Marketing and Easy Ref

Chapter 1—Introduction to Global Marketing

TRUE/FALSE

1. When practicing international marketing, a company becomes more involved in local marketing environments than it does in export marketing.

ANS: T PTS: 1 DIF: Easy REF: p. 7
NAT: Analytic

2. Regional and political integration favor a pan-regional marketing strategy.

ANS: T PTS: 1 DIF: Easy REF: p. 7-8
NAT: Analytic | Diversity

3. The formation of NAFTA encourages more multinational companies to adopt multidomestic strategies.

ANS: F PTS: 1 DIF: Difficult REF: p. 8
NAT: Analytic | Diversity

4. The volume of international trade is decreasing due to globalization.

ANS: F PTS: 1 DIF: Easy REF: p. 9-10
NAT: Analytic | Diversity

5. Companies pursue foreign markets to increase sales and profits.

ANS: T PTS: 1 DIF: Easy REF: p. 5
NAT: Analytic

6. Competition is becoming increasingly domestic.

ANS: F PTS: 1 DIF: Easy REF: p. 2
NAT: Analytic

7. Ebay discovered that entering Asian markets was relatively difficult.

ANS: T PTS: 1 DIF: Moderate REF: p. 2
NAT: Analytic

8. Coca-Cola offering life insurance to small retailers in Mexico is an example of adapting to local markets.

ANS: T PTS: 1 DIF: Difficult REF: p. 10
NAT: Analytic

9. Coca-Cola offering life insurance to small retailers in Mexico is an example of standardizing services across markets.

ANS: F PTS: 1 DIF: Difficult REF: p. 10
NAT: Analytic

10. Coca-Cola offering life insurance to small retailers in Mexico is an example of product globalization.

ANS: F PTS: 1 DIF: Difficult REF: p. 10
NAT: Analytic

MULTIPLE CHOICE

1. Marketing aimed at a firm 's home market is known as ____ marketing.
a.
international
b.
global
c.
domestic
d.
introductory

ANS: C PTS: 1 DIF: Easy REF: p. 7
NAT: Analytic

2. When multinational firms use different strategies, each one tailored to a particular local market, they are said to adopt a
a.
foreign policy.
b.
local strategy.