21-

A sales representative is creating a proposal for a new client. The client lives in a country that values a persons ability to negotiate and get the best deal. What strategy should the representative use to produce the best chance of success?

		Provide a higher list price at the start of negotiations to allow for a bigger discount to be provided later on.
		Start with a list price that is likely to be the lowest that the client will be receiving to allow them to choose it without controversy.
		Meet with the client in-person to explain what a good deal they are receiving with the initial list price.
		Meet with the client in-person to explain how competitors products are inferior and provide less value.

22-

A North American company manufactures replacement parts for oil field equipment. Initially a family business, it has had great success in its home country and is now looking to export its products to the Middle East. The companys staff are unilingual English-speakers with no international business experience. How should the company proceed initially?

		Travel to the potential Middle Eastern countries to learn how to behave appropriately in the business environment.
		Access third-party experts and agencies that provide country information and cultural training.
		Complete primary research to interview and collect information about how business is done in the Middle Eastern countries.
		Create a full-time position on staff for a Middle Eastern oil sector and business practices expert.

23-

Which of the following is an example of Trading Market Entry Strategies?

		Foreign direct investment
		Technology trading
		Currency trading
		Direct and indirect exporting

24-

Which of the following is an example of a Foreign Direct Investment-related market entry strategy?

		Direct exporting
		Subcontracting
		Joint venture
		Licensing

25-

A human resources staffing company is setting up a branch office in a foreign country. This action is an example of what type of market entry strategy?

		Local sourcing
		Indirect investment
		Foreign outsourcing
		Foreign direct investment-related

26-

An Indonesian-based furniture and home dcor company is starting a new export venture in which it uses an agent to access the North American market. Which of the following terms describes this market entry strategy?

		Direct export
		Indirect export
		Joint venture
		Subcontracting

27-

An entertainment company (A) and a foreign company (B) contract to use A's cartoon characters in B's market for a period of ten years. A remains the legal owner of the characters. What is the term used to describe A's Market Entry Mode?

		Intellectual property sourcing
		Design acquisition
		Licensing
		Technical alliance

28-

What is one advantage of using franchising as a market entry strategy?

		An international presence can be established rapidly without significant investment.
		Strict control can be maintained over products, services, branding and reputation.
		Exporting activities can be ceased immediately when required.
		There are very few competitors in the foreign marketplace.

29-

An American sports equipment brand (A) contracts with a manufacturer (B) in Philippines. The contract requires B to manufacture certain sporting equipment for A to be sold in the United States. What is the best term for A's market entry strategy in the Philippines?

		Franchising
		Licensing
		Subcontracting
		Indirect exporting

30-

A Scandinavian department store chain is expanding to open retail outlets in Italy. What type of market entry strategy is this?

		Indirect exporting
		Foreign Direct Investment
		Licensing
		Franchising