Quiz 9: International Product and Brand Marketing
Business
Q 1Q 1
Which of the following factors is not a factor that complicates the task of setting prices in foreign markets?
A) Payment systems
B) Discounting programs
C) Currency types and value fluctuations
D) Methods of payment
E) Promotion cost
Free
Multiple Choice
E
Q 2Q 2
Which of the following three factors influence consumer price perceptions as discussed in the text?
A) Value considerations, distribution considerations, and emotional considerations
B) Value considerations, situational factors, and emotional considerations
C) Value considerations, situational factors, and distribution considerations
D) Situational factors, emotional considerations, and image considerations
E) Image considerations, situational factors, and distribution considerations
Free
Multiple Choice
B
Q 3Q 3
Which of the following is not a common pricing objective?
A) Profitability
B) Market share
C) Enticing new customers
D) Retaining current customers
E) Estimating brand awareness
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Multiple Choice
E
Q 4Q 4
Which of the following is not one of the pricing methods that may be used to help a firm reach its pricing goals?
A) Cost-based pricing
B) Demand/supply pricing
C) Competition-based pricing
D) Distribution-plus pricing
E) Profit-based pricing
Free
Multiple Choice
Q 5Q 5
If the fixed costs associated with a product is 80,000,000 KES (Kenya shilling),the price per unit is 10,000 KES,and the variable costs per unit is 6000 KES,then the break-even point would be:
A) 5000 units
B) 10,000 units
C) 15,000 units
D) 20,000 units
E) 25,000 units
Free
Multiple Choice
Q 6Q 6
Using a cost-plus pricing strategy,and given the following information,what would be the final unit selling price for a product if a manufacturer believes that it can sell 5000 units of a product and desires a margin of 18%? Assume total fixed costs = 50,000,000 Rp and total variable costs = 12,200,000 Rp.
A) 10,000 + 60 + 1810.8 = 11,870.80 Rp
B) 10,000 + 2440 + 1810.8 = 14,250.80 Rp
C) 10,000 + 2440 + 2239.2 = 14,679.20 Rp
D) 12,000 + 3600 + 12,440 = 28,040.00 Rp
E) 12,000 + 6000 + 12,440 = 30,440.00 Rp
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Multiple Choice
Q 7Q 7
Which pricing technique offers a straightforward pricing method that adds a standard markup to costs assigned to a product?
A) Cost-based pricing
B) Cost-plus pricing
C) Markup pricing
D) Demand-/supply-based pricing
E) Target ROI pricing
Free
Multiple Choice
Q 8Q 8
What reflects the intersection of the demand and supply curves?
A) Demand point
B) Break-even point
C) Equilibrium point
D) Supply-based point
E) Market intersection point
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Multiple Choice
Q 9Q 9
Which of the following reveals that consumers are not strongly affected by price?
A) Elastic demand
B) Inelastic demand
C) Market demand
D) Supply-based demand
E) Supply-market demand
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Multiple Choice
Q 10Q 10
What occurs when consumers are extremely price sensitive?
A) Highly elastic demand
B) Highly inelastic demand
C) Market equilibrium demand
D) Market-based demand
E) Price-based demand
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Multiple Choice
Q 11Q 11
If the percentage change in quantity demanded is 10% and the percentage change in price is 20%,what is the price elasticity?
A) 2
B) 1.5
C) 1
D) )5
E) )25
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Multiple Choice
Q 12Q 12
If the percentage change in quantity demanded is 20% and the percentage change in price is 10%,what is the price elasticity?
A) 2
B) 1.5
C) 1
D) )5
E) )25
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Multiple Choice
Q 13Q 13
A value below 1 indicates:
A) Inelastic demand
B) Unitary demand
C) Elastic demand
D) Perfect demand
E) Perfect elasticity
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Multiple Choice
Q 14Q 14
Big-box retailers such as Carrefour often price using which technique?
A) Below-industry-average pricing
B) At industry-average pricing
C) Above-industry-average pricing
D) Supplier-based pricing
E) Market equilibrium pricing
Free
Multiple Choice
Q 15Q 15
Which technique represents an attempt to recover start-up costs as quickly as possible?
A) Skimming pricing
B) Penetration pricing
C) Cost-plus pricing
D) Markup pricing
E) Cost-based pricing
Free
Multiple Choice
Q 16Q 16
By pricing products as high as the market would bear,Sony used which method when pricing its PlayStation consoles internationally?
A) Skimming pricing
B) Penetration pricing
C) Cost-plus pricing
D) Markup pricing
E) Cost-based pricing
Free
Multiple Choice
Q 17Q 17
What technique is used when an international marketer sets the lowest possible price in order to end a market?
A) Skimming pricing
B) Penetration pricing
C) Cost-plus pricing
D) Markup pricing
E) Cost-based pricing
Free
Multiple Choice
Q 18Q 18
By pricing items as low as possible,Zeebo,the low-cost,emerging-market gaming devise marketer,selected which strategy when it introduced its product into the Brazilian market?
A) Skimming pricing
B) Penetration pricing
C) Cost-plus pricing
D) Markup pricing
E) Cost-based pricing
Free
Multiple Choice
Q 19Q 19
Which pricing strategy makes it more difficult for the international marketer to recover start-up costs quickly?
A) Skimming pricing
B) Penetration pricing
C) Cost-plus pricing
D) Markup pricing
E) Cost-based pricing
Free
Multiple Choice
Q 20Q 20
Which of the following is a condition that favors the use of profit-based pricing in international markets?
A) The company operates in an oligopolistic environment.
B) The company does not seek to recover start-up costs quickly.
C) Prices are set to achieve a balance between demand and costs.
D) The company operates in a monopolistic environment.
E) Information on elasticity has been gathered.
Free
Multiple Choice
Q 21Q 21
Using a target ROI pricing strategy,and given the following information,what would be the final unit selling price for a product if a manufacturer invests $1,000,000 (U.S.)in a product with unit costs of $10 each,expected sales of 20,000 units,and has a desire to achieve 8% ROI?
A) $11
B) $12
C) $13
D) $14
E) $15
Free
Multiple Choice
Q 22Q 22
Using a target ROI pricing strategy,and given the following information,what would be the final unit selling price for a product if a manufacturer invests ₤2,000,000 (U.K.)in a product with unit costs of ₤20 each,expected sales of 10,000 units,and has a desire to achieve 6% ROI?
A) ₤24
B) ₤30
C) ₤32
D) ₤35
E) ₤42
Free
Multiple Choice
Q 23Q 23
Which of the following is not one of the major pricing discount methods used by international marketers?
A) Loss leaders
B) Seasonal discounts
C) Quantity discounts
D) Early-payment discount
E) Differentiation discounts
Free
Multiple Choice
Q 24Q 24
Which pricing technique relies on regular prices for other products in order for an overall profit to be realized?
A) Loss leader
B) Seasonal
C) Quantity
D) Early discount
E) Differentiation
Free
Multiple Choice
Q 25Q 25
Which term refers to the power to use goods and services in the satisfaction of wants and needs?
A) Capacity to buy
B) Capacity to use
C) Capacity to consume
D) Capacity to need
E) Capacity to want
Free
Multiple Choice
Q 26Q 26
Seasonal discounts are often associated with what kinds of industries in international marketing?
A) Manufacturing and producing
B) Financial and accounting
C) Medical and personal health
D) Tourism and hospitality
E) Distribution and logistics
Free
Multiple Choice
Q 27Q 27
Manufacturers most often offer quantity discounts to which groups?
A) Customers and consumers
B) Governments and affinity groups
C) Wholesalers and retailers
D) Buying groups and wholesale clubs
E) Loyalty groups and membership clubs
Free
Multiple Choice
Q 28Q 28
The phrase "2/10 net 30" reflects which of the following?
A) Early payment discount
B) Consumer club discount
C) Wholesale distribution discount
D) Prompt action discount
E) Accounting terms discount
Free
Multiple Choice
Q 29Q 29
A price discount provided to all countries of the Pacific Rim based on shipping costs represents what type of discount?
A) Early payment discount
B) Channel discount
C) Quantity-based discount
D) Seasonal discount
E) Loss leader discount
Free
Multiple Choice
Q 30Q 30
Which of the following factors is not included in the text as a factor that should be considered when changing prices in international markets?
A) Actions or reactions of competitors
B) Company status
C) Impact on brand image
D) Impact on revenues and gross margin
E) Impact on company reputation
Free
Multiple Choice
Q 31Q 31
The finding that it takes a price change of 10% in order for consumers to notice the change and to act is called which of the following?
A) Pavlov's Law
B) Skinner's Law
C) Madrid's Law
D) Weber's Law
E) Thomson's Law
Free
Multiple Choice
Q 32Q 32
In international markets,if an oligopoly sets prices at a uniform level,the members are likely to be found guilty of which of the following?
A) Loss leader pricing
B) Price setting
C) Collusion
D) Predatory pricing
E) Monopolization
Free
Multiple Choice
Q 33Q 33
Smaller companies in an international market can sometimes be forced out of the market if a competitor uses which of the following?
A) Loss leader pricing
B) Price setting
C) Predatory pricing
D) Price determination policy
E) Price discrimination
Free
Multiple Choice
Q 34Q 34
When an international marketer promotes one price but does not include hidden charges and add-ons,the company is guilty of which of the following?
A) Loss leader pricing
B) Price setting
C) Predatory pricing
D) Price discrimination
E) Deceptive pricing
Free
Multiple Choice
Q 35Q 35
The practice of selling goods in a foreign country at prices that are below cost is:
A) Price fixing
B) Price discrimination
C) Predatory pricing
D) Dumping
E) Pricing stabilizing
Free
Multiple Choice
Q 36Q 36
Which Indian company is the world's largest producer of steel?
A) Mottel Limited
B) Mittal Steel
C) Moffit Limited
D) Morlan Steel
E) Mittalle Limited
Free
Multiple Choice
Q 37Q 37
If Sony introduces a new television in Nigeria at a price below its production and shipping costs,in order to gain in-roads against local manufacturers,the company is guilty of:
A) Price fixing
B) Price discrimination
C) Predatory pricing
D) Dumping
E) Pricing stabilizing
Free
Multiple Choice
Q 38Q 38
Which of the following early payment terms would offer the smallest price reduction?
A) 1/10, net 20
B) 2/5, net 20
C) 2/4, net 30
D) 3/8, net 30
E) 3/10, net 30
Free
Multiple Choice
Q 39Q 39
Which of the following early payment discounts would offer the biggest overall price reduction?
A) 1/10, net 20
B) 1/20, net 40
C) 2/10, net 30
D) 2/10, net 40
E) 3/10, net 20
Free
Multiple Choice
Q 40Q 40
What kind of price discount in international markets takes the form of a price reduction associated with a holiday?
A) Loss leader
B) Predatory
C) Introductory
D) Promotional
E) Reduced
Free
Multiple Choice
Q 41Q 41
What kinds of packages match the needs of bottom-of-the-pyramid consumers well?
A) Family sized
B) Single serve
C) Multi-unit
D) Bulk
E) Containerized
Free
Multiple Choice
Q 42Q 42
What kinds of packages are much more prevalent in less-developed countries?
A) Family sized
B) Single serve
C) Multi-unit
D) Bulk
E) Containerized
Free
Multiple Choice
Q 43Q 43
A common measure of the profitability pricing objective includes all of the following except:
A) Total dollar profit
B) Return on investment
C) Contribution to overhead
D) Market share attained
E) Cost reduction
Free
Multiple Choice
Q 44Q 44
A common measure of the market share pricing objective includes all of the following except:
A) Product market share
B) Product line share
C) Company market share
D) Return on investment per share
E) Cost reduction
Free
Multiple Choice
Q 45Q 45
What represents the amount of items that are purchased at various price levels?
A) Demand
B) Supply
C) Equilibrium
D) Market intersection
E) Marketability
Free
Multiple Choice
Q 46Q 46
The equilibrium point reflects which of the following in an international market?
A) Market intersection
B) Intersection of supply and demand curves
C) Demand quotient
D) Supply/demand point
E) Market point
Free
Multiple Choice
Q 47Q 47
Which method of international pricing typically features a percentage as the margin of profit per good?
A) Cost plus
B) Cost based
C) Market equilibrium
D) Markup
E) Target ROI
Free
Multiple Choice
Q 48Q 48
Creating which of the following allows the international marketing team to see a visual portrayal of the relationships between price,quality,image,and/or other variables?
A) Pricing perceptual map
B) Pricing market share map
C) Pricing marketing map
D) Pricing image map
E) Pricing promotion map
Free
Multiple Choice
Q 49Q 49
What represents the first thoughts a buyer may have about the prices of a product and whether the amount represents a reasonable portrayal of value?
A) Cost considerations
B) Market considerations
C) Value considerations
D) Product considerations
E) Promotion considerations
Free
Multiple Choice
Q 50Q 50
Capacity to consume consists of all of the following except:
A) Wants
B) Goods and services available
C) Time and energy
D) Purchasing power
E) Consumer personality
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Multiple Choice
Q 51Q 51
Culture affects methods of setting prices,methods of bargaining,and perceptions regarding what price indicates.
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True False
Q 52Q 52
For products moving through an international market channel,the first price will be the one offered by a manufacturer to middlemen.
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True False
Q 53Q 53
The price perceptual map depicts companies or products along two dimensions,typically price and quality.
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True False
Q 54Q 54
Many goods and services contain emotional components that affect value judgments and influence purchase decisions.
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True False
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True False
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True False
Q 57Q 57
Cost-based pricing begins with a careful assessment of market conditions as they pertain to supply and demand.
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True False
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True False
Q 59Q 59
Cost-plus pricing involves setting a product's price based on fixed costs,variable costs,plus the desired profit margin for each item.
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True False
Q 60Q 60
Markup pricing is best suited for retailers and manufacturers that sell or produce a small number of products.
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True False
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True False
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True False
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True False
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True False
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True False
Q 66Q 66
International marketers realize that there is generally a great diversity in consumer demand in international markets.
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True False
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True False
Q 68Q 68
International big-box retailers,such as Vishal Mart and Carrefour,often follow below the industry-average pricing.
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True False
Q 69Q 69
Pricing against foreign competitors rarely occurs when international bids for contracts are made.
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True False
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True False
Q 71Q 71
Penetration pricing occurs when an international marketer sets prices as low as possible in an attempt to enter a market.
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True False
Q 72Q 72
Profit-based pricing may work well in situations in which prices are set to achieve a balance between demand and supply while generating optimal profits.
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True False
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True False
Q 74Q 74
In general,setting prices in international markets is less complex than setting them for domestic markets.
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True False
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True False
Q 76Q 76
Capacity to consume refers to the power to use goods and services in the satisfaction of human needs.
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True False
Q 77Q 77
Ensuring capacity to consume is an important part of marketing to bottom-of-the-pyramid consumers.
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True False
Q 78Q 78
According to the text,providing credit to bottom-of-the-pyramid consumers can be an effective international marketing technique.
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True False
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True False
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True False
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True False
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True False
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True False
Q 84Q 84
Informing business customers about potential price increases is an important part of establishing trust in international marketing relationships.
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True False
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True False
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True False
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True False
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True False
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True False
Q 90Q 90
Dumping accusations usually originate from a foreign government,not from foreign competitors.
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True False
Q 91Q 91
Discuss how value considerations,emotional factors,and situational factors affect price perceptions in international markets.Use an example of a product to illustrate your response.
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Not Answered
There is no answer for this question
Q 92Q 92
Describe the various types of pricing objectives as they pertain to international marketing.Discuss how an international marketer could use these objectives when developing prices for international markets.
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Not Answered
There is no answer for this question
Q 93Q 93
Describe the various types of international pricing discounts and how an international marketer could use each when developing an international marketing campaign.
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Not Answered
There is no answer for this question
Q 94Q 94
Discuss the major categories of ethical issues that international marketers sometimes face when they market their products in foreign countries.
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Not Answered
There is no answer for this question
Q 95Q 95
Draw and discuss a pricing perceptional map for a product of your choice that is marketed internationally.Use brands and/or companies of your choice.What conclusions can you make from the map? How could an international marketer use this information?
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Not Answered
There is no answer for this question