International Marketing Ch. 10

42) Advertising, company name, news stories, and promotion activities are a few of the elements that contribute to a company’s:
A) logo development.
B) brand equity.
C) brand image.
D) co-branding effort.
E) brand label.
C
43) Apple and Nokia both market phones but their brand image differentiates them, which with Apple can be partially attributed to all of the factors except:
A) iPhone has user-friendly features.
B) Nokia’s uses alphanumeric names for products.
C) iPhone has more brand equity than Nokia.
D) Apple’s CEO has more media presence than Nokia’s.
E) Nokia’s brand image is more skewed toward technology.
C
44) ________ represents the cumulative added value of a company’s investment in the marketing of a brand over time.
A) Brand extensions
B) Co-branding
C) Brand image
D) Brand equity
E) Brand loyalty
D
45) For nearly 60 years, DeBeers has used the advertising slogan “A diamond is forever.” Such a long-term investment in marketing is central to developing:
A) brand extensions.
B) co-branding.
C) local brands.
D) brand equity.
E) brand marks.
D
46) In recent years, the Coca-Cola Company has been plagued by such problems as employee lawsuits over diversity issues, deteriorating bottler relations, a production stoppage, and a disastrous product recall in Belgium. Taken together, these problems could dilute the company’s ________.
A) brand extension program
B) co-branding efforts
C) international brands
D) brand equity
E) product/communications extension strategy
D
49) Around the world, various brands of personal computers are sold with Pentium processors. This fact is often used as a selling point, with advertising that proclaims “Intel Inside.” Which branding concept does such advertising reflect?
A) brand equity
B) co-branding
C) brand image
D) brand extension
E) tiered branding
B
50) As outlined by branding expert Kevin Keller, the benefits of strong brand equity include all of the following except:
A) greater loyalty.
B) more vulnerability to marketing actions.
C) less vulnerability to marketing crises.
D) more inelastic consumer response to price increases.
E) more elastic consumer response to price decreases.
B
51) British entrepreneur Richard Branson has built a global business empire by:
A) relying on brand extension.
B) being the first to use smart cards in major markets.
C) developing local brands.
D) avoiding consumer businesses with established leaders.
E) restricting the “Virgin” name only to airlines.
A
53) Maslow’s hierarchy is applicable to global marketing because it can help explain how:
A) basic human needs can drive the development of global products.
B) “self-actualization” is the highest-order need in Japan as well as Western nations.
C) status needs in different countries can only be fulfilled with localized products.
D) “luxury badging” is irrelevant to companies marketing in Asia.
E) Asians differ from Westerners in their basic physiological needs.
A
54) Alfred Zeien, former chairman of Gillette, once noted that his company’s Parker Pen unit does not have to develop a special model for Malaysia and Singapore because shoppers worldwide seek the same things when buying a gift that will serve the recipient as a status symbol. This insight relates to which level of Maslow’s hierarchy of needs?
A) physiological
B) safety
C) social
D) esteem
E) self-actualization
D
55) Comparing the traditional formulation of Maslow’s hierarchy with the results of current research on the consumer needs and motivation in Asia, which of the following is correct?
A) The lowest 2 levels of the hierarchy are the same in the traditional and Asian versions.
B) The lowest 3 levels of the hierarchy are the same in the traditional and Asian versions.
C) The lowest 4 levels of the hierarchy are the same in the traditional and Asian versions.
D) The five levels in the traditional formulation apply equally in the West and in Asia.
E) The highest levels of the hierarchy are same in the traditional and Asian versions.
A
56) Which of the following is NOT one of the levels in the Asian version of Maslow’s hierarchy?
A) physiological
B) safety
C) affiliation
D) admiration
E) self-actualization
E
59) Coca-Cola’s distinctive contour bottle, which is sold in many countries, illustrates the point that:
A) the packaging strategies can vary by country and region.
B) the packaging helps in storing large sizes in refrigerators.
C) the packaging strategies do not change by country and region.
D) the packaging appeals only to Asian consumers.
E) the packaging helps in brand identification.
A
60) Generally speaking, which of the following product categories represents the best potential for extension into international markets without adaptation?
A) companion products
B) food products
C) industrial products
D) intangible products
E) non-alcoholic drinks
C
61) Dry soup mixes that have long been popular in Europe are marketed as sauces or dips in the U.S. This is an example of the ________ strategy.
A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) dual adaptation
E) product invention
B
62) Targeting the 300 million farmers in India who still use plows harnessed to oxen, John Deere engineers created a line of relatively inexpensive, no-frills tractors. The Deere team then realized that the same equipment could be marketed to hobby farmers and acreage owners in the United States, a segment that they had previously overlooked. This is an example of ________ strategy.
A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) dual adaptation
E) product invention
B
63) Campbell’s has been marketing soup in Japan for more than 40 years. Early on, Japanese consumers were not receptive to ads featuring the Campbell Kids and the “M’m M’m Good” slogan. This compelled Campbell’s to develop ads featuring a talking soup can known as “Mr. Campbell.” Campbell’s also developed soup varieties for Japan with fish as the main protein source and spices that reflect local preferences. As described here, which of the following strategies has Campbell’s used in Japan?
A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) product-communication adaptation
E) product invention
D
64) Prior to 2004, Nokia launched different cell phone products in different countries at different times. Nokia also used different advertising images and messages in different countries. Which approach to the world marketplace was Nokia using?
A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) product-communication adaptation
E) product invention
D
65) Before Ben & Jerry’s launched their ice cream in the United Kingdom the company conducted extensive research to determine whether the package design was appropriate. The research indicated that British consumers perceived the colors differently than U.S. consumers. The package design was changed accordingly. This type of strategy can be defined as:
A) product-communications extension.
B) product extension-communications adaptation.
C) product adaptation-communications extension.
D) product-communication adaptation.
E) product invention.
B
66) To promote its Centrino wireless chip, Intel launched a global ad campaign that features different combinations of celebrities. These celebrities were chosen because they are widely recognized in the key world markets. This type of strategy is referred to as:
A) product-communications extension.
B) product extension-communications adaptation.
C) product adaptation-communications extension.
D) product-communication adaptation.
E) product invention.
B
67) Colgate’s Total is a new toothpaste brand whose formulation, imagery, and consumer appeal were designed from the beginning to translate across national boundaries. Which strategy did Colgate use with Total?
A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) dual adaptation
E) product invention
E
68) Hindustan Lever recently developed a hard candy flavored with natural fruit juice that it sells profitably in India for the equivalent of 1 cent per piece. This is Hindustan Lever’s first-ever candy product. What strategy is evident here?
A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) dual adaptation
E) product invention
E
69) The formulation, imagery, and consumer appeal of Colgate’s Total brand toothpaste were designed to translate across national boundaries. This new global brand represents which type of product innovation?
A) discontinuous innovation
B) dynamically continuous innovation
C) continuous innovation
D) comparative innovation
E) dynamically discontinuous innovation
C
70) When introduced in the late 1970s, the VCR created new patterns of consumer behavior. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. DVD, a playback only video system, was introduced in the late 1990s. DVD discs contain full-length movies with digital sound in a format that resembles conventional music compact discs. Which of the following most accurately describes the respective degree of newness of these two global products?
A) The VCR is a discontinuous innovation; the DVD is a dynamically continuous innovation.
B) The VCR is a dynamically continuous innovation; the DVD is a discontinuous innovation.
C) The VCR and DVD are both dynamically continuous innovations.
D) The VCR and DVD are both discontinuous innovations.
E) The VCR and DVD are both continuous innovations.
A
71) The introduction of consumer VCRs in the late 1970s initiated a revolutionized in-home electronic entertainment. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. The VCR’s popularity also gave rise to an entirely new retailing concept, the video rental store. What type of innovation did the consumer VCR represent?
A) a continuous innovation
B) a dynamically continuous innovation
C) a discontinuous innovation
D) a comparative innovation
E) none of the above
C
72) The Advanced Photo System (APS) created by Kodak and its partners combines traditional chemical photo processing with digital technology. One benefit of the system is that shutterbugs can choose 3 different print sizes. The APS would best be described as a:
A) continuous innovation.
B) dynamically continuous innovation.
C) discontinuous innovation.
D) platform-based innovation.
E) new and improved innovation.
B
73) After four years of product development, Procter & Gamble recently introduced a new, improved disposable diaper. Pampers Rash Guard are designed to prevent diaper rash and represent the first time a company has made a medical claim for its diapers. What kind of innovation do the new diapers represent?
A) platform-based innovation
B) dynamically continuous innovation
C) discontinuous innovation
D) continuous innovation
E) none of the above
D
74) Procter & Gamble recently introduced Pampers Rash Guard. Rash Guard does not represent a new product per se; rather, the diapers are being marketed as an alternative to regular Pampers. What type of innovation do Pampers Rash Guard represent?
A) a continuous innovation
B) a dynamically continuous innovation
C) a discontinuous innovation
D) a platform-based innovation
E) none of the above
A
75) Motorola’s failed Iridium venture was a global satellite telephone network designed to allow users to make or receive calls anywhere on the globe using handsets that are somewhat bigger than typical cellular phones. What type of innovation did Iridium represent?
A) a continuous innovation
B) a dynamically continuous innovation
C) a discontinuous innovation
D) a platform-based innovation
E) none of the above
B
76) By definition, a ________ requires a large amount of learning on the part of users and typically creates new markets and consumption patterns.
A) continuous innovation
B) dynamically continuous innovation
C) discontinuous innovation
D) platform-based innovation
E) new and improved innovation
C