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Q:
In fall 2002, a new Broadway production of Puccini's La Boheme was set in Paris circa 1957. The stage set included billboards for luxury pen maker Montblanc and Piper-Heidsieck champagne. This is an example of:
A) consumer sales promotion.
B) sampling.
C) product placement.
D) trade sales promotion.
E) global awareness.
Q:
Product placement has reached the world of live theater and opera. The difference between product placement and other forms of promotion is:
A) ethical concerns are not taken into account.
B) viewers are being marketed to subliminally without their consent.
C) products are focused showing different angles.
D) prominent personalities add a message about the product.
E) sponsors are recognized for their contribution.
Q:
Which of the following allow shoppers to bid on everything from bobble heads to health-and-fitness equipment?
A) freemiums
B) shopbots
C) reverse auctions
D) online auctions
E) list prices
Q:
One of the issues facing advertisers is which medium or media to use when communicating with global target markets. Discuss how these media differ from country to country, giving examples.
Q:
On the Internet, price can easily be adjusted to meet changes in the marketplace. This is called ________.
A) captive pricing
B) dynamic pricing
C) basing-point pricing
D) price bundling
E) freemiums
Q:
Much academic research has been devoted to the impact of culture on advertising. Researcher Tamotsu Kishii identified seven characteristics that distinguish between Japanese and American creative strategy. Briefly describe those characteristics.
Q:
Chinese authorities ratified the WHO's Framework Convention on Tobacco Controls; which means:
A) Chinese TV can show tobacco ads only after midnight.
B) tobacco companies cannot show ads on TV but can sponsor sports events.
C) all forms of tobacco promotion and sponsorships will be phased out.
D) tobacco companies can use sponsorships of health and sporting events.
E) tobacco companies can sponsor China's national soccer tournament.
Q:
Food is a product category most likely to exhibit cultural sensitivity. Using Heinz ketchup as an example, discuss how the company has used its advertising taking into account cultural sensitivities in different parts of the world.
Q:
How do consumers benefit from price bundling? Give an example of price bundling.
Q:
Worldwide spending on outdoor advertising amounts to about ________ of total ad spending.
A) 1%
B) 2%
C) 4%
D) 6%
E) 10%
Q:
Compare F.O.B. origin pricing and F.O.B. delivered pricing.
Q:
Considering the fact that the "message" is at the heart of advertising, discuss how creative strategy and different types of appeals can be created in global advertising.
Q:
A ban on billboards in Brazil meant they had to come down, including transit ads. Denied access to traditional outdoor advertising, companies devised a number of alternative ways to communicate with prospective customers. These ways included all of the following except:
A) Citibank used the color blue in much of its advertising.
B) ads were placed indoors in elevators.
C) ads were placed in rest rooms and other indoor traffic areas.
D) ads were placed on buses.
E) ads were placed using social media or online channels.
Q:
What issues must be considered in selecting an advertising agency for global advertising?
Q:
Traditional support media include:
A) indoor posters.
B) billboards.
C) newspapers.
D) magazines.
E) catalogs.
Q:
Cellular phone service providers typically offer customers a set number of minutes for a monthly fee plus a per-minute rate for extra phone usage. What is the pricing strategy being implemented by these cellular phone service providers?
Q:
Explain the concept of trial pricing. Why would a retailer implement this pricing strategy?
Q:
Direct marketing and mass marketing are becoming a very popular method for communicating with consumers. Giving reasons for their worldwide popularity, show the differences between direct and mass marketing.
Q:
There is an ongoing debate between "standardization" versus "adaptation" pertaining to global advertising. Explain how different sides of the arguments fit into the global context.
Q:
Industry observers expect the popularity of home shopping to decrease during the next few years as interactive television technology is introduced into more households.
Q:
A global company that has the ability to successfully transform a domestic campaign into a worldwide one or to create a new global campaign from the ground up possesses a critical marketing advantage. Explain this statement in light of the global advertising.
Q:
When Top-Flite introduced its Strata golf balls with a new dimple design and more solid core for better flight with metal clubs, the price was three times that of regular balls. Pro shops still could not keep them in stock. What is the pricing strategy implemented by Top-Flite, and why did the company choose this strategy?
Q:
In developing countries, such as Ghana, the best way to communicate with market segments may be through:
A) mass media.
B) written word.
C) magazine ads.
D) TV ads.
E) dance, songs, and storytelling.
Q:
How does the airline industry implement the yield management pricing strategy?
Q:
In Hong Kong and Singapore, efficient postal services, highly educated populations, wide use of credit cards, and high per capita income are attracting the attention of catalog marketers.
Q:
Explain the concept of price bundling. Why would a retailer implement this pricing strategy? Give one example of this strategy being implemented.
Q:
Following the economic crisis in Asia, many companies in that region have turned to direct mail in order to save costs.
Q:
A company that is ________ in its approach to public relations will extend home-country PR activities into host countries.
A) regiocentric
B) polycentric
C) ethnocentric
D) domestic
E) hostile
Q:
Companies bringing out a new product can choose between three broad strategies: a skimming price, penetration pricing, and trial pricing. Distinguish among the three.
Q:
On a per capita basis, German consumers are world-leader mail-order shoppers.
Q:
China's ongoing trade-related friction with the United States highlights the need for:
A) a better distribution system.
B) a better PR effort.
C) sales promotion.
D) a better transportation system.
E) pattern advertising.
Q:
A company adopting a(n) ________ approach to worldwide PR activities gives the host-country practitioner maximum leeway to incorporate local customs and practices into the PR effort.
A) ethnocentric
B) regiocentric
C) local
D) polycentric
E) publicity
Q:
What are the advantages and disadvantages of using demand-based pricing?
Q:
Direct marketing does not work well as a global marketing tool because it is not well suited to the task of addressing cultural differences among consumers.
Q:
Worldwide, the popularity of direct marketing has been steadily decreasing in recent years.
Q:
Which of the following most accurately describes the state of global public relations (PR) today?
A) Expenditures on PR are dropping.
B) Expenditures on PR are increasing.
C) PR practices are standardized worldwide.
D) PR is not important in emerging markets like India.
E) Foreign investments are increasing.
Q:
When a major moving van company sells accessory products (boxes, bubble wrap, etc.) that must be used in moving a household's furniture, the company is practicing captive pricing.
Q:
Interactive television (ITV) allows viewers to see an ad in its entirety by pressing a remote button; to order products from home-shopping channels; or choose different camera angles, such as for sporting events. Comments by James Pennefather, brand manager for Smirnoff, UK, based on comparison of traditional TV ads to ITV features included all of the following except:
A) "it allows viewers to interact with programming."
B) "it is a lot more unproven."
C) "it needs further testing."
D) "it is a calculated risk."
E) "it may or may not succeed."
Q:
Captive pricing is illegal.
Q:
Even in the face of such tough and growing competition, Adidas still enjoys high brand loyalty among older Europeans. The company recruits young people and pays them to wear Adidas shoes in public. This is an example of:
A) local advertising.
B) pattern advertising.
C) global advertising.
D) advocacy advertising.
E) image advertising.
Q:
Industry observers expect the popularity of home shopping to increase during the next few years due to the:
A) formation of European Union.
B) economic development in India.
C) introduction of interactive television.
D) introduction of iPhone.
E) introduction of TV shops.
Q:
Suicides by employees at Chinese supplier Foxconn Technologies caused negative publicity affecting:
A) Sony.
B) Apple.
C) Google.
D) Toyota.
E) Nike.
Q:
The Value Meal Deal at a fast food restaurant in which you get a sandwich, fries, and a drink for one price is an example of price bundling.
Q:
Chinese direct-response television has learned that there are many obstacles that still need to be overcome, which include all of the following except:
A) consumers' savings rate is very low.
B) a limited number of private telephones.
C) low penetration of credit cards.
D) delivery logistics in Beijing.
E) delivery logistics in Shanghai.
Q:
Japan's Fuji Photo Film asked its advertising agency to develop an advocacy campaign for the United States targeted to appeal both to Walmart and to its customers. This is an example of:
A) local advertising.
B) pattern advertising.
C) global advertising.
D) advocacy advertising.
E) image advertising.
Q:
Penetration pricing is the opposite of skimming pricing.
Q:
Thomas Burke, an executive at Saatchi & Saatchi, is quoted as saying ________ are "the most powerful form of advertising ever created."
A) corporate advocacy ads
B) infomercials
C) banner ads on the Internet
D) direct mail campaigns
E) catalog sales
Q:
Fires and collapsed buildings at garment factories in Bangladesh revived concerns about the global supply chain and the human cost of low-priced goods. This caused ________ for Walmart Corporation in the United States.
A) pricing problems
B) distribution problems
C) sales promotion problems
D) public relations problems
E) advertising problems
Q:
A skimming price is typically used when the company introducing a new product anticipates other competitors will enter the market quickly.
Q:
________ is a form of paid television programming in which a particular product is demonstrated, explained, and offered for sale to viewers who call a toll-free number shown on the screen.
A) Teleshopping
B) Infomercials
C) Interactive television
D) Magalog
E) Groupon
Q:
Market-skimming is a more popular strategy for pricing new products, while market-penetration is a more popular strategy for pricing products that are more advanced in the product life cycle.
Q:
Fires caused by faulty lithium-ion batteries on the new 787 Dreamliner resulted in all aircraft being grounded until the problem could be resolved caused ________ for Boeing Corporation in the United States.
A) pricing problems
B) distribution problems
C) sales promotion problems
D) public relations problems
E) advertising problems
Q:
In Hong Kong and Singapore, Western catalogers are finding it easy to market because of all of the following reasons except:
A) efficient postal services.
B) highly educated populations.
C) wide use of credit cards.
D) few mail-order companies.
E) high per capita income.
Q:
Value pricing is the opposite of cost-based pricing.
Q:
What do Ford Motor Company, Coca-Cola, Nike, and McDonald's all have in common?
A) They are all consumer packaged-goods companies.
B) They all have foreign CEOs.
C) They have all received a great deal of negative publicity in recent years.
D) They all rely exclusively on TV advertising.
E) They spend more in advertising in foreign markets than home markets.
Q:
The term magalog is used to describe which communication medium?
A) direct mail
B) Groupons
C) coupons
D) catalogs
E) infomercials
Q:
Consumer surveys are often important to marketers using demand-based pricing.
Q:
Generally speaking, a company has little control over media. To compensate for this lack of control, many companies utilize:
A) image advertising.
B) advocacy advertising.
C) corporate advertising.
D) TV advertising.
E) radio advertising.
Q:
Which country or region offers direct marketers the advantage of a well-developed mailing list industry?
A) the United States
B) Japan
C) Western Europe
D) Latin America
E) South Korea
Q:
One task of the ________ department is to generate nonpaid forms of communication to foster goodwill among customers and others.
A) sales promotion
B) global marketing
C) headquarters
D) public relations
E) advertising
Q:
The simplest pricing method is break-even pricing: adding a standard markup to the cost of the product.
Q:
Which of the following is not a useful guideline for U.S.-based direct marketers wishing to reach global customers?
A) Do not treat prospects as though they are Americans.
B) Do not automatically assume that a direct-mail campaign that works in one country will work in another country.
C) Do not assume that all Europeans are similar in their tastes and wants.
D) Customers should be able to return products to an address in their local country market.
E) Focus on all countries included in the European Union.
Q:
Which promotional mix element is most closely associated with activities designed to foster goodwill and understanding with various constituents both inside and outside the company?
A) personal selling
B) advertising
C) public relations
D) sales promotion
E) publicity
Q:
Cost-based pricing considers factors such as the nature of the target market, demand, competition, and the product life cycle.
Q:
Which of the following environmental characteristics affects use of direct marketing in Europe?
A) the European Commission's concern about privacy
B) high postal rates in several European countries
C) industries in Europe are still developing complete mailing lists
D) linguistic, cultural, and regional diversity
E) all of the above
Q:
U.S. advertisements contain more ________ information, and are more likely to include comparative appeals than Arabic ads.
A) people
B) process
C) price
D) sex
E) context
Q:
Manufacturers of which of the following would be most likely to use freight absorption pricing?
A) chocolate candy
B) laptop computers
C) furniture polish
D) feline flea collars
E) repair parts for vacuum cleaners
Q:
Which of the following isnot characteristic of mass marketing?
A) Product benefits do not typically include home delivery.
B) Advertising is used to generate an immediate inquiry or purchase.
C) Repetition of ads is the key to awareness and remembering.
D) The customer perceives relatively little risk.
E) Purchase action is deferred.
Q:
Mach 3 razor blades must be used in the Mach 3 razor. Which type of pricing is most likely used for the razor blades?
A) penetration
B) value
C) captive
D) two-part
E) basing-point
Q:
In which country are global marketers likely to encounter the most restrictions on advertising?
A) the United States
B) Japan
C) Saudi Arabia
D) Russia
E) Germany
Q:
Which of the following is not characteristic of direct marketing?
A) A marketer relinquishes control of product when it is turned over to channel intermediaries.
B) Advertising serves to generate an immediate inquiry or purchase.
C) Repetition is used in individual advertisements.
D) The customer perceives high risk.
E) Direct response advertising is used.
Q:
Johnson Boats wants to introduce a new model of boat into mature markets in highly developed countries with the goal of quickly gaining mass-market share. As a consultant, you should recommend a ________ pricing strategy.
A) skim
B) penetration
C) price leadership
D) cost-plus
E) captive
Q:
The United States and ________ are the two top-ranked countries in terms of ad spending across all measured media in 2012.
A) the United Kingdom
B) France
C) Canada
D) Japan
E) Germany
Q:
Which of the following is true about advertising expenditures in Germany and Brazil?
A) Television is the leading medium in both Germany and Brazil.
B) Newspapers are the leading medium in both Germany and Brazil.
C) Television is the leading medium in Brazil; newspapers are the leading medium in Germany.
D) Television is the leading medium in Germany; newspapers are the leading medium in Brazil.
E) Magazines are the leading medium in Brazil and Germany.
Q:
When a beverage maker came out with a new drink and priced it at half price for a month to attract buyers, the company was using a(n) ________ strategy.
A) penetration pricing
B) skim pricing
C) everyday low price
D) trial pricing
E) price leadership
Q:
Basic issues for companies that sell globally are the composition of the sales force in terms of nationality. List choices that are available to companies for selecting a sales force. Outline advantages and disadvantages of each choice.
Q:
In Southern China, McDonald's is careful not to advertise prices with multiple occurrences of the number four because:
A) prices ending in odd numbers are preferred in China.
B) there is no number four in the Chinese language.
C) the word four is pronounced similar to the word death in Cantonese.
D) multiple occurrences are considered as unlucky in China.
E) prices are not included on menus in China.
Q:
The Strategic/Consultative Selling Model has gained wide acceptance in the United States. Briefly describe what the model consists of and how it can serve as a checklist for sales personnel.
Q:
Valeo Fashions has just introduced a new line of fashion dresses for teens. The line will initially enter the market at high prices in a ________ strategy.
A) penetration pricing
B) skimming pricing
C) price leadership
D) yield management pricing
E) value pricing
Q:
The words that are the spoken or written communication elements in advertisements are known as:
A) copy.
B) manuscript.
C) idea.
D) script.
E) writings.