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Copyright?2020McGraw-HillEducation.Allrightsreserved.

NoreproductionordistributionwithoutthepriorwrittenonsentofMcGraw-HillEducation.

InternationalMarketing,18e(Cateora)

Chapter14ProductsandServicesforBusinesses

1)Forfirmsproducingproductsandservicesforindustrialmarkets,thechiefreasonforventuringabroadistheprospectofhighprofitswithnorisk.

2)Thesinglemostimportantdifferencebetweenconsumerandindustrialmarketingisthecyclicalswingsindemandinherentinthelatter.

3)Managersneedtounderstandtheconceptofderiveddemand,particularlywhentheyaresellingcapitalequipmentandbig-ticketindustrialservices.

4)Deriveddemandcanbedefinedasdemandthatisnotdependentonanothersource.

5)Industrialdemandisunaffectedbychangesinconsumerdemand.

6)Oneofthewaysthatanindustrialfirmshouldmanagetheinherentvolatilityoftheindustrialsectorisbyincreasingadvertisingexpenditureduringbooms.

7)Themostsignificantenvironmentalfactoraffectingtheinternationalmarketforindustrialgoodsandservicesisthedegreeofstandardization.

8)Thedegreeofeconomicdevelopmentofacountrycanbeusedasaroughmeasureofthecountry'sindustrialmarket.

9)InStage1(thetraditionalsociety)ofRostow'sfive-stagemodelofeconomicdevelopment,themostimportantindustrialdemandislabor.

10)InRostow'sfive-stagemodelofeconomicdevelopment,countriesinStage5(theageofmassconsumption)aremostlyserviceeconomies.

11)Acountrycanleapseveralstagesofeconomicdevelopmentbyusingtechnologyaseconomicleverage.

12)OneoftheinterrelatedtrendsthatspurredthedemandfortechnologicallyadvancedproductswasthedisintegrationoftheSovietempire.

13)Goodqualityasinterpretedbyahighlyindustrializedmarketisthesameasthatinterpretedbystandardsofalessindustrializednation.

14)Aproductthatexceedsperformanceexpectationscanalsobeconsideredtobeofpoorquality.

15)Aproductwhosedesignreflectstheneedsandexpectationsofthebuyer—nomore,noless—isaqualityproduct.

16)Thelackofcommonstandardsformanufacturinghighlyspecializedequipmentisaproblemininternationalsalesofindustrialproducts.

17)Theadoptionofuniversalqualitystandardswouldmeanthattheperceptionsofindustrialproductqualitywouldalsobestandardized.

18)Whilecountrieshavestandardsforproductsproducedwithinitsborders,therearenosuchstandardsthatareapplicabletoimportedgoods.

19)TheU.S.DepartmentofCommercehasmandatedthatallU.S.governmentpurchasesusethemetricsystem.

20)TheISO9000certificationguaranteesthateachproductorserviceproducedbyacompanyisofthehighestquality.

21)ToreceiveISO9000certification,acompanyrequestsacertifyingbodytoconductaregistrationassessment.

22)Formanyindustrialproducts,therevenuefromassociatedservicesexceedstherevenuefromtheproductsthemselves.

23)Forinternationalusersofheavyconstructionequipment,themanufacturer'scountryoforiginisofprimaryimportanceinpurchasingconstructionequipment.

24)Amanufacturerwhodoesnotprovideafter-salesservicesandsupportcouldalsobeforgoingtheopportunityofparticipatinginalucrativeaftermarket.

25)Communismisthemostseriousthreattothecontinuedexpansionofinternationalservicestrade.

26)Acompanywebsiteisthemostimportantvehicleforsellingindustrialproducts,reachingprospectiveB2Bcustomers,andmarketinginmostcountries.

27)TradeshowsserveamuchmoreimportantroleintheU.S.thaninothercountries.

28)Indifficulteconomicandpoliticalcircumstancesorotherwise,onlinetradeshowsareamorethanadequatesubstituteforphysicaltradeshowsortradefairs.

29)Thesalesofindustrialgoodsaredrivenbythebuyer'sneedtomakeprofits.

30)Relationshipmarketingshiftsthefocusawayfrompricetoserviceandlong-termbenefits.

31)Maiisanewinternationalsalesrepresentativeforanindustrialsupplycompanythatisfocusingheavilyontechnologyasasellingfeature.Shewilllearnthatthisstrategy

A)willbeakeysellingfeatureinallmarkets.

B)willhavethemostimpactindevelopingcountries.

C)maynotbeappropriateforallcountries.

D)willnotmakeabigdifferenceintheglobalmarket.

E)canbeeasilyovercomebycompetitors.

32)Industrialmarketsdifferfromconsumermarketsinthat

A)thedemandforindustrialgoodsismorevolatilethanthedemandforconsumergoods.

B)themarketforindustrialgoodsisinsignificantincomparisontothemarketforconsumergoods.

C)industrialgoodsaremarketeddomesticallywhereasconsumergoodsaremarketedinternationally.

D)industrialproductsarealwaysmoreexpensivethanconsumerproducts.

E)industrialproductsusethesameleveloftechnologyforallproductsmakingitappropriateforallcountrieswhereasconsumergoodsneedtobecustomizedforeachmarket.

33)Whatstatementistrueinindustrialmarkets?

A)Demandisnonvolatilebynature.

B)Marketsareunaffectedbyderiveddemand.

C)Industrialsellerstendtohavesmallnumbersofcustomersuponwhichtheyaremoredependent.

D)Salesofindustrialgoodsarestableanddonotfluctuate.

E)Professionalbuyerstendtoundertakedissimilarinvestmentactionstoachievethesamegoal.

34)WhatisareasonformarketingindustrialgoodsabroadthatdoesNOTnecessarilyapplytoconsumergoods?

A)bypassingimporttariffs

B)avoidingsalestax

C)reducingthevolatilityofdemand

D)acquiringISOcertification

E)acquiringACSIcertification

35)Whatfactorincreasesthevolatilityindemandinindustrialmarkets?

A)Professionalbuyersintheindustrialmarkettendtoactinconcert.

B)Thedemandforindustrialgoodsisindependentofchangesineconomicdevelopment.

C)Small,noncyclicalswingsindemandareinherentinindustrialmarkets.

D)Experiencedpurchaserstendtomakebuyingdecisionsindependently.

E)Thedemandforindustrialgoodsishighlyinelastic.

36)Formanagerssellingcapitalequipmentandbig-ticketindustrialservices,understandingtheconceptof________isabsolutelyfundamentaltotheirsuccess.

A)availabilityheuristic

B)bankeffect

C)Baskervilleeffect

D)deriveddemand

E)catapultdemand

37)Deriveddemandcanbedefinedasdemandthatis

A)independentofprice.

B)independentofconsumerwantsandneeds.

C)dependentonanothersource.

D)highlyvolatile.

E)highlyresponsivetofactorsotherthanprice.

38)Whatcanbeusedasameasuretomanagevolatilityinindustrialdemand?

A)maintaininganarrowproductline

B)reducingpricesduringbooms

C)reducingadvertisingexpendituresduringbooms

D)focusingonmarketshareasastrategicgoal

E)avoidinginvestmentinforeignhigh-yieldfinancialinstruments

39)WhydoGermanandJapanesefirmsgenerallydobetterthanU.S.firmswhenitcomestomanagingvolatility?

A)Theiremphasisisonbeatingcompetitors.

B)Theyvalueemployeesandstabilitymorehighly.

C)Theymaintainlimitedproductlines.

D)Theyreducepricesfasterandraiseadvertisingexpendituresduringbooms.

E)Theyconsidermarketsharetobeastrategicgoal.

40)Whatisperhapsthemostsignificantenvironmentalfactoraffectingtheinternationalmarketforindustrialgoodsandservices?

A)theforeignexchangemarket

B)politicalconditions

C)thedegreeofindustrialization

D)thelevelofdomesticcompetition

E)globalwarming

41)WhatisthefirststageofRostow'sfive-stagemodelofeconomicdevelopment?

A)thetraditionalsociety

B)drivetomaturity

C)preconditionsfortakeoff

D)takeoff

E)theageofmassconsumption

42)InStage1ofRostow'sfive-stagemodelofeconomicdevelopment,

A)theeconomyisprimarilydrivenbytheproductionofservices.

B)themostimportantindustrialdemandrelatestonaturalresourcesextraction.

C)infrastructuredevelopmentisaprimaryrequirementintheeconomy.

D)manufacturingofbothsemidurableandnondurableconsumergoodshasbegun.

E)thefocusisonlow-costmanufacturingofavarietyofconsumerandsomeindustrialgoods.

43)WhatischaracteristicofStage2ofRostow'sfive-stagemodelofeconomicgrowth?

A)Industrialdemandismainlyassociatedwithnaturalresourcesextraction.

B)Thegoodsdemandedrelatetoequipmentandsuppliestosupportmanufacturing.

C)Thefocusismoreonlow-costmanufacturingofavarietyofconsumerandsomeindustrialgoods.

D)Thefocusisondesignactivitiesandthedevelopmentofmanufacturingtechniques.

E)Infrastructuredevelopmentisaprimaryneed.

44)WhichcountryisdesignatedasbeinginStage2ofRostow'sfive-stagemodelofeconomicgrowth?

A)Russia

B)Germany

C)SouthKorea

D)CzechRepublic

E)Vietnam

45)Acountryhasreachedalevelofeconomicdevelopmentwherethemanufacturingofbothsemidurableandnondurableconsumergoodshasjustbegun.Also,thegoodsdemandedrelatetoequipmentandsuppliestosupportmanufacturing.InwhichstageofRostow'sfive-stagemodelofeconomicgrowthdoesthecountryfit?

A)thetraditionalsociety

B)drivetomaturity

C)preconditionsfortakeoff

D)takeoff

E)theageofmassconsumption

46)RussiaandEasternEuropeancountriesfitinwhichstageofRostow'sfive-stagemodelofeconomicgrowth?

A)thetraditionalsociety

B)drivetomaturity

C)preconditionsfortakeoff

D)theageofmassconsumption

E)takeoff

47)Theindustrializedeconomiesinthe________stageofRostow'sfive-stagemodelofeconomicdevelopmentfocusmoreonlow-costmanufacturingofavarietyofconsumerandsomeindustrialgoods.Theybuyfromallcategoriesofindustrialproductsandservices.

A)traditionalsociety

B)drivetomaturity

C)preconditionstotakeoff

D)ageofmassconsumption

E)takeoff

48)InwhichstageofRostow'sfive-stagemodelofeconomicgrowthdoindustrializedeconomiessuchasKoreaandtheCzechRepublicfit?

A)preconditionstotakeoff

B)takeoff

C)traditionalsociety

D)drivetomaturity

E)theageofmassconsumption

49)InwhichstageofRostow'sfive-stagemodelofeconomicgrowthdohighly-industrializedcountrieslikeJapanandGermanyfit?

A)traditionalsociety

B)preconditionstotakeoff

C)takeoff

D)drivetomaturity

E)theageofmassconsumption

50)CountryXismostlikelytobeintheageofmassconsumptionaccordingtoRostow'sfive-stagemodelofeconomicdevelopmentif

A)itseconomyisprimarilydrivenbynaturalresourceextraction.

B)theeconomyismovingawayfromagricultureandtowardmanufacturing.

C)theeconomyisdrivenbylow-costmanufacturing.

D)itisprimarilyaserviceeconomy.

E)itseconomyisprimarilyagrarian.

51)IfacountryisinStage5(theageofmassconsumption)ofRostow'sfive-stagemodelofeconomicdevelopment,itpurchasesmostofitshighest-technologyproductsandservicesfrom________suppliers.

A)Stage4

B)Stage3

C)Stage5

D)Stage1

E)Stage2

52)Whatispossiblythebestindicatorofacountry'sabilitytousetechnologytoleapseveralstagesofeconomicdevelopmentinaveryshorttime?

A)thequalityoftheeducationalsystem

B)thesizeofthepopulation

C)thegeneraleconomicenvironment

D)thesizeandgrowthrateofthemarket

E)thelevelofgovernmentregulations

53)Whichtrendspursdemandfortechnologicallyadvancedproductsintheworld?

A)anincreaseinthesizeoftheglobalunskilledlaborforce

B)largefiscaldeficitsindevelopednations

C)expandingeconomicandindustrialgrowthinAsia

D)theincreaseintheaverageageinEurope

E)theopeningoftheTrans-Arcticroute

54)WhichtrendwillexpanddemandforindustrialgoodsandbusinessservicesinLatinAmerica?

A)theincreaseofimporttariffby70percent

B)theadoptionofMarxist–socialistpolicies

C)theprivatizationofstate-ownedenterprises

D)theincreaseduseoflaborinplaceofcapitalinproduction

E)thedeclineofeconomicgrowthinAsia

55)Whatdoestheperceptionofqualitydependon?

A)governmentspecifications

B)thecustomer

C)universalqualitystandards

D)themanufacturer'sspecifications

E)standardization

56)Animportantdimensionofqualityishowwelltheproduct

A)meetsthespecificneedsofthebuyer.

B)exceedscompetitors'products.

C)conformstomanufacturer'sspecifications.

D)altersthemarketinglandscape.

E)savestimeandlabor.

57)Theprocessoftotalqualitymanagement(TQM)startswith

A)providingallcustomerswithtechnologicallyadvancedproducts.

B)signingtradeagreementswithdevelopedcountries.

C)involvingcustomersintheproductdevelopmentprocess.

D)reducingthetimetakenfortheproducttoreachthemarket.

E)marketingtheproductsattradeshowsandfairs.

58)Whichstatementistrueofuniversalstandardsinthesaleofinternationalproducts?

A)Theideaofuniversalstandardsisbeingresistedindevelopingcountries.

B)Firmsthatadheretouniversalstandardsfindthecoststobegreaterthanthebenefits.

C)Theinternationalmarketforindustrialgoodsusestheimperialsystemasauniversalstandard.

D)Allgovernmentsmandateuniversalstandards.

E)Thelackofuniversalstandardslimitstheexpansionofindustries.

59)TheGlobalHarmonizationTaskForceisaninternationaleffortthatisattemptingto

A)coordinatestandardsforseveralinternationalindustrialsectors.

B)promotefreetradeamongdevelopinganddevelopednations.

C)equalizewagesamongcountries.

D)increasedoubletestingofgoodsandservices.

E)equalizetheperceptionofqualityacrosscountries.

60)BuyersincountryXprefertousetheolder,cheaperversionofFirmA'sproductalthoughitisbulkierandlessuser-friendly.BuyersincountryY,however,prefertousethenewer,lightweightversionforitsnewuserinterface.Whichstatementisthemostaccurateconclusionfromthegiveninformation?

A)FirmAneedstorevampitsafter-salesservices.

B)ThesalesofindustrialgoodsarehigherincountryXthanincountryY.

C)Theperceptionofqualitycandifferacrosscountries.

D)CountryXisahighlyindustrializednation.

E)CountryYhasaloweraverageincomelevelcomparedtocountryX.

61)TheU.S.Congressandbusinesseshavebeenresistingconversiontothemetricsystembecausetheyfear

A)marketcompetitionfrominternationalfirmsalreadyusingthemetricsystem.

B)consumerbacklashandthesubstitutionofinternationalproducts.

C)itwillpromotestandardization.

D)workerswillnotunderstandthesystem.

E)itwillbetoocostlytoimplement.

62)AU.S.manufacturingfirmlostabigcontractinQatarbecauseitprovidedpipesthatwerethreeyardslongandthespecificationscalledforthreemeters.Inthiscase,theU.S.firmfailedtorecognizetheimportanceof

A)ISO9000standards.

B)U.S.manufacturingguidelines.

C)theEUProductLiabilityDirective.

D)theAmericanCustomerSatisfactionIndex.

E)usingthemetricsystem.

63)Thelackofuniversalstandardsintheindustrialgoodsmarket

A)increasesthepriceofrawmaterials.

B)giveseachfirmacompetitiveedge.

C)increasesthelevelofconsumersatisfaction.

D)reducesthepriceofthefinalgoods.

E)increasesthecostofdoingbusiness.

64)Whichofthefollowingcountriesisnotofficiallyonthemetricsystem?

A)Liberia

B)Japan

C)SaudiArabia

D)Mexico

E)China

65)TheAmericanCustomerSatisfactionIndex(ACSI)focuseson

A)differentiatingaproductbasedonitsquality.

B)ratingacompany'squalitybasedonitsleadership,strategicplanning,andcustomerandmarketfocus.

C)theauditofacompany'sbusinessprocessesinordertoensurequality.

D)qualityasperceivedbyproductandserviceusers.

E)thecreationofaqualitycontrolsystemthatcanmeetpublishedqualitystandards.

66)WhatistrueoftheISO9000standards?

A)TheISO9000standardsapplytospecificproducts.

B)TheISO9000sguaranteethatamanufacturerproducesa"quality"productorservice.

C)TheISO9000seriesdescribeseightqualitysystemmodels.

D)TheISO9000standardsareacertificationofthequalitycontrolsystemthatacompanyhasinplace.

E)TheISO9000swereoriginallydesignedbytheInternationalOrganizationforQualityintheUnitedStates.

67)ISO9000concernsthe

A)cost-effectivenessoftheproductionofagood.

B)registrationandcertificationofamanufacturer'squalitysystem.

C)profitabilityofaproductionline.

D)abilityofacompany'scomputersystemtoadapttoSAP,abusinessmanagementsoftware.

E)marketingandpromotionalstrategiesofafirm.

68)ManysuppliersareadoptingISO9000standardsbecause

A)theycanacquirethecertificationatnoextracost.

B)governmentsmandateISOcertificationforallproductcategories.

C)theywanttobeperceivedasbeingenvironmentallyfriendly.

D)theWTOexpectsinternationalsupplierstoconformtoISOstandards.

E)theirbuyersrequirethemtobeISO9000registered.

69)WhatisdrivingastronglevelofinterestintheISO9000certification?

A)governmentregulations

B)marketplacerequirements

C)environmentalregulations

D)tradetariffrequirements

E)protectionismrestrictions

70)WhatstatementaboutISO9000certificationistrue?

A)Itdoesnotrequirearegistrationassessment.

B)Itisgenerallyvoluntaryexceptforcertainregulatedproducts.

C)Itrequiresanannualcompleteassessmentforrecertification.

D)Itmeasurescustomers'satisfactionandperceptionsofqualityofarepresentativesample.

E)Itguaranteesthatamanufacturerproducesa"quality"productorservice.

71)________certificationisconsideredtobeanimportantcompetitivemarketingtoolinEurope.

A)ISO9000

B)ICE

C)ACSI

D)AERA

E)NCME

72)The________measurescustomers'satisfactionandperceptionsofqualityofarepresentativesampleofAmerica'sgoodsandservices.

A)ISO9000

B)ICE

C)NetPromoterScore(NPS)

D)AmericanCustomerSatisfactionIndex(ACSI)

E)AmericanPriceIndex(API)

73)Inthecaseofcellularphones,thephysicalproductispracticallygivenawaytogainthephoneservicescontract.Thiscouldbebecause

A)cellularphonecompaniesdonotviewmarketshareasastrategicgoal.

B)thecostofproductionofcellularphonesisverylow.

C)therevenuesfromassociatedservicesexceedtherevenuesfromthecellularphones.

D)themarginsonafter-salesservicesforcellularphonesislow.

E)consumerssometimesbuyavarietyofservicesthatarenotassociatedwithproducts.

74)TheISO9000certificationallowsacompanyto

A)hedgeitsriskfromcurrencyfluctuations.

B)bypassallinternationaltradebarriers.

C)diversifyintootherproductlines.

D)differentiateitfromitscompetitors.

E)provideafter-salesservices.

75)________israpidlybecomingamajorafter-salesservicewhensellingtechnicalproductsincountriesthatdemandthelatesttechnology.

A)Promotionalpricing

B)Productinnovation

C)Capacityutilizationefficiency

D)Customertraining

E)Warranty

76)Firmsthatsellindustrialgoodsininternationalmarketsshouldfocusonafter-salesservicesbecausetheseservices

A)arealmostalwaysmoreprofitablethantheactualsaleofthegoodsthemselves.

B)requirehighlevelsofinvestmentintraininganddevelopment.

C)ensurethatthefirm'sgoodsarenotliabletolawsuits.

D)costthefirmalmostnothing.

E)cannotbeoutsourcedtoothercompaniesandmustbeprovidedbythefirmitself.

77)Formostconsumerservicesfirms,themodeofentryintoaforeignmarketislicensing,franchising,strategicalliances,ordirect.Thisisusuallydonebecause

A)servicesarehighlydifferentiated.

B)servicesproducedcannotbeaddedtoinventory.

C)thecreationandconsumptionofservicescannotbeseparated.

D)theinputsusedvarytoagreatextent.

E)servicesusuallydonothaveanyintrinsicvaluethatcanbeconvertedintoatangibleform.

78)Somebusinessserviceshaveintrinsicvaluethatcanbeembodiedinsometangibleform;theycanbeproducedinonecountryandexportedtoanother.Anexampleis

A)languageschools.

B)in-flightservicesonanairplane.

C)operatinganautomatictellermachine.

D)dataprocessingservices.

E)physicians'services.

79)Whatistrueofbusinessservices?

A)Mostbusinessservicescompaniesenterinternationalmarketstoservicetheirlocalclientsabroad.

B)Servicesareintangibleandsocannotbeproducedinonecountryandexportedtoanother.

C)Theremovaloftradebarriersposesaseriousthreattothecontinuedexpansionofinternationalservicestrade.

D)Firmsshouldavoidprovidingafter-salesservicesasthecostsdonotjustifythebenefits.

E)Theperceptionofqualityofabusinessservicedependssolelyontheaveragepercapitaincomeofthebuyer'scountry.

80)AlcareAdvertisinghasjustsignedacontractwithMiramarcosmeticscompanytocreateadsforMiramar'sproducts.MiramarwantsAlcaretocomeupwithcreativeideasforitsrecentexpansionintoSouthAsianmarketsofIndiaandIndonesia.InordertoaccommodateMiramar,AlcarehasnowopenedofficesintwoIndiancitiesandoneIndonesiancity.Inthiscontext,Alcareisa

A)headhunter.

B)clientfollower.

C)bargainhunter.

D)betpadder.

E)riskavoider.

81)Inknowledge-basedservices,suchasconsulting,engineering,education,andinformationtechnology,________areakeydriverofsuccessandfailure.

A)incometaxes

B)intellectualpropertyissues

C)freetradezones(FTZs)

D)exchangerateregulations

E)tariffsontheimportofgoods

82)Whatisthemostseriousthreattothecontinuedexpansionofinternationalservicestrade?

A)freetrade

B)capitalism

C)globalization

D)foreigntradezones(FTZs)

E)protectionism

83)Restrictionsoncross-borderdataflowsarepotentiallythemostdamagingtoindustriesthat

A)arefragmented.

B)focusondomesticproduction.

C)generaterevenuefromthesaleofphysicalproductsacrossborders.

D)relyoninformationtransfersacrosscountries.

E)areconcentratedinnature.

84)Whathasbecometheprimaryvehicleforbusiness-to-businesspromotionandsellinginmanyforeigncountries?

A)tradeshows

B)in-officevisitsbysalesteams

C)TVadvertising

D)localradioadvertising

E)transitmedia

85)_______providethefacilitiesforamanufacturertoexhibitanddemonstrateproductstopotentialusersandtoviewcompetitors'products.

A)Catalogs

B)Directmailcampaigns

C)Banners

D)Tradeshows

E)Specialtyadvertisingblogs

86)PaulattendstheLondonBookFaireveryyeartorepresenthiscompanyandshowitsproductstopublishersfromothercountries.HealsomeetswithindividualpublisherstodiscussdistributingtheirbooksintheU.S.TheLondonBookFairis

A)anindustryforum.

B)acommerceopportunity.

C)acommercialstorefront.

D)amarketexpander.

E)atradeshow.

87)Whatistrueofcommercialrelationshipsincountrieswithcollectivisticandhigh-contextcultures?

A)Thecommercialrelationshipislimitedtoaone-timeprovisionofthegoodsorservice.

B)Efficiencyandinnovationmattermorethanlong-termrelationshipbuilding.

C)Trustisacrucialaspectofcommercialrelationships.

D)Thefocusoftherelationshipisonpriceandvalue-for-money.

E)Customerloyaltyisfleetingandshort-lived.

88)Jamalhasbeenthesalesrepresentativeforthewesternregionfortenyears,callingonthesamecustomersrepeatedly.Othercompanieshavebroughtinrepsfromtheirhomecountries,butJamalfindshiscustomersprefertodealwithhim.Jamaldemonstratesqualitiesassociatedwith

A)relationshipmarketing.

B)in-countryadvantage.

C)salesorientation.

D)consistency.

E)efficiency.

89)Thekeyfunctionsofglobalaccountmanagersrevolvearoundthenotionsofintelligencegathering,coordinationwiththecustomer'sstaff,and

A)managingthemarketingmix.

B)adaptingpracticestothechangingenvironment.

C)increasingpost-purchasesales

D)attendingtradeshows.

E)gaugingdemandinvariousenvironments.

90)Incountrieswithstrongcultures,particularlythosewithcollectivisticandhigh-contextcultures,________willbethesinglemostimportantsourceofinformationaboutthedevelopmentofnewindustrialproductsandservices.

A)knowledgeofthelocallanguageandcustoms

B)understandingcompetitivetrends

C)theuseoftechnology

D)constantandclosecommunicationwithcustomers

E)directandassertivefollow-up

91)Threefactorsaffectthedemandininternationalindustrialmarketsdifferentlythaninconsumermarkets.Whatarethesefactors?

92)Explaintheconceptofderiveddemand.Provideanillustration.

93)DescribethefivestagesofRostow'smodelofeconomicdevelopment.

94)Whatarethethreetrendsthatspurdemandfortechnologicallyadvancedproducts?

95)Discusshowacustomerdeterminesthequalityofaproduct.Giveaspecificexampletoillustrateyouranswer.

96)WhatistheISO9000certification?Whywouldacompanyneedthis?

97)Companiestodaymustbereadytoprovideafter-saleservicesintheinternationalmarketplaceiftheyaretodominatetheglobalarena.Explainwhythisistrue.

98)Whatisthemodeofentrychosenbymostconsumerservicesfirmstoenteraforeignmarket?Whatisthereasonforthis?

99)Whathasbecometheprimaryvehiclefordoingbusinessinmanyforeigncountries?Explainandjustifyyouranswer.

Whatisrelationshipmarketing,andhowdoesitbenefitaninternationalmarketer?

InternationalMarketing,18e(Cateora)

Chapter14ProductsandServicesforBusinesses

1)Forfirmsproducingproductsandservicesforindustrialmarkets,thechiefreasonforventuringabroadistheprospectofhighprofitswithnorisk.

Answer:FALSE

Explanation:Demandinindustrialmarketsisbynaturemorevolatile.Firmsproducingproductsandservicesforindustrialmarketshaveacrucialreasonforventuringabroad:dampeningthenaturalvolatilityofindustrialmarkets.

Difficulty:1Easy

Topic:ManagingPoliticalRiskandDifferences

LearningObjective:14-01Theimportanceofderiveddemandinindustrialmarkets

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

2)Thesinglemostimportantdifferencebetweenconsumerandindustrialmarketingisthecyclicalswingsindemandinherentinthelatter.

Answer:TRUE

Explanation:Thesinglemostimportantdifferencebetweenconsumerandindustrialmarketingisthehuge,cyclicalswingsindemandinherentinthelatter.

Difficulty:1Easy

Topic:ChallengesandOpportunitiesCreatedbyGlobalization

LearningObjective:14-01Theimportanceofderiveddemandinindustrialmarkets

Bloom's:Remember

AACSB:AnalyticalThinking

Accessibility:KeyboardNavigation

3)Managersn

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