International Marketing Exam 4 (2)

35) Which of the following most accurately describes the relative length of consumer and industrial distribution channels? A) Consumer channels tend to be longer (consist of more intermediaries) than industrial channels. B) Industrial channels tend to be longer (consist of more intermediaries) than consumer channels. C) Both consumer and industrial channels tend to be long (consist of several intermediaries). D) Both consumer and industrial channels tend to be short (consist of few intermediaries). E) Consumer channels tend to be shorter (consist of few intermediaries) than the industrial channels.

A) Consumer channels tend to be longer (consist of more intermediaries) than industrial channels.

33) Coca-Cola Company's global marketing leadership position is based in part on its ability to put Coke "within an arm's reach of desire"; in other words, it is the ability to create: A) place utility. B) time utility. C) form utility. D) information utility. E) all of the above

A) place utility.

35) Coca-Cola's distinctive contour bottle, which is sold in many countries, illustrates the point that: A) the packaging strategies can vary by country and region. B) the packaging helps in storing large sizes in refrigerators. C) the packaging strategies do not change by country and region. D) the packaging appeals only to Asian consumers. E) the packaging helps in brand identification.

A) the packaging strategies can vary by country and region.

38) Which country has the biggest market for Tupperware? A) Romania B) Indonesia C) China D) Russia E) India

B) Indonesia

34) Packaging is an important consideration for products that are shipped to markets worldwide. Which of the following statements related to packaging is not true? A) Nestlé's worldwide network of packaging teams gives improvement suggestions on a quarterly basis. B) Japanese prefer plain soft colors on their packages. C) The Aquafresh Ultimate tube was designed to stand vertically. D) Coca-Cola had contour bottles in both glass and plastic versions in many countries. E) Nestlé asked suppliers to find a glue to make the clicking sound louder when a tube of Smarties brand chocolate candies are unwrapped.

B) Japanese prefer plain soft colors on their packages.

41) What solution did Andersen Consulting provide to the Moscow Bread Company to solve the problem of stale bread? A) Deliver the bread frozen. B) Package the bread in plastic bags. C) MBC should convert a paperless office to cut red tape. D) Deliver the bread sliced rather than in whole loaf form. E) Use paper packaging for bread.

B) Package the bread in plastic bags.

36) Peer-to-peer (p-to-p) marketing uses distribution channels through: A) business-to-consumers. B) electronic commerce. C) business-to-business. D) door-to-door. E) manufacturer-to-wholesalers.

B) electronic commerce.

32) Marketing channels exist to create utility for customers. The major categories of channel utility include all of the following except: A) place utility. B) price utility. C) information utility. D) form utility. E) time utility.

B) price utility.

40) In less-developed countries the most important channel of distribution is: A) door to door. B) public marketplaces. C) wholesale marketplaces. D) pyramid schemes. E) retail stores.

B) public marketplaces.

44) Which personal computer company began life as a b-to-b marketer and then began marketing direct to the home PC market? A) Hewlett-Packard B) Compaq C) Dell D) Acer E) Sony

C) Dell

52) Packaging aesthetics are particularly important to the: A) Indian. B) Chinese. C) Japanese. D) American. E) Russian.

C) Japanese.

39) Sales representatives in which Japanese industry cultivate close, long-term relations with customers by selling door-to-door? A) consumer electronics B) pharmaceuticals C) automobiles D) soft drinks E) groceries

C) automobiles

34) Some wine importers insist on shipping their wines in refrigerated containers to protect the wines from being damaged by high temperatures. Such importers are creating which kind of utility? A) place utility B) time utility C) form utility D) information utility E) worker utility

C) form utility

45) To motivate shopkeepers to stock more of P & G's products, the company launched a: A) door-to-door program. B) retail store program. C) golden store program. D) hypermarket program. E) sole distributor program.

C) golden store program.

43) The retail environment in developing countries presents challenges for marketing nonperishable items. In Mexico, Proctor & Gamble, Unilever, Colgate-Palmolive, and other global consumer product companies use ________ for their products. A) door-to-door selling B) buy-in-bulk selling C) mom-and-pop stores D) franchised stores E) manufacturer-owned stores

C) mom-and-pop stores

37) eBay was a pioneer in a form of online marketing known as: A) b-to-c. B) b-to-b. C) p-to-p. D) d-to-d. E) c-to-b.

C) p-to-p.

33) An express warranty is a written guarantee that assures the buyer: A) that he or she is getting what he or she desired. B) that he or she will be able to get express response if any defects are found. C) that he or she is getting what he or she has paid for. D) that he or she will be able to contact the manufacturer whenever needed. E) that he or she has limited time for filling out information required by the manufacturer.

C) that he or she is getting what he or she has paid for.

39) The American Automobile Labeling Act clarifies all of the following except: A) country of foreign. B) final assembly point. C) the percentages of the major sources of every car and truck. D) information about car dealer. E) aesthetic style.

D) information about car dealer.

42) In exchange for a pledge to carry at least 40 different Procter & Gamble products, participating stores receive regular visits from P & G representatives who tidy and arrange display areas. This motivational program is referred to as: A) "buy-in-bulk" store program. B) "high-frequency" store program. C) "mom-and-pop" store program. D) "shop operators" program. E) "golden store" program.

E) "golden store" program.

31) In spite of Walmart's potential to transform India's retail sector for the better, Indian activists and policy makers are worried because: A) Western-style, big-box retailing is anathema. B) millions of shopkeepers will be out of business. C) policy makers are suspicious of the company's motives. D) attitude that can be traced back to the British East India company of the colonial era. E) all of the above

E) all of the above

52. Which of the following is NOT in the top five of the world's most valuable brands and determined by Business Week (2006): a. Sony b. Microsoft c. Coca-Cola d. GE e. Nokia

a. Sony

70. When introduced in the late 1970s, the VCR created new patterns of consumer behavior. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. DVD, a playback only video system, was introduced in the late 1990s. DVD discs contain full-length movies with digital sound in a format that resembles conventional music compact discs. Which of the following most accurately describes the respective degree of newness of these two global products: a. The VCR is a discontinuous innovation; the DVD is a dynamically continuous innovation. b. The VCR is a dynamically continuous innovation; the DVD is a discontinuous innovation. c. The VCR and DVD are both dynamically continuous innovations. d. The VCR and DVD are both discontinuous innovations. e. The VCR and DVD are both continuous innovations.

a. The VCR is a discontinuous innovation; the DVD is a dynamically continuous innovation.

55. Comparing the traditional formulation of Maslow's hierarchy with the results of current research on the consumer needs and motivation in Asia, which of the following is correct: a. The lowest 2 levels of the hierarchy are the same in the traditional and Asian versions. b. The lowest 3 levels of the hierarchy are the same in the traditional and Asian versions. c. The lowest 4 levels of the hierarchy are the same in the traditional and Asian versions. d. The five levels in the traditional formulation apply equally in the West and in Asia. e. The highest levels of the hierarchy are same in the traditional and Asian versions.

a. The lowest 2 levels of the hierarchy are the same in the traditional and Asian versions.

74. Procter & Gamble recently introduced Pampers Rash Guard. Rash Guard does not represent a new product per se; rather, the diapers are being marketed as an alternative to regular Pampers. What type of innovation do Pampers Rash Guard represent: a. a continuous innovation b. a dynamically continuous innovation c. a discontinuous innovation d. a platform-based innovation e. none of the above

a. a continuous innovation

72. The direct exchange of goods or services between parties in lieu of monetary payment is known as: a. barter b. switch trading c. offset d. compensation trading e. counterpurchase

a. barter

73. Which of the following forms of countertrade does NOT require use of money or credit between parties: a. barter b. switch trading c. offset d. compensation trading e. none of the above

a. barter

53. Maslow's hierarchy is applicable to global marketing because it can help explain how: a. basic human needs can drive the development of global products. b. "self-actualization" is the highest-order need in Japan as well as Western nations. c. status needs in different countries can only be fulfilled with localized products. d. "luxury badging" is irrelevant to companies marketing in Asia. e. Asians differ from Westerners in their basic physiological needs.

a. basic human needs can drive the development of global products.

43. It has been said that, if terrorists succeeded in destroying every Coca-Cola production facility on the planet, company executives could approach virtually any bank and borrow the billions necessary to rebuild the company. This is a reflection of which concept: a. brand equity b. co-branding c. brand image d. brand extension e. brand loyalty

a. brand equity

54. Suppose a company selling in various country markets makes statements such as "we know what the customer wants, and he or she will have to pay for it." This is an indication of a(n) ______________ approach to setting prices. a. ethnocentric b. polycentric c. regiocentric d. geocentric e. adaptation

a. ethnocentric

59. If company managers decide to set the export price for a particular product at an amount equivalent to the home country price, they would be using which approach to pricing: a. ethnocentric b. polycentric c. regiocentric d. geocentric e. extension pricing

a. ethnocentric

57. Which of the following pricing strategies recognizes both local market differences and the importance of headquarters input into pricing decisions: a. ethnocentric pricing b. polycentric pricing c. geocentric pricing d. rigid cost-based pricing e. extension pricing

a. ethnocentric pricing

57. Which of the following could hinder the success of products labeled "Made in Bangladesh" or "Made in Thailand" in export markets: a. negative country-of-origin bias b. no possible quality/price positioning c. low acceptance of private brands d. high product saturation levels in global markets e. lack of promotion in global markets

a. negative country-of-origin bias

59. Gillette's MACH3 razor and "Best a Man Can Get" communications theme exemplify the _________ strategy. a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. dual adaptation e. product invention

a. product-communications extension

52. In July 2001, the euro's value relative to the dollar was about €1.00 = $0.85. By November 2007 the euro had strengthened to €1.00 = $1.47. All other things being equal, if a European-based global company wants to preserve margins for goods exported to the U.S. market, the company should: a. raise prices in dollars b. switch to cost-based pricing c. adopt a policy of market penetration pricing d. reduce prices in dollars e. use skimming pricing

a. raise prices in dollars

51. British entrepreneur Richard Branson has built a global business empire by: a. relying on brand extension b. being the first to use smart cards in major markets c. developing local brands d. avoiding consumer businesses with established leaders e. restricting the "virgin" name only to airlines

a. relying on brand extension

58. The marketers of Corona beer achieved great success in the U.S. market by: a. retaining the bottle design originally used in Mexico b. hiring Hispanic movie stars as endorsers c. distributing Corona in returnable bottles d. changing the brewing recipe to conform to American palates e. by having the label in Spanish language

a. retaining the bottle design originally used in Mexico

45. Excelsior Corp. launches a new hand-held personal digital assistant (PDA) for busy corporate executives. The initial retail price is set at $699. One year later, in an effort to reach a broader market, the price is lowered to $299. Which of the following describes the pricing strategies used by Excelsior Corp: a. skimming strategy followed by penetration strategy b. penetration strategy followed by cost based strategy c. penetration strategy followed by skimming strategy d. penetration strategy only e. skimming strategy only

a. skimming strategy followed by penetration strategy

76. When one of the parties to a barter transaction is not willing to accept the goods included in the transaction, that party is likely to utilize the services of a: a. switch trader b. Foreign Trade Organization c. Foreign Sales Corporation d. Mittelstand owner e. broker

a. switch trader

78. Which of the following companies would be most likely to use some form of countertrade when selling its products in developing countries: a. Procter & Gamble b. Bell Helicopter Textron c. Nokia d. Mercedes-Benz e. Coca-Cola

b. Bell Helicopter Textron

75. Motorola's failed Iridium venture was a global satellite telephone network designed to allow users to make or receive calls anywhere on the globe using handsets that are somewhat bigger than typical cellular phones. What type of innovation did Iridium represent: a. a continuous innovation b. a dynamically continuous innovation c. a discontinuous innovation d. a platform-based innovation e. none of the above

b. a dynamically continuous innovation

71. In the 1970s and 1980s, the arrangement by which PepsiCo received payment for soft drink products sold to the Soviet Union was: a. switch trading b. barter c. offset d. compensation trading e. counterpurchase

b. barter

49. Around the world, various brands of personal computers are sold with Pentium processors. This fact is often used as a selling point, with advertising that proclaims "Intel Inside." Which branding concept does such advertising reflect: a. brand equity b. co-branding c. brand image d. brand extension e. tiered branding

b. co-branding

50. The Lexus LX 470 sport utility vehicle is available with an optional $1,200 Mark Levinson premium audio system. Which branding concept does this represent: a. brand equity b. co-branding c. brand image d. brand extension e. tiered branding

b. co-branding

79. Despite the high expenses associated with operating elegant stores and purchasing advertising space in upscale magazines, the premium retail prices that luxury goods like Louis Vuitton command translate into handsome profits. The Louis Vuitton brand alone accounts for 60 percent of LVMH's operating profit. On the other hand Louis Vuitton spends $ 10 million annually battling: a. EU regulations b. counterfeiters in countries such as Turkey, South Korea, & Italy c. competitors in European countries d. suppliers of needed materials e. export freight and taxes

b. counterfeiters in countries such as Turkey, South Korea, & Italy

72. The Advanced Photo System (APS) created by Kodak and its partners combines traditional chemical photo processing with digital technology. One benefit of the system is that shutterbugs can choose 3 different print sizes. The APS would best be described as a: a. continuous innovation b. dynamically continuous innovation c. discontinuous innovation d. platform-based innovation e. new and improved innovation

b. dynamically continuous innovation

77. In Chinese market, Nike had a problem using the "Just Do It" attitude which was not found to be appropriate. Finally Nike decided to use Chinese athletes in their promotion. This type of adaptation was needed due to: a. Chinese do not wear running shoes b. ingrained Chinese values which respect authority c. Chinese athletes use Nike shoes d. "Just do it" in Chinese have a negative connotation e. parents do not want their children to see such ads

b. ingrained Chinese values which respect authority

55. According to a recent study of European industrial exporters, companies that utilized independent distributors would be most likely to utilize: a. ethnocentric pricing b. polycentric pricing c. regiocentric pricing d. geocentric pricing e. extension pricing

b. polycentric pricing

61. Dry soup mixes that have long been popular in Europe are marketed as sauces or dips in the U.S. This is an example of the _________ strategy. a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. dual adaptation e. product invention

b. product extension-communications adaptation

62. Stella Artois is a Belgian beer brand described by locals as a run-of-the-mill brew that is "fit for peasants." Accordingly, a pint of Stella sells for the equivalent of $1.10 in Brussels. By contrast, in New York, London, and other cities, Stella Artois is marketed as a premium beer that sells for as much as $8 per glass at upscale bars. As described here, which of the following strategies is being used to market Stella outside of Belgium: a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. dual adaptation e. product invention

b. product extension-communications adaptation

65. Before Ben & Jerry's launched their ice cream in the United Kingdom the company conducted extensive research to determine whether the package design was appropriate. The research indicated that British consumers perceived the colors differently than U.S. consumers. The package designed was changed accordingly. This type of strategy can be defined as: a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. product-communication adaptation e. product invention

b. product extension-communications adaptation

66. To promote its Centrino wireless chip, Intel launched a global ad campaign that features different combinations of celebrities. These celebrities were chosen because they are widely recognized in the key world markets. This type of strategy is referred to as: a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. product-communication adaptation e. product invention

b. product extension-communications adaptation

41. Which pricing strategy would be most appropriate for a marketer of luxury designer brands: a. gray market b. skimming c. penetration d. market holding e. cost based

b. skimming

42. If the manufacturer of a sophisticated new consumer electronics product determines that many target consumers qualify as "innovators" and "early adopters" with relatively inelastic demand curves, the company should use the ______________ pricing strategy: a. gray market b. skimming c. penetration d. market holding e. cost based

b. skimming

41. Generally speaking, which of the following statements is true concerning product attributes: a. Tangible product attributes are more important than intangible ones. b. Intangible product attributes are more important than tangible ones. c. Both tangible and intangible product attributes are important. d. Neither tangible nor intangible product attributes are important. e. A product has more attributes than tangible and intangible ones.

c. Both tangible and intangible product attributes are important.

80. Luxury good marketers found a new way to combat gray market imports into the United States. In March 1995, the U.S. Supreme Court let stand an appeals court ruling prohibiting a discount drugstore chain from selling Givenchy perfume with permission. The distinctive packaging of the perfume is also protected by the U.S. Copyright law. The ruling implies that: a. Givenchy can only be sold in copyrighted packages b. Costco and Wal-Mart will no longer be able to sell Givenchy c. Costco and Wal-Mart will be able to sell Givenchy with authorization d. Gray marketers will be able to market with authorization e. Discount drugstore cannot market a product resembling Givenchy's perfumes

c. Costco and Wal-Mart will be able to sell Givenchy with authorization

71. The introduction of consumer VCRs in the late 1970s initiated a revolutionized in-home electronic entertainment. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. The VCR's popularity also gave rise to an entirely new retailing concept, the video rental store. What type of innovation did the consumer VCR represent: a. a continuous innovation b. a dynamically continuous innovation c. a discontinuous innovation d. a comparative innovation e. none of the above

c. a discontinuous innovation

42. Advertising, company name, news stories, and promotion activities are a few of the elements that contribute to a company's: a. logo development b. brand equity c. brand image d. co-branding effort e. brand label

c. brand image

69. The formulation, imagery, and consumer appeal of Colgate's Total brand toothpaste were designed to translate across national boundaries. This new global brand represents which type of product innovation: a. discontinuous innovation b. dynamically continuous innovation c. continuous innovation d. comparative innovation e. dynamically discontinuous innovation

c. continuous innovation

76. By definition, a ______ requires a large amount of learning on the part of users and typically creates new markets and consumption patterns. a. continuous innovation b. dynamically continuous innovation c. discontinuous innovation d. platform-based innovation e. new and improved innovation

c. discontinuous innovation

60. The unauthorized distribution of trademarked goods to exploit price differentials in world markets is known as: a. market skimming b. black marketing c. gray marketing d. dumping e. licensing

c. gray marketing

60. Generally speaking, which of the following product categories represents the best potential for extension into international markets without adaptation: a. companion products b. food products c. industrial products d. intangible products e. non-alcoholic drinks

c. industrial products

74. Which type of countertrade arrangement is required by governments seeking to reduce the budgetary impact of expenditures for defense or telecommunications: a. barter b. switch trading c. offset d. compensation trading e. none of the above

c. offset

43. Which pricing strategy did Sony use when launching the Walkman personal stereo: a. gray marketing b. skimming c. penetration d. market holding e. cost based

c. penetration

51. Which of the following does not contribute to price escalation in global marketing: a. shipping and insurance charges b. value added taxes (VAT) c. product differentiation d. duties and tariffs e. fluctuating exchange rates

c. product differentiation

63. Following the 1997 currency crisis in Asia, which American industry appealed to President Clinton for protection from foreign producers that were allegedly "dumping" products in the United States: a. auto industry b. computer industry c. steel industry d. photo products industry e. restaurant industry

c. steel industry

67. "Cost-based," "market-based," and "negotiated" are three approaches to: a. dumping b. gray marketing c. transfer pricing d. price skimming e. counter trade

c. transfer pricing

68. Recent trade data indicate that about 25 percent of U.S. merchandise exports represent shipments by American companies to their foreign affiliates and subsidiaries. This situation underscores the importance of __________ in global marketing. a. dumping b. gray marketing c. transfer pricing d. price skimming e. price fixing

c. transfer pricing

69. Which of the following is true about proper use of the term "countertrade": a. The term "countertrade" is interchangeable with "offsets." b. The term "countertrade" is interchangeable with "barter." c. The term "countertrade" is interchangeable with "counterpurchase." d. "Countertrade" is a blanket term that refers to several different types of business transactions. e. The term "countertrade" is interchangeable with "dumping."

d. "Countertrade" is a blanket term that refers to several different types of business transactions.

48. Sony is famous worldwide for its Walkman® personal stereo. Which of the following reflects the most accurate use of marketing terminology: a. "Sony," "Walkman," and "personal stereos" are global brands. b. "Sony" is a global brand, "Walkman" and "personal stereo" are global products. c. "Sony," "Walkman," and "personal stereos" are global products. d. "Sony" and "Walkman" are global brands; "personal stereo" is a global product. e. "Sony" only is a global brand and the rest are descriptors.

d. "Sony" and "Walkman" are global brands; "personal stereo" is a global product.

44. ____________ represents the cumulative added value of a company's investment in the marketing of a brand over time. a. Brand extensions b. Co-branding c. Brand image d. Brand equity e. Brand loyalty

d. Brand equity

56. Which automaker was described as using an ethnocentric approach to setting prices in the United States: a. Toyota b. Nissan c. Volkswagen d. Mercedes e. Lexus

d. Mercedes

60. Which of the following consumer products companies experienced a major product failure in Europe due to inadequate test marketing: a. Procter & Gamble b. Colgate c. Kao d. Unilever e. Seagram

d. Unilever

45. For nearly 60 years, DeBeers has used the advertising slogan "A diamond is forever." Such a long-term investment in marketing is central to developing: a. brand extensions b. co-branding c. local brands d. brand equity e. brand marks

d. brand equity

46. In recent years, the Coca-Cola Company has been plagued by such problems as employee lawsuits over diversity issues, deteriorating bottler relations, a production stoppage, and a disastrous product recall in Belgium. Taken together, these problems could dilute the company's __________. a. brand extension program b. co-branding efforts c. international brands d. brand equity e. product/communications extension strategy

d. brand equity

77. Suppose that World Corp. signs a contract to build a lumber processing plant in Siberia. If World Corp. signs a second contract agreeing to take partial payment for the plant in the form of lumber products produced at the plant, it is engaging in: a. barter b. switch trading c. offset d. compensation trading e. a hybrid countertrade arrangement

d. compensation trading

73. After four years of product development, Procter & Gamble recently introduced a new, improved disposable diaper. Pampers Rash Guard are designed to prevent diaper rash and represent the first time a company has made a medical claim for its diapers. What kind of innovation do the new diapers represent: a. platform-based innovation b. dynamically continuous innovation c. discontinuous innovation d. continuous innovation e. none of the above

d. continuous innovation

62. In the early 1990s, the U.S. International Trade Commission ruled that several Japanese manufacturers were selling active-matrix flat panel display screens in the U.S. at less than fair value and thereby injuring the sole U.S. producer of similar screens. The ITC's ruling concerned: a. black marketing b. market skimming c. gray marketing d. dumping e. licensing

d. dumping

64. If a company sells products in export markets at prices that are below fair market value and that can harm producers in the export market, that company may be accused of: a. market skimming b. using offsets c. pursuing artificially high margins d. dumping e. gray marketing

d. dumping

54. Alfred Zeien, former chairman of Gillette, once noted that his company's Parker Pen unit does not have to develop a special model for Malaysia and Singapore because shoppers worldwide seek the same things when buying a gift that will serve the recipient as a status symbol. This insight relates to which level of Maslow's hierarchy of needs: a. physiological b. safety c. social d. esteem e. self-actualization

d. esteem

61. When Tag Heuer, a marketer of luxury watches, takes out newspaper ads urging consumers to purchase Tag Heuer products from authorized dealers only, the company is most likely attempting to combat the ____________ problem. a. countertrade b. market holding c. price escalation d. gray market e. market skimming

d. gray market

75. To win a contract to supply the United Kingdom with AWACS military aircraft, Boeing agreed to purchase products from the UK whose value was equivalent to 130 percent of the contract. This type of pricing arrangement, which is common when the customer is a foreign government and the product has military applications, is known as: a. barter b. switch trading c. compensation trading d. offset e. dumping

d. offset

49. A manufacturer attempting to set prices for its products in export markets must realize that CAF, VAT, duties, and distributor margins all lead to: a. currency devaluations b. dumping charges c. market skimming d. price escalation e. market penetration

d. price escalation

65. Germany's Bayer Group was fined millions of dollars to settle a lawsuit alleging it had conspired with ArcherDanielsMidland and other global companies to set prices for an enzyme used in animal feeds. What was the issue in this lawsuit: a. price skimming b. market penetration c. price bundling d. price fixing e. dumping

d. price fixing

66. In the late 1990s, the U.S. Justice Department fined two European pharmaceutical companies hundreds of millions of dollars for conspiring to suppress competition and set high prices for vitamin supplements marketed in the United States. What was the issue in this lawsuit: a. price skimming b. market penetration c. price bundling d. price fixing e. transfer pricing

d. price fixing

63. Campbell's has been marketing soup in Japan for more than 40 years. Early on, Japanese consumers were not receptive to ads featuring the Campbell Kids and the "M'm M'm Good" slogan. This compelled Campbell's to develop ads featuring a talking soup can known as "Mr. Campbell." Campbell's also developed soup varieties for Japan with fish as the main protein source and spices that reflect local preferences. As described here, which of the following strategies has Campbell's used in Japan: a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. product-communication adaptation e. product invention

d. product-communication adaptation

64. Prior to 2004, Nokia launched different cell phone products in different countries at different times. Nokia also used different advertising images and messages in different countries. Which approach to the world marketplace was Nokia using: a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. product-communication adaptation e. product invention

d. product-communication adaptation

44. Hewlett-Packard is the world's leading marketer of inkjet printers. H-P's printers are priced very low and margins are slim; by contrast, the company enjoys significant margins on sales of replacement ink cartridges. This approach is sometimes known as ____________ pricing. a. gray market b. price bundling c. market skimming d. razors and blades e. cost-based

d. razors and blades

53. Which of the following would not be used by an exporter with a weak home country currency: a. expand product line and add more costly features. b. speed repatriation of foreign-earned income. c. buy advertising, insurance, and other services in home country market. d. shift sourcing outside home country market. e. exploit marketing opportunities in all markets.

d. shift sourcing outside home country market.

79. Which global company was responsible for bringing the Smart car to market: a. Swatch b. Volkswagen c. Nissan d. Ford e. DaimlerChrysler

e. DaimlerChrysler

80. The corporate development team at Virgin evaluates more than a dozen proposals each day from outside and within the company. When assessing new-product ideas they look for all of the following except: a. synergy with existing Virgin products b. pricing and return on investment c. marketing opportunities d. if the idea "uses or abuses" the Virgin brand e. aesthetic attributes of competitors products

e. aesthetic attributes of competitors products

46. A firm without much export experience uses the rigid cost-based pricing method. Which of the following considerations is the exporter ignoring: a. Is the price competitive in view of local market conditions? b. Does the price reflect the product's quality? c. Will authorities in export markets view the price as reasonable or exploitative? d. Does the price take antidumping laws into consideration? e. all of the above

e. all of the above

50. If a distributor's margins are based on the "landed" price of an import shipment, they will be based on: a. ex-works price b. transportation costs c. insurance costs d. VAT e. all of the above

e. all of the above

47. The Nike swoosh, McDonald's golden arches, and Apple's rainbow apple are all examples of: a. non-word marks b. brand extensions c. brand symbols d. global brands e. both A and C

e. both A and C

48. Which of the following Incoterms apply to all modes of transportation: a. ex-works b. FAS c. delivered duty paid d. FOB e. both a and c

e. both a and c

47. Which pricing strategy has the advantage of being simple to calculate but the disadvantage of ignoring demand and competitive conditions: a. gray marketing b. skimming c. penetration d. market holding e. cost based

e. cost based

70. The most general term for the global phenomenon involving reciprocal business interactions between parties in various countries is known as: a. switch trading b. barter c. offset d. compensation trading e. countertrade

e. countertrade

58. Which of the following would NOT be taken into account by a company using an ethnocentric approach to pricing decisions: a. the possibility of implementing a penetration strategy b. profitable price points that could be tied to local sourcing as opposed to home-country sourcing c. integration of price with other marketing mix elements d. factors unique to individual country markets e. none of the above would be taken into account by a company using ethnocentric pricing

e. none of the above would be taken into account by a company using ethnocentric pricing

67. Colgate's Total is a new toothpaste brand whose formulation, imagery, and consumer appeal were designed from the beginning to translate across national boundaries. Which strategy did Colgate use with Total: a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. dual adaptation e. product invention

e. product invention

68. Hindustan Lever recently developed a hard candy flavored with natural fruit juice that it sells profitably in India for the equivalent of 1 cent per piece. This is Hindustan Lever's first-ever candy product. What strategy is evident here: a. product-communications extension b. product extension-communications adaptation c. product adaptation-communications extension d. dual adaptation e. product invention

e. product invention

56. Which of the following is NOT one of the levels in the Asian version of Maslow's hierarchy: a. physiological b. safety c. affiliation d. admiration e. self-actualization

e. self-actualization