Question 1

The administrative,marketing,and manufacturing operations that many international firms,multinational firms,and transnational firms have around the world are often called

Accepted Answer

A)   subsidiaries.
B)   outlets.
C)   departments.
D)   markets.
E)   holding companies.F) All of the above
G) B) and E)

Question 2

When a U.S.airplane manufacturer sells its airplanes to a company in Germany without using intermediaries,it is referred to as

Accepted Answer

A)   direct exporting.
B)   indirect exporting.
C)   licensing.
D)   foreign manufacturing.
E)   foreign assembly.F) A) and B)
G) A) and C)

Question 3

The prescribed penalty for agents of foreign governments found guilty of economic espionage is

Accepted Answer

A)   up to 5 years in prison and fines up to $100 ,000.
B)   expulsion from the WTO (World Trade Organization) .
C)   25 years in prison and a $10 million fine.
D)   permanent expulsion from the United States.
E)   30 years in prison and fines proportional to the damage caused.F) A) and D)
G) A) and C)

Question 4

Mary Kay,Inc.,can be classified as which type of company when marketing its products around the world?

Accepted Answer

A)   multinational firm
B)   transnational firm
C)   international firm
D)   global marketing firm
E)   multidomestic firmF) A) and B)
G) A) and C)

Question 5

Whirlpool asked the United States to impose __________ on washing machine imports made by LG Electronics and Samsung Electronics,both South Korean companies,to raise the price of these products.Whirlpool accused these companies of selling below fair market value and receiving anticompetitive export subsidies from their governments,both of which could jeopardize American jobs.

Accepted Answer

A)   boycotts
B)   quotas
C)   sanctions
D)   tariffs
E)   embargoesF) D) and E)
G) A) and E)

Question 6

Tariffs refer to

Accepted Answer

A)   government payments to companies or industries that primarily serve to create competitive advantage for domestic products.
B)   government taxes on products or services entering a country that primarily serve to raise prices on imports.
C)   a restriction placed on the amount of a product allowed to enter or leave a country.
D)   a minimum requirement for the purchase between two or more nations of products or services.
E)   a refusal to purchase or exchange products or services with another nation unless certain financial or ideological requirements have been satisfied.F) C) and D)
G) A) and B)

Question 7

Explain the difference between indirect exporting and direct exporting.What are the advantages and disadvantages of each approach?

Accepted Answer

Indirect exporting refers to a firm sell...

Question 8

KFC in Japan sells tempura crispy strips.In northern England,it stresses gravy and potatoes.In Thailand,it offers fresh rice.In Holland,instead of potatoes,KFC offers customers a potato and onion croquette.In France,KFC sells pastries alongside its chicken.These examples illustrate that KFC exhibits an appreciation for the __________ of other societies.

Accepted Answer

A)   demographics
B)   symbols
C)   sensitivities
D)   customs
E)   valuesF) A) and D)
G) All of the above

Question 9

Mars,America's second-largest candy company,began doing business in Russia in the late 1980s.The Snickers bar is one of the top-selling candies in Russia and is marketed in much the same way as it is in the United States.What type of global company is Mars?

Accepted Answer

A)   an international firm
B)   a multidomestic firm
C)   a transnational firm
D)   a meganational firm
E)   a multinational firmF) A) and C)
G) C) and D)

Question 10

Even though Exxon adapts its gasoline blends for different countries based on climate,the promotion message is unchanged: "Put a Tiger in Your Tank." This type of global promotional strategy is known an

Accepted Answer

A)   product extension.
B)   product customization.
C)   product adaptation.
D)   dual adaptation.
E)   dual integration.F) C) and D)
G) None of the above

Question 11

When a firm sells its domestically produced products in a foreign country through an intermediary,it is referred to as

Accepted Answer

A)   direct exporting.
B)   indirect exporting.
C)   licensing.
D)   franchising.
E)   foreign assembly.F) C) and D)
G) A) and E)

Question 12

Explain the trade feedback effect.

Accepted Answer

Increased demand for exports of other na...

Question 13

Which of the following countries is the world's leading importer?

Accepted Answer

A)   United States
B)   China
C)   India
D)   Germany
E)   JapanF) C) and D)
G) B) and D)

Question 14

All nations and regions of the world do not participate equally in world trade.World trade flows reflect

Accepted Answer

A)   the influences of culture and language.
B)   the differences among industries, countries, and regions.
C)   interdependencies among industries, countries, and regions.
D)   the challenges of currency and exchange imbalances.
E)   the increasing importance of services verses products.F) A) and E)
G) B) and D)

Question 15

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power

Accepted Answer

A)   levels off.
B)   decreases.
C)   increases.
D)   becomes less of an economic priority.
E)   becomes progressively unstable.F) A) and D)
G) None of the above

Question 16

A firm that views the world as consisting of unique parts and markets to each part differently is referred to as

Accepted Answer

A)   a meganational firm.
B)   an extranational firm.
C)   an international firm.
D)   a multinational firm.
E)   a transnational firm.F) D) and E)
G) All of the above

Question 17

What is considered normal and expected about the way people do things in a specific country is referred to as

Accepted Answer

A)   morals.
B)   ethics.
C)   values.
D)   customs.
E)   beliefs.F) B) and D)
G) A) and E)

Question 18

Volvo of North America delivered automobiles to the Siberian police force when Siberia had no cash to pay for them.It accepted payment in oil,which it then sold for cash to pay for media advertising in the United States.This transaction is an example of

Accepted Answer

A)   a quota.
B)   countertrade.
C)   balance of trade.
D)   competitive advantage.
E)   a trade feedback effect.F) A) and B)
G) A) and E)

Question 19

There are __________ World Trade Organization countries,including the United States,which account for more than 90 percent of world trade.

Accepted Answer

A)   37
B)   52
C)   97
D)   113
E)   162F) A) and E)
G) B) and D)

Question 20

When a nation's nation's imports exceed its exports,it incurs a __________ in its balance of trade.

Accepted Answer

A)   countertrade
B)   trade feedback effect
C)   deficit
D)   surplus
E)   tariffF) B) and C)
G) C) and D)

Exam 6: Understanding and Reaching Global Consumers and Markets

The administrative,marketing,and manufacturing operations that many international firms,multinational firms,and transnational firms have around the world are often called

Correct Answer
verified

What is considered normal and expected about the way people do things in a specific country is referred to as

Correct Answer
verified

Correct Answer
verified

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power

Correct Answer
verified

Even though Exxon adapts its gasoline blends for different countries based on climate,the promotion message is unchanged: "Put a Tiger in Your Tank." This type of global promotional strategy is known an

Correct Answer
verified

Which of the following countries is the world's leading importer?

Correct Answer
verified

The prescribed penalty for agents of foreign governments found guilty of economic espionage is

Correct Answer
verified

Mary Kay,Inc.,can be classified as which type of company when marketing its products around the world?

Correct Answer
verified

Tariffs refer to

Correct Answer
verified

Explain the difference between indirect exporting and direct exporting.What are the advantages and disadvantages of each approach?

Correct Answer
verified
Indirect exporting refers to a firm sell...
View Answer

There are __________ World Trade Organization countries,including the United States,which account for more than 90 percent of world trade.

Correct Answer
verified

Mars,America's second-largest candy company,began doing business in Russia in the late 1980s.The Snickers bar is one of the top-selling candies in Russia and is marketed in much the same way as it is in the United States.What type of global company is Mars?

Correct Answer
verified

Explain the trade feedback effect.

Correct Answer
verified
Increased demand for exports of other na...
View Answer

When a firm sells its domestically produced products in a foreign country through an intermediary,it is referred to as

Correct Answer
verified

When a U.S.airplane manufacturer sells its airplanes to a company in Germany without using intermediaries,it is referred to as

Correct Answer
verified

When a nation's nation's imports exceed its exports,it incurs a __________ in its balance of trade.

Correct Answer
verified

A firm that views the world as consisting of unique parts and markets to each part differently is referred to as

Correct Answer
verified

Correct Answer
verified

Volvo of North America delivered automobiles to the Siberian police force when Siberia had no cash to pay for them.It accepted payment in oil,which it then sold for cash to pay for media advertising in the United States.This transaction is an example of

Correct Answer
verified

All nations and regions of the world do not participate equally in world trade.World trade flows reflect

Correct Answer
verified

Exam 6: Understanding and Reaching Global Consumers and Markets

The administrative,marketing,and manufacturing operations that many international firms,multinational firms,and transnational firms have around the world are often called

Correct AnswerverifiedShow Answer

What is considered normal and expected about the way people do things in a specific country is referred to as

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Generally,as the proportion of middle-income households in a country increases,the nation's purchasing power

Correct AnswerverifiedShow Answer

Even though Exxon adapts its gasoline blends for different countries based on climate,the promotion message is unchanged: "Put a Tiger in Your Tank." This type of global promotional strategy is known an

Correct AnswerverifiedShow Answer

Which of the following countries is the world's leading importer?

Correct AnswerverifiedShow Answer

The prescribed penalty for agents of foreign governments found guilty of economic espionage is

Correct AnswerverifiedShow Answer

Mary Kay,Inc.,can be classified as which type of company when marketing its products around the world?

Correct AnswerverifiedShow Answer

Tariffs refer to

Correct AnswerverifiedShow Answer

Explain the difference between indirect exporting and direct exporting.What are the advantages and disadvantages of each approach?

Correct AnswerverifiedIndirect exporting refers to a firm sell...View AnswerShow Answer

There are __________ World Trade Organization countries,including the United States,which account for more than 90 percent of world trade.

Correct AnswerverifiedShow Answer

Mars,America's second-largest candy company,began doing business in Russia in the late 1980s.The Snickers bar is one of the top-selling candies in Russia and is marketed in much the same way as it is in the United States.What type of global company is Mars?

Correct AnswerverifiedShow Answer

Explain the trade feedback effect.

Correct AnswerverifiedIncreased demand for exports of other na...View AnswerShow Answer

When a firm sells its domestically produced products in a foreign country through an intermediary,it is referred to as

Correct AnswerverifiedShow Answer

When a U.S.airplane manufacturer sells its airplanes to a company in Germany without using intermediaries,it is referred to as

Correct AnswerverifiedShow Answer

When a nation's nation's imports exceed its exports,it incurs a __________ in its balance of trade.

Correct AnswerverifiedShow Answer

A firm that views the world as consisting of unique parts and markets to each part differently is referred to as

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Volvo of North America delivered automobiles to the Siberian police force when Siberia had no cash to pay for them.It accepted payment in oil,which it then sold for cash to pay for media advertising in the United States.This transaction is an example of

Correct AnswerverifiedShow Answer

All nations and regions of the world do not participate equally in world trade.World trade flows reflect

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Indirect exporting refers to a firm sell...
View Answer

Correct Answer
verified

Correct Answer
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Correct Answer
verified
Increased demand for exports of other na...
View Answer

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verified

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Correct Answer
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