Chapter 18- Global Marketing and R&D

Question 1

how many stores are in the area

Answer 1

retail concentration

Question 2

how far it is from the manufacturer to the consumer

Answer 2

channel length

Question 3

what has really shortened channel length in recent years

Answer 3

the internet

Question 4

what is good about having a short channel length

Answer 4

you can really understand who your final customer is and cater to them

Question 5

when it is hard to get into a certain market or channel

Answer 5

channel exclusivity; an example of this is grocery stores; they often don’t want to risk their profits and shelf space on new products so it makes it very hard to get into

Question 6

the expertise of retailers and their ability to sell; value on the quality of the product or the quality of service: ex. is high customer service critical to the market

Answer 6

channel quality

Question 7

very visible brand and lots of mass media; consumer products; long distribution channel; easily understood products; do it in a country that you have lots of ways to reach people

Answer 7

pull strategy

Question 8

more of a personal connection; industrial goods; know who their customer is (very small amount); not as much mass media; relationship building; has to be more personalized; complex products; short distribution channels

Answer 8

push strategy

Question 9

in ideal companies ______, ______, and ______ all work together

Answer 9

R&D, marketing, and production

Question 10

the set of choices a firm offers to its target markets, such as the products available

Answer 10

marketing mix

Question 11

in a concentrated retail system, most of the market is supplied by

Answer 11

few retailers

Question 12

refers to the number of intermediaries between the manufacturer and the consumer

Answer 12

channel length

Question 13

difficult for new firms to gain access to retail space

Answer 13

exclusive channels

Question 14

the method a company chooses for delivering a product to the consumer

Answer 14

distribution strategy

Question 15

when a company uses a ____ strategy, it emphasizes personal selling rather than mass media advertising

Answer 15

push

Question 16

if a company chooses to use mass media advertising rather than personal selling as a communication strategy it is using

Answer 16

a pull strategy

Question 17

when consumers in one area are charged lower prices for now apparent reason

Answer 17

price discrimination

Question 18

what are three arguments in support of global advertising

Answer 18

significant economic advantages; one large advertising effort might produce better results; many brand names are global

Question 19

what are three aspects of strategic pricing

Answer 19

multipoint, experience curve, and predatory pricing

Question 20

the use of price as a competitive weapon to drive out weaker competition in a national market

Answer 20

predatory pricing

Question 21

companies that price products low worldwide in an attempt to build global sales volume as rapidly as possible are implementing

Answer 21

experience curve pricing

Question 22

what are two regulatory situations that can affect a company’s pricing decisions

Answer 22

competition policy and antidumping regulations

Question 23

selling for lower than the cost of production

Answer 23

dumping

Question 24

______ demand occurs when a large change in price produces a small change in demand

Answer 24

inelastic

Question 25

a tool that companies use when trying to identify distinct groups of consumers whose purchasing behaviors differ from other consumers

Answer 25

market segmentation