MBA 776 Exam 1 (Ch 1, 2, 3, And 4) Questions With
Objective Solutions
International marketing can be defined as:
A) the creation of domestic processes that aim to enhance indigenous
production and minimize the need for imports.
B) the performance of business activities to sell a company's goods and
services for a profit in more than one nation.
C) the implementation of marketing strategies to deal with the domestic
economic climate to improve the investments in home markets.
D) the exchange of goods and services between companies within the
boundaries of a country.
E) designing of activities to plan, price, promote, and direct the flow of a
company's goods and services to consumers or users in a single market.
Correct Answer - B) the performance of business activities to sell a
company's goods and services for a profit in more than one nation.
Domestic marketing differs from international marketing as domestic
marketing:
A) involves performance of business activities across national borders.
B) fails to consider the political, legal or economic issues of the marketing
environment.
C) involves business activities like pricing, production and distribution, aimed
toward a single market.
D) involves the task of adapting and adjusting to the uncontrollable
geographic forces of the marketing environment.
E) involves development of strategies to adjust to the cultural differences that
exist in the new market. Correct Answer - C) involves business activities
like pricing, production and distribution, aimed toward a single market.
Which of the following would be considered an uncontrollable element in the
foreign environment?
A) Channels of distribution
B) Research
C) Cultural forces
D) Promotion
E) Domestic economic climate Correct Answer - C) Cultural forces
,Which of the following is a domestic environment uncontrollable that can
have a direct effect on the success of a foreign venture?
A) Level of technology
B) Structure of distribution
C) Economic climate
D) Cultural forces
E) Geography and Infrastructure Correct Answer - C) Economic climate
Elements such as structure of distribution and cultural forces are regarded as
_____.
A) home country variables
B) foreign environment controllables
C) domestic environment uncontrollables
D) foreign environment uncontrollables
E) domestic environment controllables Correct Answer - D) foreign
environment uncontrollables
Which of the following uncontrollable elements is likely to have an adverse
effect on a company's competitive position in foreign markets due to its
influence on the company's investment capabilities?
A) Availability of skilled workforce
B) Cultural forces favoring economic growth
C) High level of technological expertise
D) Disturbed domestic economy
E) Provision of advanced infrastructure in foreign market Correct Answer -
D) Disturbed domestic economy
When Rita Thomas' clothing company began to market its line of inexpensive
cotton shirts in Africa, it assumed that it would be able to use its television
and print advertising measures that had worked very well in the United States
and other countries. However, the company soon learned that literacy rates
and ability to access television in other areas of the world were not
comparable to the level prevalent in the home country. This pushed the
company to think of other promotional measures that were not heavily
dependent on literacy and technology. The factors that created difficulties for
Rita's company in this scenario can be regarded as:
A) internal marketing controllables.
B) domestic environment controllables.
C) local environment uncontrollables.
,D) foreign environment uncontrollables.
E) foreign environment controllables. Correct Answer - D) foreign
environment uncontrollables.
Allen's is a cosmetics company in the UK. When Allen's ventured into the
Chinese market by setting up a manufacturing plant in China, the activists in
China rallied against the company claiming that they are exploiting the cheap
labor available there. They demanded that the manufacturing plant be closed
down. Which of the following foreign environment uncontrollables is posing a
challenge to Allen's in the above scenario?
A) Sales measures
B) Competitive forces
C) Marketing concepts
D) Level of technology
E) Political/legal forces Correct Answer - E) Political/legal forces
Sean Jay's, a successful retail chain from Spain, failed to establish their market
in Germany. The main reasons for their failure were designing their retail
outlets in the same way as in Spain and selling their products at low prices.
The people in Spain like to purchase products at prices they feel as bargain
price, whereas people in Germany often associate low prices with a poor
quality product. This shows that Sean Jay's failed to adapt to which of the
following uncontrollable factors?
A) Political forces
B) Foreign policies
C) Technological forces
D) Economic forces
E) Cultural influences Correct Answer - E) Cultural influences
One of Phillipe Ortiz's difficulties in marketing his line of Philippine cabinetry
in Los Angeles is that he is still tied culturally to the business models that
work in the Philippines. These models do not work well in the United States.
Which of the following best explains the difficulty Philippe is experiencing?
A) Xenophobia
B) Self-reference criterion
C) Globalism
D) Racism
E) Intellectual challenges Correct Answer - B) Self-reference criterion
, _____ is generally a problem when managers from affluent countries work with
managers and markets in less-affluent countries.
A) Xenocentrism
B) Nativism
C) Multiculturalism
D) Ethnocentrism
E) Global redlining Correct Answer - D) Ethnocentrism
Which of the following is true of global awareness in the context of
international marketing?
A) Global awareness in the context of international marketing strictly limits
itself to the knowledge of the economic aspects of the country.
B) Global awareness cannot be built into the organization as it represents an
individual's tendency to be aware and knowledgeable about the world.
C) Global awareness in America has primarily been obtained by creating
culturally diverse senior executive staff and top management members.
D) Global awareness can hardly be obtained through personal relationships
and social ties with people in other countries.
E) Global awareness can be generated by selecting individual managers
specifically for their demonstrated levels of global awareness. Correct
Answer - E) Global awareness can be generated by selecting individual
managers specifically for their demonstrated levels of global awareness.
A company whose products reach foreign markets even though the company
is not actively involved in cultivating customers outside the national
boundaries is at the _____ stage of international marketing.
A) active foreign marketing
B) infrequent foreign marketing
C) no direct foreign marketing
D) regular foreign marketing
E) global marketing Correct Answer - C) no direct foreign marketing
Randy, the marketing manager at Bryte Systems Inc., decides to sell to foreign
markets as goods are available in surplus amounts. He has little or no
intention of maintaining continuous market representation. Randy's firm is at
which of the following stages of international marketing involvement?
A) Aggressive foreign marketing
B) Infrequent global marketing
C) Global marketing
Objective Solutions
International marketing can be defined as:
A) the creation of domestic processes that aim to enhance indigenous
production and minimize the need for imports.
B) the performance of business activities to sell a company's goods and
services for a profit in more than one nation.
C) the implementation of marketing strategies to deal with the domestic
economic climate to improve the investments in home markets.
D) the exchange of goods and services between companies within the
boundaries of a country.
E) designing of activities to plan, price, promote, and direct the flow of a
company's goods and services to consumers or users in a single market.
Correct Answer - B) the performance of business activities to sell a
company's goods and services for a profit in more than one nation.
Domestic marketing differs from international marketing as domestic
marketing:
A) involves performance of business activities across national borders.
B) fails to consider the political, legal or economic issues of the marketing
environment.
C) involves business activities like pricing, production and distribution, aimed
toward a single market.
D) involves the task of adapting and adjusting to the uncontrollable
geographic forces of the marketing environment.
E) involves development of strategies to adjust to the cultural differences that
exist in the new market. Correct Answer - C) involves business activities
like pricing, production and distribution, aimed toward a single market.
Which of the following would be considered an uncontrollable element in the
foreign environment?
A) Channels of distribution
B) Research
C) Cultural forces
D) Promotion
E) Domestic economic climate Correct Answer - C) Cultural forces
,Which of the following is a domestic environment uncontrollable that can
have a direct effect on the success of a foreign venture?
A) Level of technology
B) Structure of distribution
C) Economic climate
D) Cultural forces
E) Geography and Infrastructure Correct Answer - C) Economic climate
Elements such as structure of distribution and cultural forces are regarded as
_____.
A) home country variables
B) foreign environment controllables
C) domestic environment uncontrollables
D) foreign environment uncontrollables
E) domestic environment controllables Correct Answer - D) foreign
environment uncontrollables
Which of the following uncontrollable elements is likely to have an adverse
effect on a company's competitive position in foreign markets due to its
influence on the company's investment capabilities?
A) Availability of skilled workforce
B) Cultural forces favoring economic growth
C) High level of technological expertise
D) Disturbed domestic economy
E) Provision of advanced infrastructure in foreign market Correct Answer -
D) Disturbed domestic economy
When Rita Thomas' clothing company began to market its line of inexpensive
cotton shirts in Africa, it assumed that it would be able to use its television
and print advertising measures that had worked very well in the United States
and other countries. However, the company soon learned that literacy rates
and ability to access television in other areas of the world were not
comparable to the level prevalent in the home country. This pushed the
company to think of other promotional measures that were not heavily
dependent on literacy and technology. The factors that created difficulties for
Rita's company in this scenario can be regarded as:
A) internal marketing controllables.
B) domestic environment controllables.
C) local environment uncontrollables.
,D) foreign environment uncontrollables.
E) foreign environment controllables. Correct Answer - D) foreign
environment uncontrollables.
Allen's is a cosmetics company in the UK. When Allen's ventured into the
Chinese market by setting up a manufacturing plant in China, the activists in
China rallied against the company claiming that they are exploiting the cheap
labor available there. They demanded that the manufacturing plant be closed
down. Which of the following foreign environment uncontrollables is posing a
challenge to Allen's in the above scenario?
A) Sales measures
B) Competitive forces
C) Marketing concepts
D) Level of technology
E) Political/legal forces Correct Answer - E) Political/legal forces
Sean Jay's, a successful retail chain from Spain, failed to establish their market
in Germany. The main reasons for their failure were designing their retail
outlets in the same way as in Spain and selling their products at low prices.
The people in Spain like to purchase products at prices they feel as bargain
price, whereas people in Germany often associate low prices with a poor
quality product. This shows that Sean Jay's failed to adapt to which of the
following uncontrollable factors?
A) Political forces
B) Foreign policies
C) Technological forces
D) Economic forces
E) Cultural influences Correct Answer - E) Cultural influences
One of Phillipe Ortiz's difficulties in marketing his line of Philippine cabinetry
in Los Angeles is that he is still tied culturally to the business models that
work in the Philippines. These models do not work well in the United States.
Which of the following best explains the difficulty Philippe is experiencing?
A) Xenophobia
B) Self-reference criterion
C) Globalism
D) Racism
E) Intellectual challenges Correct Answer - B) Self-reference criterion
, _____ is generally a problem when managers from affluent countries work with
managers and markets in less-affluent countries.
A) Xenocentrism
B) Nativism
C) Multiculturalism
D) Ethnocentrism
E) Global redlining Correct Answer - D) Ethnocentrism
Which of the following is true of global awareness in the context of
international marketing?
A) Global awareness in the context of international marketing strictly limits
itself to the knowledge of the economic aspects of the country.
B) Global awareness cannot be built into the organization as it represents an
individual's tendency to be aware and knowledgeable about the world.
C) Global awareness in America has primarily been obtained by creating
culturally diverse senior executive staff and top management members.
D) Global awareness can hardly be obtained through personal relationships
and social ties with people in other countries.
E) Global awareness can be generated by selecting individual managers
specifically for their demonstrated levels of global awareness. Correct
Answer - E) Global awareness can be generated by selecting individual
managers specifically for their demonstrated levels of global awareness.
A company whose products reach foreign markets even though the company
is not actively involved in cultivating customers outside the national
boundaries is at the _____ stage of international marketing.
A) active foreign marketing
B) infrequent foreign marketing
C) no direct foreign marketing
D) regular foreign marketing
E) global marketing Correct Answer - C) no direct foreign marketing
Randy, the marketing manager at Bryte Systems Inc., decides to sell to foreign
markets as goods are available in surplus amounts. He has little or no
intention of maintaining continuous market representation. Randy's firm is at
which of the following stages of international marketing involvement?
A) Aggressive foreign marketing
B) Infrequent global marketing
C) Global marketing