Which arrangement is best undertaken when a firm wants to keep its seasonal distribution channels functioning throughout the year?

physical handling and distribution of goods, the passage of ownership, and most important for mktg strategy, the buying and selling negotiations between producers and middlemen and between middlemen and customers.

In a _____ distribution structure, an importer controls a fixed supply of goods and the marketing system develops around the philosophy of selling a limited supply of goods at high prices to a small number of affluent customers.

Traditional Distribution Structure

an importer controls a fixed supply of goods, and the marketing system develops around the philosophy of selling a limited supply of goods at high prices to a small number of affluent customers.

Import- oriented distribution structure 

a.k.a traditional distribution structure, are local and the relationship between the importer and any middleman in the marketplace is considerably different from that found in a mass-marketing system. Since the importer–wholesaler traditionally performs most marketing functions, independent agencies that provide advertising, marketing research, warehousing and storage are nonexistent or underdeveloped.

Foundation of the Japanese distribution system 

Japanese distribution channel

follows a relationship-oriented business philosophy that emphasizes loyalty, harmony, and friendship.

The Japanese distribution structure supports long-term dealer–supplier relationships

In Japan, under the Large-Scale Retail Store Law, all proposals for new “large” stores are first judged by the _____.

Ministry of International Trade and Industry

In the international business arena, which of the following is considered to be one of Walmart’s strengths?

internal internet- based system

Which of the following countries has the largest number of retailers?

A.United States

B. Argentina

C. China

D. South Africa

E. Japan

In the context of distribution patterns, the rate of change in retailing around the world appears to be directly related to the _____.

                                speed of economic development

_____ is often the approach of choice in markets with insufficient or underdeveloped distribution systems.

Which of the following has proved to be an important way to break the trade barrier imposed by the Japanese distribution system?

Direct sales through catalogs

Which of the following are frequently criticized for not representing the best interests of a manufacturer?  

_____ take title to manufacturers’ goods and assume the trading risks

The distribution channel process includes all activities, beginning with the manufacturer and ending with the _____.

work on commission and arrange for sales in the foreign country but do not take title to the merchandise

actually take title to manufacturers’ goods and assume the trading risks, so they tend to be less controllable than agent middlemen

A disadvantage when using home-country middlemen as intermediaries in the distribution process is

The limited control over the distribution process

In the context of the different types of middlemen, which of the following is an example of a manufacturer’s retail store?

James Barker is the marketing manager of a firm with small international sales volume. He is looking for a middleman who can take responsibility for promotion of the company’s products, credit arrangements, physical handling, and market research. Also, the middleman must be able to provide information on financial, patent, and licensing matters. In addition, the middleman should agree to work under the name of the firm. Which of the following types of middlemen would be the best choice for Mr. Barker if he wants to meet his objectives?

An Export Management Company (EMC)

Two of the chief advantages of EMCs are minimum investment on the part of the company to get into international markets, and no commitment of company personnel or major expenditure of managerial effort.

A major disadvantage of _____ is that they can seldom afford to make the kind of market investment needed to establish deep distribution for products

export management companies

For companies seeking entrance into the complicated Japanese distribution system, _____ offer one of the easiest routes to success because they virtually control distribution through all levels of channels in Japan.

Which of the following was a goal of the Export Trading Company Act?

To remove antitrust disincentives to export activities 

Which of the following arrangements are undertaken when a firm wants to keep its seasonal distribution channels functioning throughout the year?

Companies with marketing facilities in different countries with excess marketing capacity sometimes take on additional product lines for international distribution. The formal name for this type of marketing is:

A(n) _____ is an individual agent middleman or an agent middleman firm providing a selling service for manufacturers that covers only one or two markets.

manufacturer's export agent

A _____ provides a selling service for a manufacturer, has a short-term relationship, and operates on a straight commission basis.

manufacturer's export agent

The Webb-Pomerene Act of 1918 made it possible for American business firms to join forces in export activities without being subject to which of the following acts?

the sherman antitrust act

A(n) _____ is a domestic middleman set up in a foreign country or U.S. possession that can obtain a corporate tax exemption on a portion of the earnings generated by the sale or lease of export property.

foreign sales corporation 

Which of the following is a type of domestic middleman?

Export management companies

In the context of types of domestic middlemen, the WTO in 2003 ruled _____ to be in violation of international trade rules, thus starting a major trade dispute with the European Union.

foreign sales corporations

Foreign sales corporation

can function as a principal, buying and selling for its own account, or a commissioned agent.

What factors affects the choice of distribution channels 

target market size, competition, and available distribution intermediaries.

six Cs of distribution channel strategy 

cost, capital, control, coverage, character, and continuity.

In the context of factors affecting choice of channels, one of the key elements in distribution decisions includes _____.

the functions performed by middlemen

Which of the following is a critical element associated with using a particular type of middleman?

In which of the following modes of distribution in the foreign market will a company have to make maximum financial investment?

Most middlemen have little loyalty to their vendors. They handle brands in good times when the line is making money but quickly reject such products within a season or a year if they fail to produce during that period. This is an example of problems associated with which of the following six Cs of distribution channel strategy?

One of the reasons that channels of distribution often pose longevity problems is that most middlemen _____.

have little loyalty to their vendors

_____ is an area that should be on a checklist of criteria for evaluating middlemen servicing a market

Which of the following actions should be taken to begin with the search for prospective middlemen?

Studying the target market

Experienced exporters suggest that the only way to select a middleman is:

to personally talk to ultimate consumers to find whom they consider to be the best distributors.

Apex Corporation is a wholesaler for Global Electronics in the French market. Global Electronics discovered that Apex Corp. was diverting some of their goods to the English market. Apex Corp. could get a greater profit in the English market because the goods were bought by the firm at a cheaper price in France. In the context of the above scenario, which of the following forms of business is Apex engaged in?

In the context of controlling middlemen, parallel importing is also known as _____.

physical distribution system

involves more than the physical movement of goods, includes location of plants, warehousing, transportation mode, inventory quantities, and packing

In the context of integrated marketing communications, in many markets, the availability of appropriate _____ to customers can determine entry decisions.

Integrated marketing communications are composed of?

advertising, sales promotions, trade shows, personal selling, direct selling, and public relations.

For most companies, which of the following are the major components in the marketing communications mix?

Advertising and personal selling

_____ are marketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperation

sales promotion objectives

consumer product trial or immediate purchase, consumer introduction to the store or brand, gaining retail point-of-purchase displays, encouraging stores to stock the product, and supporting and augmenting advertising and personal sales efforts.

An especially effective promotional tool when a product concept is new or has a very small market share is known as _____.

Creating good relationships with the popular press and other media to help companies communicate messages to their publics—customers, the general public, and governmental regulators—is the role of _____.

Which of the following elements of integrated marketing communications is related to encouraging the press to cover positive stories about companies and managing unfavorable rumors, stories, and events?

_____ might be classified as an aspect of sales promotions or public relations, though their connections to advertising are also manifest.

In the context of international advertising, global mass media advertising is a powerful tool for _____.

Of all the elements of the marketing mix, decisions involving _____ are those most often affected by cultural differences among country markets.

In the context of international advertising, it has been observed that advertising expenditures are generally _____.

While developing an international advertisement campaign, which of the following is the first step of the process?

perform marketing research

Of all the elements of the marketing mix, decisions involving which of the following are those most often affected by cultural differences among country markets?

advertisement of the product

Of the seven steps involved in international advertising, _____ almost always represents the most daunting task for international marketing managers.

Which of the following is an example of the primary attribute of a product?

A. The ability of a camera to take a picture.

B. The design and form factor of a phone.

C. The color of a laptop.

D. The prestige associated with driving a car.

E. The eco-friendly functioning of a digital watch.

Due to differences in culture in different markets, standardized products that are marketed globally will require:

a different advertising appeal

The emergence of pan-European communications media will most likely cause companies to:

choose more standardized promotional efforts.

During which step of the international communications process does the receiver of the message interpret symbolism transmitted from the information source?

In the international communications process, during _____, the message from the source is converted into effective symbolism for transmission to a receiver.

In the international communications process, the sales force of a company that conveys the encoded content to the intended receiver acts as a _____.

In the international communications process, an international marketing executive with a product message to communicate acts as a(n) _____.

In the international communications process, _____ is defined as the interpretation by the receiver of the symbolism transmitted from the information source.

Cremics, a multinational drug manufacturing company, used a saffron trident in a promotional campaign for one of their drugs in India. The saffron trident, a religious symbol in India was meant to indicate the three levels of efficacy of the drug, but mistakenly conveyed a religious message to Indians. This miscommunication indicates a problem associated with which of the following steps of an international communications process?

Which of the following elements of the international communications process comprises external influences, such as competitive advertising, other sales personnel, and confusion at the receiving end that can detract from the ultimate effectiveness of the communication

Janet works for a media agency based in Japan. Janet is helping the IMC manager of Siljure, a French cosmetics company, with the design and language to be used in an upcoming promotional campaign in Japan. The IMC manager knows what to convey but wants to advertise it in a culturally relevant manner. Which step of the IMC process is Janet helping Siljure with?

In the communications process in advertising, during the _____ stage, a consumer takes certain actions to respond to a decoded message

In the context of the communications process in advertising, problems of literacy, media availability, and types of media create challenges in the communications process at the _____ step.

Using newspapers or magazine ads as a channel of communication when the majority of the intended users are illiterate, is an example of ineffective _____ in the communications process.

With reference to the communication process in advertising, using the Internet as a medium when only a small percentage of an intended market has access to it, is an example of an error related to:

message channel selection

Meta Garbon, a manufacturer of sports bicycles, in a bid to tap the enormous market for bicycles in China promote their cycles as premium sporting and leisure bicycles. They use various cycling legends and sports celebrities as brand ambassadors, and use television, radio, and newspapers as media. Bicycles in China are used mainly by the working class for commutation, and the main users of bicycles did not relate to Meta Garbon's products and the promotional campaign was a failure. During which of the following steps of the IMC process did Meta Garbon go wrong?

information source selection

Which of the following steps of a communications process is important as a check on the effectiveness of the other steps?

involves implicit or explicit comparisons between products

________ in countries can distort media choice by changing the cost ratios of various media.

_____ suffer(s) from issues such as difficulty in assessing taxes, unfair competition, import duties, and privacy.

In the context of media planning and analysis, billboards are especially useful in countries:

with high illiteracy rates

Which of the following is true of advertising agencies for international advertising?

Cross-cultural communication between a foreign client and a local agency can be problematic.

Which of the following is the final link in the culmination of a company’s marketing and sales efforts?

In the context of designing an international sales force, which of the following is true of information-oriented cultures?

Such cultures allow for greater use of expatriates in the sales force.

In the context of designing an international sales force, which of the following is true of Japan?

In Japan, complete local knowledge is important for salespeople

relationship oriented countries such as Japan

will require the most complete local knowledge possessed only by natives.

A multinational company, with its headquarters in the U.S., wants to sell a new high-technology product in foreign markets. For effective selling, the sales force for this company should consist mostly of:

The largest personnel requirement for international marketing for most companies is in the

Which of the following is true of an expatriate sales force

When products are highly technical, or when selling requires an extensive background of information and applications, an expatriate sales force remains the best choice.

Which of the following is a disadvantage associated with a sales force comprising expatriate salespeople?

Which of the following is a strategy that international companies use to encourage sales personnel to accept foreign assignments

International experience is considered important to join top management

Which of the following is a characteristic of a professional expatriate?

They work abroad in country after country for the greater part of their careers

Norman, a German national, works as a sales manager for Black Oil Corporation in the Middle-East. Given the benefits associated with the job, he works on one foreign assignment after another and rarely returns to the headquarters in Germany. In view of the given information we can say that Norman is a:

Which of the following best defines a virtual expatriate?

They manage operations in foreign countries but do not move there

From an international firm’s perspective, which of the following is an advantage associated with virtual assignments?

The extra expense involved in an actual executive move may be avoided.

Which of the following is a disadvantage of teams managed by virtual expatriates?

It is difficult to build a close contact with subordinates and customers.

In the context of recruiting sales and marketing personnel for an international sales force, there is a clear biased in favor of the locals. The reason for this is most likely that:

they transcend both cultural and legal barriers.

Which of the following is an advantage of hiring local nationals in the sales force?

They are more knowledgeable about a country’s business structure and systems.

Which of the following is the main disadvantage of hiring local nationals in the sales force?

Headquarters personnel tend to ignore the advice of local nationals

In the context of recruiting marketing and sales personnel, which of the following is true of local nationals?

They are better able to lead a company through the maze of unfamiliar referral networks

David is a Canadian national who works for a U.S. company in Japan. David may be considered to be a _____.

Which of the following is the most important quality that a recruiter should consider while hiring marketing personnel?

They should possess a considerable breadth of knowledge of many subjects both on and off the job.

The marketer who expects to be effective in the international marketplace should

have a positive outlook on an international assignment

Which of the following is the reason for the fact that continual training is more important in foreign markets than in domestic ones?

Lack of routine contact with the parent company.

The training of foreign employees is likely to be most effective when:

is tailored to the recipients’ ways of learning.

Which of the following is likely to be most effective in making home-office personnel aware of the problems of foreign operations?

In the context of the rewards from work, Japanese and American salespersons are similar barring one aspect which the Japanese rate as more important than their American counterparts. Identify this aspect.

Considering the specific characteristics of Japan’s culture, which of the following strategies would be most successful in motivating employees in Japanese organizations?

Which of the following is the main reason for the failure of individual incentives to motivate employees in Japan?

Nontaxable perks such as a company vehicle given to an expatriate is an example of a(n):

Overseas premiums that are paid to the family of expatriates during short-term assignments if they do not relocate to the foreign country are called:

In the context of designing compensation systems, the program element most often determined at the global level is:

Program Design Principles

Which of the following is true of sales compensation practices across the globe?

Most companies establish sales compensation practices locally either at the country or regional levels.

In the context of global compensation, which of the following strategies should be practiced?

Consistent communication and training themes should be used worldwide

Which of the following practices, with respect to motivating sales personnel, is most common in relationship-oriented countries like Japan

Companies motivate sales representatives through frequent interaction with supervisors

Qualified and ambitious sales personnel refuse to take up foreign assignments for fear of hampering their career development. This “out of sight, out of mind” fear is most closely linked to the problems of:

Which of the following is the single most important reason for expatriate dissatisfaction?

Unsuccessful family adjustment

Which of the following factors differentiates companies with the least amount of returnee attrition from those with the highest attrition?

Personal career planning for expatriates

Which of the following is a trait of a person with good cultural skills?  

They convey a sincere interest in people and their culture

Assuming that the international marketer has produced the right product, used the proper channel of distribution, and promoted the good correctly, the effort can fail badly if the international marketer fails to:

set the right price for the goods or services 

In general, price decisions are viewed in two ways. Which of the following is one of them?

Pricing is an active instrument of accomplishing marketing objectives

Which of the following is true of a company that views prices as an active instrument of accomplishing marketing objectives?

The company sets prices to achieve specific objectives

A company that views pricing as a static element in a business decision:

exports only excess inventory

The Floral Group, an importing organization in New York, has just bought an excessive amount of perfume from perfume manufacturer in Paris. Unknown to the perfume manufacturer, the Floral Group has sold 25 percent of its order to distributors in France that have been unable to purchase any products from the perfume manufacturer. Which of the following best describes the transaction that has just taken place?

Since it encourages retailers to stock large assortments of a product, the practice of _____ distribution often creates a favorable condition for parallel importing.

Firms that are unfamiliar with overseas marketing and firms that produce industrial goods orient their pricing solely on the basis of:

the costs of production of the good

In _____ pricing, the firm is concerned only with the marginal or incremental cost of producing goods to be sold in overseas markets.

Which of the following characterizes the variable-cost pricing approach?

In this approach, any contribution to fixed cost after variable costs are covered is profit to the company.

_____ pricing is a practical approach to pricing when a company has high fixed costs and unused production capacity.

Which of the following characterizes the variable-cost pricing approach?

In this approach, any contribution to fixed cost after variable costs are covered is profit to the company

_____ pricing is a practical approach to pricing when a company has high fixed costs and unused production capacity.

In _____ pricing, the philosophy is that no unit of a similar product is different from any other unit in terms of cost and that each unit must bear its full share of the total fixed and variable cost.

Which of the following approaches to pricing is suitable when a company has high variable costs relative to its fixed costs?

Which of the following is true of the full-cost pricing approach?

In this approach, prices are often set on a cost-plus basis, that is, total costs plus a profit margin.

A company uses _____ when the objective is to reach a segment of the market that is relatively price insensitive and thus willing to pay a premium price for the value received.

If the supply of a good in a market is limited, a company may follow a _____ approach to maximize revenue and to match demand to supply.

A _____ policy is used to stimulate market and sales growth by deliberately offering products at low prices

In most cases, the reason that products which cost relatively little in one country cost more in another is:

_____ results from the added costs incurred as a result of exporting products from one country to another.

A(n) _____ duty is a flat charge per physical unit imported.

_____ duties are levied as a percentage of the value of the goods imported

_____ are the primary discriminatory tax that must be taken into account in reckoning with foreign competition.

In a _____ market, it is essential for a company to keep prices low and raise brand value to win the trust of consumers

Which of the following is true of international currencies?

All major currencies are free floating relative to one another

When the value of the dollar is weak relative to the buyer’s currency, sellers generally employ _____ pricing.

When the Indian rupee depreciated against the U.S. dollar, PC manufacturers who were dependent on imported parts had to _____ in order to retain their profit margins.

The final price of an imported product is likely to be high if

middleman markups are not standardized.

One of the possible reasons for manufacturing in a third country could be an attempt to _____.

reduce manufacturing costs

Which arrangement is best undertaken when a firm wants to keep its seasonal distribution channels functioning throughout the year *?

Which mode of distribution affords the most control over the distribution channels but often at a cost that is not practical quizlet?

Why Do Firms Undertake piggyback arrangements?

What is often the approach of choice in markets with insufficient or underdeveloped distribution systems?