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1、Chapter 12Global Placement and Distribution ChannelsMultiple Choice Questions1 Lorenzo is assessing the internal factors that impact his channel development in the Middle East. Among other issues, he is consideringA market penetration objectives and the financial strength of his firmB localregulatio

2、nsC consumer shopping habits and market sizeD the stage of the product s life cycle562 Adeena is finalizing her distribution strategy in Indonesia, and is developing statistics regarding local regulations, the competitive climate, and consumer shopping habits there. Adeena is assessingA both interna

3、l and external factorsB the stage of the product life cycleC external factorsD internalfactorsTrue / False Questions3 Choosing indirect export as an international market entry mode will provide complete control of the foreign marketing strategy. True False4 Strategic alliances and franchising agreem

4、ents allow constant monitoring of sales activities abroad.True FalseMultiple Choice Questions5 In Europe, products such as milk, snack foods, and cigarettes are purchased with high frequency, and found in almost every possible outlet. The distribution strategy used for these types of items would beA

5、 spe cialtyB excl usiveC sel ectiveD int ensive6 High end kitchen cookware manufacturer LeCreuset s p roducts arewidely available through specialized retailers such as Bed, Bath and Beyond, and can also be found at department store chains such as Macys. However, the product is not heavily distribute

6、d through other types of retailers such as discount stores. LeCreuset s distributionstrategy would be considered A intensiveB sel ectiveC excl usiveDd ual7 In an exclusive distribution strategy,A only a limited number of retailers have the right to sell products . in their specific territoriesB prod

7、uct is made available exclusively through. online salesC competitive products are not allowed to be sold in . the same storeD products are sold in every available. distribution outlet8 Rolex watches employs a(n) distributionstrategy.Al . imitedB sel . ectiveC int . ensiveD excl . usive9 Beechwood Gu

8、ms has identified a high market penetration as one of its key objectives in pursuing the market in Russia. Accordingly, it will require a(n) distribution strategy, and a financial investment.A selective,. moderateB exclusive,. minimalC intensive. , largeD intensive,. minimalTrue / False Questions1 T

9、he intimacy of distributor relationships is more intense as the0. complexity of the product increases. True FalseMultiple Choice Questions1 Mary Kay, Amway, and Avon lost significant sales in China due to the1. nature of their distribution network and the environment.A sociocu. lturalB legal/reg. ul

10、atoryC technol. ogicalD econ. omicTrue / False Questions1 The type of distribution outlets used for a specific product in2. multiple foreign markets is one factor that is easily standardized. True False1 The stage of the product life cycle in which your product is3. currently operating is one consid

11、eration in distribution strategy development. True FalseMultiple Choice Questions1 In Yemen, consumer products are primarily distributed via small,4. often mobil retail kiosks situated in a local souk, or town marketplace. Residential luxuries such as refrigerators are not as readily available, so f

12、ood and other items are purchased on a daily basis. This scenario speaks to the dimensions of and whichmust be considered when establishing a foreign market distribution strategy.A consumer shopping habits, outlet preferencesB market size, consumer distributionC life cycle stage, regulationsD econom

13、ics,educationTrue / False Questions1 Procter and Gamble s venture into rural Chinese consumer products5. distribution has not produced satisfactory results for thefirm. True False1 In a growing economy it is expected that retail and wholesale6. institutions becomes larger and more specialized, while

14、 less efficient intermediaries exit the market. True FalseMultiple Choice Questions1 When Greatlands Beer salespeople sell their products to consumers at7. holiday events and fairs across the ., they are employing this type of distribution.A int . ensiveB business to. businessC in. directDd. irec t1

15、 The food brokers and supermarkets who sell Mertensen s salt to the8. consumer are classified as A distribution centersB wholes alersC intermed iariesD principals1 The number of levels and types of intermediaries which perform some9. work to bring the product to the final user defines distribution c

16、hannel .Am ixB br eadthCw idthDl ength2 If Wendy is assessing her distribution network on the basis of the0. types of retailers to whom she sells; for example, convenience stores, department stores, and discount outlets, she is analyzing channelAwidthBlengthC direc tnessD standardi zation2 Invotech

17、sells the latest in large scale printing equipment to1. wallpaper producers, who depend on the firm for continuous service and technical support. Invotechs best option for distribution involvesA direct sales through an internal sales forceB indirect sales involving distributors and retailersthCree-t

18、iered distributionD indirect sales involving distributorsTrue / False Questions2 Online purchases are typically confined to products like books and2. airline tickets. True FalseMultiple Choice Questions2 Intermediaries perform all of these functionsexcept3. .A after-sales . serviceBs. ellingC produc

19、t. developmentD prom. otion2 The benefits of using intermediaries in foreign markets include all4. of these except .A increased control of pricing policy at various. channel stagesB reduction in the number of. exchangesC reduction of. cultural barriersD simplification of the. selling process5.A hori

20、zontalBVMSC When intermediaries are independent and they act as if they are running a separate business they are participating in a distribution channel.D ve rtical2 Wal-Mart stores depend in large part on their suppliers to monitor6. Wal- Mart s inventory levels at their various distribution center

21、s. When supplies of a particular product are diminished, it is up to the suppliers themselves to place reorders on behalf of Wal-Mart. This arrangement would reflect the cooperation found in .A diagonal marketing. systemB traditional. marketing systemC horizontal marketing. systemD vertical marketin

22、g. system2 Royal Crest Soda bottlers around the world, under contract with7. Royal Crest, are charged with the compounding of ingredients to produce Royal Crest products and subsequently distribute the finished goods. These bottlers are representative of VMS.A corp orateB contr actualC administ rati

23、veD integ ration2 When manufacturers create sales branches and offices that perform8. the wholesale function, they are creating a(n) VMSsystem.A corp. orateB contr. actualC administ. rativeD arms. length2 Hampton Road is an exclusive manufacturer and marketer of luxury,9. high end luggage and travel

24、 accessories. As it expands to the Indian market, it is not satisfied with the distribution partners available there, fearing that they do not exhibit the right image for the brand. Hampton Road should consider .A direct-to-. consumer salesB contract. manufacturingC forward integration by company-ow

25、ned. storesD eliminating plans to. market in India3 Hernando works for Global Industrial Sales Corporation. He sells a0. large number of diverse but related product lines for manufacturers that produce construction-related products. Acting on behalf of the manufacturers, he obtains sales contracts a

26、nd forwards them directly to his principals without taking title to the goods. Hernando is compensated via commission on sales. Global Industrial Sales Corporation represents a(n) .Aa. gentB whole. salerC dist. ributorD re. tailer3 When CCD Industries buys cleaning products from KleenRite Chemicals1

27、. and resells them to the hospitality industry, they are performing a(n) function.A retailerB wholesalerC industrial agentD manufacturers representative3 Auckland Supply provides purchases and resells on behalf of many2. industries who manufacture safety equipment for use in production facilities an

28、d medical institutions. While the company takes title to the goods, they do not inventory the items, which are drop-shipped directly to the purchasers from the manufacturer. Auckland is an example of a(n) .Ab. rokerBagentC full-service wholesalerD limited-servicewholesalerTrue / False Questions3 Due

29、 to limited income levels in underdeveloped country markets,3. sales are typically made on a direct basis without the use of wholesalers in order to reduce end-user prices. True False3 In foreign markets, wholesaler power is concentrated in the hands of4. a few companies that operate on a nationwide

30、basis. True FalseMultiple Choice Questions3 Edgemont has a network of 200 outlets across Europe. The company5. purchases and inventories products, then resells the items to consumers while providing after sales services. Edgemont is a(n)Aa. gentB dist. ributorC re. tailerD whole. salerTrue / False Q

31、uestions3 Because of the similarities in geography, culture, and consumer6. buying behavior, retailing formats for groceries in Europe are congruous from country to country.True False3 Retailing giant Tesco is successful in global markets primarily due7. to its ability to standardize retail formats

32、among markets and take advantage of the consequent economies of scale. True FalseMultiple Choice Questions3 Helga is conducting extensive research on CoreMark Construction8. Product Distributorsin Hong Kong. She is dissecting the companysfinancial statements and credit ratings and reading up on Core

33、Mark brand s influence in the marketplace.A Helga is considering CoreMark as a distributor partner in. Hong Kong.B Helga has signed CoreMark as her new distributor in. Hong Kong.C Helga has decided to terminate her partnership with CoreMark in. Hong Kong.D Helga has recently acquired. CoreMark.3 Whe

34、n Michelin taught its distributors how to promote its new line of9. tires based on their superior product characteristics, they exhibited the channel management practice of .A coverage. managementB motivational. programsC performance. managementD capability-building. programsTrue / False Questions4

35、Distributor partners are motivated primarily through the provision 0. of monetary benefits such as higher commissions. True FalseAn swerChapter 12 Global Placeme nt and Distribute n Chann els KeyMultiple Choice Questio ns1 Lore nzo is assess ing the in ternal factors that impact his cha nnel develop

36、me nt in the Middle East. Among other issues, he is con sideri ngA market penetration objectives and the financial stre ngth of his firmB localregulati onsC consumer shopping habits andmarket sizeD the stage of theproduct s life cycleCorrect!2 Adee na is fin aliz ing her distributi on strategy in In

37、don esia, andis develop ing statistics regard ing local regulatio ns, the competitive climate, and con sumer shopp ing habits there. Adee na is assess ingA both internal andexternal factorsB the stage of the productlife cycleC externalfactorsD internalfactorsThere are no in ternal factors in cluded

38、in Adee nas research.True / False Questi ons3 Choos ing in direct export as an intern ati onal market entry mode will provide complete con trol of the foreig n marketi ng strategy.FALSEChoos ing in direct export as an intern ati onal market entry mode ofte n forces the compa ny to delegate its distr

39、ibuti on choices to a foreig n part ner.4 Strategic allia nces and fran chis ing agreeme nts allow con sta nt monitoring of sales activities abroad.TRUECorrect!Multiple Choice Questio ns5 In Europe, products such as milk, sn ack foods, and cigarettes are purchased with high freque ncy, and found in

40、almost every possible outlet. The distributio n strategy used for these types of items would be.A specialtyB exclusiveC selectiveD int二 ensiveSpecialty is not con sidered a type of distributi on strategy, but in deali ng with the products no ted in the questio n, it would be clear that these are not

41、 specialty items.6 High e nd kitchen cookware manufacturer LeCreuset s products arewidely available through specialized retailers such as Bed, Bath and Bey ond, and can also be found at departme nt store cha ins such as Macys. However, the product is not heavily distributed through other types of re

42、tailers such as discount stores. LeCreuset s distributionstrategy would be con sidered.A inten siveB sel二 ectiveC exclusiveD dualBecause LeCreusets distributi on is through specialized retailers it would not be con sidered inten sive.In an exclusive distribute n strategy,A only a limited number of r

43、etailers have the right to sell products in their specific territoriesB product is made available exclusively through on li ne salesC competitive products are not allowed to be sold in the same storeD products are sold in every available distributi on outletCorrect!8 Rolex watches employs a(n)distri

44、buti onstrategy.A limitedB selectiveC inten siveD excl二 usiveThe term limited is not one which is used to describe a specific distributi on strategy.9 Beechwood Gums has ide ntified a high market pen etrati on as one of its key objectives in pursu ing the market in Russia. Accord in gly, it will req

45、uire a(n)distributi on strategy, and afinan cial in vestme nt.A selective, moderateB exclusive, mini malC intensive,largeD intensive, minimalThe goal of high market pen etrati on, and the n ature of the product, in dicate that selective distributi on would be an in appropriate strategy for this prod

46、uct.True / False Questi ons1 The in timacy of distributor relati on ships is more intense as the 0.complexity of the product in creases.TRUECorrect!Multiple Choice Questio ns1 Mary Kay, Amway, and Avon lost sig nifica nt sales in China due to1. the n ature of their distributio n n etwork and theen v

47、ir onment.A socioculturalB legal/reg亠 ulatoryC technologicalD economicThese firms Chin ese sales were limited by new regulatio ns which required their salespeople to pass an exam adm ini stered by local authorities. This would not be a sociocultural restrict ion.True / False Questi ons1 The type of

48、distributio n outlets used for a specific product in2. multiple foreig n markets is one factor that is easily sta ndardized.FALSERefer to Table 12-1 to see how dispersed just one product category can be in terms of distributi on strategy in varied global markets.1 The stage of the product life cycle

49、 in which your product is3. curre ntly operat ing is one con siderati on in distributi on strategy developme nt.TRUECorrect!Multiple Choice Questio ns1In Yeme n, con sumer products are primarily distributed via small,4. ofte n mobil retail kiosks situated in a local souk, or tow nmarketplace. Reside

50、 ntial luxuries such as refrigerators are not as readily available, so food and other items are purchased on a daily basis. This sce nario speaks to the dime nsions ofandwhich must be con sidered whe n establishi ng a foreig n market distributio n strategy.A consumer shopping habits, outlet二 prefere

51、ncesB market size, consumerdistributio nC life cycle stage,regulati onsD economics,educati onCorrect!True / False Questi ons1 Procter and Gamble s venture into rural Chinese consumer products5. distributi on has not produced satisfactory results for the firm.FALSESee Box 12-1 in your text for furthe

52、r details.1 In a grow ing economy it is expected that retail and wholesale6. in stitutio ns becomes larger and more specialized, while less efficie nt in termediaries exit the market.TRUECorrect!Multiple Choice Questio ns1Whe n Greatla nds Beer salespeople sell their products to con sumers7. at holi

53、day eve nts and fairs across the ., they are emplo ying this type of distributio n.A inten siveB bus in ess tobus in essC indirectD d-irectThe strategy would not be con sidered inten sive as it invo Ives only a limited type of retail outlet.1 The food brokers and supermarkets who sell Mertensen s sa

54、lt to8. the con sumer are classified as.A distributioncen tersB wholesalersC in termed二 iariesD principalsDistributio n cen ters are large scale warehouses and not a form ofcha nnel part ner.1 The nu mber of levels and types of in termediaries which perform9. some work to bring the product to the fi

55、nal user defi nes distributio n cha nnel .A mixB breadthC widthD lSee Figure 12-2 for more details.2 If Wendy is assess ing her distributi on n etwork on the basis of the0. types of retailers to whom she sells; for example, convenience stores, departme nt stores, and disco unt outlets, she is an aly

56、z ing cha nnelA widthB len gthC directn essD standardi zati onCorrect!2Inv otech sells the latest in large scale printing equipme nt to1. wallpaper producers, who depe nd on the firm for continu ous service and technical support. Invotech s best option for distribution invoIvesA direct sales through an internal sales forceB in direct sales involving distributors and retailersthCfee-tiereddistributio nD in direct sales inv olvi ng distributorsCorrect!True / False Questi ons2 Online purc

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