture development costs are kept in check time to market is minimized

the three core functions involved in the development of new products are R&D, marketing and

production

charles works for a company that makes toothpaste. He realizes that the best way to advertise the product line to the international market is through mass media advertising because it will reach more consumers and it wouldb e impossible to reach every consumer with a personal sales call. He recognizes that his compnay should use a ___ communication strategy

pull

consumer goods industries, such as Procter & Gamble, that are trying to sell to a large sement of the market are more inclined to use ___ strategy

pull

dave's Ohio-based company plans to use an advertising campaign including print ads, television ads, and billboards to promote their new product in London. Once consumers in London start demanding the product, intermediaries will want to carry the product. this is an example of a ___ strategy

pull

in order to sell its product line in Japan, a company will need to work its way through many intermediaries before reaching the consumer. When a channel length is long like this, a company is better off using a ___ strategy for its communication

pull

serene knows there is a wide array of television, magazines, and newspaper in central europe so it will be easy for her to advertise her company's product. Serena plans to use a ___ strategy for her communication strategy

pull

when a company sells consumer goods such as shampoo and lotion, it would be common for the company to use a ___ strategy

pull

if a company is using direct selling to educate a consumer about a product, the company is relying on a ___ strategy as a communication strategy

push

in many advanced nations outside the US it is illegal to advertise pharmaceutical prodcuts directly to the consumer. As a result, companies must rely on direct sales efforts to doctors to educate them on a product. These companies are using a ___ strategy

push

paul's company sells complex products to hospitals and medical facilities. it would be best for his company to use a ___ strategy as a communications tool

push

when a company uses a ___ strategy, it emphasizes personal selling rather than mass media advertising

push

While Connor's company had been selling die-cutting machinery in the US for many years. the company decided to create a personal sales force in Italy when it began sellign to that country so the sales force scould educate potential buyers about the products. this demonstrates the idea of ___

push strategy

when introducing a complex product in a developing nation, most companies would use ___ in order to educate consumers on the features of the product

push strategy

the expertise, competencies, and skills of established retailers in a nation refers to channel ___

quality

the two mechanisms to collect data are ___

quantitative and qualitative

When determining how it will distribute products, a company must realize that there are four main differences between distribution systems: channel length, channel exclusivity, channel quality and

retail concentration

which two criteria must be met for a country to bring antidumping actions against an importer?

sales are less than fair value and material injury to a domestic industry

companies who implement experience curve pricing hope to rapidly build ____

sales volume

which of the following are considered attributes of a bottle of shampoo

scent, texture, bottle size

the two types of data used in international marketing research are primary data and ___ data

secondary

When automobile manufacturers sell luxury cars to high-end consumers and lower-priced models to lower-income consumers, it demonstrates the idea of market ____

segmentation

in which of the following situations would a company want to emphasize a push strategy instead of a pull strategy

short distribution channels limited amount of media

channel length is typically __ in countries where large discount superstores are introduced

shortened

following a month-long social media attach on German imports, German electronic manufacturers decided to implement an advertising campaign to negate the attack and reassure US consumers that German-made electronics were of the highest quality and relied on US parts to complete the product. Which international communciation barrier does this demonstrate?

source effects

since french law prohibits the use of children in product endorsements, a company would need to edit any commercials using children if it wanted to air those commercials in france. This demonstrates one of the arguments against ___ advertising

standardized

which of the following characterizes the cost of standardized advertising

standardized advertising lowers the cost of value creation by spreading the cost of ad development over many countries

Predatory pricing, multipoint pricing, and experience curve pricing are all components of ___ pricing

strategic

after his company introduced a new line of hair dryers, Jeremy realized that the dryers could not be sold in Europe because the electrical adaptors would not fit into the existing design. Jeremy's company failed to take into account __ standards that limited globalization

technical

a global segment that is attracting the attention of international markets or consumer goods is the global __ segment

teenage

a key attraction of research centers like Silicon Valley and Kobe is ___

the availability of skilled research talents

over the past 25 years, the US monopoly on new-product development has

weakened