MKTG 367 Final
Identify an accurate statement about volatility of industrial demand.
Avoiding layoffs helps firms to cope with fluctuations in the markets.
Select the qualities of innovation that control the pace of consumers' acceptance of or resistance to a product.
Complexity Relative advantage Trialability Compatibility Observability
Durable goods
Computers and cars
How are mobile devices used in advertising?
Consumers are allowed to ask marketers questions. Information and web services are offered to users. Innovative answers are delivered by marketers to users.
Identify a scenario that best describes the influence of after-sales service on demand for technical products.
Consumers buy cars from a particular manufacturer because that manufacturer has reliable maintenance facilities.
Packaging component
Cost of product
____ is the process by which market innovation spreads.
Diffusion
Nondurable goods
Drugs, toys, and food
Certain companies cannot standardize the brand names of their products because those products lack equity
False
Consumers care exclusively about the physical forms of a product.
False
Demand in international industrial markets is less volatile than demand in consumer markets.
False
Features that a customer does not want in an industrial product can enhance the product's quality rating.
False
ISO 9000 certification guarantees that a manufacturer produces a high-quality product or service.
False
Local prerequisites for successful product adaptation facilitate the entry of service companies into foreign markets.
False
Protests against global organizations, such as the WTO and IMF, stem from the basic complaint that globalization hinders international trade efforts.
False
Sales promotions involve long-term efforts that are aimed at consumers or retailers.
False
The volatility of industrial demand remains unaffected by derived demand
False
When a product is assessed from a foreign user's point of view, the assessment may cause a misjudgment of the product's cultural significance.
False
Support services component
Handbook that explains how to use product
Select the characteristics of services.
Intangibility Inseparability Perishability
As in all areas of international business, the _____ is facilitating relationship building and maintenance in new ways.
Internet
Which of the following are accurate statements about the General Agreement on Trade in Services?
It set up procedures concerning business and investment. It sought to make additional changes in opening up the telecommunications and financial services sectors.
Identify the means of overcoming negative country stereotyping.
Market experience Effective brand advertisement
What happens when media limits companies' creative strategies?
Marketers must stress other components of the promotional mix. Advertising becomes a smaller part of the promotional program.
Identify the advantages associated with trade shows.
Many customers cannot be contacted in any other way. Products can be demonstrated to customers. A company can begin to develop a relationship with distributors, agents, and suppliers.
Identify the components of the Product Component Model.
Packaging component Support services component Core component
Which of the following statements are true regarding the impact of global competition on business?
Product life cycles are increasingly shorter. Companies must emphasize competitive prices.
Stage 4, drive to maturity matches
Recently industrialized countries make inexpensive consumer and industrial products.
Identify the traditional major determinants of brand choice.
Recommendations by peers Word-of-mouth advertising
A private bank in Talamri collects and transfers information about its customers (including medical details and employment details) to its business partners. The government of Talamri passes a directive stating that all service companies must obtain individual consent before sharing information about their customers with business partners. Which trade barrier is at work in this scenario?
Restrictions on transborder data flows
Identify the objectives that can be achieved through sales promotions.
Retail point-of-purchase displays can be gained. Consumers can be introduced to stores or brands. Advertising can be supported and augmented. Stores can be encouraged to stock products.
Which factor is crucial in delivering a quality product?
Standardization
Which media do governments most commonly prohibit from accepting advertising materials?
Television and radio
In the context of a nation's balance-of-payments statement, which of the following reasons explain why the current account is of particular interest to international business?
The account records the value of all imported and exported merchandise and services. The account shows all payments and receipts from investments and overseas employment.
an information source
an international marketing executive who has to communicate a product message
In times of economic difficulty, private brands are favored because they _____.
are cheap
In context of the country-of-origin effect, stereotypes _____.
are responsible for creating perceptions of products
An advantage of online trade shows is that
businesses and customers can connect with each other in an affordable way.
Some companies use different brand names in foreign markets because
certain brand names do not make sense when directly translated into a different language. certain brand names have unacceptable connotations in another culture.
A company in Europe launched a new laundry detergent into the market. The promotional advertisement claimed that the detergent was superior to all other leading detergent brands in the market. After a few days, the advertisement was banned. The reason for the ban was that the advertisement was ______.
comparative
In Europe, there are variations in laws that control ______ advertising from country to country.
comparative
Countries purchase high-tech products during the first three stages of industrial development so they can
compete in global markets.
The effectiveness of an advertisement can be ensured if all the characteristics of the advertisement coincide with ______ norms.
cultural
Even in high-tech nations, perceptions of a product's quality can vary, depending on the
cultural group.
Standardized products must be advertised differently in different markets because
cultures of different regions are not the same
In the international communication process, symbols that are transmitted from information sources are interpreted by receivers in the _____ step.
decoding
To combat media limitations, advertisers in some countries have
developed their own media.
A tractor manufacturer stops supplying tractors to farmers in Parain because of the availability of low-cost labor there and the consequent lack of demand for tractors. Because per capita income in Parain is low, workers willingly work for minimal wages. In this scenario, low-cost labor is easily available in Parain because it has a _____ economy.
developing
The U.S. cake mix company mentioned in the text was successful in England because it
did extensive market research.
Flow of information about the effectiveness of a message from a receiver back to a source occurs in the ______ step of the international communication process.
feedback
A name, term, sign, symbol, or design that serves to identify a seller's goods or services and differentiate them from those of competitors worldwide is known as a _____ _____.
global brand
Change in culture can be brought about through _____.
global mass media advertising
Billboards are more useful in countries where ______.
illiteracy rates are high
Direct mailings are largely used by ______ advertisers.
industrial
From a sociological point of view, when a group perceives any idea as new, that idea is a(n) _____.
innovation
Global standards for industrial products are being developed by
international organizations.
Companies can effectively use direct mail for advertising in countries where there is ______.
limited availability of other media
Market segmentation strategies that are used by multinational companies often ignore _____.
national boundaries
Why is a product that generates 40,000 units per hour, when customers need only 10,000 units per hour, considered to be of low quality?
The extra capacity is not required or expected.
Stage 1, the traditional society matches
The most significant industrial demand is based on extraction of natural resources.
Identify a trend that has expanded the market for high-tech products.
economic growth in Asia
In the international communication process, before a source message is transmitted to a receiver, a sender first converts it into effective symbolism. This step is known as _____.
encoding
The first step in the international communication process is ______.
encoding by an information source
Consumer product firms enter global markets to
expand their customer base across countries.
Which of the following are unintended consequences of globalization?
exploitation of workers increased oil prices diminished national sovereignty the loss of cultures
Customer training programs help buyers by enabling them to operate and maintain technical equipment on their own.
True
The success of a sales promotion depends on local adaptation, promotional types, and cultures.
True
When do companies across Europe seek commonality in branding and advertising?
When they need to avoid confusion related to multiple label names When they need to ensure efficiency
Identify the instances when advertisers use lesser media to create solutions.
When traditional media is restricted When traditional media is not available
Which of the following are receipts (the plus side) on the U.S. balance-of-payments statement?
export sales of merchandise foreign government payments to the United States payments of interest and dividends on investments abroad
ISO 9000 certification tends to improve
a firm's general performance.
Waves Inc. and Nica Inc. are two firms that manufacture laptops for the same market. However, buyers prefer the laptops manufactured by Waves Inc. because of the easy accessibility of company-owned repair outlets. In this scenario, identify a factor that has influenced buyers' preference.
after-sales service
The most important elements of marketing communications for most companies are _____ and personal selling. Multiple choice question.
advertising
Which business services companies were among the first to launch branch offices as "client followers" in foreign countries?
advertising banking accounting
In international industrial markets, the level of technology of products and services
affects the appropriateness of their sale in some countries.
Errors at the receiver end of the international communications process result from inaccurate decoding by a sender.
false
Overall, newspapers' advertising revenue is increasing.
false
In the context of the Product Component Model, delivering and installing a refrigerator in a customer's kitchen is an aspect of the ______ component.
support services
Which of the following factors form a customer's perception of quality?
support services and follow-through prices of rival products level of technology reflected in a product
It is difficult to get products repaired and maintained in developing countries because
support services are not readily accessible.
Some countries are fast-forwarding through the stages of economic development by making use of
technology
Enormous problems are created for the expansion of the _____ industry due to vast differences in standards among countries.
telecommunications
The significance of providing feedback in the international communications process is that ______.
the effectiveness of the process can be evaluated
The rapid growth of international business services has been hampered by
the imposition of direct and indirect trade barriers. restrictions that prevent foreign companies from competing in domestic markets.
decoding
the interpretation by a receiver of the symbolism transmitted from an information source
Ken is the marketing executive of a multinational company. The company launches a new product into the market, and Ken is responsible for globally promotion of the product. However, the effort undertaken by Ken to communicate the message internationally fails. In this case, a probable reason for failure is that ______.
the requirements and desires of the target markets were not assessed properly
a message channel
the sales force and/or advertising media that convey(s) an encoded message to a receiver
Maintaining a diverse portfolio of market coverage helps a business
thrive during periods of fluctuating industrial demand.
The impact of satellite television is a matter of concern for governments because _____
they are afraid of losing control of the media
Identify factors that have enabled businesses to deliver spare parts and after-sales technical service swiftly and easily.
toll-free telephone services the Internet
A disadvantage of advertising through direct mail in some countries is that _____.
postage fees have to be collected from the consumer when the mail is delivered
Identify a factor that has been generating global sales of industrial products.
privatization
ComfyLife Corp., a manufacturer of home appliances, plans to launch a new line of refrigerators in Murico, a developing region. Because power supply is irregular in that region, the company re-designs its refrigerators so that they can function efficiently even during power failures. This scenario is a possible example of _____.
product homologation
Local product and service standards mandate certain changes. These changes are described as _____.
product homologation
Companies can successfully promote products that have small market shares or that represent new concepts by using ______.
product sampling
Zest Corp. launches a new health drink for children and youth. Because the product is new and has a small market share, the company distributes trial packs of the product to students in schools and colleges. In this scenario, the promotional tool implemented by Zest Corp. is ______.
product sampling
The expansion of global business services has been seriously threatened by
protectionism
Two Asian countries pass laws to restrict the entry of foreign service industries into the local market. This scenario best exemplifies _____.
protectionism
Unlike multinational advertising agencies, local domestic advertising agencies ______.
provide companies with good interpretation of local culture
A laptop manufacturing company shares information about its progress online to reach out to its prospective clients and franchisees. It also provides links to its inventories and catalogs. This scenario is an example of
relationship marketing.
An important factor that decides if a consumer wishes to buy technical products from a particular company is the
seller's willingness to provide training.
A product with more features
usually costs more.
The increasing interest in ISO 9000 certification is driven largely by
what customers require.
"Quality" is defined by customers in terms of _____.
what they want and their ability to pay for it
The psychological attributes of products are _____.
based on societal norms and values
Products from developing countries _____.
often encounter negative bias
IS0 9000 certification
often increases a company's stock price.
Arrange the steps of an international advertising campaign in the correct order, with the first step at the top.
1. Marketing research should be performed and communication goals should be specified 2. The most effective messages should be developed for the market segments selected 3. Effective media should be selected 4. A budget should be composed and secured to meet goals 5. The campaign should be executed and evaluated relative to the goals specified
List, in order, from the beginning, the steps a firm follows to obtain ISO certification.
1. The company asks a certifying organization to audit its key business operations 2. The assessor asks numerous questions about various aspects of the company 3. A highly detailed plan of action is drafted 4. Management and the assessor work together to draw up a quality manual, which customers will use to verify the company's credibility 5. Accreditation is granted, the company receives its certification, and evaluations are conducted periodically thereafter
List in order the stages of Rostow's five-stage model of economic development, beginning with the first stage.
1. The traditional society 2. Preconditions for takeoff 3. Takeoff 4. Drive to maturity 5. The age of mass consumption
Which scenario best describes a global brand?
A coffeehouse's logo of coffee beans is recognized by consumers in 10 countries
What happens in the first step of the international communication process?
A product message is selected for transmission.
Identify techniques used by advertisers that can lead to difficulties for translators
Abstractions Terse writing Word economy
What happens if a market is segmented by too many newspapers?
Advertisers cannot afford to buy sufficient coverage.
Identify Europe-wide promotional strategies.
Advertising concepts should be designed to appeal to market segments. Market segments across European countries should be identified
Why are highly developed advertising strategies needed?
Because sophistication of foreign consumers has increased Because competition for world markets has intensified
Identify a similarity between tangible products and intangible services
Both can be sold to businesses and individuals.
Stage 5, the age of mass consumption
Businesses design products and hone their manufacturing techniques.
How does total quality management start?
By talking to customers
Services
Choice, Telecommunications and tourism Telecommunications and tourism
Why do international advertisers seldom bother with foreign national consumer magazines?
Circulation figures may not always be dependable. Magazines may accept more advertisements than they have space to run. Placement problems may be caused due to paper shortages.
Select elements in the diffusion of new ideas as stated by Everett Rogers.
Communication over a period of time Communication through specific channels Creation of a product
Identify the concerns that are being raised in the advertising industry
Companies are practicing deception in advertising. It is difficult to define and control decency in advertisements. Certain advertisements demean women.
Why are multinational advertising agencies with local branches preferred to local domestic advertising agencies?
Companies can be guaranteed global representation. Worldwide advertising campaigns can be better coordinated.
What benefits do consumer product firms derive by marketing internationally?
Competition with other companies can be maintained. Life cycles of products can be extended. Sales and profits can be enhanced.
Identify the examples of noise that affect any or all of the other six steps of the international communications process.
Competitive activities Confusion
Identify the factors that affect the adoption of certain products by buyers.
Conformity with buyers' conventions and principles Physical characteristics and functions of the product Conformity with buyers' conduct
Identify an accurate statement about acceptance of products by consumers in new country markets
Consumer accept new products fairly slowly.
What facilitates a company's success when innovative products are commercially launched?
Conversion-ability
Identify the parties to whom companies aim to convey their messages.
Customers General public Governmental regulators
Select the circumstances that affect an object's pace of diffusion.
Degree of perceived newness Perceived characteristics of the innovation Approaches utilized to convey ideas about the object
Identify a scenario that best describes derived demand in industrial markets.
Demand for power supply accelerates the building of more hydroelectric power plants.
Identify the measures that industrial firms should take to manage volatility in demand.
Disregard market share as a strategic goal. During periods of great demand for a product, increase prices more rapidly. Spend less on advertising when demand for a product is high.
Identify the factors that dictate product adaption.
Economic conditions Technological demands Climatic requirements Political requirements
A country's industrial market can be estimated by ascertaining its level of _____ development.
Economic
In Rovamia, a developing country, companies often had to compromise on quality and cost earlier to make their products affordable to consumers. However, with the increase in per capita income of the country, companies can now maintain the quality of their products without lowering price. Identify a factor that best describes the reason for this shift in Rovamia.
Economic growth
The people of Rhoda prefer clothes manufactured by local companies to foreign brands because they want to retain their culture. Identify the concept that this scenario best exemplifies.
Ethnocentrism
A product that is perceived as extremely innovative is rapidly accepted by consumers because they appreciate its newness.
False
Adaptation is independent of changes in the psychological aspects of a product.
False
Identify an element that is included in the support services component.
Fixing of malfunctioning product
Whirling Dervish is a U.S.-based company that manufactures Floor-It, an all-in-one floor-cleaning device that cleans, mops, and shines. The product has been on the market for over a decade and has been very successful and widely accepted by consumers. The company plans to introduce Floor-It to international markets that have few products in the floor-cleaning category. Which of the following should be a concern for the company?
Floor-It may be perceived as new
What will happen if television coverage is expanded?
Global standardized messages will become more prevalent. Advertiser creativity will be challenged.
Identify the major categories of U.S. exports.
Goods that are durable Services Goods that are nondurable
_____ _____ is the term used to identify concern with the environmental consequences of a variety of marketing activities.
Green Marketing
According to the Product Component Model, the box a smart phone arrives in is an aspect of its
How the product works What the product does
Identify the conditions in which creativity in advertising holds special importance.
If a budget is small If production limitations exist
Identify a difference between industrial goods customers and consumer goods customers.
Industrial goods customers desire profit, whereas consumer goods customers desire satisfaction
What are the leading exports of the United States?
Industrial supplies Capital goods
Identify the accurate statements about noise
It frequently interferes with the process of communication. It creates a disrupting effect.
Identify an accurate statement about a consumer's preference for one company's technical products over another's.
It is affected by a seller's availability to install the products.
Which of the following statements about the World Trade Organization are accurate?
It is an institution. It encompasses the structure of GATT. It issues binding decisions on members.
Identify the accurate statements about a product.
It is dependent on the prestige enjoyed by its brand. It is a collection of fulfillments that a consumer purchases.
Identify a true statement about maintaining quality in today's global competitive market.
It is desirable. It is necessary.
Identify the accurate statements about the role of the Internet in advertising.
It is used as a promotion medium for consumer goods by many companies. It uses catalogs and product descriptions for promotions.
Which of the following are accurate statements about a nation's balance-of-payments statement?
It maintains records through a double-entry bookkeeping system. It records all financial transactions between residents and the rest of the world.
Identify the utilities or satisfactions associated with a product.
Its color Its major function Its smell Its labeling Its texture
Identify the potential disadvantages of advertising in newspapers
Lack of space due to equipment limitations Lack of separation between advertising and editorial content Long time lag before publication of advertisements
Identify a scenario that best describes protectionism
Limiting the amount of foreign investment in the field of education
Tim is the marketing manager of a beverage manufacturing company. He is responsible for conducting an international advertising campaign to launch and promote a new product. In this scenario, identify the first step that Tim should take.
Marketing research should be performed.
What objectives do good public relations accomplish?
Media and press are encouraged to cover positive stories about companies. Companies are helped to communicate messages to their customers. Unfavorable events, rumors, and stories about companies are managed.
What causes international communications to fail?
Media inadequacy may hinder the flow of messages. Different cultural interpretations may hinder the understanding of messages. The needs and wants of a target market may not have been assessed properly.
Which types of advertising agencies might a company choose to hire when it is seeking local modification and the best cultural interpretation of its advertising message?
Multinational agencies with local branches Company-owned agencies Local domestic agencies
Inseparability
One cannot separate creation of services from their consumption.
Identify a scenario that illustrates the effect of climate on product design.
Only eight-wheeled vehicles are sold in Gumorah because it is a desert region
Identify the factors that companies must consider when packaging their products.
Picture Color Size Symbol
Select the circumstances that advance conversion in the global pharmaceutical sector.
Previous experience launching innovative products Concentration on a handful of significant innovations Ability and resources to wait a long time to see results
Problems associated with broadcast through cable or satellite television can be overcome, and advertising to many cultures and locations can be facilitated, with the use of _____.
Princeton Video Imaging
In the context of advertising strategy and goals, why do multinational companies strive to increase control and efficiency without sacrificing local responsiveness?
Promotional programs in multiple countries have given rise to coordination problems. Companies desire a broader company or product image. Costs of advertising have increased.
Beats Corp., a music company in Hembark, sues another rival music company when the latter sells pirated copies of the latest CD released by Beats Corp. Identify the barrier to entering global markets exemplified in this scenario.
Protection of intellectual property
Core component
Purpose of product
In the context of the Product Component Model, identify the elements included in the packaging component.
Quality Brand name Price
Market-perceived quality
Refers to a consumer's satisfaction with many aspects of a product
Performance quality
Refers to a product's ability to carry out its primary function
An aircraft manufacturing company launches a new aircraft model. Due to poor market response, the company nearly stops manufacturing it. However, the company later decides to display the model in a trade show. Identify a benefit that the company will reap by attending the trade show.
Relationships with potential distributors and franchisees can get started
Which factors can cause errors at the receiver end of the international communications process?
Selection of poor media Poor encoding Lack of proper knowledge of use patterns Incorrect decoding
Stage 3, takeoff
Semidurable and nondurable consumer goods are manufactured. Customers want to buy equipment and supplies for their business operations.
Heterogeneity
Services are individually produced and are unique.
Intangibility
Services cannot be possessed.
Perishability
Services must be consumed as soon as they are created.
Stage 2, preconditions for takeoff
Some manufacturing starts up, and infrastructure is being built to support it.
The demand for high-tech products has increased because of the disintegration of the
Soviet empire.
Identify the problems that are associated with advertising coverage.
Sufficient information about coverage cannot be obtained. Some demographic groups cannot be reached.
Identify a difference between tangible products and intangible services
Tangible products can be stored, whereas intangible services must be consumed as they are created.
Select the hurdles faced by companies that would like to offer services in foreign countries
Tariffs Copyright issues Restrictions of data movement between countries
Identify the factors that can cause an international marketer to symbolize a message incorrectly at the encoding step.
Tastes of spokespersons Values and beliefs of spokespersons Problems of media availability and literacy Humor of spokespersons Timing and appropriateness of spokespersons
How are large volumes of international business generated by industrial advertisers?
Through catalogs Through sales sheets
Which of the following is the United States' principal services export?
Tourism
Which linguistic limitations do advertisers face?
Translation issues Low literacy rates Diverse education and social norms
Which step immediately succeeds encoding in the international communication process?
Transmitting a message to a receiver
International marketers should carefully evaluate the packaging component of their product to ensure that it does not have unintended symbolism.
True
Message channels must be carefully selected if an encoded message is to reach a consumer correctly.
True
New industrial owners are investing a great deal of money in the latest technology because of privatization.
True
Problems related to copyrights often create hurdles to entering global markets.
True
The World Trade Organization was created following the signing of the
Uruguay Round trade agreement.
Consumer goods customers
Use goods in their final form
Industrial goods customers
Use goods to create other products and services
Identify a local practice that makes companies reluctant to place ads in foreign national consumer magazines
Use of raffles to select advertisements for magazines shortly before press time
When literacy levels are low in a country, companies should provide product instructions in the form of a(n) _____.
Video
When do international promotions commonly contain mistakes?
When adequate knowledge about target markets is not available When cultural influences are improperly reflected by the communication process
In which of the following circumstances are online trade shows a useful substitute for attending a live trade show?
When political situations are difficult When economic situations are difficult
Cultural differences among various countries most often affect marketing decisions related to ______.
advertising
The development and execution of advertising campaigns are generally managed by ______ agencies.
advertising
During the first three stages of economic development, countries use technological advancements to
accelerate their industrialization process.
To maximize satisfactions received from a product, marketers need to _____.
adapt its nonphysical features to suit culture
If there is a difference between cultures of an existing market and a new market, then _____.
adaptation increases
A company supplies printing machines to newspaper agencies across the world. Though the product supplied to different countries is standardized, the product must be customized somewhat to suit the requirements of different agencies. This scenario is an example of
adaptation of industrial products.
In the context of relationship marketing, identify the primary functions of global account managers.
adapting as situations change working in harmony with the customer's personnel collecting information
International small-package door-to-door express air services and the Internet have made _______ almost instantly available.
after-sales technical service
The international financial transactions of a nation are recorded by a system of accounts. This system of accounts is known as the ___ ___ ___
balance of payments
The cost of reaching a prospect using advertising depends on the _____.
bargaining ability of agents
Entry into many markets is based on access to appropriate _____.
communication channels to customers
With a proper feedback system, errors ______.
can be corrected before significant damage occurs
The feedback step of the international communications process ______.
checks the other steps for their effectiveness
A U.S.-based law firm establishes a branch office in the United Kingdom. A U.K.-based steel manufacturing company hires the law firm to take care of its legal issues. The law firm is an example of a(n)
client follower.
When attempting to design equipment that will be successful in all parts of the world, a company should anticipate extreme variations in
climate.
Identify the cultures in which it is particularly important to focus on developing long-term business relationships with clients.
collectivistic cultures high-context cultures
The managers of a multinational pharmaceutical firm are direct and professional in their approach toward their clients. However, they instruct local managers in Surasia to focus on developing relations based on trust with their existing and potential clients. These instructions are possibly given because Surasia is located in a culture that is
collectivistic.
One of the great creative challenges in advertising in diverse cultures is the problems associated with ______.
communicating to individuals
Thanks in part to the smartphone, marketplace power is held by
consumers.
In the context of the Product Component Model, the tangible or material aspect of the product is considered the
core component.
Which of the following are international investments (the minus side) on the U.S. balance-of-payments statement?
cost of goods that are imported new overseas investments cost of foreign military and economic aid money spent by U.S. tourists overseas
Brews Inc. and Aromas Inc. are foreign companies that manufacture tea. While there is no stark difference in quality of tea manufactured by the two companies, consumers have more positive perceptions about the tea manufactured by Brews Inc., which is based in the United Kingdom. This scenario is an example of _____.
country-of-origin effect
Satellites ______.
cover many different countries
Glen's, a multinational chain of restaurants, is famous for its steak dishes. In most outlets of Glen's, consumers prefer rare to medium steak. However, in Palatina, consumers prefer well-done steak. The restaurant modifies its recipe to meet the demands of the consumers because the _____ preference of consumers of Palatina is different from those of the consumers of other countries.
cultural
Global advertising expenditures tend to be _____.
cyclical
A rise in the number of students going overseas for higher education has increased the popularity of social networking sites because students need an affordable medium to keep in touch with their friends and families. Which concept applies to this scenario?
derived demand
Rapid industrialization has accelerated the demand for steel and iron in Isotola, a developing country. This strengthened demand has led to the establishment of more steel and iron manufacturing plants in Isotola. This scenario is an example of
derived demand.
When a demand depends on another source, it is known as
derived demand.
When a country's literacy rate is low, companies need to modify a product's ______.
directions for use
In a developed country, fixing and keeping products in good working condition is
easy due to accessibility of multiple support service providers.
A nation's economic development can be assessed by examining the quality of its
educational system.
If a directive requires firms to obtain individual consent before collecting and passing on data, then _____.
electronic transfer of information is restricted
An objective of the General Agreement on Trade in Services (GATS) is to
eliminate barriers that discriminate against foreign services.
Radio and television have become major communications media worldwide, likely because of their ______ value.
entertainment
The WTO in 2003 ruled export management companies to be in violation of international trade rules.
false
The decoding step of the international communications process precedes the encoding step.
false
There is a set of global rules that govern the standards of decency in advertisements across the world.
false
A thorough audit for ISO 9000 recertification is completed every
four years.
In terms of industrialization, stereotypes are _____.
general perceptions of the quality of a country's products
Which of the following generates demand for client followers?
growth of global markets
There is a big shift from holding a phone to your ear to _______.
holding it in your hand
The international market for goods and services required in the production sector is affected significantly by an environmental factor. This factor is
how industrialized the country has become.
IS0 9000 certification helps buyers
identify various classes of suppliers.
A company may limit or decrease print advertising _______.
if high-grade paper is not available if printing is of poor quality
Rules governing comparative advertising in Europe allow ______.
implicit comparisons if they do not name competitors
The privatization of government-owned enterprises has _____.
increased demand for products that are technologically advanced
The more innovative a product is observed to be, _____.
it becomes increasingly challenging to acquire consumer approval
In the context of the Product Component Model, an importance of the core component is that _____.
it can be altered to meet local preference
Companies that sell industrial products globally often encounter problems caused by
lack of common manufacturing standards.
ISO 9000 standards can affect businesses in the European Union in what ways?
legally competitively
Identify a measure that restricts data transmission to foreign countries.
mandating tariffs on the transmission of information
ISO 9000 standards were established to certify and register a
manufacturer's quality system.
ISO 9000s were designed to ensure that
manufacturers would establish quality control systems.
"Standardization versus adaption" is a dilemma that arises mostly when a business is
marketing consumer goods.
To succeed in industrial goods markets, products must
meet current market requirements.
Both marketers and communication researchers who study diffusion seek to
minimize the interval between the launch and acceptance of an idea or a product
A culture needs time to accept a new product. This is essential knowledge for marketers because it _____.
minimizes marketers' expectation that profitability will occur quickly
To properly perceive actual market needs, an international marketer should rely ______.
more on effective research
For nearly a decade, the coffee manufactured in Corica did not gain popularity in the global market because the country was well known for manufacturing tea. But Corica's coffee-manufacturing companies stayed in the market and devised strategies to increase the sales of their products. In this scenario, it is evident that _____.
negative stereotypes can be overcome, but it takes a long time
In most countries, media prices are ______.
negotiable
Any or all of the first six steps of the international communications process can be affected by unpredictable and uncontrollable influences. These influences are collectively known as
noise
The ultimate effectiveness of the international communications process can be diminished by factors such as competitive advertising, confusion at the receiving end, and other sales personnel. These factors are referred to as
noise
To control solid waste, manufacturers in the EU must _____.
offer financial assistance to centrally collect solid waste
How can global brands compete with private brands?
offer products with high value price aggressively
A major limitation of using the Internet to advertise consumer products is the Internet's lack of _____.
overage
According to the Product Component Model, the box a smart phone arrives in is an aspect of its _______ component
packaging
Quality is defined on which of the following dimensions?
performance quality market-perceived quality
Which of the following are key drivers of success and failure in knowledge-based services such as consulting, engineering, and education?
personnel issues intellectual property rights
Ethnocentrism can create _____.
preference for locally manufactured products
In developing economies, the ______ is an important factor in marketing.
price-quality relationship
In some countries, policies related to radio and television advertising have changed in recent years because _____.
production costs are high
Identify a factor that affects demand in industrial markets.
professional buyers acting in concert
The Internet helps companies use relationship marketing to
promote online business-to-business commerce.
The probability of a misunderstanding between a sender and a receiver can be minimized if a(n) ______ exists between them.
psychological overlap
Identify the incentives that induce companies to control solid waste.
public pressure political pressure
When a global brand is relatively unfamiliar in a country market, companies _____.
purchase familiar brands and revitalize their product components
Geographic coverage is generally known for _______.
radio and television
What can a company do to make a product reasonably priced in low-income countries?
reduce the number of units per package
Examples of companies' green marketing efforts include
reducing the fuel emissions of vehicles using recycled components in products reducing packaging waste
To meet the needs of advertisers and agencies for high-quality information, ______ is growing increasingly reliable.
research data
A law has recently been passed in the country of Murivia. This law permits government agencies in Murivia to inspect files of multinational firms that have business connections with other countries. In this scenario, identify a trade barrier that has been imposed.
restriction on transmitting data to foreign nations
Consumer purchases and retailer cooperation can be increased by implementing marketing activities known as ______.
sales promotions
Companies that offer services to other businesses often enter foreign markets so that they can
service their local clients abroad.
The reach and pace of word-of-mouth advertising have been changed by the power of _____.
the Internet
When marketing technological products globally, customer training is important because
the company that buys the product might not have employees who know how to use it.
encoding
the conversion of a message from a source into effective symbolism
In the context of a nation's balance-of-payments statement, which account is primarily of interest to international business?
the current account
Wonderscreens Inc., a U.S. based company, is a renowned global manufacturer of laptops. The laptops manufactured by Wonderscreens Inc. fail to gain popularity among consumers in a few countries, and the company does not make the desired profit there. In this scenario, the laptops fail to sell because _____.
the customer does not need or cannot afford the company's product
The designs of industrial products offered by suppliers need to be regularly updated because
the markets are always changing, and so are the customer's needs.
When a market analyst studies a product's features using the self-reference criterion, _____.
the product's cultural significance may be misjudged
Sales promotions can take the place of advertising when
there are environmental constraints on advertising.
According to Everett Rogers, diffusion is differentiated from other types of communications research with respect to the element of _____.
time
It is essential for companies that wish to compete worldwide to incorporate ______ into their strategy.
total quality management
Much of the world's desire for international services is driven by
trade
Before passage of the GATT and NAFTA free-trade agreements,
trade in services was governed by a few international rules emphasizing "fair play."
Advertising campaigns often fail due to perceptions based on heritage and _____.
tradition
L'Oreal's popular Makeup Genius, which uses a smart phone application to allow potential customers to "try on" makeup before buying it, is an example of ______, one of the five characteristics of innovation.
trialability
In some countries, numerous different media have split markets into ______
uneconomical advertising segments
