Question 1

E-bay assists large companies such as Disney and IBM in setting up online "storefronts" to sell items for fixed prices in addition to conducing b-to-c auctions.

Accepted Answer

E-bay does assist large companies such as Disney and IBM in setting up online storefronts and also conducts business-to-consumer auctions.

Question 2

E-bay pioneered a form of online commerce known as p-to-p or peer-to-peer marketing whereby individual consumers market products to another individual.

Accepted Answer

E-bay was one of the first platforms to facilitate peer-to-peer transactions, allowing individuals to buy and sell goods directly to each other.

Question 3

Apple operates more than 300 retail stores in the United States, Canada, Japan, and the United Kingdom.Many stores feature a signature glass staircase that Apple cofounder and former CEO Steve Jobs helped design.

Accepted Answer

This statement is true. Apple operates over 300 retail stores in these countries and some of them do feature the signature glass staircase that Steve Jobs helped design.

Question 4

When Carrefour, Tesco, or Wal-Mart set up shop in developing countries, they provide customers with access to more products and lower prices than were available previously.This is an example of global retailing.

Accepted Answer

The statement is true as it describes the benefits of global retailing which involve providing access to more products and lower prices to customers in developing countries. Carrefour, Tesco, and Wal-Mart are examples of global retailers that expand their businesses internationally to reach more customers and increase their market share.

Question 5

Based on 2010 sales figures, Carrefour is the largest hypermarket in France.

Accepted Answer

According to 2010 sales figures, Carrefour was the largest hypermarket in France.

Question 6

Distribution channels for automobiles in Japan and the United States are similar in that most car buyers in both countries visit dealerships before making a purchase.

Accepted Answer

The answer of Distribution channels for automobiles in Japan and...

Question 7

Despite the fact that Tesco is the largest supermarket chain in the United Kingdom, it lags behind retailing giants Wal-Mart and Carrefour in terms of global presence.

Accepted Answer

Tesco primarily operates in the United Kingdom and a few other countries, while Wal-Mart and Carrefour have a much larger global presence.

Question 8

An exporter that is new to a particular market would do well to choose a middleman with a reputation for "cherry picking" products.

Accepted Answer

"Cherry picking" refers to the practice of selecting only the best or most profitable items from what is available, which might not be beneficial for a new exporter looking to establish a broad presence in a new market. A middleman with such a reputation might ignore less immediately profitable products, limiting the exporter's market exposure.

Question 9

In Asia, Western luxury goods marketers have long relied on independent distributors such as Hong Kong-based Fairton, whose local market knowledge and networks of stores are keys to success.

Accepted Answer

The statement is true. Western luxury goods marketers do rely on independent distributors such as Fairton in Asia, particularly in countries like China where local market knowledge and networks of stores are important for success.

Question 10

Nestlé is using an innovative approach to distribution in Brazil with a program of door-to-door selling in high-income neighborhoods.

Accepted Answer

Nestlé's door-to-door selling program in Brazil targets low-income neighborhoods, not high-income ones, to reach consumers who may not have easy access to retail stores.

Question 11

The close long-term relationships between auto salespersons and the Japanese people can be considered as a consumer version of the keiretsu system.

Accepted Answer

The keiretsu system in Japan refers to a network of closely aligned companies that have long-term relationships with each other. The close relationships between auto salespersons and Japanese consumers can also be considered as long-term relationships, leading to repeat business and a high level of trust, similar to the keiretsu system.

Question 12

When utilizing the services of a local independent distributor, management is well advised to yield control of marketing strategy to the distributor.

Accepted Answer

While local independent distributors can provide valuable insights and expertise on the local market, it is still important for management to retain control of the marketing strategy to ensure consistency with company goals and brand image. Collaboration and communication between management and the distributor can lead to a successful partnership.

Question 13

Distribution channels are systems that link manufacturers to customers.

Accepted Answer

Distribution channels are indeed systems that connect manufacturers to their customers, allowing them to reach a wider audience and increase sales.

Question 14

In Japan, the biggest barrier facing U.S.auto manufacturers is that half the cars that are sold each year are sold door-to-door.

Accepted Answer

The answer of In Japan, the biggest barrier facing U.S.auto...

Question 15

Channel strategy in a global marketing program must fit the company's competitive position and overall marketing objectives in each national market.

Accepted Answer

The channel strategy must be tailored to each national market, taking into account the company's competitive position and marketing objectives in that specific market. This allows for a more effective and relevant approach to reaching target consumers and achieving business goals.

Question 16

In Mexico, Proctor & Gamble operates stores serving single-use quantities at a relatively high per-use cost, which are known as "high-frequency" stores.

Accepted Answer

High-frequency stores in Mexico sell single-use or small quantities of products at a higher per-use cost, catering to consumers who prefer or can only afford to buy in smaller amounts.

Question 17

According to Harvard professor David Arnold, one of the guidelines for choosing a channel intermediary by a company is to select distributors rather than them selecting the company.

Accepted Answer

The answer of According to Harvard professor David Arnold, one...

Question 18

Nokia and Motorola are among the cell phone marketers that have opened branded stores in London and Moscow.

Accepted Answer

Nokia and Motorola have both opened branded stores in London and Moscow, as reported in numerous news articles and press releases.

Question 19

When utilizing the services of a local independent distributor, management is well advised to treat the distributor as a temporary market-entry vehicle.

Accepted Answer

Treating a local independent distributor as a long-term partner rather than a temporary solution can lead to stronger relationships, better market understanding, and more sustainable success in the new market.

Question 20

Kodak adopted a direct involvement approach in Japan by utilizing independent agents, distributors and retailers.

Accepted Answer

The answer of Kodak adopted a direct involvement approach in...

Quiz 12: Global Marketing Channels and Physical Distribution