Global Marketing - Chapter 21

Question 1

adapted marketing mix

Answer 1

an international marketing strategy for changing the marketing mix for each foreign target market

Question 2

centralisation

Answer 2

the global integration of marketing operations

Question 3

contractual joint venture

Answer 3

two or more companies form a partnership but no joint enterprise with a separate identity is formed

Question 4

counter-trade

Answer 4

a method of exchange where not all transactions are concluded in cash; goods may be included as part of the asking pirice

Question 5

decentralisation

Answer 5

the delegation of marketing operations to individual countries or regions

Question 6

direct exporting

Answer 6

the handling of exporting activities by the exporting organisation rather than by a domestically based independent organisation

Question 7

equity joint venture

Answer 7

where two or more companies form a partnership that involves the creation of a new company

Question 8

foreign consumer culture positioning

Answer 8

positioning a brand as associated with a specific foreign culture (e.g. Italian fashion)

Question 9

franchising

Answer 9

a form of licensing where a package of services is offered by the franchiser to the franchisee in return for payment

Question 10

global consumer culture positioning

Answer 10

positioning a brand as a symbol of a given global culture

Question 11

indirect exporting

Answer 11

the use of independent organisations within the exports domestic market to facilitate eport

Question 12

direct exporting

Answer 12

the handling of exporting activities by the exporting organisation rather than by a domestically based independent organisation

Question 13

equity joint venture

Answer 13

where two or more companies form a partnership that involves the creation of a new company

Question 14

foreign consumer culture positioning

Answer 14

positioning a brand as associated with a specific foreign culture (e.g. Italian fashion)

Question 15

franchising

Answer 15

a form of licensing where a package of services is offered by the franchiser to the franchisee in return for payment

Question 16

global consumer culture positioning

Answer 16

positioning a brand as a symbol of a given global culture

Question 17

indirect exporting

Answer 17

the use of independent organisations within the exports domestic market to facilitate export

Question 18

licensing

Answer 18

a contractual arrangement in which a licencor provides a licensee with certain rights, e.g. to technological access

Question 19

local consumer culture positioning

Answer 19

positioning a brand as associated with a local culture

Question 20

self-reference criteria

Answer 20

the use of ones own perceptions and choice criteria to judge what is important to consumers. In global marketing the perceptions and choice criteria of domestic consumers may be used to judge what is important to foreign consumers.

Question 21

standardised marketing mix

Answer 21

a marketing strategy for using essentially the same product, promotion, distribution and pricing in all the company’s global markets.

Question 22

transfer pricing

Answer 22

the price charged between the profit centres of the same company, sometimes used to take advantage of lower taxes in another country.