MKTG 445 – Global Marketing Final

The only marketing mix element that companies alter for export selling (as opposed to export marketing) is:

place

Governments commonly use activities to support and encourage firms that engage in exporting. Such activities include all of the following EXCEPT:

voting rights

Agricultural subsidies are particularly controversial because, although they protect the interests of farmers in some countries, they work to the detriment of farmers in countries such as:

India

Certainteed Gypsum in Canada accused American manufacturers of selling drywall in the Canadian market at prices that were too low to be fair. Certainteed accused the American manufacturers of _________.

dumping

Which of the following types of duties would be imposed on a company whose home-country government provides export subsidies?

countervailing duty

A company may consider outsourcing production to another country, but if they want to avoid expensive shipping delays, product spoilage, and maintain their ability accurately to plan supply, they should consider which of the following?

country infrastructure

In the two column tariff system, which countries fall into column 2.

countries that do not have normal trade relations

Companies that want the most control over how their product is marketed in a new country should pick which market entry strategy?

acquisition

The organizational decision to purchase production inputs, components, or finished goods from domestic or foreign producers is known as the ________ decision.

sourcing

If the dollar, the yen, the euro or other single currency becomes seriously overvalued, a company with a production capacity in several countries can achieve competitive advantage by:

shifting production among different sites

For Starbucks and other companies whose business models include a service component, it is very difficult to use which one of the following methods for going global.

exporting

You can see Disney characters on clothing and merchandise all over the world because the Walt Disney Company has aggressively pursued ________ as a way to expand globally.

licensing

The agreements that allow independent owner/ operators of McDonald's restaurants around the globe to use McDonald's trademarked name and menu items represent, in essence, which form of market entry?

franchising

Reasons that a company might choose to acquire a business in a foreign country include all of the following except:

Take advantage of free trade agreements

Volkswagen initially purchased 31% of Czech automaker Skoda but eventually increased their ownership to 70%. Once Volkswagen achieved more than 50% ownership of Skoda stock, this kind of investment is called: 

majority equity stake

Which of the following is a tax used to discourage consumption of specific products, such as alcohol or cigarettes? 

Excise Duties

Which of the following can be used to offset subsidies from the exporting country?

Countervailing Duties

Which of the following describes a duty that is levied based on a non-value unit of measure, such as weight, volume, or length?

Specific Duty

What does the Harmonized Tariff System (HTS) do?

It standardizes classification numbers for products moved across borders.

Which of the following is a greenfield development?

Hyundai building a new manufacturing plant in the US.