ISC 161 EXAM 4 QUESTIONS AND
ANSWERS
What are some reasons for developing different strategies for foreign markets? -
ANSWER-- unfamiliar marketing environment
- Different consumption patterns
- Language barrier
- Lack of variation in media options
What are some major external environmental factors a company must study when
considering international markets? - ANSWER-- economic environment
- demographic environment
- legal environment
- cultural environment
- political factors
What are some examples of major environmental factors? - ANSWER-- standard of
living
- distribution of wealth
What are some examples of major economic factors? - ANSWER-
What are some examples of major demographic factors? - ANSWER-
What are some examples of major political/legal environments? - ANSWER-
What is global marketing strategy? - ANSWER-Using a common marketing plan for
all countries that it operates in (sell them same product then same way everywhere)
What is the country-of-origin effect? - ANSWER-Consumer's general perception of
the quality of products that are made in a specific country (swish watches are
perceived to be high quality because it was produced ion Switzerland)
What is pattern advertising? - ANSWER-Ads follow a basic approach, but some
elements might be adapted for more local markets
What is localized advertising? - ANSWER-Determine what type of selling idea and
ad appeal work in each market
What are advantages of global marketing and advertising? - ANSWER-Economics of
scale
- Lower advertising production costs
- MORE
, Which organizations have legal biding power to regulated advertising? - ANSWER--
Federal trade commission (FTC)
- Federal drug commission
MORE
What is advertising substantiation? - ANSWER-Require advertisers to back up their
claim (MORE)
What is puffery? - ANSWER-Advertising that describes an opinion without
substantiation
What is deception? - ANSWER-A misrepresentation, omission, or practice that's
likely to lead the consumer, to the consumers detriment
What is corrective advertising? - ANSWER-FTC: guilty advertisers should run
additional advertising to remedy and misdirection or deception the original ad may
have caused
What is the Lanham Act? - ANSWER-Government regulation that prohibits any false
description or representation
What is the Wheeler-Lea Amendment? - ANSWER-Gave the FTC the power to issue
cease and desist orders/give fines to any violators
What is the FDA in charge of? - ANSWER-FDA: Federal Drug Administration
- Has authority over labeling, ingredients, ads, etc
- Anything to do with food, cosmetics, and the packaging it comes in
Why would advertisers voluntarily support self-regulation? - ANSWER-- Way to limit
government interference
What is the largest and most significant self-regulatory body for businesses? -
ANSWER-BBB: Better Business Buearu
MORE
What are ethics? - ANSWER-Moral principles and values that govern individual or
group behavior
What is the relationship between laws and ethics? - ANSWER-Marketing and
promotion may be legal, but that doesn't mean it's always ethical
What are some arguments presented by proponents as well as critics of advertising?
- ANSWER-FOR ADS:
- encourages higher standard of living
- Creates jobs
MOTRE
AGAINST:
-propaganda
MORE
ANSWERS
What are some reasons for developing different strategies for foreign markets? -
ANSWER-- unfamiliar marketing environment
- Different consumption patterns
- Language barrier
- Lack of variation in media options
What are some major external environmental factors a company must study when
considering international markets? - ANSWER-- economic environment
- demographic environment
- legal environment
- cultural environment
- political factors
What are some examples of major environmental factors? - ANSWER-- standard of
living
- distribution of wealth
What are some examples of major economic factors? - ANSWER-
What are some examples of major demographic factors? - ANSWER-
What are some examples of major political/legal environments? - ANSWER-
What is global marketing strategy? - ANSWER-Using a common marketing plan for
all countries that it operates in (sell them same product then same way everywhere)
What is the country-of-origin effect? - ANSWER-Consumer's general perception of
the quality of products that are made in a specific country (swish watches are
perceived to be high quality because it was produced ion Switzerland)
What is pattern advertising? - ANSWER-Ads follow a basic approach, but some
elements might be adapted for more local markets
What is localized advertising? - ANSWER-Determine what type of selling idea and
ad appeal work in each market
What are advantages of global marketing and advertising? - ANSWER-Economics of
scale
- Lower advertising production costs
- MORE
, Which organizations have legal biding power to regulated advertising? - ANSWER--
Federal trade commission (FTC)
- Federal drug commission
MORE
What is advertising substantiation? - ANSWER-Require advertisers to back up their
claim (MORE)
What is puffery? - ANSWER-Advertising that describes an opinion without
substantiation
What is deception? - ANSWER-A misrepresentation, omission, or practice that's
likely to lead the consumer, to the consumers detriment
What is corrective advertising? - ANSWER-FTC: guilty advertisers should run
additional advertising to remedy and misdirection or deception the original ad may
have caused
What is the Lanham Act? - ANSWER-Government regulation that prohibits any false
description or representation
What is the Wheeler-Lea Amendment? - ANSWER-Gave the FTC the power to issue
cease and desist orders/give fines to any violators
What is the FDA in charge of? - ANSWER-FDA: Federal Drug Administration
- Has authority over labeling, ingredients, ads, etc
- Anything to do with food, cosmetics, and the packaging it comes in
Why would advertisers voluntarily support self-regulation? - ANSWER-- Way to limit
government interference
What is the largest and most significant self-regulatory body for businesses? -
ANSWER-BBB: Better Business Buearu
MORE
What are ethics? - ANSWER-Moral principles and values that govern individual or
group behavior
What is the relationship between laws and ethics? - ANSWER-Marketing and
promotion may be legal, but that doesn't mean it's always ethical
What are some arguments presented by proponents as well as critics of advertising?
- ANSWER-FOR ADS:
- encourages higher standard of living
- Creates jobs
MOTRE
AGAINST:
-propaganda
MORE
