Quiz 11: International Pricing

Which of the following is a marketing system that promotes the physical flow and ownership of products and services from producer to consumer? A) International distribution system B) International logistics channel C) Global marketing system D) International marketing system E) International marketing channel

The process by which products and services flow between international producers,companies that act as intermediaries,and consumers is which of the following? A) International distribution B) International logistics channel C) Global marketing system D) International marketing system E) International marketing channels

Which set of activities focuses on bringing a product or supplies into a company? A) Intermediary activities B) Logistical activities C) Downstream activities D) Distribution activities E) Upstream activities

Which set of activities concentrate on sending a product or supplies to another channel member,usually for resale? A) Intermediary activities B) Logistical activities C) Downstream activities D) Distribution activities E) Upstream activities

International marketing channel decisions include all of the following except: A) Distribution intensity B) Selection of distribution channels C) Managing distribution channels D) Physical distribution E) Distribution positioning

Which of the following is an international marketing strategy in which products are distributed through as many wholesalers and retailers as possible in a particular market? A) Exclusive distribution B) Selective distribution C) Intensive distribution D) Extensive distribution E) Dual distribution

When a company uses a strategy of using only a limited number of channel intermediaries in the international program,they are using which of the following? A) Exclusive distribution B) Selective distribution C) Intensive distribution D) Extensive distribution E) Dual distribution

Which of the following is an international marketing strategy that focuses on offering products through only one wholesaler or retailer in a particular market area? A) Exclusive distribution B) Selective distribution C) Intensive distribution D) Extensive distribution E) Dual distribution

French luxury-goods manufacturer,LVMH,markets products worldwide by utilizing what kind of distribution strategy,emphasizing one retailer per market? A) Exclusive distribution B) Selective distribution C) Intensive distribution D) Extensive distribution E) Dual distribution

Which of the following is factor that affects distribution decisions in foreign markets that is not always a consideration in home country markets? A) Price B) Quality C) Competition D) Infrastructure E) Price stability

Convenience goods tend to be distributed using which form? A) Exclusive B) Extensive C) Selective D) Intensive E) Worldwide

What type of marketing system relies on direct selling of a product or service to consumers or end users without the use of an intermediary? A) International marketing system B) Direct marketing channel C) Indirect marketing channel D) Intermediary marketing channel E) Market-based channel

Which of the following strategies allows a firm greater control of the image of a brand? A) Direct marketing B) Indirect marketing C) Market-based distribution D) Intermediary-based distribution E) Market-based channeling

When a company utilizes one or more intermediaries in a marketing channel,it is using which of the following? A) International marketing systems B) Direct marketing channels C) Indirect marketing channels D) Intermediary marketing channels E) Market-based channels

Which of the following types of middlemen do not take title or ownership of the products that they handle? A) Merchant middlemen B) Agent middlemen C) Registered middlemen D) Caption middlemen E) Certified middlemen

Which of the following types of middlemen assume title and ownership of products that they market? A) Merchant middlemen B) Agent middlemen C) Registered middlemen D) Caption middlemen E) Certified middlemen

Which of the following types of middlemen purchase products from producers in one country and sells them to established distribution system members in another country? A) Import middlemen B) Merchant importers C) Agent importers D) Import jobbers E) Certified middlemen

When a Japanese middleman company purchases towels from a company in England and resells them,the Japanese company is a(n): A) Import middleman B) Agent middleman C) Merchant middleman D) Trade middleman E) Related middleman

A French ticket company that represents tickets for a musical concert in Spain without ever buying the seats is a(n): A) Import middleman B) Service middleman C) Merchant middleman D) Agent middleman E) Trade middleman

Which of the following provide shipping,documentation,customs clearance and brokerage,consolidation,storage,and insurance for international marketers? A) Freight forwarders B) Transportation companies C) Customs brokers D) Import jobbers E) Certified middlemen

Which of the following are firms that specialize in moving products through various modes of transportation? A) Freight forwarders B) Transportation companies C) Customs brokers D) Import jobbers E) Certified middlemen

Which of the following are firms that represent importers/exporters in dealings with customs,including obtaining and submitting all documents for clearing merchandise through customs,arranging inland transportation,and paying all charges related to these functions? A) Freight forwarders B) Transportation companies C) Customs brokers D) Agent middlemen E) Certified middlemen

Which of the following terms refers to the number of intermediaries that a product goes through before reaching the consumer? A) Channel length B) Channel width C) Channel stability D) Channel breadth E) Channel depth

Products that are intensively distributed internationally tend to have which types of international marketing channels? A) Shorter B) Wider C) Longer D) Fewer E) More

Products that are exclusively distributed internationally tend to have which type of international marketing channels? A) Shorter B) Wider C) Longer D) Fewer E) More

Which of the following correctly describes how distribution channels are likely to evolve as the global economy becomes increasingly integrated? A) They will become less complex. B) They will become less similar. C) They will become increasingly complex. D) They will become increasingly similar. E) They will become obsolete.

Which of the following is not an international distribution system selection factor? A) Type of product B) Price C) Desired product position D) Perceptual map placement E) Target market

Which of the following is not a key element involved with managing international distribution channels? A) Establishing international channel strategies B) Selecting intermediary arrangements C) Making channel arrangements and choosing channel partners D) Managing channel power E) Promoting market acceptance

Which of the following means that a producer concentrates on stimulating consumer demand through extensive advertising and consumer promotions? A) Push strategy B) Pull strategy C) Intermediary strategy D) Consumer-based strategy E) Promotions-based strategy

Which of the following means that a producer concentrates on providing intermediaries with incentives that will lead them to cooperate in marketing a product? A) Push strategy B) Pull strategy C) Intermediary strategy D) Consumer-based strategy E) Promotions-based strategy

Which of the following strategies can overcome intermediary resistance to foreign products? A) Push B) Pull C) Intermediary D) Consumer based E) Promotion based

Which of the following strategies can increase consumer demand by making an item seem desirable? A) Push B) Pull C) Intermediary D) Consumer based E) Promotion based

What type of integration means that one member of a market channel merges with or acquires another intermediary? A) Vertical B) Horizontal C) Intermediate D) Channel based E) Market based

What type of vertical integration involves manufacturers establishing wholesale distribution systems or company-owned retail outlets? A) Forward B) Backward C) Integral D) Intermediate E) Market based

What type of vertical integration occurs when a marketer develops or acquires its own wholesale distribution system? A) Forward B) Backward C) Integral D) Intermediate E) Market based

Which of the following is legal but violates most all international marketing channel agreements? A) Forward vertical integration arrangements B) Backward vertical integration arrangements C) Gray markets D) Decentralized integration arrangements E) Centralized integration arrangements

The practice of distributing products through distribution channels that were not authorized by the marketer of the product is which of the following? A) Gray marketing B) Forward integrating C) Backward integrating D) Import marketing E) Centralized integration

International distributors begin to sell a product in either unauthorized countries or through unauthorized retailers when they engage in which of the following? A) Forward integration B) Backward integration C) Import marketing D) Parallel importing E) Closed path importing

Which of the following consists of a binding contract that identifies all the tasks to be performed by each channel member with regard to production,delivery,sorting,pricing,and promotional support? A) Contractual channel arrangement B) Contractual distribution agreement C) Contractual logistics agreement D) Channel structure agreement E) Channel captain agreement

Which of the following are organizations with relationships that help move products from producers to consumers? A) Agent middlemen B) Merchant middlemen C) Channel captains D) Channel partners E) Logistics systems

If two retailers that carry the same product have a conflict,it is which of the following? A) Vertical channel conflict B) Forward integration conflict C) Horizontal channel conflict D) Backward channel conflict E) Intermediary conflict

Which occurs when there are disputes between channel members at different levels? A) Vertical channel conflict B) Forward integration conflict C) Horizontal channel conflict D) Backward channel conflict E) Intermediary conflict

Which of the following is not a source of channel member power? A) Legitimate B) Coercive C) Referent D) Captain E) Expert

As discussed in the text,M4 Science Corporation recently signed an international distribution agreement with Fukuda Corporation of Japan.The power that M4 has in this agreement is referred to as which of the following? A) Legitimate B) Coercive C) Referent D) Captain E) Expert

The knowledge that Al Tayer Group has about the industry represents a form of which kind of channel power? A) Legitimate B) Coercive C) Referent D) Captain E) Expert

Which of the following reflects a desire of channel members to continue channel relationships? A) Marketing channel trust B) Marketing channel commitment C) Marketing channel agreement D) Marketing channel coercion E) Marketing channel reliance

Which of the following is not a stage in the international negotiation process? A) Preparation B) Relationship building C) Information gathering D) Qualifying E) Closing the deal

An important part of closing a negotiated deal includes which of the following? A) BATNA B) BATNI C) BOTNI D) BOTNA E) BATNO

Which of the following is not a feature of a relationship-oriented culture as it pertains to international negotiations? A) Focus on increasing trust B) Focus on competition C) High context D) Authority and position play key roles E) Collectivism

The functions of international marketing channel members include all of the following except: A) Researching market needs B) Promoting products C) Fulfilling order-taking duties D) Communicating with other channel members E) Monitor IMC initiatives

An international marketing channel consists of the marketing system that promotes the physical flow and ownership of products and services from producer to consumer.

International distribution is the process by which products and services flow between producers,companies that act as intermediaries,and consumers,and that includes the transfer of ownership.

Downstream activities focus on bringing a product or supplies into a company.

Upstream activities concentrate on sending a product or supplies to another channel member,usually for resale.

Distribution intensity refers to the number of intermediaries that carry a product in a market.

Distribution intensity refers to the total number of products that a producer sends through a marketing channel.

Intensive distribution is an international marketing strategy in which products are distributed through as many wholesalers and retailers as possible.

When a company uses on a single channel member for distributing its product,it is using selective distribution.

Exclusive distribution is an international marketing strategy that focuses on offering products through only one wholesaler or retailer in a particular market area.

Prestigious products are often distributed with intensive distribution strategies.

International marketers consider business precedent,local conditions,the availability of intermediaries,and managerial preference when selecting distribution strategies.

International marketers use direct strategies when they sell a product directly to their customers without the use of intermediaries.

International marketers use indirect strategies when they sell a product directly to their customers without the use of intermediaries.

In an international context,agent middlemen take title or ownership of products.

In an international context,merchant middlemen take title and ownership of products.

Trading companies are rare in the Pacific Rim.

The chaebols of South Korea are similar in many ways to the Japanese keiretsus.

A freight forwarder provides shipping,documentation,customs clearance and brokerage,consolidation,storage,and insurance for international marketers.

International marketing channels differ significantly in both length and complexity.

Japanese consumers make few trips to retailers which mean numerous large retail stores exist in the country.

International distribution system selection factors include type of product,price,competition,brand image,and target market considerations.

Political,geographical,economic,and cultural differences influence international distribution decisions.

International distribution decisions are largely impacted by country infrastructure development.

A pull strategy focuses on providing intermediaries with incentives that will lead them to cooperate in marketing an international product.

A push strategy means that a producer concentrates on stimulating consumer demand through extensive advertising and consumer promotions.

International marketers usually select push or pull strategies,but they rarely use both.

Vertical integration means that one member of a market channel merges with or acquires another intermediary.

The Spanish clothing retail chain Zara uses a backward integration strategy as it produces many of its products in-house by producing its own products.

Horizontal integration exists when a company acquires or merges with another company at the same level of the distribution channel.

Parallel importing is a gray market process in international marketing.

Channel captains coordinate the marketing tasks provided by channel members.

Two major types of channel conflict are horizontal and vertical conflict.

Power bases in international marketing channels include legitimate,referent,expert,reward,and cooperative.

The negotiation process as it applies to international marketing begins with preparation for negotiations and ends with closing a deal.

Negotiatiors often plan for what is known as "BATNA," or the best alternative to a negotiated agreement.

Hofstede's cultural dimensions play an important role in international negotiations.

Performing market research duties is not a typical function provided by international marketing channel members.

Discrepancies of assortment include sorting out,accumulating,allocating,and assorting.

A letter of credit is issued by a producer to a customer to indicate how much credit is available on a particular account.

International marketing channel structure is impacted by cost,coordination,coverage,cooperation,and control issues.

List and describe the various marketing channel decisions that are discussed in the text.Use an example of an international marketing channel of your choice to discuss your responses.

Describe what is meant by intensive distribution,selective distribution,and exclusive distribution.Use examples of products that are marketed internationally to illustrate each of these concepts.

List and describe the key elements of managing international distribution channels as discussed in the text.Illustrate how each of these elements affects international distribution decisions.

Discuss what is meant by a gray market.How do gray markets affect international marketing practices?

Discuss the various forms of channel member power as described in the text.Provide an example of each form and how it relates to international marketing channel management.