39 Questions
What is one method of substituting national statistics in place of specific product data?
Both a and b
What is the assumption behind creating ratio comparisons using data from two markets to predict a third market's consumption?
Consumption in one market is proportional to another based on known indicators
Which organization is listed as a source for country and market data in the text?
CIA World Factbook
What are some of the challenges associated with determining a company's competitive position internationally?
All of the above
What does the assumption in timeline comparisons involve?
Known markets have the same consumption as unknown markets over time
What are some obstacles to collecting international data according to the text?
Language barriers
In determining a company's competitive position internationally, what information is important to research about competitors?
Their international strategic plan
What is a method used for substituting national statistics when specific product data is unavailable?
Utilizing demographic statistics
"Determining a Company’s Competitive Position Internationally" involves researching which of the following?
"How much are they selling and at what price"
What is a key benefit of indirect exporting mentioned in the text?
Low risk in international
Which factor is listed as a disadvantage of indirect exporting in the text?
Poor market feedback
What does direct market entry involve according to the text?
Dealing directly with an entity in the foreign market
What benefit is associated with direct exporting as per the text?
Improved feedback and re-evaluation
Which aspect is highlighted as a disadvantage of indirect exporting?
Loss of very important information
What responsibility does direct export success place on the manufacturer/seller and buyer?
Shared responsibility for product and marketing details
What is a disadvantage of direct exporting compared to indirect exporting?
Greater financial and resource commitment
What is a benefit of using a sales agent for exporting?
Lower sales overhead
Why might time-to-market be higher in using a sales agent compared to direct exporting?
May represent competitors
What is a characteristic of indirect exporters according to the text?
Market control and feedback are high
In the context of foreign market entry mode selection, what is the significance of "All or Nothing"?
Financial and Resource Commitment
What is a possible disadvantage of using a sales agent for exporting?
May represent competitors
What is a common difficulty companies face when trying to move beyond exporting?
Increased risk and responsibilities
Why might companies need to move from exclusive contracts to non-exclusive when expanding internationally?
To increase foreign market control and feedback
What can limit the success of exporting in certain foreign markets according to the text?
High import barriers and landed costs
Why might reducing transportation costs be a justification for Foreign Direct Investment (FDI)?
International cost escalators make products noncompetitive
What is a reason companies may choose FDI over exporting?
Need for increased foreign market control and feedback
Why might a company prefer domestic production over exporting to foreign markets?
High transportation costs in foreign markets
What should companies consider when deciding between indirect exporting and direct exporting?
Market-by-market basis
Why is changing from indirect to direct exporting considered difficult?
Lack of experience
What is the most risky foreign market entry mode according to the text?
Foreign Direct Investment (FDI)
When might companies consider establishing a Joint Venture or foreign subsidiary?
When there is a need for more control/feedback
What does Foreign Direct Investment (FDI) involve?
Investing in a facility or asset in a foreign country
Why might companies avoid using Foreign Direct Investment (FDI) as an entry mode according to the text?
High risk associated with FDI
What is one of the reasons for declining multi-faceted, as mentioned in the text?
Increased local competition
In the context of Foreign Direct Investment (FDI) manufacturing, what does setting up foreign sales offices with local directors aim to achieve?
Increased access to local infrastructure
What is one advantage of Foreign Sales and Marketing as an FDI option, according to the text?
Increased focus on market accessibility
When considering Overseas Distribution as an FDI option, what does purchasing a warehouse signify?
Improved control of warehousing and distribution
What are some key considerations when selecting Foreign Market Entry Mode involving FDI, as indicated in the text?
Location, facility size, and staffing
What role does Third Party Logistics (3PL) play in the context of Overseas Distribution as an FDI option?
Increases control over supply chain
Learn how to segment research tasks, define budgets, and set short, medium, and long-term goals for your international marketing strategy. Explore the importance of setting realistic goals that align with your objectives. Discover resources like Customized Market Analysis (CMA) reports for primary data.
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