International Marketing Study Guide Questions
Course Introduction
International Marketing examines the theories, strategies, and practical aspects of marketing products and services across national boundaries. The course explores how cultural, economic, legal, and political differences impact marketing decisions, including market research, product adaptation, pricing, distribution, and promotion in a global context. Students learn to analyze international marketing environments, develop entry strategies, and manage global brands while addressing challenges such as cross-cultural communication, ethical issues, and international competition. Through case studies and real-world examples, the course prepares students to implement effective marketing practices in the dynamic global marketplace.
Recommended Textbook
International Marketing 8th Edition by
Michael R. Czinkota
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18 Chapters
1062 Verified Questions
1062 Flashcards
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Page 2
Chapter 1: The International Marketing Environment
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Sample Questions
Q1) The emergence of technology has created new markets for companies. Which of the following represents an example of this new market tendency?
A) The construction of corner drugstores that replace gas stations
B) Listing of ingredients on the side panel labels of products distributed worldwide
C) Newspapers being distributed on-line as opposed to physically on newsprint
D) Storage facilities rented by the month
Answer: C
Q2) Halting destruction of forests in the Amazon Basin, selective harvesting of hardwoods and other products from natural forest, and a restaurant refusing to purchase beef raised on pastures that are established by clearing forests are all examples of what?
A) Televised interior department projects
B) Concerns about environmental quality
C) The clustering of people in lower terrain
D) Global companies not competing in international marketing
Answer: B
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Chapter 2: Trade Institutions and Trade Policy
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Q1) The WTO, IMF, and World Bank operate on a global level. Which of the following is an example of a trade alliance that operates under this same concept on a regional basis?
A) The Economic Bloc
B) The World Chamber of Commerce
C) The United Nations
D) The Foundation for a Free America
Answer: A
Q2) The international environment is relatively static, and there is not much change in any given year.
A)True
B)False
Answer: False
Q3) The WTO (World Transport Organization) is the world's leading authority on settling transportation disputes between shippers of products and the countries which receive these goods.
A)True
B)False
Answer: False
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Chapter 3: The Cultural Environment
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Sample Questions
Q1) Which of the following is not considered a cultural universal?
A) Sleep
B) Courtship
C) Mealtime
D) Etiquette
Answer: A
Q2) Which department of the United States government publishes information about foreign countries?
A) Immigration and Naturalization Service
B) Department of Commerce
C) Department of Revenue
D) Internal Revenue Service
Answer: B
Q3) Language has been described as the mirror of culture.
A)True
B)False
Answer: True
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Page 5
Chapter 4: The Economic Environment
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Q1) _____________ are factories located along the U.S. and Mexico border that integrate cheap Mexican labor with high-end American technology.
A) Plaza Palominos
B) Refractoriums
C) Maquiladoras
D) Partido Revolutionario Institucional (PRI)
Q2) Which of the following are two factors that have affected the average size of households?
A) World War I and World War II
B) Standardization and industrialization
C) Television and telephone prevalence
D) Increased number of divorced and sole survivor households
Q3) A country's use of computers, telephones, broadcast media, and print media is an indicator of what infrastructure element?
A) Passive consumers
B) Communications
C) Neighborhoods
D) Universities
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6
Chapter 5: The Political and Legal Environment
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Sample Questions
Q1) The seizure of foreign assets by a government with payment of compensation to owners is called:
A) expatriation.
B) appropriation.
C) expropriation.
D) exhausting resources.
Q2) Events caused by factors outside the control of government include all but which of these?
A) Confiscation
B) Strikes
C) Extortion
D) Revolution
Q3) Laws that prohibit below-cost sales of products are known as:
A) underpricing laws.
B) skimming laws.
C) antidumping laws.
D) foreclosure laws.
Q4) List and briefly describe the 3 different types of political risk.
Q5) What is the best course of action for a manager when conducting business in a foreign market environment?
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Chapter 6: Strategic Planning
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Q1) Globalization strives to reduce costs by pooling production or other activities or exploiting factor costs or capabilities within a system.
A)True
B)False
Q2) Which of the following statements about technology and international marketing is accurate?
A) Computers have not affected international marketing because it is relational.
B) Technological evolution is contributing on a rapid scale to the changes taking place in international marketing.
C) E-business has not taken hold in international marketing.
D) Web pages are written in English because of the lack of globalization.
Q3) A program to build relationships with important customers and to develop systems and interaction internally is known as:
A) justification.
B) global account management.
C) situational relevance.
D) VIP marketing.
Q4) Why is strategic planning critical in global marketing?
Q5) Why is standardization not the answer for companies wishing to go global?
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Chapter 7: Marketing Organization, Implementation, and Control
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Q1) When a firm maintains tight controls and strategic decision making is concentrated at headquarters, this is called:
A) control central.
B) headquarters control.
C) centralization.
D) decentralization.
Q2) As companies evolve from purely domestic entities to multinational entities, their organizational structure and control systems must change to reflect new strategies.
A)True
B)False
Q3) This division centralizes in one entity, with or without separate incorporation, and accepts all of the responsibility for international activities.
A) Presidential division
B) Sales division
C) International division
D) Organizational division
Q4) What are the three organizational designs that make up international organizational structure?
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Chapter 8: Research
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Sample Questions
Q1) Population trends, general trade flow between countries, and agricultural production is considered what type of data?
A) Specific
B) Macro
C) Micro
D) Systematic
Q2) Standardized research techniques are more useful in the collection of subjective data than of objective data.
A)True
B)False
Q3) Those firms that decide to enter a foreign market intuitively know what customers want and why they want it and do not need to check these assumptions through research.
A)True
B)False
Q4) How would a company decide to use secondary versus primary research in an international arena?
Q5) Why is it important to protect the analysis and presentation phases of research gathering?
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Chapter 9: Market Entry and Expansion
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Sample Questions
Q1) A joint venture is a collaboration of two or more organizations for more than a transitory period.
A)True
B)False
Q2) Describe three types of ownership in foreign direct investing.
Q3) Portfolio investment is a primary concern to the international financial community.
A)True
B)False
Q4) The primary internal change agent in a company is often a long-time employee who is not management-level.
A)True
B)False
Q5) Other external change agents include all but:
A) banks.
B) accountants.
C) the company's owner.
D) advertising agencies.
Q6) What is the difference between proactive and reactive motivators that spur a company to go international?
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Chapter 10: Product Adaptation
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Sample Questions
Q1) In developing markets, products such as cigarettes and razor blades are often sold by the piece. Why?
A) It is easier to get these smaller items through customs.
B) Most developing country citizens cannot read, therefore do not need packaging.
C) Each product is taxed differently by unit.
D) So that consumers with limited incomes can afford them.
Q2) The core of a firm's international operations is pricing.
A)True
B)False
Q3) Which of the following best describes the product or service a company offers for sale?
A) A pertinent formation of space and time.
B) A complex combination of tangible and intangible elements.
C) Engineering made humanized.
D) Pursuit of quantum theoretic.
Q4) One of the drawbacks of standardization is cost savings in marketing.
A)True
B)False
Q5) Explain how counterfeiting has become a problem in foreign markets.
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Chapter 11: Export Pricing
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Sample Questions
Q1) What are the two forms of risk external to the process which might affect an export transaction?
A) Inward and Outbound
B) Pre and Post selling
C) Commercial and Political
D) Contact and Expatriate
Q2) Which of the following is not one of the instances when a price change is appropriate?
A) Never
B) Product launch
C) Change in market conditions
D) Change in exporter's internal situation
Q3) Financing assistance for exporters is only available from the public sector.
A)True
B)False
Q4) Which of the following is not a one of the different types of term of sale?
A) FAS
B) FOB
C) CFR
D) FOP
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Chapter 12: Marketing Communications
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Sample Questions
Q1) For the marketer-intermediary interaction to work, which one is not one of the general guidelines?
A) Research the customer
B) Work with the culture
C) Know the sales force
D) Learn from your local representatives
Q2) How should one use communication to be effective, maximize their outcome, and be successful overall?
Q3) The process of creating and sending the message from the sender to receiver is called:
A) patterning.
B) encoding.
C) formulation.
D) pledging.
Q4) What are the two basic tools that an exporting international marketer in the communications effort?
Q5) The human voice is not considered a message channel.
A)True
B)False
Q6) What is the dual purpose of effective and efficient communication?
Page 14
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Chapter 13: Distribution Management
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Sample Questions
Q1) How should a marketing channel be designed?
Q2) Privacy has not been a concern of international markets with regards to e-commerce in international markets because of the increase in government scrutiny of these transactions.
A)True
B)False
Q3) Why is privacy such an issue in e-business?
Q4) The expenditure incurred in maintaining a channel once it is established is referred to as:
A) price streaming.
B) cost.
C) hand tooling.
D) capital.
Q5) Which of the following is not another name for an e-commerce hub site?
A) Virtual mall
B) E-marketplace
C) Web-spoke
D) Digital intermediary
Q6) What are the three different approaches for coverage that are available to the international marketer?
Page 15
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Chapter 14: Global Product Management and Branding
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Sample Questions
Q1) All products that a company is suggested to produce are manufactured.
A)True
B)False
Q2) What types of products make up a market portfolio?
A) New, growing, and mature
B) Situational, immobile, and fluid
C) Intensive, extensive, and submissive
D) Distant, shoreline, and inner-city
Q3) When a company wishes to communicate technical, up-to-date information from the parent firm to the subsidiary, the routing of this information is called:
A) positioning.
B) radical movement.
C) technology transfer.
D) monument marketing.
Q4) Which of the following is not a benefit that a brand provides for a consumer?
A) Reduced risk of complicated buying decisions
B) Emotional benefits
C) A sense of community
D) Lackluster support and product switching
Q5) How is branding affected in the worldwide global marketing effort?
Page 16
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Chapter 15: Global Services
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Sample Questions
Q1) Which of the following best describes what a service is?
A) An idea
B) A tangible item
C) A product
D) A deed, performance, or effort
Q2) Electronic commerce has opened up new horizons for global services reach and has drastically reduced the meaning of distance.
A)True
B)False
Q3) Because services cannot be stored, much greater responsiveness to demand fluctuation must exist, and therefore, much greater pricing flexibility must be maintained.
A)True
B)False
Q4) Services produce over 60 percent of the GDP throughout the world.
A)True
B)False
Q5) Purchasing a car is buying a good; leasing a car is buying a service.
A)True
B)False
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Chapter 16: Global Logistics and Materials Management
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Sample Questions
Q1) RORO is an acronym for what?
A) Roll-on-roll-off vessels
B) Right option, real option
C) Revising ocean rigging operations
D) Radio on radio off
Q2) International logistics is the design and management of a system that controls the flow of the materials in all but which of the following?
A) Into the company
B) Through the company
C) To competitors' companies
D) Out of the international corporation
Q3) What percentage of the total landed cost of an international order is the logistics' cost?
A) 10-30%
B) 45%
C) 75%
D) 87%
Q4) Why is international logistics management growing in importance?
Q5) How can inventory be used as a strategic tool?
Q6) Why are reverse distribution systems important?
Page 18
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Chapter 17: Global Pricing
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Sample Questions
Q1) Transfer pricing is described as:
A) the value added to goods and services.
B) selling goods overseas for less than what they are sold for in the exporter's home market.
C) goods which have been imported from another country and priced at twice what they were sold for in the exporter's home market..
D) the intercorporate pricing of sales to members of the corporate family.
Q2) According to section 482, which of the following is NOT an arm's length method of pricing?
A) The resale price method
B) The cost plus method
C) The comparable uncontrolled price method
D) The aggressive elite method
Q3) Which of the following typically accompanies varying inflation rates?
A) Product differentiation
B) Government controls
C) Free market swings
D) Crisis management
Q4) What are the three philosophies of transfer pricing?
Q5) What is a countertrade transaction?
19
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Chapter 18: Global Promotional Strategies
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Sample Questions
Q1) Which is not one of the measures of advertising effectiveness?
A) Pretesting copy appeal
B) Posttesting of recognition
C) Preliminary rosters
D) Sales effects
Q2) ________ of decision-making authority requires a firm to relax most of the controls over foreign affiliates and allow them to pursue their own promotional approaches.
A) Centralization
B) Marketization
C) Localization
D) Decentralization
Q3) Which new technology has allowed the international marketer to have access to the global market twenty-four hours per day?
A) Permanent billboards
B) Taxi signs
C) Television
D) Internet
Q4) What is public relations?
Q5) What is ambush marketing? Give an example.
Page 20
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