1. Health, Inc. is a company that produces low-fat foods in the United States. T
ID: 466676 • Letter: 1
Question
1. Health, Inc. is a company that produces low-fat foods in the United States. The company would like to enter into an international market and has looked into China and India. Company executives are reviewing the pros and cons for both China and India. Which of the following would weaken the argument for entering into the Chinese market?
2. Kelfas Computer Services requests Dotcom Computers of the U.S, to grant it permission to use its logo to help in boost its retail sale in in Belgium, its home market. Which of the following modes of international business would help directly enable Kelfas Computer Services to use the brand name of Dotcom Computers?
3. Proctor and Gamble runs Tide–a cleaning supply brand located all over the country. The brand has a loyal customer base and is well-known for its signature detergents, and laundry softeners.
The company is faced with two critical decisions:
(1) Should it expand its operations into China?
(2) If it does attempt to compete in the Chinese market, should it use a franchise system for opening stores or should it follow a corporate chain store model?
Which of the following, if true, would weaken the argument for operating company-owned outlets?
4. Select one of the following as an advantage of contract manufacturing as a way to enter a foreign market.
5. Taiwan's Legislative Yuan, the island’s parliament, is used to rambunctious drama. But the month long occupation of its main chamber, in spring, 2014, by protesting students is unprecedented in the country’s nearly two decades of full democracy.
The demonstrators, whose actions took many by surprise, want the government to scrap an agreement with China that would allow freer trade in services across the Taiwan Strait. They have displayed a large cartoon of Taiwan President Ma Ying-jeou in the debating hall, portraying him as a Chinese pawn. The president is at the nadir of his popularity, while China struggles to win over public opinion in Taiwan. Signs of public sympathy with the students are growing.
The agreement his government reached with China last June on removing barriers to cross-strait trade in services such as banking, e-commerce and health care is at the heart of many of Mr. Ma’s image problems. Mr. Ma sees the pact as a reward for the more conciliatory approach to China that he has adopted since he became president.
In contrast, the students occupying the legislature, as well as opposition parties who back them, claim that the trade deal will lead to all of the following outcomes, except _________.
d.Expanding trade relationships between Chinese and Taiwanese companies will slowly but surely divert production from Taiwanese factories and workers to cheaper mainland labor.
6. SyOps, a manufacturer of premium laptops is planning to expand its market. Currently, the company’s laptops are sold only in its home market, the United States. They feature extra memory, specialized graphics cards, enhanced speakers, and the fastest processor commercially available.
SyOps, seeing the emerging economic growth throughout Africa plans to expand into the African market. Despite accelerating progress, SyOps director of product development argues that the economic circumstances plus current technological infrastructure commonly found in Africa suggests that a far larger market exists for an entry level versions that has a few, but not many of the features and enhancements found in the premium laptop. The basic model would be sold at a competitive, entry-level price; still, customers would have the option to consider the premium version with the extras at a higher prices.
If the laptop manufacturer offers African consumers basic laptops with the option to add extras, research indicates that the company would earn more profits in the short term but permanently damage the brand in the long term.
Which of the following, if true, would support the argument that the laptop manufacturer should offer the basic versions with optional extras at a higher price point?
7. Which of the following is an example of a born global firm?
8. Selena Cole's company's core competency is manufacturing ballpoint pens in a wholly owned factory. The company also has a small line of fountain pens, which are manufactured by a local supplier.
The fountain pen production is an example of ________.
9. Stephanie has an idea for a business that she thinks could be very lucrative. After occasionally traveling abroad, she wants to create a website to appeal to consumers worldwide and market her innovative line of data services.
Her business plan predicts (assuming current economic conditions hold out and Stephanie's financing comes through) that she will be an up and running as an efficient international company within two years.
The Bank she has applied to for capital financing gives her file to a recently hired expert on international business who is quite familiar with the idea of a born global company.
His review of Stephanie’s business plan leads him to approve her loan application given his interpretation that the following forces support her ambition to go global.
10. The Arab world, running from Rabat to Baghdad, like everyone else, likes to websurf. The proportion of Arabs online grew 30-fold between 2000 and 2012. Shaking off their stuffy image, 41% of Saudi internet users are on Twitter, the highest rate in the world. But Arabic speakers have far less content in their native language than others do. By some estimates, less than 1% of all web pages are in Arabic.
Back in the early days, this was because the internet could only support Roman scripts, so Arabic-speakers had to transliterate into a web language using a combination of letters and numerals. But by the late 1990s that had been fixed. In 2000 Maktoob, an Arabic internet-services firm founded in Jordan but now owned by Yahoo, launched the first Arabic e-mail. Facebook added an Arabic-language interface in 2009. But content in the world’s fifth-most-spoken tongue is still patchy, as is quality. Searches in Arabic often lead you to a forum rather than a well-designed website.
The reasons for Arabic’s lag in generating Internet content are many, including all of the following except for:
a.There is an increased cross-national cooperation between countries in Asia and those in the West.Explanation / Answer
1.
The health food market is considered by many to be nearly saturated in China because the market is already tends toward saturation meaning by it has large no. of players thus entry of new player become difficult.
2.
international franchising because franchising allow a company to share its brand or process on the agreement of certain amount.
3.
An extremely rapid expansion would likely lead to declining profit margins due to logistics pressures because opening company based oulet leads to logistics cost which may impact the profitability of company.
4.
It allows an international business to enter a foreign market by placing its label on the good and selling it in the foreign market where it was produced.
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