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Exam 7: Reaching Global Markets

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Question 21

Multiple Choice

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Hindustan Lever's initiative in India to provide start-up loans to women to buy stocks of products to sell to local villagers because it realized it could not sell to the rural poor in India unless it found ways to distribute its products such as soap,shampoos,and laundry detergents is an example of:

A) philanthropic lending
B) nanofinance
C) microfinance
D) loan-sharking

E) B) and D)
F) A) and C)

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Question 22

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Tricon was the restaurant division of PepsiCo until it was spun off in 1997.Since then Tricon has opened 6,000 KFC restaurants abroad.It has 158 in Indonesia and more than 500 restaurants in China.All are locally owned,and the owner pays a fee to Tricon.Tricon is engaged in:

A) direct exporting.
B) indirect exporting.
C) licensing.
D) contract manufacturing.

E) C) and D)
F) All of the above

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Question 23

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Companies located in Uruguay are able to trade with companies located in Argentina because of which agreement?

Briefly describe the World Trade Organization (WTO).

When Nestlé markets one of its products,Tu Cocina,via the web for the country of Peru because the country of Peru has similar needs as Nestlé's domestic customers,they are referred to as:

What is the international agreement that promotes economic integration around the Pacific Rim?

To encourage using locally-produced oil from the Gulf of Mexico,the United States government applies tax to Canadian-produced oil as it crosses the border.This tax is referred to a:

Concerned about the growing prevalence of English on the web,a French state institution founded in the 17^th century to maintain the purity of the language unveiled a dictionary of newly coined French equivalents to English Internet terms in 2000.This is symptomatic of the difficulties in doing business in France because in many situations,the business must be conducted in French.The French could be described as having:

Michael Porter has identified four key elements in a nation's competitive advantage.They are demand conditions; related and supporting industries; and company strategy,structure,and rivalry; and:

According to Michael Porter,in most cases a firm that succeeds in global markets has first succeeded in _____________ competition.

Coca-Cola and Pepsi-Cola standardize their marketing activities when there are cultural similarities and adapt them when cultures differ.These global marketing strategies indicate that Coca-Cola and Pepsi-Cola are examples of _____ firms.

Which industry in India represents an excellent opportunity for Canadian companies seeking to export their product?

What are the market entry strategy options available to a company seeking to enter the global marketplace? How do they relate to each other in terms of profit potential,risk,financial commitment required,and marketing control?

The new Motorola-Google phone,the 'Moto-X' is produced in a factory in the USA and then shipped to consumers both in the USA and in other countries.This process is referred to as:

What is the international agreement which includes Indonesia,Malaysia,Philippines,Singapore,Thailand,Brunei,Vietnam,Laos,Myanmar,and Cambodia?

Large private companies such as AT Kerney,Bain & Co.,and McKinsey,along with other public sectors,are most prominent in ___________ countries.

Changing a product in some way to make it more appropriate for a country's climate or preferences is an example of which type of product strategy?

Serologicals is a company that extracts antibodies from blood plasma.Those antibodies are used by Serologicals' customers to make drugs to treat rabies,to immunize against hepatitis,and to deal with blood Rh incompatibility in a pregnant woman.It markets its products to international markets the same way that it markets them in the U.S.Serologicals is an example of a(n) _____ firm.

The trade feedback effect is one argument for:

Two variations on licensing are: