Chapter 6

Question 1

Practice of shielding 1 or more industries within a country’s economy from foreign competition through use of tariffs or quotas

Answer 1

Protectionism

Question 2

Government tax on goods or services entering a county, primarily serving to raise prices on imports

Answer 2

Tariff

Question 3

Restriction placed on the amount of a product allowed to enter or leave a country

Answer 3

Quota

Question 4

Institution that sets rules governing trade between its members through a panel of trade experts (1995)

Answer 4

World Trade Organization (WTO)

Question 5

Gradual decline of economic protectionism by individual countries

Answer 5

Trend 1 influencing landscape of global marketing

Question 6

Formal economic integration and free trade among nations

Answer 6

Trend 2 influencing landscape of global marketing

Question 7

Global competition among global companies for global customers

Answer 7

Trend 3 influencing landscape of global marketing

Question 8

Emergence of a networked global marketspace

Answer 8

Trend 4 influencing landscape of global marketing

Question 9

Growing prevalence of economic espionage

Answer 9

Trend 5 influencing landscape of global marketing

Question 10

Exists when firms originate, produce, and market their products and services worldwide

Answer 10

Global Competition

Question 11

Multinational firm’s strategy of offering as many different product variations, brand names, and advertising programs as countries in which it does business

Answer 11

Multidomestic marketing strategy

Question 12

Practice of standardizing marketing activities when there are cultural similarities and adapting them when cultures differ

Answer 12

Global marketing strategy

Question 13

Brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs

Answer 13

Global brand

Question 14

Consumer groups living in many countries or regions of the world who have similar needs or seek similar benefits from products or services

Answer 14

Global consumers

Question 15

1. International firms
2. Multinational firms
3. Transnational firms

Answer 15

3 types of companies populate and compete in global marketing

Question 16

Multinational firm’s strategy of offering as many different product variations, brand names, and advertising programs as countries in which it does business

Answer 16

Multidomestic marketing strategy

Question 17

Practice of standardizing marketing activities when there are cultural similarities and adapting them when cultures differ

Answer 17

Global marketing strategy

Question 18

Brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs

Answer 18

Global brand

Question 19

Consumer groups living in many countries or regions of the world who have similar needs or seek similar benefits from products or services

Answer 19

Global consumers

Question 20

The clandestine collection of trade secrets or proprietary information about competitors (1996)

Answer 20

Economic espionage

Question 21

The study of similarities and differences among consumers in two or more nations or societies

Answer 21

Cross-cultural analysis

Question 22

Society’s personally or socially preferable modes of conduct or states of existence that tend to persist over time

Answer 22

Values

Question 23

Norms and expectations about the way people do things in a specific country

Answer 23

Customs

Question 24

Law that makes it a crime for U.S. corporations to bribe an official of a foreign government or political party to obtain or retain business

Answer 24

Foreign corrupt practices act (1977)

Question 25

Things that represent ideas or concepts in a specific culture

Answer 25

Cultural symbols

Question 26

Retranslating a word or phrase back into the original language using a different interpreter to catch errors

Answer 26

Back translation

Question 27

A country's communications, transportation, financial, and distribution system

Answer 27

Economic infrastructure

Question 28

1. An assessment of the economic infrastructure in these countries 2. Measurement of consumer income in different counties 3. Recognition of a country's currency exchange rates

Answer 28

Economic considerations

Question 29

Price of one country's currency expressed in terms of another country's currency

Answer 29

Currency exchange rate

Question 30

Producing goods in one country and selling them in another country

Answer 30

Exporting

Question 31

A foreign company and local firm invest together to create a local business, sharing ownership, control, and the profits of the new company

Answer 31

Joint venture

Question 32

When a firm sells its domestically produced products in a foreign country through an intermediary

Answer 32

Indirect exporting

Question 33

When a firm sells its domestically produced products in a foreign country without intermediaries

Answer 33

Direct exporting

Question 34

A domestic firm investing in and owning a foreign subsidiary or division

Answer 34

Direct investment

Question 35

Firm sells a product in a foreign country below its domestic price or below its actual cost

Answer 35

Dumping

Question 36

Products are sold through unauthorized channels of distribution. (legal in U.S. and not legal in European union)

Answer 36

Gray market or Parallel importing