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Cumulative added value

MKT 505 FINAL EXAM PART 2 Question 1 ________ represent(s) the cumulative added value of a company’s investment in the marketing of a brand over time. Answer Brand extensions Co-branding Brand image Brand equity Brand loyalty Question 2 Maslow’s hierarchy is applicable to global marketing because it can help explain how: Answer basic human needs can drive the development of global products. “self-actualization” is the highest-order need in Japan as well as Western nations. status needs in different countries can only be fulfilled with localized products. “luxury badging” is irrelevant to companies marketing in Asia. Asians differ from Westerners in their basic physiological needs. Question 3 Campbell’s has been marketing soup in Japan for more than 40 years. Early on, Japanese consumers were not receptive to ads featuring the Campbell Kids and the “M’m M’m Good” slogan. This compelled Campbell’s to develop ads featuring a talking soup can known as “Mr. Campbell.” Campbell’s also developed soup varieties for Japan with fish as the main protein source and spices that reflect local preferences. As described here, which of the following strategies has Campbell’s used in Japan? Answer product-communications extension product extension-communications adaptation product adaptation-communications extension product-communication adaptation product invention Question 4 To win a contract to supply the United Kingdom with AWACS military aircraft, Boeing agreed to purchase products from the UK whose value was equivalent to 130% of the contract. This type of pricing arrangement, which is common when the customer is a foreign government and the product has military applications, is known as: Answer barter. switch trading. compensation trading. offset. dumping. Question 5 Which pricing strategy has the advantage of being simple to calculate but has the disadvantage of ignoring demand and competitive conditions? Answer gray marketing skimming penetration market holding cost-based Question 6 Joseph Quinlan, chief marketing strategist at Bank of America, estimated that about 25% of U.S. merchandise exports represent shipments by American companies to their foreign affiliates and subsidiaries. This situation underscores the importance of ________ in global marketing. Answer dumping gray marketing transfer pricing price skimming price fixing Question 7 When Wal-Mart Stores first expanded into Mexico, management established a joint venture with the country’s largest retailer. Judging by the approach Wal-Mart used, management must have viewed Mexico as: Answer culturally close and easy to enter. culturally distant and easy to enter. culturally close and difficult to enter. culturally distant and difficult to enter. culturally difficult and easy to enter. Question 8 Which personal computer company began life as a b-to-b marketer and then began marketing direct to the home PC market? Answer Hewlett-Packard Compaq Dell Acer Sony Question 9 Order processing, warehousing, and inventory management are all functions pertaining to: Answer a polycentric orientation. physical distribution and logistics. sales promotion. personal selling. chain acquisition. Question 10 In advertising, a(n) ________ is an agent who chooses graphics, pictures, type styles, and other visual elements and has general responsibility for the overall look of an advertisement. Answer art director copywriter IMC manager PR practitioner stylist Question 11 Japan’s Fuji Photo Film asked its advertising agency to develop an advocacy campaign for the United States targeted to appeal both to Wal-Mart and to its customers. This is an example of ________. Answer local advertising pattern advertising global advertising advocacy advertising image advertising Question 12 A ________ company possesses a critical marketing advantage with respect to marketing communications. Answer domestic local global glocal multinational Question 13 Traditional support media include: Answer indoor posters. billboards. newspapers. magazines. catalogs. Question 14 When a company must decide on the composition of its foreign sales force, which alternative is generally the most expensive? Answer expatriates third-country nationals host-country nationals agents of any nationality agents of host country Question 15 Which country or region offers direct marketers the advantage of a well-developed mailing list industry? Answer United States Japan Western Europe Latin America South Korea Question 16 ________ are online retail operations that allow customers to purchase goods and services. Answer Promotion sites Matrix sites Transfer sites Transaction sites Content sites Question 17 ________ -commerce is one of the significant marketing opportunities made possible by the digital revolution. Answer Multinational Mobile Multisegment Marginal-cost Multilingual Question 18 “Small markets don’t solve the growth needs of large companies” and “markets that don’t exist can’t be analyzed” are two principles of disruptive innovation. These principles are integral to: Answer the five forces model. the flagship model. strategic intent. the innovator’s dilemma. the innovator’s dream. Question 19 In the terminology of the strategic intent framework for competitive advantage, a firm that establishes advantages in a number of different areas has: Answer attribute diversity. marketing breadth. comparative advantage. layers of advantage. a “double diamond.” Question 20 Germany’s Mittelstand companies have been extremely successful pursuing ________. Answer cost leadership differentiation cost focus focused differentiation cost differentiation Question 21 Which of the following generic strategies best captures the way Harley-Davidson has achieved competitive advantage in the global motorcycle industry? Answer cost leadership differentiation cost focus focused differentiation cost differentiation Question 22 In the 1950s, Sony licensed the technology for the transistor from Bell Labs and proceeded to become the world’s leading manufacturer of portable radios. Which strategy was Sony using to gain competitive advantage? Answer collaboration layers of advantage changing the rules loose bricks engagement Question 23 Which form of organization design is capable of integrating geographic knowledge, product knowledge, functional competencies, and customer knowledge? Answer matrix structure international division structure geographic structure worldwide product division structure regional management center Question 24 Marjorie Scardino is chief executive of: Answer Nissan Motor (Japan). Pearson PLC (Great Britain). Ford Motor Company (USA). Pharmacia Corporation (USA). Atlas Copco AB (Sweden). Question 25 Brazilian Carlos Ghosn is chief executive of: Answer Nissan Motor (Japan). Pearson PLC (Great Britain). Ford Motor Company (USA). Pharmacia Corporation (USA). Atlas Copco AB (Sweden).