MIB International Marketing Strategy 2

Question 1

Which framework analyzes a country's competitive advantage in specific industries using four key determinants?

Accepted Answer

Porter's Diamond Model

Answer

Porter's Diamond Model identifies four determinants—factor conditions, demand conditions, related industries, and firm strategy—that explain national competitive advantage.

Question 2

What is 'country-of-origin effect' in international marketing?

Accepted Answer

Consumer bias based on where a product was made

Answer

Country-of-origin effect refers to consumers' positive or negative perceptions of products based on the nation where they were manufactured or branded.

Question 3

In international distribution, an 'exclusive distribution' strategy means:

Accepted Answer

Limiting distribution to a single intermediary per territory

Answer

Exclusive distribution grants a single intermediary the sole right to distribute a product within a defined geographic territory, ensuring brand control.

Question 4

Which cultural dimension by Hofstede measures the degree to which less powerful members accept unequal power distribution?

Accepted Answer

Power Distance Index

Answer

The Power Distance Index (PDI) measures the extent to which less powerful members of society accept and expect that power is distributed unequally.

Question 5

Which international pricing approach sets prices based on what customers in each market are willing to pay?

Accepted Answer

Market-differentiated pricing

Answer

Market-differentiated pricing (also called price discrimination) sets different prices in different international markets based on local willingness to pay and competitive conditions.

MIB - Master of International Business Practice Test

MIB - Master of International Business Practice Test

MIB International Marketing Strategy 2