Test Bank for Global Marketing , 10th Edition

Preview (16 of 511 Pages)

100%

Test Bank for Global Marketing , 10th Edition - Page 1 preview image

Loading page ...

Global MarketingTenth EditionMark C. GreenWarren J. KeeganTest Bank(Download only)for Global MarketingRevised byMahmoodKhan

Test Bank for Global Marketing , 10th Edition - Page 2 preview image

Loading page ...

Test Bank for Global Marketing , 10th Edition - Page 3 preview image

Loading page ...

1Global Marketing, 10e(Green/Keegan)Chapter 1Introduction to Global Marketing1) The global market development strategy involves:A) creating new product offerings to a new country.B) seeking new customers in a geographicalmarket.C) creating new service offerings targeting a new region.D) creating new products for a new country.E) seeking new customers targeting a new segment.Answer: BDifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways acompanycan expand globally.AACSB: Application of knowledge2) In global markets, Starbucks is a good example of simultaneously executing all of the growthstrategiesexcept:A) market penetration.B) marketdevelopment.C) product development.D) market orientation.E) diversification.Answer: DDifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expand globally.AACSB:Application of knowledge3) Starbucks dropped the word "Coffee" from its logo. This is an example of:A) standardization.B) adaptation.C) diversification.D) automation.E) modernization.Answer: CDifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expand globally.AACSB: Application of knowledge

Test Bank for Global Marketing , 10th Edition - Page 4 preview image

Loading page ...

24) McDonald's developed a vegetarian burger in India. This is an example of:A) market penetration.B) market development.C) marketdiversification.D) product development.E) product diversificationAnswer: DDifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expand globally.AACSB: Application of knowledge5) Afundamental difference between regular marketing and global marketing is the:A) lack of marketing mix.B) scope of activities.C) lack of strategic planning.D) focus on resources.E) lack of communication.Answer: BDifficulty: 2: ModerateChapterLO: 1.1: Use the product/market growth matrix to explain the variousways a companycan expand globally.AACSB: Application of knowledge6) Starbucks is entering Italy in 2018, starting with a 25,000-square-foot flagship ReserveRoastery in Milan. Thisis an example of:A) market development.B) product development.C) diversification.D) market penetration.E) service diversification.Answer: ADifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways acompanycan expand globally.AACSB: Application of knowledge7) Companies doing business in China must take extra care to protect knockoffs.Answer: TRUEDifficulty: 1: EasyChapter LO: 1.1: Use the product/market growth matrix to explain the variousways a companycan expand globally.AACSB: Application of knowledge

Test Bank for Global Marketing , 10th Edition - Page 5 preview image

Loading page ...

38) Four decades ago, the phraseglobal marketingdid not exist.Answer: TRUEDifficulty: 1: EasyChapter LO: 1.1: Use the product/market growth matrix to explain the variousways a companycan expand globally.AACSB: Application of knowledge9) A critical reason why companies need to take global marketing seriously is survival.Answer: TRUEDifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expand globally.AACSB: Application of knowledge10) A fundamental difference between regular marketing and global marketing is the scope ofactivities.Answer: TRUEDifficulty: 1: EasyChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expandglobally.AACSB: Application of knowledge11) Starbucks offers a loyalty card and rewards program in the United States with an app thatdisplays a bar code that can be scanned bythe customer. This is an example of marketdevelopment.Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expand globally.AACSB: Analytical thinking12) If Nestlé decides not to market biscuits (cookies) in the United States due to competitivereasons, it is considered to have a lack of strategic focus and missed opportunity.Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expand globally.AACSB: Analytical thinking

Test Bank for Global Marketing , 10th Edition - Page 6 preview image

Loading page ...

413)What is "global marketing" and how does it differ from "regular marketing"? Give examplesof at least one major corporation that explains these differences.Answer: Marketing is an organizational function and a set of processes for creating,communicating, and delivering value to customers. An organization that engages in globalmarketing focuses its resources and competencies on global market opportunities and threats. Afundamental difference between "regular marketing" and "global marketing" is the scope ofactivities. A company that engages in global marketing conducts important business activitiesoutside the home-country market. For example, as Walmart expands into Guatemala and otherCentral America countries, it is implementing amarket developmentstrategy.Difficulty: 2: ModerateChapter LO: 1.1: Use the product/market growth matrix to explain the various ways a companycan expand globally.AACSB: Application of knowledge14) Why do some of the world's biggest, most successfulcompanies stumble while pursuingglobal opportunities? Give examples in support of your answer.Answer: Store locations, pricing, customer preferences, convenience, and unfamiliarity cancause successful companies to fail or not perform well in global markets. Walmart's exit from theGerman market was due to the fact that German shoppers could find lower prices at "harddiscounters" such as Aldi and Lidl. UK-based Tesco's attempts to enter the US market with itsFresh & Easy stores failed, in part, becauseUS consumers were unfamiliar with the private-labelgoods that made up much of the merchandise stock. American "cheap chic" retailer Targetterminated in Canada due to missteps in store location and pricing.Difficulty: 2: ModerateChapter LO: 1.1: Usethe product/market growth matrix to explain the various ways a companycan expand globally.AACSB: Application of knowledge15) The essence of marketing worldwide is to surpass the competition in creating perceivedvalue, which can be represented as:A)Value = Price/Benefits.B) Value = Benefits/Price.C) Value = Benefits × Price.D) Value = Benefits-Price.E) Value = Benefits + Price.Answer: BDifficulty: 3: ChallengingChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Analytical thinking

Test Bank for Global Marketing , 10th Edition - Page 7 preview image

Loading page ...

516) Starbucks entered India via an alliance with the Tata Group. This is an example of "marketpenetration."Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.2: Describe how companies in global industriespursue competitive advantage.AACSB: Analytical thinking17) Nike dropped its well-known tag line "Just do it" in advertising women's clothing in Europeand replaced it with slogan "Here I am" since college-age women in Europe are not ascompetitive about sports as men are.Answer: TRUEDifficulty: 2: ModerateChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Analytical thinking18) The essence of marketing is to surpass the competition at the task of creating perceivedvalue.Answer: TRUEDifficulty: 2: ModerateChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Application of knowledge19) The value equation is represented as Value = Price/Benefits.Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Application of knowledge20) McDonald's global marketing strategy is based primarily on local marketing mix elements.Answer: FALSEDifficulty: 2: ModerateChapter LO:1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Analytical thinking21) Nonmonetary costs do not factor into the equation of value, which is represented by theequation Value = Benefits/Price.Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Application of knowledge22) Tang drink powder became a $1 billion brand as regional managers in the Middle East addedpopularflavors like mango and pineapple.Answer: TRUEDifficulty: 1: EasyChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Application of knowledge

Test Bank for Global Marketing , 10th Edition - Page 8 preview image

Loading page ...

623) When a company succeeds in creating more value for customers than its competitors do, thatcompany is said to enjoy competitive advantage.Answer: TRUEDifficulty: 3: ChallengingChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Application of knowledge24) Thetransformation of formerly local or national industries into global ones is part of abroader economic process of globalization.Answer: TRUEDifficulty: 3: ChallengingChapter LO: 1.2: Describe how companiesin global industries pursue competitive advantage.AACSB: Application of knowledge25) The National Football League (NFL) promotes American football in the United Kingdom bydraping banners every fall over London's Regent Street to create awareness of the games.Answer: TRUEDifficulty: 3: ChallengingChapter LO: 1.2: Describe how companies in global industries pursue competitive advantage.AACSB: Application of knowledge26) Explain, with examples, the benefits of competitive advantage and show howglobalizationpresents companies with unprecedented opportunities.Answer: When a company succeeds in creating more value for customers than its competitors,that company is said to enjoy "competitive advantage." It is measured relative to rivals in a givenindustry. For example, Coca-Cola and Pepsi are trying to maintain a competitive advantage inglobal markets. Globalization presents companies with unprecedented opportunities as well aschallenges. Achieving competitive advantage in a global industry requires executives andmanagers to maintaina well-defined strategic focus. Globalization provides companies withopportunities to develop new products, get new ideas, develop markets, expand brandrecognition, and eventually profits.Difficulty: 2: ModerateChapter LO: 1.2: Describe how companiesin global industries pursue competitive advantage.AACSB: Application of knowledge27) The dimensions of global marketing strategy include all of the followingexcept:A) concentration of marketing activities.B) development of culturalactivities.C) coordination of marketing activities.D) integration of competitive moves.E) integration of marketing mix.Answer: BDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking

Test Bank for Global Marketing , 10th Edition - Page 9 preview image

Loading page ...

728) The former chairman of Nestlé recently told an interviewer: "We are food and beverages. Weare not running bicycle shops. Even in food, we are not in all fields. There are certainareas wedo not touch. Also, we have no soft drinks because I have said we either buy Coca-Cola or weleave it alone." What strategic marketing principle does the chairman's comment emphasize mostspecifically?A) customer valueB) competitive advantageC)focusD) myopiaE) policyof dealing only with Swiss businessesAnswer: CDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking29) Nike recently adopted the slogan "HereI am" for its pan-European clothing advertisingtargeting women. The decision to drop the famous "Just do it" tag line was based on the researchindicating that:A) the famous slogan did not have accurate translation in Europeanlanguages.B)Europeans do not like tag lines that portray American thinking.C) college-age women in Europe are not as competitive about sports as men are.D) the old slogan conveys superiority of men over women.E) European women want to differentiatethemselves from men.Answer: CDifficulty: 3: ChallengingChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking30) Burberry's global marketing strategy of offering "affordable luxury" to customers in theUnited States, with a value proposition of being more expensive than Coach and less expensivethan Prada represents a focus on:A) product.B) price.C) promotion.D) position.E) place.Answer: BDifficulty: 3: ChallengingChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking

Test Bank for Global Marketing , 10th Edition - Page 10 preview image

Loading page ...

831) The way a company addresses the global marketing strategy (GMS) includes all of thefollowingexcept:A)global market participation.B) integration of inflationary moves.C) integration of competitive moves.D) coordination of marketing activities.E) concentration of marketing activities.Answer: BDifficulty: 3: ChallengingChapter LO: 1.3:Compare andcontrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking32) Coke's worldwide success is based on:A) adaptation of the marketing mix.B) standardization of the marketing mix.C)selected elements of themarketing mix.D) using local sales force and vending machines.E) using existing local infrastructure.Answer: ADifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge33) U.S. President Donald Trump's "America First" agenda is just one example of the way somenations are retreating into protectionism and isolation.Answer: TRUEDifficulty: 2: ModerateChapter LO:1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge34) A disproportionate amount of wealth has flowed to the "have nots" and "have yachts," withmuch going to the "have nots."Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge

Test Bank for Global Marketing , 10th Edition - Page 11 preview image

Loading page ...

935) Launching of Burberry Acoustic to enhance advocacy and sharing via social media andonline channels is an example of which marketing mix element?A) productB) priceC) promotionD) placeE) peopleAnswer: CDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy withglobal marketingstrategy (GMS).AACSB: Information technology36) The success of Uniqlo's retail stores can be attributed to its decision to:A) remain in Japan.B) locate in high population density areas.C) locate in low population density areas.D) manufacture most of their productsin Japan.E) become the world's number one apparel retailer.Answer: BDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking37) Marco Gobetti,who took over as Burberry's CEO in 2017, faces a number of new challengesincluding the declining of department store shopping in the United States.Answer: TRUEDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge38) A company that succeeds in global marketing:A) pursues a "one size fits all" strategy by creating identical products for homogeneous markets.B) customizes special productsfor each world country or region.C) creates both standardized and localized elements.D) nurtures an ethnocentric management orientation.E) uses localized products only.Answer: CDifficulty: 2: ModerateChapter LO:1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking

Test Bank for Global Marketing , 10th Edition - Page 12 preview image

Loading page ...

1039) An important managerial task in global marketingis learning to recognize the extent towhich it is possible to extend marketing plans as well as the extent towhich adaptation isdesired. The way a company addresses this task is a reflection of the company's:A) market penetration.B) market diversification.C) global marketing strategy.D) product development.E) product standardization.Answer: CDifficulty:2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking40) Companies that fail to formulate adequate responses to the challenges and opportunities ofglobalization will face all of the following consequencesexcept:A) getting absorbed by visionary enterprises.B) getting absorbed by dynamic enterprises.C) becoming locally profitable enterprises.D) undergoing wrenching transformations.E) simply disappearingfrom the business horizon.Answer: CDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking41) Global economic growth has been a driving forcefor companies to expand globally due to allof the following reasonsexcept:A) rising per capita incomes in developing countries.B)growing ranks of middle-class consumers have more money to spend.C) rapid growth in industrialized countries has providednew opportunities.D) economic growth has reduced resistance in response to entry into new markets.E) policymakers are likely tolook more favorably on outsiders.Answer: CDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking

Test Bank for Global Marketing , 10th Edition - Page 13 preview image

Loading page ...

1142) McDonald's Switzerland operates themed dining cars on the Swiss National Rail System.This is globalization of which marketing mix element?A) placeB) promotionC) priceD) processE) productAnswer: ADifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking43) McDonald's serves McRice Burger in Malaysia, McOZBurger in Australia, Kiwi Burger inNew Zealand, McHuevo Burger in Uruguay and McSamurai Burger in Thailand. These menuvariations are examples of a:A) combination of global and local marketing mix elements.B) reflection of failure of U.S. menu items inthose countries.C) deviation from successful marketing practices.D) replacement of standard menu names with fancy names.E) selection of menu items that can be sold eventually in U.S. markets.Answer: ADifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking44) All ofthe following correctly states McDonald's approach to standardization and adaptationof the marketing mixexcept:A) McDonald's standardizes some product elements and adapts others.B) McDonald's standardizes some place elements and adapts others.C)McDonald's standardizes some promotion elements and adapts others.D) McDonald's standardizes some price elements and adapts others.E) McDonald's standardizes all product elements.Answer: EDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrastsingle-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking

Test Bank for Global Marketing , 10th Edition - Page 14 preview image

Loading page ...

1245) Examples of effective global marketing by McDonald's include both standardized andlocalized marketing mix elements. Which of the following doesnotrepresent a localizedelement?A) It serves McAloo Tikki potato burger in India.B) It uses the advertising slogan "I'm lovin' it."C)It operates themed dining cars on the Swiss national rail system.D) It has home delivery service in India.E) It has slang nicknames such as MakDo in the Philippines and McDo in France.Answer: BDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Analytical thinking46) The region that leads in the World Pharmaceutical Market is:A) Europe.B) North America.C) Japan.D) Asia.E) Latin America.Answer: BDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with globalmarketingstrategy (GMS).AACSB: Application of knowledge47) An industry is considered to be global to the extent that its industry position in one country isdependent upon the industry position in other countries.Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge48)A company with a geocentric orientation views the world as a potential market and strives todevelop integrated global strategies.Answer: TRUEDifficulty: 3: ChallengingChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge

Test Bank for Global Marketing , 10th Edition - Page 15 preview image

Loading page ...

1349) McAloo Tikka potato burger offered in India is an example of standardization.Answer: FALSEDifficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge50) What are thedimensions of global marketing strategy (GMS) that pertain to marketingmanagement?Answer: GMS has three dimensions that pertain to marketing management. First, "concentrationof marketing activities" such as promotional campaigns or pricing decisions isperformed in oneor a few country locations. The second, "coordination of marketing activities," refers to theextent to which marketing activities related to the marketing mix are planned and executedinterdependently around the globe. Finally, "integration of competitive moves" is the extent towhich a firm's competitive marketing tactics in different parts of the world are interdependent. Inessence, GMS should enhance the firm's performance on a worldwide basis.Difficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge51) Why is it important for a firmto have global marketing strategy?Answer: A firm's global marketing strategy (GMS) can enhance its worldwide performance. TheGMS addresses several issues. First is the nature of the marketing program in terms of thebalance between a standardized (extension) approach to the marketing mix elements and alocalized (adaptation) approach that isresponsive to country or regional differences. Second isthe concentration of marketing activities in a few countries or the dispersal of such activitiesacross manycountries. Companies that engage in global marketing can also engage incoordination of marketing activities. Finally, a firm's GMS addresses the issue of global marketparticipation.Difficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB:Application of knowledge

Test Bank for Global Marketing , 10th Edition - Page 16 preview image

Loading page ...

1452) The Coca-Cola Company has convincingly demonstrated that the ability to think globallyand act locally can be a source of competitive advantage. Justifythis statement using examples.Answer: Coke achieved success in Japanby spending a great deal of time and money to becomean insider. The company built a complete local infrastructure with its sales force and vendingmachine operations. Coke's success in Japan is a function of its ability to achieve "globallocalization," being as much of an insider as a local company but still reaping the benefits ofworldwide operations. The company is adept at adapting sales promotion, distribution, andcustomer service efforts to local needs. Coke has become one of the brands that have spent timeand money getting this experience in unknown territories.Difficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge53) Using McDonald's as an example, show how effective global marketing can be successfullyachieved.Answer: The particular approach to global marketing that a company adopts will depend onindustry conditions and its source or sources of competitive advantage. McDonald'sstandardizedproduct is Big Mac which is localized in various countries, such as McAloo Tikka Burger inIndia. Similar products with local slang names were used adapting to tastes indifferent countries.For promotion the standardized slogan "I'm lovin' it" is used whereas individual promotion isused in different countries. Freestanding restaurants are a standardized version, which islocalized in several countries by having kiosks orhome delivery. Similarly, the average price ofBig Mac is used as a standard which is localized on the basis of currency fluctuation andaffordability.Difficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy withglobal marketingstrategy (GMS).AACSB: Application of knowledge54) When a global company establishes a benchmark in quality, competitors must quickly maketheir own improvements and come up to par. Justify the statement giving examples.Answer: Starting in the 1960s, U.S. auto manufacturers saw their market erode as Japanesecarmakers built strong reputations based on their products' quality and durability. In turn the U.S.companies are making great strides in quality. A new threat is being faced dueto the introductionof Tesla's all-electric cars which have frequently been at or near the top of the quality and safetyrankings for several years. Thus the global companies can establish a benchmark when othercompanies try to compete.Difficulty: 2: ModerateChapter LO: 1.3: Compare and contrast single-country marketing strategy with global marketingstrategy (GMS).AACSB: Application of knowledge

Preview Mode

This document has 511 pages. Sign in to access the full document!

Report

Study Now!

Document Details

Related Documents

Solution Manual for Global Marketing, 10th Edition

Analyzing Market Differences

Creating Good Advertising 4 Rules to Attract, Inte

Key Questions for Managing Stakeholder Relationshi

Comparing Daiso and Miniso A Comprehensive Analysi

HP Sauce vs

Comparative Analysis of Food Lion and Walmart Pric

J.crew.edited 2.edited

Marketting Plan For Organic Vally

New Product Launch Marketing Plan

Company

Explore

Study Tools