CH 4 (1-23) CH 5 (24-43)

Power Distance
Measures the tolerance of social inequality between superiors and subordinates within a social system.
Uncertainty Avoidance
Measures the tolerance of ambiguity among members of society. Directly refers to the means of avoiding risk.
Refers to the preference for behavior that promotes one’s self-interest.
Cultural Values and Consumer Behavior
Considers behaviors such as word-of-mouth communications, impulsive buying, responses of both surprise and disgust, the propensity to complain, responses to service failures, and even movie preferences.
Religion has a significant impact on the value systems of a society and the effect of value systems on marketing.


(Answer: True)

The four social institutions that most strongly influence values and culture are schools, churches, families, and the media.


(Answer: True)

The Uncertainty Avoidance Index (UAI), one of the four dimensions of culture identified by Geert Hofstede, focuses on assertiveness and achievement.


(Answer: False)

The Power Distance dimension of culture, identified by Geert Hofstede, has proven to be the most useful of the four dimensions.


(Answer: False)

The Individualism/Collective Index, identified by Geert Hofstede, refers to the preference for behavior that promotes one’s self-interest.


(Answer: True)

When a culture scores high in Individualism/Collectivism Index, individuals fail to identify with groups.


(Answer: False)

People from cultures with high Power Distance Index scores are more likely to have a general distrust of others.


(Answer: True)

Cultures with high Uncertainty Avoidance Index scores tend to have a low level of anxiety and stress.


(Answer: False)

Which of the following is true of governments as social institutions?
A) Governments influence thinking and behavior through the enforcement of a variety of laws affecting consumption and marketing behaviors.

B) Compared with the early and direct influences of family, religion, school, and the media, governments hold relatively more sway.

C) Americans increasingly complain about the detrimental effects of the government on American culture.

D) Governments influence all aspects of the culture except for consumer behavior.

E) Governments are the first social institution a person is exposed to outside his or her home in all cultures.

(Answer: B?)

When designing a product, the style, uses, and other related marketing activities, marketers must:
A) ensure they are culturally acceptable if they are to be operative and meaningful.

B) ensure that there is no cultural interaction.

C) understand that culture is static.

D) be insensitive to cultural differences if they are to be successful.

E) be indifferent to societal conditions.

(Answer: A)

Which of the following actions is important for marketers in order to be effective in a foreign market?
A) Learning to appreciate the intricacies of cultures different from their own

B) Ensuring that the promotions for the product are indifferent to social beliefs

C) Ensuring that the promotions for the product are indifferent to social beliefs

D) Ensuring that the promotions for the product are indifferent to social beliefs

E) Making the product relate to one’s own religion

(Answer: A)

According to Edward Hall’s comments on culture, which of the following could hurt companies and careers in foreign markets?
A) Adherence to the social norms of the foreign market.

B) Being agents of change in the new market.

C) Ignorance of cultural differences in the foreign market.

D) Strict following of the political rules of the foreign society.

E) Consideration of the economic system of the new market.

(Answer: C)

The process of adjusting to a new culture is known as:
A) diffusion.

B) culture transfer.

C) acculturation.

D) assimilation.

E) transference.

(Answer: C)

Which of the following is a way individuals learn culture from social institutions?
A) Anarchy

B) Socialization

C) Cultural apathy

D) Etiquette awareness

E) Social rebellion

(Answer: B)

One of the advantages of the emergence of gender equality is the _____ gap between the sexes being narrowed in many places around the world.
A) emotional

B) biological

C) identity

D) education

E) language

(Answer: D)

Which of the following statements is true of education and the literacy rate of a country?
A) According to the World Bank, even countries with less than 50 percent literacy have been economically successful.

B) Numerous studies indicate a direct link between the literacy rate of a country and its capability for rapid economic growth.

C) Communicating in a literate market is much more difficult than communicating with one in which a marketer must depend on pictures and symbols.

D) Increasingly, schools are seen as leading to negative cultural changes.

E) Compared to governments, education has relatively little influence on culture.

(Answer: B?)

Which of the following social institutions is considered to most likely have a detrimental effect on American culture?
A) School

B) The government

C) Religion

D) Family

E) The media

(Answer: E)

The Uncertainty Avoidance Index measures the tolerance of uncertainty and _____ among members of a society.
A) inequality

B) subjugation

C) ambiguity

D) oppression

E) hierarchy

(Answer: C)

On the basis of Hofstede’s four dimensions, cultures with high Power Distance Index (PDI) scores tend to:
A) be secular.

B) be hierarchical.

C) be flat in organization.

D) value equality.

E) cite knowledge as a source of power.

(Answer: B)

High Power Distance Index countries are more egalitarian than low Power Distance Index countries.


(Answer: False)

As businesses grow and professional management develops, there is a shift toward centralized management decision making.


(Answer: False)

Workers in countries higher in individualism show more commitment than workers in countries with lower individualism and higher power distance.


(Answer: True)

High-context cultures place great importance on the verbal aspects of communication.


(Answer: False)

Businesspeople in low-context cultures use e-mail more often than those in high-context cultures.


(Answer: True)

_____ are the business customs and expectations that must be met and conformed to or avoided if relationships are to be successful.
A) Cultural exclusives

B) Business truism

C) Global protocols

D) Business axioms

E) Cultural imperatives

(Answer: E)

Which of the following would most likely be characterized as being an imperative business custom in many cultures?
A) Establishing friendships.

B) Speaking the local language.

C) Understanding the native religions.

D) Drinking the local drinks.

E) Having knowledge of the local sport.

(Answer: A)

Simon Peters, a senior manager at Celise Export Logistics, goes to France to negotiate a deal with the company’s French partners. He dresses casually in a t-shirt and jeans. His French counterparts call off the meeting and accuse him of taking a casual attitude toward negotiations. In this scenario, dressing formally during business meetings is probably a cultural _____ for the French.
A) imperative

B) elective

C) exclusive

D) oddity

E) rarity

(Answer: A)

Betty Roberts became an embarrassment to her company when she joked about the ruling monarchy in England in front of a group of visiting English businesspeople. She should have known that political ridicule by a foreigner is rarely accepted. Ms. Roberts has violated what is known as a cultural _____.
A) imperative

B) elective

C) exclusive

D) intelligence

E) standard

(Answer: C)

Which of the following could be the least acceptable behavior in a business setting, especially in a cross-cultural scenario?
A) Correcting someone in public.

B) Staying away from greeting another man with a kiss (a custom in some countries).

C) Refusing to eat foods that disagree with your palate.

D) Refusing to drink alcoholic beverages for personal reasons.

E) Not raising one’s voice in an argument.

(Answer: A)

Which philosophical view of the U.S. management recognizes that people influence the future to a large extent and that they control their own fates?
A) Independent enterprise as the instrument of social action.

B) Wide sharing in decision making.

C) “Master of destiny” viewpoint.

D) Natural selection theory

E) Competition produces efficiency.

(Answer: C)

There is a very strong belief in the United States that business decisions must be supported and based on accurate and relevant information. Which of the following best describes this approach?
A) “Master of destiny” viewpoint

B) Independent enterprise as the instrument of social action

C) Decisions based on objective analysis

D) Wide sharing in decision making

E) Reward based on merit

(Answer: B)

As businesses grow and professional management develops, there is a shift toward:
A) authoritarian decision making.

B) decentralized management decision making.

C) hit-or-miss decision making.

D) tentative decision making.

E) experimental decision making.

(Answer: B)

Which of the following forms of business decision making is predominant in most Asian countries?
A) Independent decision making

B) Contractual decision making

C) Authoritarian decision making

D) Group decision making

E) Dictatorial decision making

(Answer: D)

Which of the following aspects of communication is more important in a low-context culture?
A) Explicit communication

B) Nonverbal communication

C) Contextual communication

D) Face-to-face communication

E) Gesture-based communication

(Answer: A)

According to the high-context/low-context continuum identified by Edward T. Hall, communication in a low-context culture depends on:
A) the context.

B) who says it.

C) when it is said.

D) how it is said.

E) the verbal expression.

(Answer: E)

Which of the following is the best and most feasible means of solving the problem of language on the Internet?
A) Using minimal language in websites and using graphics and diagrams to convey messages.

B) Using language translation software to translate communication in all languages.

C) Having country-specific websites so that everyone can communicate in their own language.

D) Using foreign language blocking software to screen international communications.

E) Training employees to communicate in all languages used by foreign customers.

(Answer: C)

Which of the following time systems typify western cultures like most North Americans, Swiss, Germans, and Scandinavians and causes them to concentrate on one thing at a time?
A) Polychronic time

B) Bimodal time

C) Dual time

D) Monochronic time

E) Monotheistic time

(Answer: D)

People in Brazil describe themselves as late arrivers, allow greater flexibility in defining early and late, are less concerned about being late, and are more likely to blame external factors for their delay. Which system of time do the Brazilian people most likely operate on?
A) Polychronic

B) Monochromatic

C) Monotheistic

D) Monochronic

E) Sequence

(Answer: A)

Which of the following is true of the findings of Transparency International’s Corruption Perception Index (CPI)?
A) Lower levels of bribery have been found in nations with a communist past.

B) Higher levels of bribery have been found in low-power distance nations.

C) Higher levels of bribery have been found in low-income nations.

D) Lower levels of bribery have been found in collectivistic cultures.

E) Lower levels of bribery have been found in poor nations.

(Answer: C)