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Copyright?2020McGraw-HillEducation.Allrightsreserved.

NoreproductionordistributionwithoutthepriorwrittenonsentofMcGraw-HillEducation.

InternationalMarketing,18e(Cateora)

Chapter1TheScopeandChallengeofInternationalMarketing

1)Today,becominginternationalisaluxuryonlysomecompaniescanafford.

Answer:FALSE

Explanation:Foragrowingnumberofcompanies,beinginternationalisnolongeraluxurybutanecessityforeconomicsurvival.

Difficulty:2Medium

Topic:ChallengesandOpportunitiesCreatedbyGlobalization

LearningObjective:01-01Thebenefitsofinternationalmarkets.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

2)CompaniesfromtheNetherlandsaretheleadinggroupofinvestorsintheUnitedStates.

Answer:FALSE

Explanation:ForeigndirectinvestmentintheUnitedStatesismorethan$3trillion.CompaniesfromtheUnitedKingdomleadthegroupofinvestors,withcompaniesfromJapan,theNetherlands,Canada,andFrancefollowing,inthatorder.

Difficulty:1Easy

Topic:BenefitsandChallengesofForeignDirectInvestment

LearningObjective:01-02ThechangingfaceofU.S.business.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

3)Internationalmarketinginvolvessellingofacompany'sgoodsandservicestoconsumersorusersinmorethanonenationforaprofit.

Answer:TRUE

Explanation:Internationalmarketingistheperformanceofbusinessactivitiesdesignedtoplan,price,promote,anddirecttheflowofacompany'sgoodsandservicestoconsumersorusersinmorethanonenationforaprofit.

Difficulty:1Easy

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-02ThechangingfaceofU.S.business.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

4)Themaindifferencebetweendomesticandinternationalmarketingliesinthedifferentconceptsofmarketing.

Answer:FALSE

Explanation:Thedifferencebetweendomesticandinternationalmarketingliesnotwithdifferentconceptsofmarketingbutwiththeenvironmentwithinwhichmarketingplansmustbeimplemented.

Difficulty:2Medium

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-02ThechangingfaceofU.S.business.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

5)Aninternationalmarketermustdealwithatleasttwolevelsofuncontrollableuncertainty.

Answer:TRUE

Explanation:Theinternationalmarketermustdealwithatleasttwolevelsofuncontrollableuncertaintyinsteadofone.Uncertaintyiscreatedbytheuncontrollableelementsofallbusinessenvironments,buteachforeigncountryinwhichacompanyoperatesaddsitsownuniquesetofuncontrollablefactors.

Difficulty:1Easy

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

6)Thegeographyandinfrastructureofacountryareuncontrollablefactorsthatinfluencethebusinessdecisionsofacompanyinaninternationalmarket.

Answer:TRUE

Explanation:Theuncontrollableinternationalenvironmentincludespolitical/legalforces,economicforces,competitiveforces,leveloftechnology,structureofdistribution,geographyandinfrastructure,andculturalforces.

Difficulty:1Easy

Topic:EnvironmentalAnalysisandMarketScreening

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

7)Theuncontrollablefactorsaffectinginternationalmarketingarelimitedtopoliticalforces,economicclimate,andcompetitivestructure.

Answer:FALSE

Explanation:Theuncontrollableinternationalenvironmentincludespolitical/legalforces,economicforces,competitiveforces,leveloftechnology,structureofdistribution,geographyandinfrastructure,andculturalforces.

Difficulty:1Easy

Topic:EnvironmentalAnalysisandMarketScreening

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

8)Theleveloftechnologyinacountryisacontrollableelementforinternationalmarketers.

Answer:FALSE

Explanation:Theuncontrollableinternationalenvironmentincludespolitical/legalforces,economicforces,competitiveforces,leveloftechnology,structureofdistribution,geographyandinfrastructure,andculturalforces.

Difficulty:2Medium

Topic:EnvironmentalAnalysisandMarketScreening

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

9)Theuncontrollablefactorsacompanyhastodealwithdecreasewiththenumberofforeignmarketsinwhichitoperates.

Answer:FALSE

Explanation:Themoretheforeignmarketsinwhichacompanyoperates,thegreateristhepossiblevarietyofforeignenvironmentalfactorswithwhichtocontend.

Difficulty:2Medium

Topic:EnvironmentalAnalysisandMarketScreening

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

10)Thecontrollableelementsformarketerscanbealteredinthelongrunand,usually,intheshortruntoadjusttochangingmarketconditions,consumertastes,orcorporateobjectives.

Answer:TRUE

Explanation:Thesuccessfulmanagerconstructsamarketingprogramdesignedforoptimaladjustmenttotheuncertaintyofthebusinessclimate.Thecontrollableelementscanbealteredinthelongrunand,usually,intheshortruntoadjusttochangingmarketconditions,consumertastes,orcorporateobjectives.

Difficulty:2Medium

Topic:ChallengesandOpportunitiesCreatedbyGlobalization

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

11)Politicalandlegalforces,economicclimate,andcompetitionaresomeofthedomesticenvironment'scontrollablefactors.

Answer:FALSE

Explanation:Domesticenvironmentuncontrollablefactorsincludehome-countryelementsthatcanhaveadirecteffectonthesuccessofaforeignventure:politicalandlegalforces,economicclimate,andcompetition.

Difficulty:2Medium

Topic:ChallengesandOpportunitiesCreatedbyGlobalization

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

12)Theforeignpoliciesofacountryareoneexampleofahome-countryelementthathasadirecteffectonafirm'sinternationalmarketingsuccess.

Answer:TRUE

Explanation:Domesticenvironmentuncontrollableelementsincludehome-countryelementsthatcanhaveadirecteffectonthesuccessofaforeignventure:politicalandlegalforces,economicclimate,andcompetition.Apoliticaldecisioninvolvingforeignpolicycanhaveadirecteffectonafirm'sinternationalmarketingsuccess.

Difficulty:2Medium

Topic:ChallengesandOpportunitiesCreatedbyGlobalization

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

13)AbolitionofapartheidinSouthAfricaisanexampleofapositiveeffectonforeignpolicy,anuncontrollableelement,inaninternationalmarketingscenario.

Answer:TRUE

Explanation:Positiveeffectsoccurwhenchangesinforeignpolicyoffercountriesfavoredtreatment.SuchwasthecasewhenSouthAfricaabolishedapartheidandtheembargowaslifted.

Difficulty:2Medium

Topic:ChallengesandOpportunitiesCreatedbyGlobalization

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

14)CommercialcontractswithaChinesecompanycanonlybeenteredintoifthatcompanyisconsidereda"legalperson."

Answer:TRUE

Explanation:CommercialcontractscanbeenteredintowithaChinesecompanyorindividualonlyifthatcompanyorpersonisconsidereda"legalperson."Tobea"legalperson"inChina,thecompanyorpersonmusthaveregisteredassuchwiththeChinesegovernment.

Difficulty:1Easy

Topic:HowResourcesandCapabilitiesInfluenceCompetitiveDynamics

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

15)Theprocessofevaluatingtheuncontrollableelementsinaninternationalmarketingprogrammayinvolvecultural,political,andeconomicshock.

Answer:TRUE

Explanation:Theprocessofevaluatingtheuncontrollableelementsinaninternationalmarketingprogramofteninvolvessubstantialdosesofcultural,political,andeconomicshock.

Difficulty:1Easy

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

16)Leveloftechnologytypicallyremainsunchangedacrosscountries,makingitafairlycontrollablefactorininternationalmarketing.

Answer:FALSE

Explanation:Theleveloftechnologyisanuncontrollableelementthatcanoftenbemisreadbecauseofthevastdifferencesthatmayexistbetweendevelopedanddevelopingcountries.

Difficulty:2Medium

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

17)Politicalandlegalissuesacompanymayfaceabroadaremitigatedbythe"alienstatus"ofthecompany.

Answer:FALSE

Explanation:Politicalandlegalissuesabusinessfacesabroadareoftenamplifiedbythe"alienstatus"ofthecompany,whichincreasesthedifficultyofproperlyassessingandforecastingthedynamicinternationalbusinessclimate.

Difficulty:2Medium

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

18)Thepoliticaldetailsandtheramificationsofpoliticalandlegaleventsareoftenmoretransparentinadomesticsituationthantheyareinaforeignmarket.

Answer:TRUE

Explanation:Inadomesticsituation,politicaldetailsandtheramificationsofpoliticalandlegaleventsareoftenmoretransparentthantheyareinsomeforeigncountries.Inmanyforeigncountries,corruptionmayprevail,foreignersmayreceiveunfairtreatment,orthelawsmaybesodifferentfromthoseinthehomecountrythattheyaremisinterpreted.

Difficulty:2Medium

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

19)Thepolitical/legalenvironmentisacontrollableelementforinternationalmarketersbecauseoftheirpotentabilitytolobbyandinfluencelegislationinforeignmarkets.

Answer:FALSE

Explanation:Political/legalforcesandtheleveloftechnologyaretwooftheuncontrollableaspectsoftheforeignenvironmentalongwitheconomicforces,competitiveforces,structureofdistribution,geographyandinfrastructure,andculturalforces.

Difficulty:1Easy

Topic:LawsAffectingInternationalBusiness

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

20)Theuncontrollableelementsoftheforeignbusinessenvironmentincludetheculture.

Answer:TRUE

Explanation:Themoresignificantelementsintheuncontrollableinternationalenvironmentincludepolitical/legalforces,economicforces,competitiveforces,leveloftechnology,structureofdistribution,geographyandinfrastructure,andculturalforces.

Difficulty:1Easy

Topic:EnvironmentalAnalysisandMarketScreening

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

21)Aforeigncompanyisalwayssubjecttothepoliticalwhimsofthelocalgovernmenttoagreaterdegreethanadomesticfirm.

Answer:TRUE

Explanation:Inmanyforeigncountries,corruptionmayprevail,foreignersmayreceiveunfairtreatment,orthelawsmaybesodifferentfromthoseinthehomecountrythattheyaremisinterpreted.Aforeigncompanyisforeignandthusalwayssubjecttothepoliticalwhimsofthelocalgovernmenttoagreaterdegreethanadomesticfirm.

Difficulty:1Easy

Topic:ElementsofCulture

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

22)JohnrefusestobuyJapaneseproductsbecauseheconsidersthisasawayofsellingouttoanationthatwasonceourenemy.Johnisusingaself-referencecriteriontomakehisdecision.

Answer:TRUE

Explanation:Theself-referencecriterionisanunconsciousreferencetoone'sownculturalvalues,experiences,andknowledgeasabasisfordecisions.Closelyconnectedisethnocentrism,thatis,thenotionthatpeopleinone'sowncompany,culture,orcountryknowbesthowtodothings.

Difficulty:2Medium

Topic:ElementsofCulture

LearningObjective:01-04Theimportanceoftheself-referencecriterion(SRC)ininternationalmarketing.

Bloom's:Apply

AACSB:ReflectiveThinking

Accessibility:KeyboardNavigation

23)Theself-referencecriterioniscloselyrelatedtocollectivism—ortheimportanceofthegroup.

Answer:FALSE

Explanation:Theself-referencecriterionisanunconsciousreferencetoone'sownculturalvalues,experiences,andknowledgeasabasisfordecisions.Closelyconnectedisethnocentrism,thatis,thenotionthatpeopleinone'sowncompany,culture,orcountryknowbesthowtodothings.

Difficulty:1Easy

Topic:ElementsofCulture

LearningObjective:01-04Theimportanceoftheself-referencecriterion(SRC)ininternationalmarketing.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

24)Renatajustatecookiesand,therefore,feelsjustifiedinrefusingfoodofferedbyherMiddleEasternhost.Inthisinstance,Renata'sself-referencecriterionhasjustsavedherfrommakingaculturalblunder.

Answer:FALSE

Explanation:Whenfacedwithaprobleminanotherculture,ourtendencyistoreactinstinctivelyandrefertoourSRCforasolution.Ourreaction,however,isbasedonmeanings,values,symbols,andbehaviorrelevanttoourowncultureandusuallydifferentfromthoseoftheforeignculture.Suchdecisionsareoftennotgoodones.

Difficulty:2Medium

Topic:ElementsofCulture

LearningObjective:01-04Theimportanceoftheself-referencecriterion(SRC)ininternationalmarketing.

Bloom's:Apply

AACSB:ReflectiveThinking

Accessibility:KeyboardNavigation

25)Toavoiderrorsinbusinessdecisions,itisnecessarytoconductacross-culturalanalysisthatemphasizestheneedforethnocentrism.

Answer:FALSE

Explanation:Toavoiderrorsinbusinessdecisions,theknowledgeablemarketerwillconductacross-culturalanalysisthatisolatestheself-referencecriterioninfluencesandmaintainvigilanceregardingethnocentrism.

Difficulty:2Medium

Topic:ElementsofCulture

LearningObjective:01-04Theimportanceoftheself-referencecriterion(SRC)ininternationalmarketing.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

26)Familyreferenceandupbringingprovidesacompletebasisforunderstandingone'scultureandnoadditionalstudyisrequiredtobecomeawareofculturalnormsandactivities.

Answer:FALSE

Explanation:Understandingone'sownculturemayrequireadditionalstudy,becausemuchoftheculturalinfluenceonmarketbehaviorremainsatasubconsciouslevelandisnotclearlydefined.

Difficulty:2Medium

Topic:ElementsofCulture

LearningObjective:01-04Theimportanceoftheself-referencecriterion(SRC)ininternationalmarketing.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

27)Themosteffectiveapproachtobuildglobalawarenessintoanorganizationistoincreasethediversitymixoftheemployeeprofileforentry-leveljobs.

Answer:FALSE

Explanation:Themosteffectiveapproachtobuildglobalawarenessintoanorganizationistohaveaculturallydiverseseniorexecutivestafforboardofdirectors.

Difficulty:2Medium

Topic:CreatingaGlobalMindset

LearningObjective:01-05Theincreasingimportanceofglobalawareness.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

28)Traditionalmanufacturingcompaniespossessthemostfavorablefactorsfordoingbusinessinternationally.

Answer:FALSE

Explanation:Researchhasrevealedanumberoffactorsfavoringfasterinternationalization:(1)companieswitheitherhigh-technologyormarketing-basedresourcesappeartobebetterequippedtointernationalizethanmoretraditionalmanufacturingkindsofcompanies;(2)smallerhomemarketsandlargerproductioncapacitiesappeartofavorinternationalization;and(3)firmswithkeymanagerswellnetworkedinternationallyareabletoacceleratetheinternationalizationprocess.

Difficulty:2Medium

Topic:ChoosingAnInternationalBusinessStrategy

LearningObjective:01-06Theprogressionofbecomingaglobalmarketer.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

29)Acompanyinthe"nodirectforeignmarketing"stageofinternationalmarketinginvolvementdoesnotactivelycultivatecustomersoutsidenationalboundaries.

Answer:TRUE

Explanation:Acompanyinthestageof"nodirectforeignmarketing"doesnotactivelycultivatecustomersoutsidenationalboundaries;however,thiscompany'sproductsmayreachforeignmarkets.Salesmaybemadetotradingcompaniesaswellasforeigncustomerswhodirectlycontactthefirm.

Difficulty:2Medium

Topic:ChoosingAnInternationalBusinessStrategy

LearningObjective:01-06Theprogressionofbecomingaglobalmarketer.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

30)Theglobalmarketingconceptviewsthemarketplaceasconsistingofoneprimarydomesticmarketthatiscomplimentedbyseveralsmallerregionalmarkets.

Answer:FALSE

Explanation:Attheglobalmarketingstageofinternationalmarketinginvolvement,companiestreattheworld,includingtheirhomemarket,asonemarket.

Difficulty:1Easy

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-06Theprogressionofbecomingaglobalmarketer.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

31)Whatisoneofthemostdynamictrendsthatisaffectingcurrentglobalbusinessstrategies?

A)thetrendtowardbuyingAmericancarsinEurope

B)thetrendtowardtheacceptanceofthefreemarketsystemamongdevelopingcountries

C)thetrendtowardusingEnglishasthegloballanguage

D)thetrendtowardestablishingaworldcurrency

E)thetrendtowardprovidingaidtodevelopingandlessdevelopednations

Answer:B

Explanation:Ofalltheeventsandtrendsaffectingglobalbusinesstoday,fourstandoutasthemostdynamic,theonesthatwillinfluencetheshapeofinternationalbusinessbeyondtoday's"bumpyroads"andfarintothefuture:(1)therapidgrowthoftheWorldTradeOrganizationandregionalfreetradeareassuchastheNorthAmericanFreeTradeAreaandtheEuropeanUnion;(2)thetrendtowardtheacceptanceofthefreemarketsystemamongdevelopingcountriesinLatinAmerica,Asia,andeasternEurope;(3)theburgeoningimpactoftheInternet,mobilephones,andotherglobalmediaonthedissolutionofnationalborders;and(4)themandatetomanagetheresourcesandglobalenvironmentproperlyforthegenerationstocome.

Difficulty:1Easy

Topic:EconomicDevelopment

LearningObjective:01-01Thebenefitsofinternationalmarkets.

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

32)WhateventspurredthefinaldownfalloftheU.S.economyin2008whenworldtradeexperienceditsdeepestdeclineinmorethan50years?

A)Thestockmarketendedatarecordhigh.

B)TheU.S.andCubajoinedforces.

C)TheSenateandHousefailedtocompromiseoninterestrates.

D)Thehousingmarketcollapsed.

E)Thevoterselectedathird-partycandidate.

Answer:D

Explanation:Lowergovernmentinterestrateshadyieldedarefinancingstampede,distributingthecashthatfueledtheconsumerspending,whichfinallybeganflagginginearly2008.TheninSeptemberandOctoberofthatyear,thehousingbubbleburst,andtheworldfinancialsystemteeteredoncollapse.TheeverfaithfulAmericanconsumerstoppedbuying,andworldtradeexperienceditsdeepestdeclineinmorethan50years,adropof11.0percent.

Difficulty:2Medium

Topic:TheChangingNatureoftheGlobalEconomy

LearningObjective:01-01Thebenefitsofinternationalmarkets.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

33)HowhasglobalizationimpacteddomesticmarketsintheUnitedStates?

A)Companieswithonlydomesticmarketshavebeenabletosustaintheircustomaryratesofgrowth.

B)Multinationalcompaniesaremakingmoreprofitsfromtheirdomesticoperationscomparedtotheirearningsfromtheforeignmarkets.

C)OnlymultinationalcompanieswithlargeproductionfacilitieshaveoutperformedtheirstrictlydomesticU.S.counterparts.

D)ThedomesticcompanieshavereducedtheirmanufacturingemploymentmorethanU.S.multinationals.

E)Multinationalmanufacturingcompaniesinallindustriesandsizeshaveoutperformedtheirdomesticcounterparts.

Answer:E

Explanation:Companieswithonlydomesticmarketshavefoundincreasingdifficultyinsustainingtheircustomaryratesofgrowth,andmanyareseekingforeignmarketsinwhichtoexpand.Companieswithforeignoperationsfindthatforeignearningsaremakinganimportantoverallcontributiontototalcorporateprofits.MultinationalsofallsizesandinallindustriesoutperformedtheirstrictlydomesticU.S.counterparts.Furthermore,U.S.multinationalsreducedtheirmanufacturingemployment,bothathomeandabroad,morethandomesticcompanies.

Difficulty:2Medium

Topic:TheChangingNatureoftheGlobalEconomy

LearningObjective:01-02ThechangingfaceofU.S.business.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

34)Whatisanessentialrequirementforexperienced,aswellasnew,firmstosucceedininternationalmarkets?

A)adheringstrictlytotheirtraditionalmethodsofproductionandoperations

B)focusingprimarilyontheirproductiontoexclusivelymeetdomesticdemand

C)venturingintomultiplemarketsbyinvestinginallofthematonce

D)committingthemselvescompletelytoforeignmarkets

E)havingbeneficialrelationswithlobbyistsofforeignmarkets

Answer:D

Explanation:Forfirmsventuringintointernationalmarketingforthefirsttimeandforthosealreadyexperienced,therequirementisgenerallythesame:athoroughandcompletecommitmenttoforeignmarketsand,formany,newwaysofoperating.

Difficulty:2Medium

Topic:BasicDecisionsforEnteringForeignMarkets

LearningObjective:01-02ThechangingfaceofU.S.business.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

35)Jason'sdepartmentisresponsibleforthebusinessactivitiesdesignedtoplan,price,promote,anddirecttheflowofhiscompany'ssmallapplianceproductstoconsumersinvariousnationsaroundtheworldforaprofit.Whatishisdepartmentinchargeof?

A)internalmarketing

B)importing

C)performanceappraisal

D)internationalmarketing

E)domestictrade

Answer:D

Explanation:Internationalmarketingistheperformanceofbusinessactivitiesdesignedtoplan,price,promote,anddirecttheflowofacompany'sgoodsandservicestoconsumersorusersinmorethanonenationforaprofit.

Difficulty:2Medium

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-02ThechangingfaceofU.S.business.

Bloom's:Apply

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

36)Whatisconsideredthemostcriticaldifferencebetweendomesticmarketingandinternationalmarketing?

A)thedifferenceinmarketingprinciplesbeingfollowed

B)thedifferentconceptsofmarketing

C)thedifferenceinmarketingtheoriesbeingfollowed

D)theenvironmentinwhichmarketingplansmustbeimplemented

E)thebasicprocessesusedtomarketproductsandservices

Answer:D

Explanation:Thedifferenceliesnotwithdifferentconceptsofmarketingbutwiththeenvironmentwithinwhichmarketingplansmustbeimplemented.Theuniquenessofforeignmarketingcomesfromtherangeofunfamiliarproblemsandthevarietyofstrategiesnecessarytocopewithdifferentlevelsofuncertaintyencounteredinforeignmarkets.

Difficulty:2Medium

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-02ThechangingfaceofU.S.business.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

37)Marketersmustbeespeciallycognizantof________forbothdomesticandinternationalmarketsbecauseofthedominantlyuncontrollablenatureofthisfactor.

A)price

B)promotion

C)researchactivities

D)political/legalforces

E)channelsofdistribution

Answer:D

Explanation:Political/legalforcesrepresenttheuncontrollableelementthatdomesticandinternationalmarketersneedtoconsider.Price,promotion,researchactivities,andchannelsofdistributionareallcontrollableelementsforinternationalmarketers.

Difficulty:2Medium

Topic:DifferencesBetweenDomesticandInternationalMarketing

LearningObjective:01-03Thescopeoftheinternationalmarketingtask.

Bloom's:Understand

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

38)________isacontrollableelementforaninternationalmarketer.

A)Leveloftechnology

B)Geographyandinfrastructure

C)Channels-of-distribution

D)Cultura

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