Which of the following is an advantage of countertrade agreements?
a. Countertrade practices encourage economic efficiency.
b. Countertrade allows firms from industrialized countries to sell products in markets that would otherwise be inaccessible.
c. Countertrade agreements often speed up the negotiation process.
d. All of the above are countertrade advantages.
Question 2Marketers classify innovations in three main ways: (1 ) the degree of novelty, (2 ) the type of benefits offered, and (3 ) the:
A) styles available.
B) features affected.
C) breadth of innovation.
D) length of time to adoption.
E) size of potential market.
Question 3Which of the following statements about foreign trade zones is inaccurate?
a. A foreign trade zone can be as small as a building.
b. Merchandise in the FTZ is outside the jurisdiction of the host country customs services.
c. Foreign trade zones are usually located near ports of entry.
d. All of the above statements are accurate.
Question 4Which of the following is not a disadvantage of countertrade?
a. Countertrade practices frequently restrict profit margins.
b. Price setting is difficult because not all cost factors are known in advance.
c. Prices are distorted as deliveries, which could take place over time, are made without reference to changes in technology.
d. Countertrade makes it difficult for consumers in low-income countries to have access to soft consumer goods.
Question 5Countries such as Vesmeta and Aldarnia are considered to be Fourth World countries. Products like TVs and VCRs are very new to the people who live there, even though most First World countries regard them as established products. These products are considered to be innovations in these countries now because they:
A) are better than the existing alternatives in the country.
B) are regarded as new products in their country of origin.
C) have strong brand images.
D) are being marketed as new offerings.
E) can only be purchased by the elite income groups.
Question 6Which of the following United Nations Organizations often provides turn-key factories to countries in need?
a. The United Nations Industrial Development Organization
b. The United Nations Conference on Trade and Development
c. The Food and Agriculture Organization
d. The Regional Economic Commission for Africa
Question 7Approximately how many commercial trade exchanges exist in the United States?
a. 40 c. 4,000
b. 400 d. 40,000
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