Download - Chap10 GM6e TIF
-
8/10/2019 Chap10 GM6e TIF
1/22
Global Marketing, 6e(Keegan/Green)
Chapter 10 Brand and Product Decisions in Global Marketing
1) India's Suzlon Energy has become a major player in the wind-turbine industry due to an
inefficient and inconsistent power distribution system.
nswer! "#$E%iff! 1 &age #ef! (
) "he productPof the mar*eting mi+ is at the heart of the challenges and opportunities facingglobal companies today.
nswer! "#$E
%iff! &age #ef! (,
) rand e/uity is an e+ample of a tangible product attribute.
nswer! 0SE
%iff! &age #ef! (,
2) Intangible attributes of a product includes the status associated with the product ownership.
nswer! "#$E%iff! &age #ef! (,
3S! #eflecti4e "hin*ing
5) 6c%onald's golden arches ha4e the great ad4antage of transcending language and therefore
are 4ery 4aluable to global mar*eters.
nswer! "#$E
%iff! &age #ef! ((3S! #eflecti4e "hin*ing
) Strong brand e/uity is more 4ulnerable to mar*eting crises and actions.nswer! 0SE
%iff! &age #ef! (7
,) 3oca-3ola has a noncarbonated ginseng-fla4ored be4erage for sale only in 8apan.
nswer! "#$E
%iff! &age #ef! ((
3S! #eflecti4e "hin*ing
7) 9illette reaps economies of scale associated with creating a single ad campaign for the world
and the ad4antages of e+ecuting a single brand strategy.nswer! "#$E
%iff! 1 &age #ef! ::
() global brand has the same name and in some cases a similar image and positioning
throughout the world.
nswer! "#$E
%iff! &age #ef! ::3S! #eflecti4e "hin*ing
13opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
2/22
1:) i*e entertainment stars< sports celebrities< and politicians< global brands ha4e become a
lingua francafor consumers all o4er the world.
nswer! "#$E%iff! &age #ef! ::-:1
3S! #eflecti4e "hin*ing
11) 9lobal brand is the same thing as global product.
nswer! 0SE
%iff! &age #ef! :13S! #eflecti4e "hin*ing
1) 9lobal brands are symbols of cultural ideals and as such< mar*eters can use global consumer
culture positioning =933&) to communicate a brand's global identity.nswer! "#$E
%iff! &age #ef! :1
3S! #eflecti4e "hin*ing
1) "he Sony >al*man is an e+ample of combination or tiered branding< whereby a corporate
name is combined with a product name.nswer! "#$E
%iff! &age #ef! :1
3S! #eflecti4e "hin*ing
12) Sony is a global brand and the company's portable 6& player is an e+ample of a global
product.
nswer! "#$E%iff! 1 &age #ef! :
15) "he ?Intel Inside? campaign is an e+ample of co-branding.nswer! "#$E
%iff! &age #ef! :
3S! #eflecti4e "hin*ing
1) "he ?@irgin? brand is a global brand with se4eral brand e+tensions.
nswer! "#$E
%iff! &age #ef! :3S! #eflecti4e "hin*ing
1,) ccording to the top brand ran*ings< 6icrosoft is the world's most 4aluable brand.nswer! 0SE
%iff! 1 &age #ef! :
3S! #eflecti4e "hin*ing
3opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
3/22
17) #obust economic growth and rising incomes mean that consumers in 3hina< India< and other
emerging mar*ets can buy cell phones as status symbols.
nswer! "#$E%iff! &age #ef! :2
3S! #eflecti4e "hin*ing
1() 3oca-3ola< 6c%onald's< Singapore irlines< 6ercedes-enz< and Sony are a few of the
companies that ha4e transformed local products and brands into global ones.nswer! "#$E
%iff! &age #ef! :,
3S! nalytic S*ills
:) "he basic human need to consume food and drin* is not the same thing as wanting or
preferring a ig 6ac or a 3o*e.
nswer! "#$E%iff! &age #ef! :7
3S! #eflecti4e "hin*ing
1) In countries li*e India and @ietnam< and other emerging mar*ets< amenities such as
refrigerators< flush toilets< and cell phones are considered as status symbols.
nswer! "#$E
%iff! &age #ef! :(3S! #eflecti4e "hin*ing
) 6ar*eters in 9illette's &ar*er &en subsidiary are confident that consumers in 6alaysia andSingapore shopping for an upscale gift will buy the same &ar*er &en as mericans shopping at
Aeiman 6arcus.
nswer! "#$E%iff! &age #ef! :7
3S! nalytic S*ills
) #ecent research has confirmed that the le4els in 6aslow's hierarchy are the same in the
$nited States and sia.
nswer! 0SE
%iff! &age #ef! :,-:73S! #eflecti4e "hin*ing
2) #ecent research has suggested that< in sia< the highest le4el needs in 6aslow's hierarchypertain to status.
nswer! "#$E
%iff! &age #ef! :(-1:3S! #eflecti4e "hin*ing
5) In Bellmut Schutte's modified hierarchy to e+plain the needs and wants of sian consumers
the last three le4els are affiliation< admiration< and self actualization.nswer! 0SE
%iff! &age #ef! :7-:(
3S! #eflecti4e "hin*ing
3opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
4/22
) 0inland is home to Ao*ia< which rose in stature from a local brand to a global brand in little
more than a decade.
nswer! "#$E%iff! &age #ef! 1:
3S! #eflecti4e "hin*ing
,) Studies conducted during the 1(,:s and 1(7:s indicated that the ?made in the $S? image
lost ground to the ?made in 8apan? image.nswer! "#$E
%iff! &age #ef! 1:
3S! #eflecti4e "hin*ing
7) 6any consumers consider products with labels such as ?6ade in angladesh? and ?6ade in
razil? to be of inferior /uality and 4alue
nswer! "#$E%iff! &age #ef! 1:-11
3S! #eflecti4e "hin*ing
() Scotland's top e+port category is information technology.
nswer! "#$E
%iff! &age #ef! 1:-11
3S! #eflecti4e "hin*ing
:) In 9ermany< product pac*aging must conform to 9reen %ot regulations as part of ?Eco-
pac*aging.?nswer! "#$E
%iff! &age #ef! 11
3S! #eflecti4e "hin*ing
1) "he European $nion now re/uires mandatory labeling for some foods containing genetically
modified ingredients.nswer! "#$E
%iff! &age #ef! 1
3S! #eflecti4e "hin*ing
) In ::7< the $nited States enacted a country-of-origin labeling =3CC) law< which re/uires
supermar*ets to display information that identifies the country that meat< poultry< and certain
other food products come from.nswer! "#$E
%iff! &age #ef! 1
3S! #eflecti4e "hin*ing
) &ac*aging aesthetics such as color or shape of a product< label< or pac*age are 4ery important
for 8apanese consumers.
nswer! "#$E%iff! &age #ef! 1-12
3S! #eflecti4e "hin*ing
23opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
5/22
2) %ue to the European 3ommission's regulation< 6c%onald's cannot gi4e away soft-plastic
toys with its Bappy 6eals in Europe.
nswer! "#$E%iff! &age #ef! 15
3S! #eflecti4e "hin*ing
5) pple launched its i&hone in the $nited States in mid-::, and in the following months< it
was gradually rolled out in se4eral more mar*ets. "his is an e+ample of the dual-e+tensionstrategy.
nswer! "#$E
%iff! &age #ef! 1-1,
3S! #eflecti4e "hin*ing
) $nile4er reformulated its 3if brand spray cleaner to do a better job on grease in Italy since it
was found that Italian women are not interested in labor-sa4ing con4eniences compared tocleanliness.
nswer! "#$E
%iff! &age #ef! 1(3S! #eflecti4e "hin*ing
,) company that is oriented towards product ?platforms? is li*ely to be pursuing a product
adaptation approach to global mar*eting.nswer! "#$E
%iff! &age #ef!
3S! #eflecti4e "hin*ing
7) &roducts that fall under the dynamically continuous inno4ation category re/uire more # D %
e+penditures.nswer! 0SE
%iff! &age #ef! pp. -
3S! #eflecti4e "hin*ing
() Sony created a new mar*et when it introduced @3#s< which can be considered as an
e+ample of discontinuous inno4ations.
nswer! "#$E%iff! &age #ef! -
3S! #eflecti4e "hin*ing
2:) >hene4er a new product interacts with human< mechanical< or chemical elements< there is
the potential for a surprising and une+pected incompatibility.
nswer! "#$E%iff! &age #ef! 2
3S! #eflecti4e "hin*ing
53opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
6/22
21) 9enerally spea*ing< which of the following statements is true concerning product attributes
) "angible product attributes are more important than intangible ones.
) Intangible product attributes are more important than tangible ones.3) oth tangible and intangible product attributes are important.
%) Aeither tangible nor intangible product attributes are important.
E) product has more attributes than tangible and intangible ones.nswer! 3
%iff! &age #ef! (,
3S! #eflecti4e "hin*ing
2) d4ertising< company name< news stories< and promotion acti4ities are a few of the elements
that contribute to a company's!) logo de4elopment.
) brand e/uity.
3) brand image.%) co-branding effort.
E) brand label.
nswer! 3%iff! &age #ef! (7-((
3S! #eflecti4e "hin*ing
2) pple and Ao*ia both mar*et phones but their brand image differentiates them< which withpple can be partially attributed to all of the factors e+cept!
) i&hone has user-friendly features.
) Ao*ia's uses alphanumeric names for products.3) i&hone has more brand e/uity than Ao*ia.
%) pple's 3EC has more media presence than Ao*ia's.
E) Ao*ia's brand image is more s*ewed toward technology.nswer! 3
%iff! &age #ef! (7
3S! #eflecti4e "hin*ing
22) FFFFFFFF represents the cumulati4e added 4alue of a company's in4estment in the mar*eting
of a brand o4er time.
) rand e+tensions) 3o-branding
3) rand image
%) rand e/uityE) rand loyalty
nswer! %
%iff! &age #ef! (7-((3S! #eflecti4e "hin*ing
3opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
7/22
25) 0or nearly : years< %eeers has used the ad4ertising slogan ? diamond is fore4er.? Such a
long-term in4estment in mar*eting is central to de4eloping!
) brand e+tensions.) co-branding.
3) local brands.
%) brand e/uity.E) brand mar*s.
nswer! %
%iff! &age #ef! (7-((3S! #eflecti4e "hin*ing
2) In recent years< the 3oca-3ola 3ompany has been plagued by such problems as employeelawsuits o4er di4ersity issues< deteriorating bottler relations< a production stoppage< and a
disastrous product recall in elgium. "a*en together< these problems could dilute the company's
FFFFFFFF.) brand e+tension program
) co-branding efforts
3) international brands%) brand e/uity
E) productGcommunications e+tension strategy
nswer! %
%iff! &age #ef! (7-((3S! #eflecti4e "hin*ing
2,) "he Ai*e swoosh< 6c%onald's golden arches< and pple's rainbow apple are all e+amples of!) non-word mar*s.
) brand e+tensions.
3) brand symbols.%) global brands.
E) both and 3
nswer! E%iff! &age #ef! (7-((
3S! #eflecti4e "hin*ing
27) Sony is famous worldwide for its >al*manH personal stereo. >hich of the following reflectsthe most accurate use of mar*eting terminology
) ?Sonyal*man
-
8/10/2019 Chap10 GM6e TIF
8/22
2() round the world< 4arious brands of personal computers are sold with &entium processors.
"his fact is often used as a selling point< with ad4ertising that proclaims ?Intel Inside.? >hich
branding concept does such ad4ertising reflect) brand e/uity
) co-branding
3) brand image%) brand e+tension
E) tiered branding
nswer! %iff! &age #ef! (7-((
3S! #eflecti4e "hin*ing
5:) s outlined by branding e+pert Je4in Jeller< the benefits of strong brand e/uity include all
of the following e+cept!
) greater loyalty.) more 4ulnerability to mar*eting actions.
3) less 4ulnerability to mar*eting crises.
%) more inelastic consumer response to price increases.E) more elastic consumer response to price decreases.
nswer!
%iff! &age #ef! (7-((
3S! #eflecti4e "hin*ing
51) ritish entrepreneur #ichard ranson has built a global business empire by!
) relying on brand e+tension.) being the first to use smart cards in major mar*ets.
3) de4eloping local brands.
%) a4oiding consumer businesses with established leaders.E) restricting the ?@irgin? name only to airlines.
nswer!
%iff! &age #ef! :-:3S! #eflecti4e "hin*ing
5) >hich of the following is AC" in the top fi4e of the world's most 4aluable brands and
determined byBusiness Week=::7)) Sony
) 6icrosoft
3) 3oca-3ola%) 9E
E) Ao*ia
nswer! %iff! &age #ef! :
3S! #eflecti4e "hin*ing
73opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
9/22
5) 6aslow's hierarchy is applicable to global mar*eting because it can help e+plain how!
) basic human needs can dri4e the de4elopment of global products.
) ?self-actualization? is the highest-order need in 8apan as well as >estern nations.3) status needs in different countries can only be fulfilled with localized products.
%) ?lu+ury badging? is irrele4ant to companies mar*eting in sia.
E) sians differ from >esterners in their basic physiological needs.nswer!
%iff! &age #ef! :,-:(
3S! #eflecti4e "hin*ing
52) lfred Keien< former chairman of 9illette< once noted that his company's &ar*er &en unit
does not ha4e to de4elop a special model for 6alaysia and Singapore because shoppersworldwide see* the same things when buying a gift that will ser4e the recipient as a status
symbol. "his insight relates to which le4el of 6aslow's hierarchy of needs
) physiological) safety
3) social
%) esteemE) self-actualization
nswer! %
%iff! &age #ef! :7-:(
3S! #eflecti4e "hin*ing
55) 3omparing the traditional formulation of 6aslow's hierarchy with the results of current
research on the consumer needs and moti4ation in sia< which of the following is correct) "he lowest le4els of the hierarchy are the same in the traditional and sian 4ersions.
) "he lowest le4els of the hierarchy are the same in the traditional and sian 4ersions.
3) "he lowest 2 le4els of the hierarchy are the same in the traditional and sian 4ersions.%) "he fi4e le4els in the traditional formulation apply e/ually in the >est and in sia.
E) "he highest le4els of the hierarchy are same in the traditional and sian 4ersions.
nswer! %iff! &age #ef! :,-:(
3S! #eflecti4e "hin*ing
5) >hich of the following is AC" one of the le4els in the sian 4ersion of 6aslow's hierarchy) physiological
) safety
3) affiliation%) admiration
E) self-actualization
nswer! E%iff! &age #ef! :,-:(
3S! #eflecti4e "hin*ing
(3opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
10/22
5,) >hich of the following could hinder the success of products labeled ?6ade in angladesh?
or ?6ade in "hailand? in e+port mar*ets
) negati4e country-of-origin bias) no possible /ualityGprice positioning
3) low acceptance of pri4ate brands
%) high product saturation le4els in global mar*etsE) lac* of promotion in global mar*ets
nswer!
%iff! &age #ef! 1:-113S! #eflecti4e "hin*ing
57) "he mar*eters of 3orona beer achie4ed great success in the $.S. mar*et by!) retaining the bottle design originally used in 6e+ico.
) hiring Bispanic mo4ie stars as endorsers.
3) distributing 3orona in returnable bottles.%) changing the brewing recipe to conform to merican palates.
E) by ha4ing the label in Spanish language.
nswer! %iff! &age #ef! 1:-11
3S! #eflecti4e "hin*ing
5() 3oca-3ola's distincti4e contour bottle< which is sold in many countries< illustrates the pointthat!
) the pac*aging strategies can 4ary by country and region.
) the pac*aging helps in storing large sizes in refrigerators.3) the pac*aging strategies do not change by country and region.
%) the pac*aging appeals only to sian consumers.
E) the pac*aging helps in brand identification.nswer!
%iff! &age #ef! 11-1
3S! #eflecti4e "hin*ing
:) 9enerally spea*ing< which of the following product categories represents the best potential
for e+tension into international mar*ets without adaptation
) companion products) food products
3) industrial products
%) intangible productsE) non-alcoholic drin*s
nswer! 3
%iff! &age #ef! 13S! #eflecti4e "hin*ing
1:3opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
11/22
1) %ry soup mi+es that ha4e long been popular in Europe are mar*eted as sauces or dips in the
$.S. "his is an e+ample of the FFFFFFFF strategy.
) product-communications e+tension) product e+tension-communications adaptation
3) product adaptation-communications e+tension
%) dual adaptationE) product in4ention
nswer!
%iff! &age #ef! 1-1,3S! #eflecti4e "hin*ing
) "argeting the :: million farmers in India who still use plows harnessed to o+en< 8ohn %eereengineers created a line of relati4ely ine+pensi4e< no-frills tractors. "he %eere team then realized
that the same e/uipment could be mar*eted to hobby farmers and acreage owners in the $nited
States< a segment that they had pre4iously o4erloo*ed. "his is an e+ample of FFFFFFFF strategy.) product-communications e+tension
) product e+tension-communications adaptation
3) product adaptation-communications e+tension%) dual adaptation
E) product in4ention
nswer!
%iff! &age #ef! 1-1,3S! #eflecti4e "hin*ing
) 3ampbell's has been mar*eting soup in 8apan for more than 2: years. Early on< 8apaneseconsumers were not recepti4e to ads featuring the 3ampbell Jids and the ?6'm 6'm 9ood?
slogan. "his compelled 3ampbell's to de4elop ads featuring a tal*ing soup can *nown as ?6r.
3ampbell.? 3ampbell's also de4eloped soup 4arieties for 8apan with fish as the main proteinsource and spices that reflect local preferences. s described here< which of the following
strategies has 3ampbell's used in 8apan
) product-communications e+tension) product e+tension-communications adaptation
3) product adaptation-communications e+tension
%) product-communication adaptation
E) product in4entionnswer! %
%iff! 1 &age #ef! 1-1,
3S! #eflecti4e "hin*ing
113opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
12/22
2) &rior to ::2< Ao*ia launched different cell phone products in different countries at different
times. Ao*ia also used different ad4ertising images and messages in different countries. >hich
approach to the world mar*etplace was Ao*ia using) product-communications e+tension
) product e+tension-communications adaptation
3) product adaptation-communications e+tension%) product-communication adaptation
E) product in4ention
nswer! %%iff! &age #ef! 17-1(
3S! #eflecti4e "hin*ing
5) efore en D 8erry's launched their ice cream in the $nited Jingdom the company
conducted e+tensi4e research to determine whether the pac*age design was appropriate. "he
research indicated that ritish consumers percei4ed the colors differently than $.S. consumers."he pac*age design was changed accordingly. "his type of strategy can be defined as!
) product-communications e+tension.
) product e+tension-communications adaptation.3) product adaptation-communications e+tension.
%) product-communication adaptation.
E) product in4ention.
nswer! %iff! &age #ef! 1-1,
3S! #eflecti4e "hin*ing
) "o promote its 3entrino wireless chip< Intel launched a global ad campaign that features
different combinations of celebrities. "hese celebrities were chosen because they are widely
recognized in the *ey world mar*ets. "his type of strategy is referred to as!) product-communications e+tension.
) product e+tension-communications adaptation.
3) product adaptation-communications e+tension.%) product-communication adaptation.
E) product in4ention.
nswer!
%iff! &age #ef! 1-1,3S! #eflecti4e "hin*ing
,) 3olgate's "otal is a new toothpaste brand whose formulation< imagery< and consumer appealwere designed from the beginning to translate across national boundaries. >hich strategy did
3olgate use with "otal
) product-communications e+tension) product e+tension-communications adaptation
3) product adaptation-communications e+tension
%) dual adaptation
E) product in4entionnswer! E
%iff! &age #ef! 1(-:
3S! #eflecti4e "hin*ing1
3opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
13/22
7) Bindustan e4er recently de4eloped a hard candy fla4ored with natural fruit juice that it sells
profitably in India for the e/ui4alent of 1 cent per piece. "his is Bindustan e4er's first-e4er
candy product. >hat strategy is e4ident here) product-communications e+tension
) product e+tension-communications adaptation
3) product adaptation-communications e+tension%) dual adaptation
E) product in4ention
nswer! E%iff! &age #ef! 1(-:
3S! #eflecti4e "hin*ing
() "he formulation< imagery< and consumer appeal of 3olgate's "otal brand toothpaste were
designed to translate across national boundaries. "his new global brand represents which type of
product inno4ation) discontinuous inno4ation
) dynamically continuous inno4ation
3) continuous inno4ation%) comparati4e inno4ation
E) dynamically discontinuous inno4ation
nswer! 3
%iff! &age #ef! 1-3S! #eflecti4e "hin*ing
,:) >hen introduced in the late 1(,:s< the @3# created new patterns of consumer beha4ior. 0ore+ample< assuming the user could learn to set the timer< he or she could tape programs to watch
at a later time. %@%< a playbac* only 4ideo system< was introduced in the late 1((:s. %@% discs
contain full-length mo4ies with digital sound in a format that resembles con4entional musiccompact discs. >hich of the following most accurately describes the respecti4e degree of
newness of these two global products
) "he @3# is a discontinuous inno4ation the %@% is a dynamically continuous inno4ation.) "he @3# is a dynamically continuous inno4ation the %@% is a discontinuous inno4ation.
3) "he @3# and %@% are both dynamically continuous inno4ations.
%) "he @3# and %@% are both discontinuous inno4ations.
E) "he @3# and %@% are both continuous inno4ations.nswer!
%iff! &age #ef! 1-
3S! #eflecti4e "hin*ing
13opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
14/22
,1) "he introduction of consumer @3#s in the late 1(,:s initiated a re4olutionized in-home
electronic entertainment. 0or e+ample< assuming the user could learn to set the timer< he or she
could tape programs to watch at a later time. "he @3#'s popularity also ga4e rise to an entirelynew retailing concept< the 4ideo rental store. >hat type of inno4ation did the consumer @3#
represent
) a continuous inno4ation) a dynamically continuous inno4ation
3) a discontinuous inno4ation
%) a comparati4e inno4ationE) none of the abo4e
nswer! 3
%iff! &age #ef! 1-
3S! #eflecti4e "hin*ing
,) "he d4anced &hoto System =&S) created by Joda* and its partners combines traditional
chemical photo processing with digital technology. Cne benefit of the system is that shutterbugs
can choose different print sizes. "he &S would best be described as a!) continuous inno4ation.
) dynamically continuous inno4ation.3) discontinuous inno4ation.
%) platform-based inno4ation.
E) new and impro4ed inno4ation.nswer!
%iff! &age #ef! 1-
3S! #eflecti4e "hin*ing
,) fter four years of product de4elopment< &rocter D 9amble recently introduced a newhat *ind of
inno4ation do the new diapers represent
) platform-based inno4ation) dynamically continuous inno4ation
3) discontinuous inno4ation
%) continuous inno4ation
E) none of the abo4enswer! %
%iff! &age #ef! 1-
3S! #eflecti4e "hin*ing
123opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
15/22
,2) &rocter D 9amble recently introduced &ers #ash 9uard. #ash 9uard does not represent
a new productper se rather< the diapers are being mar*eted as an alternati4e to regular &ers.
>hat type of inno4ation do &ers #ash 9uard represent) a continuous inno4ation
) a dynamically continuous inno4ation
3) a discontinuous inno4ation%) a platform-based inno4ation
E) none of the abo4e
nswer! %iff! &age #ef! 1-
3S! #eflecti4e "hin*ing
,5) 6otorola's failed Iridium 4enture was a global satellite telephone networ* designed to allowusers to ma*e or recei4e calls anywhere on the globe using handsets that are somewhat bigger
than typical cellular phones. >hat type of inno4ation did Iridium represent
) a continuous inno4ation
) a dynamically continuous inno4ation3) a discontinuous inno4ation
%) a platform-based inno4ationE) none of the abo4e
nswer!
%iff! &age #ef! 1-3S! #eflecti4e "hin*ing
,) y definition< a FFFFFFFF re/uires a large amount of learning on the part of users and
typically creates new mar*ets and consumption patterns.) continuous inno4ation
) dynamically continuous inno4ation
3) discontinuous inno4ation%) platform-based inno4ation
E) new and impro4ed inno4ation
nswer! 3%iff! &age #ef! 1-
3S! #eflecti4e "hin*ing
,,) In 3hinese mar*ets< Ai*e had a problem using the ?8ust %o It? attitude which was not found
to be appropriate. 0inally< Ai*e decided to use 3hinese athletes in their promotion. "his type of
adaptation was needed due to!) 3hinese do not wear running shoes.
) ingrained 3hinese 4alues which respect authority.
3) 3hinese athletes use Ai*e shoes.%) ?8ust do it? in 3hinese has a negati4e connotation.
E) parents do not want their children to see such ads.
nswer!
%iff! &age #ef! 23S! #eflecti4e "hin*ing
153opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
16/22
,7) >hich of the following consumer products companies e+perienced a major product failure in
Europe due to inade/uate test mar*eting
) &rocter D 9amble) 3olgate
3) Jao
%) $nile4erE) Seagram
nswer! %
%iff! &age #ef! 23S! #eflecti4e "hin*ing
,() >hich global company was responsible for bringing the Smart car to mar*et
) Swatch) @ol*swagen
3) Aissan
%) 0ord
E) %aimler3hryslernswer! E
%iff! &age #ef! 73S! #eflecti4e "hin*ing
7:) "he corporate de4elopment team at @irgin e4aluates more than a dozen proposals each dayfrom outside and within the company. >hen assessing new-product ideas they loo* for all of the
following e+cept!
) synergy with e+isting @irgin products.
) pricing and return on in4estment.3) mar*eting opportunities.
%) if the idea ?uses or abuses? the @irgin brand.
E) aesthetic attributes of competitors products.nswer! E
%iff! &age #ef! 2
3S! #eflecti4e "hin*ing
13opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
17/22
71) >hat are brands and what are their functions in global mar*eting Bow do brands de4elop
their image< identity< and e/uity re global product and global brands same
nswer! brand is a comple+ bundle of images and e+periences in the consumer's mind. randsperform two important functions< first they represents a promise by a particular company about a
particular product and secondly< brands enable customers to better organize their shopping
e+periences by helping them see* out and find a particular product. 3ustomers integrate all theire+periences of obser4ing< using< or consuming a product with other aspects that they obtain from
a 4ariety of published and 4erbal information. &erceptions can be based on price< after sale
ser4ice< distribution< and a 4ariety of other e+periences. "he sum of these impressions becomes abrand image which is actually a mental image of both the product as well as the company. rand
e/uity represents the total 4alue that accrues to a product as a result of a company's cumulati4e
in4estments in the mar*eting of the brand. 3ompanies de4elop logos< distincti4e pac*aging< and
other communication de4ises to pro4ide 4isual representations of their brands. local product orlocal brand is one that has achie4ed success in a single national mar*et. global product meets
the wants and needs of a global mar*et. true global product is offered in all world regions.
global brand has the same name and< in some instances< a similar image and positioning
throughout the world. "hus global products and global brands are different.%iff! &age #ef! (7-:
3S! #eflecti4e "hin*ing
7) 3oca-3ola has de4eloped se4eral branded drin* products for sale only in 8apan< including a
noncarbonated ginseng-fla4ored be4erage. $sing this as an e+ample< outline the differencesbetween local brand and global brand combination branding communication-branding< and
brand e+tensions
nswer! local product or local brand is one that has achie4ed success in a single national
mar*et. global company creates local products and brands in an effort to cater to the needs andpreferences of a particular country mar*et. "he Sony >al*man is an e+ample of combination or
tiered branding whereby a corporate name =Sony) is combined with a product name =>al*man).
y using combination branding mar*eters can le4erage a company's reputation while de4elopinga distincti4e brand identity for the line of products. 3o-branding is a 4ariation of combination
branding in which two or more different company or product brands are featured prominently on
product pac*aging or ad4ertising. good e+ample would be the Intel Inside campaign promotingboth the Intel 3orporation and its &entium-brand processors in conjunction with ad4ertising for
4arious brands of personal computers. 9lobal companies can also le4erage strong brands by
creating brand e+tensions. rand names are used as an umbrella when entering new businesses
or de4eloping new product lines that represent new categories to the company. 0or e+ample the@irgin brand has been attached to a wide range of businesses and products such as airline< retail
stores< mo4ie theaters< financial ser4ices< and soft drin*s.
%iff! &age #ef! ((-:3S! #eflecti4e "hin*ing
1,3opyright ; :11 &earson Education< Inc.
-
8/10/2019 Chap10 GM6e TIF
18/22
7) %escribe the guidelines that can assist mar*eting managers in their efforts to establish global
brand leadership.
nswer! "he following si+ guidelines are mentioned as helpful for mar*eting managers in theirefforts to establish global brand leadership! =1) creating a compelling 4alue proposition for
consumers in e4ery mar*et entered< beginning with the home-country mar*et =) before going
international< thin*ing about all elements related to brand such as brand identity< names< mar*s
-
8/10/2019 Chap10 GM6e TIF
19/22
75) If a label on a product states ?6ade in "hailand? and a similar product has a label ?6ade in
9ermany? then why do consumers consider the latter to be better than the former >hat different
does a label ma*e in the perception of a consumernswer! In global mar*eting consumer perceptions play a 4ery important role. Such perceptions
contribute to what is referred to as the ?country-of-origin? effect. "hey become part of a brand's
image and contribute to its brand e/uity. "his is particularly true for product categories that aremost commonly consumed such as automobiles< electronics< fashion< recorded music< food< and
other products. "he country of origin effect can be positi4e or negati4e. Cf course positi4e ones
add to the brand's image and contribute to its brand e/uity. 0or e+ample< Swiss watches< 0renchwines< or 8apanese cars are well *nown. &erceptions are hard to change and it ta*es time for
perceptions to set. "he manufacturing reputation of a particular country can change o4er time.
Jorea's image has impro4ed greatly in recent years. It is e+pected that some national brands
de4eloping from sian countries will ha4e an impact. Sometimes one brand can lead in forminga country of origin affect. Ao*ia phones for e+ample ha4e made 0inland popular and products
coming from there will ha4e the /uality impression that has been formed by Ao*ia. lsohat factors should managers ta*e into account in de4eloping new products for international
mar*ets >hat are the conse/uences for not ade/uately testing new products
nswer! It is e+tremely important to carefully de4elop new products for international mar*ets.In many corporations they ha4e a department which is continuously responsible for testing new
products. "here are three primary acti4ities that managers should underta*e and carry out on a
routine basis. 0irst< they should ensure that all rele4ant information sources are continuouslytapped for new-product ideas. "his can come from e+ternal or internal sources. Secondly< they
should carefully screen all ideas to identify potential candidates for further in4estigation. 0inally