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All of the following trends are MAJOR forces in influencing the future shape of international business EXCEPT the

a) growing acceptance of the free market system among developing countries

b) evolution of large emerging markets

c)rapid growth of regional free trade areas

d)recent resurgence of nationalism

Fitzgerald-Paire Inc. defines its mission as "Planning, pricing, promoting and distributing the firm's goods and services to consumers in more than one nation for profit." The firm's statement indicates that it is engaged in:

  a) International Marketing

b) Foreign Exchange Management

c) Global Investment

d) Multinational Barter

The controllable elements of the marketer's task include all of the following EXCEPT:

  a) promotion

b) product development

c) competition

d) distribution

The process of evaluating the uncontrollable elements in an internationalmarketing program is frequently attended by:

  a) cultural shock

b) political shock

c) economic shock

d) all statements are correct

The conscious attempt to anticipate the influences of foreign and domestic uncontrollable influences upon a proposed marketing mix in order to minimize those impacts is the goal of:

  a) adaptation

b) acculturation

c) assimilation

d) ethnocentrism

In order to minimize the liklihood and/or impact of making inappropriate decisions based upon the self reference criteria of domestic managers, international managers should subject such decisions to:

  a) cross-cultural analysis

b) ethnocentric analysis

c) decision tree analysis

d) computer simulation analysis

Where would a firm following a global marketing concept BEST fit in the DPRG schema?

  a) the ethnocentric/ polycentric classification

b) the polycentric/ regiocentric classification

c) the geocentric/ ethnocentric classification

d) the regiocentric/ geocentric classification

After several years of exporting surplus inventory to foreign markets, the Fitzgerald-Paire Corporation has decided to produce products specifically for selected foreign markets through foreign subsidiaries. The firm would be BEST described as engaging in

Global Marketers seek to maximize returns through global ???_ of business activities, whenever it is cost effective and culturally feasible.

Firms that are fully committed to, and involved in, marketing activities in countries throughout the world are said to be involved in .............

The system of accounts that records a nation's international financial transactions is called its:

•a) Balance of Trade

•b) Balance of Payments

•c) Global Account Balance

•d) International Balance of Accounts

Imports are generally thought to be more accurately reported than exports because:

a) imports represent a major source of revenue for     the importing country

b) tariffs are generally collected on imports

c)countries tend to under report any activity which, such as exports, represent a payment of funds to other countries

d) imports are restricted to only large, tangible items that are easy to identify, evaluate and report

An absolute governmental restriction against the purchase and importation of specified goods from particular countries is called a:

a) tariff

b) quota

c)voluntary trade restraint

d)boycott

Ultimately the cost of tariffs are bourne by:

a)the consumer

b)foreign export firms

c)the world bank

d)foreign importing firms

An importer is required to pay varying amounts of domestic currency used to pay for foreign products according to their relative "desirability" as defined by the government under a system of:

a)boycotts

b)quotas

c)differential exchange rates

d)tariffs

Japan has been very successful in its attempts to restrict the imports of foreign products by the adroit use of:

a)product standards

b)tariffs

c)quotas

d)customs duties

Rising Sun is a Japanese trading company that co-ordinates a complex manufacturing network that utilizes thousands of small companies selling through the firm's distribution network. Rising Sun is an example of a:

a)financial keiretsu

b)horizontal keiretsu

c)production keiretsu

d)sales- distribution keiretsu

The relationship between merchandise imports and exports is referred to as the ..........

Governments may manipulate the volume of favoured and unfavoured foreign goods imported by controlling the price of importing such goods through use of a(n) .........

Throughout the history of the world, the growth of international trade and competition has been accompanied by an increase in ??? as individual nations seek to secure their own positions.

Fitzgerald-Paire Incorporated, a major producer of heavy construction equipment, has recently won a contract to provide machinery to be used in an ambitious program to bring water to the Sahara Desert by constructing a network of canals. The firm:

a)will be able to fill the order from its existing stock of products, origionally intended for the U.S. market

b)must build a new factory in the Sahara to produce the machinery

c)will be able to supply the order from a stock of machinery resulting from a cancelled order from a Swedish customer

d)must make extensive modifications to the product to enable it to operate in the hostile desert conditions

Fitzgerald-Paire Inc. does business in the United States and Canada. In order to ensure distribution in Canada's hostile environment, the firm must increase:

a)advertising spending

b)prices

c)reorder points and safety stock levels

d)its use of air transport

The Regional Free Trade Agreement between Argentina, Brazil, Paraguay and Uruguay is called:

a)GATT

b)SAFTA

c)ASEAN

d)MERCOSUR

The key to understanding the culture of a country is found in the study of its:

a)history

b)geography

c)religion

d)economy

Markets are a result of:

a)the marketers efforts

b)economic conditions

c)general cultural influences

d)all statements are correct

The marketer would be well advised to approach the study of foreign marketing from the viewpoint of the:

a)linguist

b)economist

c)psychiatrist

d)anthropologist

Technology and Economics are the prime components of:

a) social institutions

b) material culture

c) culture

d)aesthetics

Which of the following cultural elements are MOST closely associated with the task of "passing" culturally acceptable behaviours from one generation to the next?

a)linguistics

b)aesthetics

c)social institutions

d)material culture

Fitzgerald-Paire Inc. is preparaing special product designs, packaging and promotional campaigns for a new line of goods to be sold to the Middle East. Which if the following elements of a nation's culture will most directly affect the company's actions?

a)aesthetics

b)material culture

c)linguistics

d)social institutions

In which of the following situations is a study of a nation's total culture MOST crucial?

•marketing an existing product in an already developed market

•marketing a new product in an already developed market

•marketing an existing product in a new, but similar, market

•marketing a new product in a new market

Interpretative knowledge about a culture is MOST likely to be misunderstood when:

a)The marketer has too few facts to analyse

b)the marketer has too many facts to analyse

c)the assistance of "locals" is sought

d)the marketer relies on his/ her SRC (Self Reference Criteria)

A nation's tolerance of social inequality is BEST measured by the:

a) Individualism/ Collectivism Index (IDV)

b) Uncertainty Avoidance Index (UAI)

c) Power Distance Index (PDI)

d) Masculinity/ Femininity Index (MAS)

Culture can be described as:

a)a learned behaviour

b)a distinguishing characteristic of human society

c)composed of a group of synergistic elements

d)all statements are correct

The tendency of each nation to perceive its own culture as superior to other cultures is BEST described by the term:

a)ethnocentrism

b)nationalism

c)centrality

d)provincialism

Which of the following is the MOST critical factor for success in international marketing?

a)adaptation

b)economic superiority

c)a strong legal system

d)effective advertising

Those customs that MUST be met and conformed to if inter cultural relationships are to be successful are called:

a)adiaphora

b)imperatives

c)exclusives

d)excessives

Those areas of behaviour or customs that cultural aliens may want to conform to or participate in, although such conformity or participation is not necessary, are called cultural:

a)adiaphora

b)imperatives

c)mandates

d)exclusives

In emerging nations characterized by a semi-feudal, land equals power heritage, decision making tends to be:

a)highly centralized

b)a committee responsibility

c)concentrated among top managers or owners

d)concensus-orientated

In Middle Eastern countries, the top executive makes all decisions and prefers to deal ONLY with:

a)female middle managers

b)other executives with decision making powers

c)decision teams composed of functional experts

d)male middle managers

Accurate generalizations about the specific concerns of managers in any particular country are MOST difficult to make with regard to:

a)security and mobility

b)formality and tempo

c)social acceptance

d)personal goals

Fitzgerald-Paire Inc. has begun to provide executive training programs in the interpretation of expressions and body language. The firm is hoping to improve its performance in:

a)low-context cultures

b)older cultures

c)developed cultures

d)high-context cultures

M-time is MOST consistent with a(n):

a)low-context culture

b)high-context culture

c)emerging culture

d)Asian Culture

Differences in Business Customs are MOST critical in:

a)documentation

b)contract formulation

c)social events

d)negotiations

When entering a new foreign market, Fitzgerald-Paire Inc. often hires a local person familiar with that country's rules and regulations as its representative. The firm's action is BEST described as:

a)payment of an agent's fee

b)extortion

c)bribery

d)lubrication

A Multinational Corporation (MNC) is affected by the;

a)laws of multiple nations

b)laws of host countries

c)laws of its home country

d)all of the above mentioned laws influence the actions of MNCs

The intense pride that people hold for their country is best described as;

a)soverignty

b)nationalism

c)isolationism

d)colonialism

Over the years, the Fitzgerald-Paire Corporation has had significant amounts of its foreign assets taken, without compensation, by governments of countries in which the firm did business. Fitzgerald-Paire Inc. has been the victim of;

a)expropriation

b)confiscation

c)domestication

d)nationalism

Fitzgerald-Paire Inc. is currently in negotiations with several host nations who are demanding a greater share of the firm's assets and a stronger voice in their management. The host countries are attempting to engage in;

a)confiscation

b)domestication

c)expropriation

d)nationalism

Products are MOST likely to receive negative political attention if they;

a)are perceived to be essential items

b)are perceived to be nonessential items

c)are perceived to have a favourable economic impact

d)are perceived to have a favourable environmental      impact

Good corparate citizenship requires that foreign companies do all of the following when entering a new country market EXCEPT;

a)act as a "good guest" in the host country

b)share the benefits of the enterprize with the host country

c)attempt to emphasize the "home country image" and "foreign nature" of the enterprize

d)provide cultural training for its executives

Fitzgerald-Paire Inc. is concerned that some of the mines it owns in Third World nations may be subject to expropriation. The firm may lessen the risk and impact of such an occurrence if it maintains domestic control of;

a)advertising

b)marketing & distribution

c)accounting

d)production

Fitzgerald-Paire Inc. routinly employs its unique technology in a number of foreign markets which are subject to high political risk. The firm may minimize most of the risk it faces by;

a)having domestic control of marketing and distribution

b)using joint ventures

c)expanding the investment base

d)the use of licensing

Host countries sometimes employ _?????_ controls to force MNCs to purchase more supplies in the host country.

On occasion, an MNC may utilize _?????_, or political payoffs, to stop the host government from making decisions that would not be in the company's best interests.

The single most important element to which a foreigner must adjust is a country's;

a)economic level

b)language

c)cultural heritage

d)self reference criterion

Besides a simple increase in per capita GDP, economic development usually implies;

a)a higher degree of wealth concentration

b)a widespread distribution of the increased income

c)an increase in the "have not" class

d)political upheaval

The United States of America would be best described as a;

a)take-off society

b)society driving towards maturity

c)mass consumption society

d)traditional society

The Fitzgerald-Paire Corporation is facing increased competition from South Korean electronics manufacturers. Additional competition is also coming from firms in Singapore and Taiwan. The firm's competitors are located in;

a)NICs

b)LDCs

c)LLDCs

d)MDCs

Before entering a new market Fitzgerald-Paire Inc. carefully assesses the transportation and communication facilities available. The company is researching the potential market's;

a)environmental status

b)infrastructure

c)economic development

d)level of industrialization

All of the following tend to occur with increasing economic development EXCEPT;

a) more levels of distribution

b)less influence for foreign import agents

c)a larger number of small stores

d)improved retail margins

Marketing became the primary orientation of business during which of the following stages in the evolution of the marketing process?

a)snall scale manufacturing

b)commercial transaction

c)mass distribution

d)mass production

In many of the foreign markets served by the Fitzgerald-Paire Corporation, the capital cities are quite modern, but the remainder of the nation relies on traditional institutions and behaviours. The company is facing;

a)economic dualism

b)cultural pluralism

c)distributed loyalty

d)legalistic pluralism

The privatism of State Owned Enterprizez (SOEs) signals;

a)a shift towards greater import substitution

b)a shift away from democracy

c)a shift towards greater socialism

d)a shift away from import substitution and protectionism

The attempt tp identify groups of consumers with similar wants and needs in multiple country markets is at the core of;

a)global distribution

b)multi-cultural marketing

c)global segmentation

d)global marketing

The PRIMARY reason for the formation of Multinational Market Regions is;

a)political

b)social

c)cultural

d)economic

The United States has aggreements with Canada and Mexico under which the parties agree to reduce or eliminate customs duties and non-tariff trade barriers between themselves while maintaining individual tariff schedules for trade with external parties. The agreement would be best described as;

a)a regional cooperation group

b)a free trade area

c)a common market

d)a customs union

In which of the following forms of multinational trade organization are internal tariffs reduced or eliminated while members impose a common external tariff on goods imported from outside the organization?

a)a customs union

b)a common market

c)a regional cooperation group

d)a free trade area

In which of the following forms of multinational trade orgainzation do members create a unified economy?

a)regional cooperation group

b)customs union

c)common market

d)political union

The most essential requirements for protection of health, safety, the environment and product standards for EU members are established and enforced under the process of;

a)unification

b)harmonization

c)standardization

d)averaging

Where would a firm following a global marketing concept BEST fit in the DPRG schema?

  a) the ethnocentric/ polycentric classification

b) the polycentric/ regiocentric classification

c) the geocentric/ ethnocentric classification

d) the regiocentric/ geocentric classification