MKTG 445 EXAM 2 (A+ Guaranteed)

Cosmopolitan segment correct answers younger, affluent consumers in metropolitan areas Why was P&G losing market share in Japan? correct answers -Mothers were very hands on -Absorbancy wasn't as important to them and they didn't have the space for large packages How can you avoid poor marketing and losing market share? correct answers Conducting better research and analysis when choosing a new market Are consumption patterns converging? correct answers Yes, but major differences still persist -ex: Germans drinking more wine and french drinking more beer Global marketers can consider national differences in: correct answers -ability to buy -consumer needs -consumer behavior US FCPA correct answers United States Foreign Corrupt Practices Act -forbids us citizens to bribe foreign gov. employees or politicians-or to give $ to agents that will be used to bribe -citizens must report bribery in their org. -records must be transparent -failure can result in fines and jail time Factors affecting ability to buy correct answers - per capita income - purchasing power parity Per capita income correct answers dollar amount that a person earns in a market place Purchasing Power Parity correct answers -A monetary measurement of development that takes into account what money buys in different countries -allows us to decide if consumers have the income to purchase your product *Apples to apples comparison* Informal sector correct answers -income not reported to authorities -paying "under the table" -as economic development increases, informal sector SHOULD decrease BUT doesn't Informal sector reality correct answers the bulk of new employment in recent years, particularly in developing and transition economies, has been in the informal economy Why does informal growth occur? correct answers -lack of enforcement institutions and laws against corruption, tax evasion, and labor/health violations -red tape of bureaucratic institutions (HNO) -Tax-related institutions: complex, unfair tax codes, lack of effective tax auditing -lack of political will to change institutions