M07-08 Quiz: Chapter
7 and 8 Quiz
Question 1
When a business pays for the use of an equipment owned by an
outside supplier for a specified period of time, the process is known as:
leasing.
outsourcing.
nearshoring.
supply inversion.
Question 2
The agreements that set terms for various aspects of
commercial relations with other countries such as the right to conduct business
in the treaty partner’s domestic market are called _____.
treaty of
establishment, commerce and navigation
free trade
agreements
friendship,
commerce, and navigation treaties
trade and investment
framework agreements
Question 3
Which of the following trade barriers puts a complete ban on
the import of specified products?
Embargo
Import quota
Revenue tariff
Subsidy
Question 4
The _____ is a trade bloc that establishes a free-trade area
and a uniform tariff for trade with nonmember nations.
customs union
cooperation council
common area of
administration
common market
Question 5
Which of the following is true regarding leasing needed
products from other organizations?
It increases the
sunk costs incurred by a firm.
It requires a high
level of capital commitment.
It makes it
difficult for a firm to customize the product according to their needs.
It provides
flexibility for a growing business allowing it to easily upgrade when needed.
Question 6
The linkage between demand for a company’s output and its
purchases of resources such as machinery, components, supplies, and raw materials
is referred to as a(n) _____.
derived demand
inelastic demand
joint demand
versatile demand
Question 7
Which of the following actions generally helps marketers
encounter new products, new approaches to distribution, or clever new
promotional ideas?
Globalization
Developing core
values
Market penetration
Product
standardization
Question 8
Which of the following stages of the organizational buying
process involves comparing vendors’ proposals?
Evaluating proposals
and selecting suppliers
Searching for
potential sources
Recognizing and
determining the characteristics of a need
Acquiring and
analyzing proposals
Question 9
Praga is an automobile manufacturing company that makes
cars. Praga buys steel, aluminum, paints, car engines and other necessary
components from various suppliers around the world and assembles them together
to make a final product. Praga belongs to the _____ component of the
business-to-business market.
institutions
commercial market
governmental
organizations
trade industries
Question 10
A global marketing strategy differs from a multidomestic
marketing strategy in that the global marketing strategy:
is tailored to meet
the specific needs of the target markets in each nation.
is a standardized
marketing mix that can be used in all markets with minimal modifications.
is ideal for highly
differentiated products or products that are designed on the basis of local
preferences.
does not bring the
advantage of economies of scale to production and marketing activities.
