Chapter 6

Question 1

the practice of using barter rather than money for making global sales.

Answer 1

countertrade

Question 2

the monetary value of all products and services produced in a country during one year

Answer 2

gross domestic product (GDP)

Question 3

the difference between the monetary value of a nation’s exports and imports

Answer 3

balance of trade

Question 4

The focus on creating economic, cultural, political, and technological interdependence among individual national institutions and economics.

Answer 4

globalization

Question 5

The practice of shielding one or more industries within a country’s economy from foreign competition through the use of tariffs or quotas

Answer 5

protectionism

Question 6

Government taxes on products or services entering a country that primarily serve to raise prices on imports.

Answer 6

tariffs

Question 7

A restriction placed on the amount of a product allowed to enter or leave a country.

Answer 7

quota

Question 8

A permanent institution that sets rules governing trade between its members through panels of trade experts who decide on trade disputes between members and issue binding decisions.

Answer 8

World Trade Organization
(WTO)

Question 9

A situation in which countries try to damage each other’s trade, typically by imposition of tariff and quota restrictions.

Answer 9

trade war

Question 10

Exists when firms originate. produce, and market their products and services worldwide.

Answer 10

global competition

Question 11

A strategy used by multinational firms that have as many different product varlations, brand names, and advertising programs as countries in which they do business.

Answer 11

multidomestic marketing
strategy

Question 12

A strategy used by transnational firms that employ the practice of standardizing marketing activities when there are cultural similarities and adapting them when cultures differ.

Answer 12

global marketing strategy

Question 13

A brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs.

Answer 13

global brand

Question 14

Consumer groups living in many countries or regions of the world who have similar needs or seek similar features and benefits from products or services.

Answer 14

global consumers

Question 15

The clandestine collection of trade secrets or proprietary
Information about a company’s competitors.

Answer 15

economic espionage

Question 16

The study of similarities and differences among
consumers in two or more nations or societies.

Answer 16

cross-cultural analysis

Question 17

What is considered normal and expected about the way people do things in a specific country.

Answer 17

customs

Question 18

A law, amended by the International Anti-Dumping and Fair Competition Act
(1998), that makes it a crime for U.S. corporations to bribe an official of a foreign government or political party to obtain or retain business in a foreign country.

Answer 18

Foreign Corrupt Practices
Act (1977)

Question 19

Things that represent ideas and concepts in a specific culture.

Answer 19

cultural symbols

Question 20

The practice where a translated word or phrase is retranslated into the original language by a different interpreter to catch errors.

Answer 20

back translation

Question 21

The tendency to believe that it is inappropriate, indeed immoral, to purchase foreign-made products.

Answer 21

consumer ethnocentrism

Question 22

markets in other countries same as home country

Answer 22

international firms

Question 23

markets differently to each country

Answer 23

multinational firms

Question 24

emphasizes universal consumer needs

Answer 24

transactional firms