Q&A Hero

Q: What is most likely to be a reason that headquarters personnel tend to ignore the advice of local nationals? A) Foreign nationals are not keen on keeping up with current best practices. B) Foreign nationals lack the understanding of how home-office politics work. C) Foreign nationals have a good grasp of the local culture and prevalent practices. D) Foreign nationals cannot build close contact with subordinates and customers. E) Foreign nationals have superior technical expertise, but are not good at relationship management.

Q: What is the main disadvantage of hiring local nationals in the sales force? A) Headquarters personnel tend to ignore the advice of local nationals. B) Most local nationals are costly to maintain. C) Poaching of experienced personnel by competitor companies increases. D) Cultural differences lead to communication issues with customers. E) Lack of familiarity with distribution systems and referral networks plagues local nationals.

Q: What is an advantage that a sales force consisting of local nationals is likely to have over a sales force of expatriates? A) They are more efficient in communicating with and influencing headquarters' personnel. B) They cost the firm less to maintain. C) They add more to the prestige of the product line in the eyes of foreign customers. D) They have greater technical expertise. E) They are less likely to accept any form of bribe.

Q: What is an advantage of hiring local nationals in the sales force? A) They are more efficient in communicating with and influencing headquarters' personnel. B) They are more knowledgeable about a country's business structure and systems. C) They add to the prestige of the product line in the eyes of foreign customers. D) They are likely to have superior technical expertise. E) They do not accept any form of bribe.

Q: When recruiting sales and marketing personnel for an international sales force, there is a preference in favor of the locals. The reason for this is most likely that local nationals A) transcend both cultural and legal barriers. B) have supreme technological expertise. C) are more highly trained than expatriates. D) have a better understanding of home-office politics. E) do not accept bribes.

Q: The primary difference between professional expatriates and virtual expatriates is that A) professional expatriates can avoid misunderstandings that arise from cross-cultural communications. B) for virtual expatriates, building close contact with customers is much easier. C) professional expatriates do not incur any extra expense to the company. D) for virtual expatriates, establishing a good working relationship with subordinates is much easier. E) virtual expatriates work from their home branch and do not relocate to the assignment country.

Q: Horatio is a virtual expatriate based in the U.S., managing operations in France and Belgium for his company. What disadvantage of working as a virtual expatriate is Horatio likely to experience? A) He may find it difficult to build close contact with subordinates and customers. B) His family will need to be uprooted. C) He will risk losing out on promotions at corporate headquarters. D) He will likely lack the understanding of how home-office politics influence decisions. E) The top personnel at the headquarters will tend to ignore his advice.

Q: From an international firm's perspective, what is an advantage associated with virtual assignments? A) Sales personnel can avoid health risks involved in flying frequently to foreign countries. B) Customer relationship structures may be improved due to direct customer interaction. C) The extra expense involved in an actual executive move may be avoided. D) Problems related to low morale of personnel due to living in hotels can be avoided. E) Misunderstandings due to lack of cultural skills may be completely eliminated.

Q: What is an advantage of being a virtual expatriate? A) They can eliminate the problem of time zone differences. B) They can establish closer relationships with their customers in the foreign country. C) Their families do not have to be uprooted from their home country. D) They possess complete local knowledge about cultural practices in the foreign country. E) They can avoid cross-cultural communications problems with their foreign colleagues.

Q: Jorge, an American citizen, works as the sales manager at an office supply company. He is posted at the company headquarters in the U.S. and manages operations in China, making frequent and lengthy visits to conduct business meetings with his colleagues there. Jorge may be considered to be a A) repatriate. B) virtual expatriate. C) third-country national. D) professional expatriate. E) local sales manager.

Q: What best defines virtual expatriates? A) They stay and work abroad for a short period of one to two months and then return to their home country. B) They work in a foreign culture and blend to such an extent that they may more closely resemble a local than an expatriate. C) They work abroad in one country after another for the greater part of their career. D) They are expatriates from their own countries working for a foreign company in a third country. E) They manage operations in foreign countries but do not move there.

Q: Helmut, a German national, works as a sales manager for Grey Oil Corporation in the Middle East. Given the benefits associated with the job, he works on one foreign assignment after another and rarely returns to the headquarters in Germany. In view of the given information, we can say that Helmut is a A) repatriate manager. B) virtual expatriate. C) third-country national. D) professional expatriate. E) native salesperson.

Q: What is a characteristic of a professional expatriate? A) They work abroad for a period of one month and then return to the home office. B) They work for a foreign company in a third country for a short period. C) They work abroad in country after country for the greater part of their careers. D) They work in their home branches for most of their careers. E) They manage operations in other countries but do not move there.

Q: What is a strategy that international companies use to encourage sales personnel to accept foreign assignments? A) International experience is considered important to join top management. B) It is made mandatory for all sales personnel to take up expatriate positions. C) Part of the headquarters of the company is set up at the foreign location. D) Companies unfailingly provide employment for the employee's spouse in a top position. E) Legal obligations are imposed on the expatriate sales representatives.

Q: What is the most likely reason for Americans to seek third-country nationals for their international sales forces? A) They transcend legal and cultural barriers. B) They are thoroughly knowledgeable about a country's business structure. C) They are often able to speak several languages. D) They cost less to maintain than a staff of local nationals. E) They can lead a company better through unfamiliar referral networks than local nationals.

Q: What is a disadvantage associated with a sales force consisting of expatriate salespeople? A) adverse effect on the prestige of the product B) inability to effectively communicate and influence headquarters' personnel C) lack of technological expertise D) inadequate knowledge of the company E) large cultural barriers

Q: What is an advantage of a sales force consisting of expatriate sales representatives? A) They possess greater technical training. B) They transcend cultural and legal barriers. C) They cost less to be maintained in a foreign location. D) The cultural gap can be easily narrowed. E) They have a better understanding of distribution channels.

Q: When is an expatriate sales force most likely to have an advantage over a native sales force? A) when selling consulting services B) when selling in relationship-oriented countries C) when the product caters to a niche market D) when the product is highly technical in nature E) when selling does not require effective communication skills

Q: An expatriate sales force is likely to be A) most efficient in relationship-based cultures. B) unsuitable when a company wants to sell high-technology products. C) lacking in knowledge regarding the product line of the company. D) received unfavorably in information-oriented cultures. E) the best choice when selling requires an extensive background of information.

Q: The largest personnel requirement in foreign countries for most companies is in the A) management team. B) finance department. C) information technology team. D) human resources department. E) sales team.

Q: A multinational company with its headquarters in the U.S. wants to sell its new high-technology product in Germany. For the most effective selling, the sales force for this company would probably consist mostly of A) local German nationals. B) illegal aliens living in the US. C) temporary, freelancing German sales personnel. D) American expatriates. E) third-culture people from Japan.

Q: In countries like Japan, a sales force is likely to be most effective if it consists mostly of A) professional expatriates. B) local nationals. C) virtual expatriates. D) third-world nationals. E) expatriates from Asian countries.

Q: Countries such as Germany allow for greater use of expatriates in international sales forces. What is most likely the reason for this? A) Germany is a member of the World Trade Organization. B) Germany has a relationship-oriented culture. C) The German language is easy to master. D) Germany has an information-oriented culture. E) Germany is a member of the United Nations.

Q: Relationship marketing focuses on A) the short-term effort. B) maintaining an atmosphere of trust with the sales manager. C) involving all members of the sales team in the sale. D) treating each sale as a one-time event. E) building long-term alliances.

Q: What is the final link in a company's marketing and sales efforts? A) the chairperson B) the marketing manager C) the sales representative D) the customer E) the sales manager

Q: What is a company's most direct tie to the customer? A) the product B) the salesperson C) the parent company D) the retail outlet E) the distributor

Q: Most companies today limit their search for senior-level executive talent to their home countries.

Q: An expatriate with excellent cultural skills does not tolerate ambiguity and upholds the superiority of his or her culture.

Q: An expatriate with excellent management and technical skills is sure to excel in any environment, even if he or she lacks an understanding of cultural differences.

Q: Personal career planning for the expatriate is a significant strategy that helps companies prevent returnee attrition.

Q: Jacob's wife never grew accustomed to his foreign assignment and was miserable, so Jacob requested a move back to the home country. This is a common reason for an expatriate's failure to function effectively in a foreign assignment.

Q: The primary control tool used by American sales managers is the benefits system.

Q: In the U.S., poor performers typically stay with the company and are seldom fired.

Q: In Europe, external labor unions are involved in setting compensation rules for sales people.

Q: Separation allowances are benefits paid when an expatriate manager leaves a company.

Q: Expatriates working in high-tax countries prefer direct income instead of fringe benefits as part of their compensation package.

Q: Expatriate managers fear that they will lose opportunities for promotion because they will be forgotten by the home office while they are working in a foreign country.

Q: Differences in languages and culture can make mutual understanding between foreign managers and sales representatives difficult.

Q: In eastern European countries, compensation packages typically involve a substantially greater emphasis on performance-based incentives than in the United States.

Q: Japanese sales representatives are motivated more by the social pressure of their peers than by the prospect of making more money individually.

Q: Social recognition is a more important motivating factor for an American sales representative compared to a Japanese salesperson.

Q: Marketing is a business function requiring high motivation regardless of the location of the practitioner.

Q: Training for expatriates focuses on the company, its products, technical information, and selling methods, while that for local personnel focuses on customs and foreign sales problems.

Q: In the context of international sales management, managers' cultures affect their personnel decisions.

Q: The traits that make for successful sales representatives in the United States are the same as those that are important in other countries as well.

Q: An international salesperson can be hampered by flexibility when working in a foreign country or in the home country.

Q: Though maturity and emotional stability are essential, the transnational manager is rarely expected to have knowledge of many subjects, either on or off the job.

Q: For an American company, one of the disadvantages of recruiting a U.S. home-country national for a foreign sales assignment is the cost of double taxation.

Q: In relationship-oriented cultures, sales representatives tend to be on the bottom rung of the social ladder.

Q: The main disadvantage of hiring local nationals for an international sales force is the tendency of headquarters personnel to ignore their advice.

Q: Local salespeople are better able to lead a company through the maze of unfamiliar distribution systems and referral networks of a foreign country.

Q: With advances in communications technologies, virtual expatriates find it easy to maintain close contact with subordinates and customers.

Q: Since expatriates are not locals, they often have a negative effect on the prestige of the company and its product line in the eyes of foreign customers.

Q: A chief disadvantage of an expatriate sales force is the high cost for a company.

Q: Only a limited number of American high-caliber sales personnel are willing to live abroad for extended periods of time as expatriates.

Q: For selling in relationship-oriented countries, a sales force consisting of American expatriates proves to be most efficient.

Q: The first step in managing a sales force is making a decision regarding its design.

Q: The role of public relations is to create good relationships with the popular press and other media to help companies communicate messages to their publics.

Q: While developing an international advertisement campaign, the last step of the process is executing the campaign.

Q: Of all the elements of the marketing mix, decisions involving advertising are those most often affected by cultural differences among country markets.

Q: Sales promotions constitute the major portion of the promotional effort in rural and less accessible parts of a market.

Q: Sales promotions are long-term IMC efforts directed to the consumer or retailer.

Q: Contests, sweepstakes, and sponsorship of special events such as concerts are techniques used for maintaining and improving public relations.

Q: Sales promotions are marketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperation.

Q: For most companies, trade shows and direct selling are the major components in the marketing communications mix.

Q: How might social media be used as a marketing tool? What do international advertisers need to do to take advantage of this medium?

Q: Explain the significance of radio and television in international advertising. How has this changed over time?

Q: In an international advertising process, what four factors must be considered by an advertiser while selecting a medium? Describe them and give an example.

Q: How does cultural diversity influence the IMC process? Give examples.

Q: Language is one of the major barriers to effective communication through advertising. Explain with an example.

Q: The encoding step has many factors that can affect the interpretation of the message. Explain with an example.

Q: Describe the seven essential elements of the international communications process that affect the accuracy of the message.

Q: List the seven steps in creating an international advertising campaign.

Q: Describe the role of public relations (PR).

Q: What is the purpose of sales promotions? Describe 5 examples of sales promotions and give an example of each.

Q: Which country has the most egregious control over advertising, where each medium has its own censorship board that passes judgment on any advertising even before it is submitted for approval by the Ministry of Information? A) Germany B) France C) Myanmar D) Australia E) Argentina

Q: Skepticism and negative attitudes about advertising, along with poor practices by some advertisers, have resulted in the International Advertising Association A) producing public service announcements to improve their image. B) banning certain types of ads. C) hiring public relations professionals. D) asking governments to intervene. E) developing self-regulating codes of conduct.

Q: The assault on advertising of ________ is escalating, as evidenced by the World Health Organization launching a global campaign against it. A) trans fat B) alcohol C) tobacco products D) pharmaceuticals E) animal-derived products

Q: ________ in advertising is a thorny issue because most member countries of the European Commission have different interpretations of what constitutes a misleading advertisement. A) Discrimination B) Endorsement C) Deception D) Plagiarism E) Fear mongering

Q: What is true of advertising agencies for international advertising? A) The cross-cultural communication between a foreign client and a local agency can be problematic. B) A multinational agency always has the best feel for a market. C) Only a multinational agency can provide the best cultural interpretation in a situation in which local modification is required. D) Only a local domestic agency can provide a company with a high level of sophistication. E) Agency commission patterns are consistent throughout the world.