International Marketing Chapter 8

In response to the ongoing economic crisis, U.S. President Barack Obama created a National Export initiative and established the President's Export Council.

The terms "export selling" and "export marketing" are interchangeable.

"Export selling" involves tailoring various elements of the marketing mix to global market requirements.

Export marketing requires an understanding of the target market environment.

After the research effort has zeroed in on potential markets, there is no substitute for a personal visit to size up the market firsthand and begin the development of an actual export marketing program

Milan is widely regarded as the design capitol of the world. The year 2011 marked the 50th anniversary of the "Milan Furniture Fair," the world's largest furniture and home furnishings trade fair.
Answer: TRUE

Research has shown that exporting is essentially a developmental process that can be divided into several stages.

It was found by research that even the most experienced exporters express lack of confidence in their knowledge about shipping arrangements, payment procedures, and regulations.

Representatives of the apparel, footwear, and textile industries in may countries are deeply concerned about the impact increased trade with China will have on these sectors.

The four tigers—Singapore, South Korea, Taiwan and Hong Kong—learned from the Japanese experience and built strong export-based economies of their own.

Potential export problems include packaging, government red tape, warehousing, advertising, and trade restrictions.

The Common Agricultural Policy (CAP) determines the level of subsidies granted to farmers in Latin America.

In an effort to facilitate exports, countries are designating certain areas as “free trade zones” (FTZ) or “special economic zones” (SEZ).

Tariffs can be thought of as the "three R's" of global business: rules, rigor, and regulations of individual countries.

Dell Computer recently rerouted some of it's call center jobs back to the United States after complaints from key business customers that Indian tech support workers were offering scripted responses and having difficulty answering complex problems.

The Harmonized Tariff System (HTS) is currently the dominant system for determining tariffs.

Under the HTS, only U.S. exports valued at more than $2,500 are counted in export statistics.

The Harmonized Tariff System (HTS) has eliminated virtually all problems associated with assigning tariff classifications to new products.

When Honda's U.S. manufacturing subsidiaries purchase parts from Japan, customs authorities in the United States have the right to scrutinize the transfer price to make sure it is a fair reflection of market value.

An ad valorem duty is expressed as a percentage of the value of goods.

CVDs are duties imposed on imported videodiscs.

Foreign purchasing agents are also referred to as jobbers.

"Piggyback exporter," "cooperative exporter," and "export vendor" are all terms used to describe an export broker.

When a letter of credit is used in an import/export transaction, the payment obligation lies with the importer's bank rather than the importer it'self.

Goods that are sold on open account are paid for before delivery.

The Customs Trade Partnership Against Terrorism (C-TPAT) recognizes that U.S. Customs and Border Protection (CBP) is responsible for screening import cargo transactions.

Duty drawback refers to refunds of duties paid on imports that are processed or incorporated into other goods and then reexported.

Outsourcing means shifting undesirable jobs or work assignments to another company to cut costs. When the outsourced work moves to another country, the terms "global outsourcing" or "offshoring" are used.