IB 300 Test exam questions with
answers well defined
Why do companies not export? - ANS✅✅1. Preoccupation with the home market.
2. Reluctance to embark on a new and unknown operation.
When nonexporting firms are asked why they do not export, they commonly list each of the
following as problems except - ANS✅✅They list these three areas in which they lack knowledge.
1. Identification of foreign markets
2. Payment and financing problems
3. Export procedures
What is the first step in locating foreign markets? - ANS✅✅To determine whether there is a need
for the firm's products.
Once the potential exporter has established that there may be a market for the firm's products, it's
time to - ANS✅✅draft the export marketing plan
For U.S. firms that already are exporting, which of the following organizations offers export
promotion activities that include export counseling, analysis of foreign markets, assessment of
industry competitiveness, and development of market opportunities and sales representation
through export promotion events? - ANS✅✅ITA (International Trade Administration)
The Small Business Administration (SBA) provides what kind of assistance? - ANS✅✅- STEP (State
Trade and Export Program Grant).
- Offers business development and financial assistance through its office of International Trade to
encourage small businesses to export.
Credit information can be available for new exporters through all of the following except -
ANS✅✅They are available through:
1. Dun & Bradstreet
2. The Finance, Credit, and International Business Association (FCIB)
, 3. The exporter's bank
Credit reporting agencies
Of the 12 most common mistakes and pitfalls awaiting new exporters listed in the textbook, which
one of the following is not in the list? - ANS✅✅List of 12 Mistakes Made By New Exporters:
1. Failing to obtain qualified export counseling and to develop a master international strategy and
marketing plan before starting an export business.
2. Making an insufficient commitment to overcome the initial difficulties and financial requirements
of exporting.
3. Taking insufficient care in selecting overseas sales representatives and distributors.
4. Chasing orders from around the world instead of establishing a basis for profitable operations and
orderly growth.
5. Neglecting export business when the home market booms.
6. Failing to treat international distributors and customers on an equal basis with their domestic
counterparts.
7. Assuming that a given market technique and product will automatically be successful in all
countries.
8. Failing to modify products to meet regulations or cultural preferences of other countries.
9. Failing to provide service, sales, and warranty information in locally understood languages.
10. Failing to consider the use of an export management company.
11. Failing to consider licensing or joint venture agreements.
12. Failure to provide readily available servicing for the product.
Of the 12 most common mistakes and pitfalls awaiting new exporters listed in the textbook, which
one of the following is not in the list? - ANS✅✅
Of the 12 most common mistakes and pitfalls awaiting new exporters listed in the textbook, which
one of the following is not in the list? - ANS✅✅
Which of the following were not identified as being part of the export marketing plan? -
ANS✅✅Parts of the Marketing Plan:
1. Sales forecasts and budget
2. Pricing policies
3. Product Characteristics
answers well defined
Why do companies not export? - ANS✅✅1. Preoccupation with the home market.
2. Reluctance to embark on a new and unknown operation.
When nonexporting firms are asked why they do not export, they commonly list each of the
following as problems except - ANS✅✅They list these three areas in which they lack knowledge.
1. Identification of foreign markets
2. Payment and financing problems
3. Export procedures
What is the first step in locating foreign markets? - ANS✅✅To determine whether there is a need
for the firm's products.
Once the potential exporter has established that there may be a market for the firm's products, it's
time to - ANS✅✅draft the export marketing plan
For U.S. firms that already are exporting, which of the following organizations offers export
promotion activities that include export counseling, analysis of foreign markets, assessment of
industry competitiveness, and development of market opportunities and sales representation
through export promotion events? - ANS✅✅ITA (International Trade Administration)
The Small Business Administration (SBA) provides what kind of assistance? - ANS✅✅- STEP (State
Trade and Export Program Grant).
- Offers business development and financial assistance through its office of International Trade to
encourage small businesses to export.
Credit information can be available for new exporters through all of the following except -
ANS✅✅They are available through:
1. Dun & Bradstreet
2. The Finance, Credit, and International Business Association (FCIB)
, 3. The exporter's bank
Credit reporting agencies
Of the 12 most common mistakes and pitfalls awaiting new exporters listed in the textbook, which
one of the following is not in the list? - ANS✅✅List of 12 Mistakes Made By New Exporters:
1. Failing to obtain qualified export counseling and to develop a master international strategy and
marketing plan before starting an export business.
2. Making an insufficient commitment to overcome the initial difficulties and financial requirements
of exporting.
3. Taking insufficient care in selecting overseas sales representatives and distributors.
4. Chasing orders from around the world instead of establishing a basis for profitable operations and
orderly growth.
5. Neglecting export business when the home market booms.
6. Failing to treat international distributors and customers on an equal basis with their domestic
counterparts.
7. Assuming that a given market technique and product will automatically be successful in all
countries.
8. Failing to modify products to meet regulations or cultural preferences of other countries.
9. Failing to provide service, sales, and warranty information in locally understood languages.
10. Failing to consider the use of an export management company.
11. Failing to consider licensing or joint venture agreements.
12. Failure to provide readily available servicing for the product.
Of the 12 most common mistakes and pitfalls awaiting new exporters listed in the textbook, which
one of the following is not in the list? - ANS✅✅
Of the 12 most common mistakes and pitfalls awaiting new exporters listed in the textbook, which
one of the following is not in the list? - ANS✅✅
Which of the following were not identified as being part of the export marketing plan? -
ANS✅✅Parts of the Marketing Plan:
1. Sales forecasts and budget
2. Pricing policies
3. Product Characteristics
