Which of the following statements accurately describe advertising in foreign markets?

If a claim is made about a property, you must have a reasonable basis for it (i.e. supporting evidence). If you do not have a reasonable basis to make the representation, it is called an 'unsubstantiated representation'.In the context of agency work, it can apply to all representations including statements used in marketing and websites or verbal statements made by a licensee.

Fair Trading Act

Under sections 12A and 40 of the Fair Trading Act 1986, it is an offence to make unsubstantiated representations, including representations made about the sale of a property. Licensees can be held to account under the Fair Trading Act, the Real Estate Agents Act 2008 and the Real Estate Agents Act (Professional Conduct and Client Care) Rules 2012.

Penalties for breaches of the Fair Trading Act

Breaching the Fair Trading Act can lead to fines of up to $200,000 for licensees and $600,000 for agencies. The courts can also grant an injunction and can order corrective advertising.

Are there any exceptions?

You can make claims that are regarded as clearly an exaggeration and are so obvious that no-one is likely to reasonably believe them, known as ‘puffery’.

An example might be "This is the best property ever!" It’s risky to rely on ‘puffery’ except where it is obvious that it’s not meant to be taken as fact. You may want to consider whether all prospective buyers will understand the difference between ‘puffery’ and fact.

The law is designed to catch representations that a reasonable person would expect to be substantiated. For example, the term ‘home and income' shouldn’t be used to advertise a property where there is a restrictive covenant preventing this.

What if a representation is unsubstantiated but true?

A representation can be unsubstantiated regardless of whether it ends up being true or not. The law requires you to make sure you have reasonable grounds at the time of making any statement about a property or business you are marketing.

What this means for you

You need to be vigilant and take steps to ensure that statements you and your agency make (whether verbally to a prospective purchaser or in advertising) are accurate, genuine and substantiated.

17.Which of the following statements accurately describes the experiences of Mexican Americans followingthe Second World War?a.Mexican Americans tended to avoid racial discrimination entirely, especially due to thenumber of them who had fought during the war and demanded equality at home.b.Mexican Americans tended to have the most advanced degrees of any minority group atthe time, and unlike African Americans, they remained unaffected by poll taxes to vote.c.In a number of southwestern states, schools segregated Mexican American children fromwhite children, and Mexican American veterans often were denied benefits available towhite veterans.d.The U.S. military refused to accept Mexican Americans into its ranks during the war,which fueled widespread postwar stereotypes that they lacked patriotism.e.The United States contained so few Mexican Americans that they were rarely subject toethnic prejudice and enjoyed equality with white Americans in postwar social programs.ANS:CDIF:ModerateREF:Page 1295OBJ:27.3

TOP:Expanding the New DealMSC:Understanding18.What was the stance of the Dixiecrats in the 1948 campaign?

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Question 37 of 402.5/ 2.5 PointsWhich of the following statements accurately describes the attribution theory of leadership?A. Leadership is merely an attribution people make about other individuals.B. Good leaders attribute their successes to their team or group members.C. Leadership qualities are attributions that are independent of performance.D. The achievement of group goals is rarely attributed to good leadership.

A plan that guides the way firms make choices about developing and deploying scarce resources to achieve their international objectives is called a(n) _________.

international strategy

vision statement

mission statement

SWOT analysis

Which of the following are ways that a company can achieve a sustainable competitive advantage? (Check all that apply.)

Develop skills or competencies that are similar to the competition's

Develop skills or competencies that are difficult to substitute

Develop skills or competencies that are rare

Develop skills or competencies that are easy to copy

Develop skills or competencies that are difficult to substitute

Develop skills or competencies that are rare

To obtain a competitive advantage in today's marketplace, it is best for a company to (quickly/slowly) identify opportunities in the domestic and international market.

Strategic planning answers all of the following questions EXCEPT __________.

how the firm will get to where it is going

where the firm is going in the future

why the firm has failed to achieve previous goals

how the firm will assess the extent to which it has achieved its goals

why the firm has failed to achieve previous goals

Who is the ultimate manager of strategic planning and strategy making?

R&D manager

CEO

production manager

marketing manager

To be effective, a company's international strategy must be consistent among all departments of the company. In other words, the international strategy must have

(internal/external) consistency.

True or false: Global strategic planning is a linear process.

False - There is considerable flexibility in the order that firms complete the steps involved in global strategic planning.

As defined in the text, __________ advantage refers to the ability of a company to achieve and maintain a unique and valuable competitive position both within a nation and globally, generating higher rates of profit than its competitors.

Shondra reports to the management team that Italy has decided to increase the tax on all manufactured textiles. As a result, the company will pay more for the fabrics it orders. Which step in the global strategic planning process will help Shondra learn this information?

Make tactical plans.

Define the company's mission.

Analyze external environments.

Set corporate objectives.

analyze external environments

True or false: When developing a competitive advantage, managers are required to choose what to do and what not to do now and over time.

Don's boss asked him to prepare a report that shows the activities in the warehouse from the moment raw steel enters the plant until the end product is shipped out to the customer. His boss wants to understand the activities that go into the product. In other words, Don's boss is seeking to understand _________.

corporate mission

purchasing power parity

market analysis

the value chain

The process by which an organization determines where it is going in the future, how it will get there, and how it will assess whether and to what extent it has achieved its goals is called ___________.

the vision statement

the mission statement

competitive advantage

strategic planning

An assessment conducted on the chain of interlinked activities of an organization or set of interconnected organizations, intended to determine where and to what extent value is added to the final product or service, is known as __________.

value chain analysis

competitive advantage

strategic planning

top-down planning

What steps are included in the global strategic planning process? (check all that apply)

Define the business and mission

Analyze the external environment

Purchase international partner

Make tactical plans

Define the business and mission

Analyze the external environment

Make tactical plans

Connor reviews a report and realizes that it is best to keep the manufacturing process at the home plant rather than move it to the international location because import/export fees would double the cost of the company's product if the company manufactured it internationally. Connor is most likely reviewing a (value chain/corporate mission) analysis.

The global strategic planning process is BEST described as _________.

always done in the same sequential steps

a process used by few international businesses

flexible with steps done in no particular order

a process completed by a single individual

flexible with steps done in no particular order

True or false: Relatively few companies act on key international trends they observe

A set of interlinked activities that adds value to the final product or service is called the ______ _______.

The practices that organizations and their managers use for identifying, creating, acquiring, developing, dispersing, and exploiting competitively valuable knowledge are called ____________ _____________.

What are the three key questions managers ask as part of value chain analysis? (Check all that apply.)

How will the customer value be created?

How will the company promote the product?

What value does the company want to deliver to its customer?

Who are the company's target customers?

Where will raw materials be sourced?

How will the customer value be created?

What value does the company want to deliver to its customer?

Who are the company's target customers?

Knowledge that is well known by the individual but is difficult to express verbally or document in text or figures is called __________ knowledge.

tacit

explicit

intangible

tangible

True or false: A value chain analysis provides information on products but is not used to determine a company's customer base.

Google's statement that it wants "to organize the world's information and make it universally accessible and useful" is the company's _______ statement.

trade

strategic

values

mission

The statement that provides a description of a company's desired future position, of what it hopes to accomplish if it can acquire the necessary competencies and successfully implement its strategy, is called the _________ statement.

Shondra reports to the management team that Italy has decided to increase the tax on all manufactured textiles. As a result, the company will pay more for the fabrics it orders. Which step in the global strategic planning process will help Shondra learn this information?

Analyze external environments.

Set corporate objectives.

Make tactical plans.

Define the company's mission.

analyze external environments

A company's (vision/values) statement provides a guideline for how employees should interact with customers.

Judson's company decided to move its operations internationally after learning that manufacturing facilities in Indonesia will give tax breaks to international firms starting next year. This example demonstrates how Judson's company used _________ management to gain competitive advantage.

marketing

knowledge

context

linear

Michell's company delivered the following statement at the shareholder meeting. "The company plans to (1) grow our leadership in the manufacturing sector, (2) grow profits both nationally and internationally, and (3) become a leader in the service sector." This statement reflects the firm's course of action. What aspect of the strategic planning process does this statement reflect?

setting corporate objectives

writing a values statement

publishing an annual report

preparing a sales forecast

setting corporate objectives

Cultural relationships in the procurement process that can be learned only by observing the customs in another country are an example of which type of knowledge?

explicit

intangible

tangible

tacit

To develop a strategy for reaching its objectives, a company must _______ them.

quantify

limit

expand

describe

A broad statement that defines the purpose of a company's existence, including its business, objectives, and approach for reaching those objectives is called the ___________ statement.

values

vision

mission

strategic

The two conflicting strategic alternatives facing international firms are _________.

using local manufacturing; reducing costs

serving existing markets; using local manufacturing

serving existing markets; adapting to local markets

reducing costs; adapting to local markets

reducing costs; adapting to local markets

Barry's boss asks him to prepare a description of where the company hopes to be in ten years if it is able to buy out its trading partner. His boss is requesting a __________ statement.

values

context

vision

mission

What are the five strategies a company can use to compete internationally? (Check all that apply.)

domestic

global

multidomestic

home replication

regional

political

transnational

global

multidomestic

home replication

regional

transnational

What provides a clear, concise description of the fundamental values, beliefs, and priorities expected of an organization's members, reflecting how they are to behave with one another and with the company's customers, suppliers, and other members of the global community?

strategic statement

mission statement

vision statement

values statement

When pressure to reduce costs is low and pressure for local adaptation is high, firms should pursue which strategy to compete internationally?

multidomestic

home replication

global

transnational

True or false: Corporate objectives help firms stay on course with their mission and vision.

Under the home replication strategy, new product development takes place in the (home, foreign) market.

Corporate objectives are typically easier to quantify at which level of a corporation?

values

management

direct report

operational

If a company is facing strong pressure to adapt its product to the local market, the ___________ strategy is most effective.

multidomestic

global

regional

home replication

Actions plans to help organizations reach their objectives are called _________.

vision statements

sales forecasts

mission statements

competitive strategies

Firms that pursue a global strategy typically offer

(standardized or customized?) products and services.

The best strategy for competing internationally depends on the relative amount of pressure the company faces to adapt to its local markets and to achieve _______.

global dominance

cost reductions

regional integration

multidomestic separation

Which strategy can be effective when a firm faces strong pressure for cost effectiveness and local adaptation?

multidomestic

transnational

home replication

regional

A firm facing high pressure to reduce costs and low pressure for local adaptation should follow a _________ strategy in order to compete internationally.

multidomestic

global

transnational

home replication

Which of the following are associated with the home replication strategy? (Check all that apply.)

Product development occurs in the home market.

Product development occurs in the foreign market.

Marketing strategy is controlled by the home-country office.

Product strategy is controlled by the foreign-market office.

Product development occurs in the home market.

Marketing strategy is controlled by the home-country office.

Local adaptation of products usually (increases, decreases) a company's cost structure.

If a company needs to reduce costs and doesn't feel pressured to adapt its products to a local market, it should use a _________ strategy to compete internationally.

linear

multidomestic

home replication

global

Some researchers say that _______ may be merely a stage in the evolution of international companies, and that increased globalization of sales and other value chain activities will occur over time as companies accumulate international experience.

isolationism

semi-globalization

trade protectionism

regionalization

Compared to the home replication strategy, decision making under the transnational strategy is (more, less) complex.

Which of the following statements accurately describe standardization and planning in strategy formulation for companies competing internationally? (Check all that apply.)

Most companies look for ways to benefit from standardization.

Most companies have used standardized marketing strategies locally and abroad.

Many top executives believe that differences in foreign environments require marketing strategies to be determined locally.

Using scenarios in the planning process can help firms understand the implications of potential future changes on their strategies.

Most companies look for ways to benefit from standardization.

Many top executives believe that differences in foreign environments require marketing strategies to be determined locally.

Using scenarios in the planning process can help firms understand the implications of potential future changes on their strategies.

Multiple, plausible stories about how decisions might affect a company's future are known as ___________

Under the home replication strategy, new product development takes place in the (home, foreign) market.

Which of the following steps are included in The Art of the Long View by Peter Schwartz? (Check all that apply.)

Develop relationships with others who can benefit your future.

Play out the impact of possible futures.

Monitor developments so as to trigger your early response system.

Construct a single story to explain might happen next.

Research existing conditions and trends in a wide variety of areas.

Play out the impact of possible futures.

Monitor developments so as to trigger your early response system.

Research existing conditions and trends in a wide variety of areas.

If a company is facing strong pressure to adapt its product to the local market, the ___________ strategy is most effective.

regional

multidomestic

global

home replication

When a firm makes plans for the best- or worst-case scenarios or for critical events that could have a severe impact on the firm, the firm is doing __________ planning.

crisis

operational

tactical

contingency

North America, the European Union, and Asia account for ______ of the worldwide revenue of large multinationals in the manufacturing and service sectors.

60%

40%

80%

75%

Historically, companies have tended to standardize their R&D and manufacturing strategies (more, less) than their marketing strategies.

Compared to strategic plans, _______ _________ are more detailed and specific.

Why do international companies facing high levels of change and uncertainty use scenario planning?

It allows them to circumvent some of the pressures that prompt firms to undertake costly product adaptations.

It allows them to anticipate and prepare for opportunities and threats that cannot be fully predicted or controlled.

It helps them brainstorm new product ideas and take them to market.

It enables them to completely avoid and profit from market downturns.

It allows them to anticipate and prepare for opportunities and threats that cannot be fully predicted or controlled.

James told his manager that the sales figures for next quarter are predicted to increase by 4%, and they should show an overall increase of 7% for the year. James is providing his manager with a ________ _________.

Peter Schwartz's book The Art of the Long View is a demonstration of the importance of _________ planning within a business.

Carlos has received an itemized report showing him how much money is available for the ten areas of manufacturing he is responsible for. He is disappointed to see that he has less money than he had last year for all of the areas. Carlos is reviewing his (budget or forecast?).

True or false: The purpose of contingency planning is to be ready for events that have a minor impact on the firm.

_________ help companies economize on managerial time and promote consistency among their operating units.

Tactical plans

Operational plans

Budgets

Policies

Suppose a company wants to ensure that all of its subsidiaries follow the same approach to prepare annual reports and budgets. The company should issue ____________ regarding the preparation of annual reports and budgets.

policies

tactical plans

operational plans

procedures

Suppose a company has a goal of increasing sales by 20 percent. To achieve this goal, the company hires three new specialized sales reps and goes to four trade shows. The goal of increasing sales can best be described as a(n)_________ plan and the plans to hire new sales reps and attend trade shows are __________ plans.

operational, strategic

strategic, tactical

operational, tactical

tactical, operational

The balanced score card approach can help a firm monitor progress in achieving strategic objectives across all of the following dimensions EXCEPT _________.

financial

internal

customer

external

A prediction of future sales performance is called a _________.

tactical plan

budget

strategic plan

sales forecast

An itemized projection of revenue and expense for a future time period is a _________.

sales forecast

budget

operational plan

financial plan

Typically, the time frame for short-range plans is ____________.

1-2 years

1-3 years

6-12 months

12-18 months

The broad guidelines issued by a company's upper management for the purpose of assisting lower-level managers in handling recurring problems are called _____.

discretionary plans

policies

tactical plans

operational plans

Strategic planning is (more, less) specific as it moves down the organizational levels.

Guides that specify the way that certain tasks or activities are carried out are called _________.

tactical plans

policies

operational plans

procedures

A drawback of _________ planning is that it restricts initiative at the lower levels of the organization.

bottom-up

top-down

operational

tactical

What are the three types of measures to assess performance as outlined in the text? (Check all that apply.)

measures of the company's progress toward achieving its mission, vision, and objectives in a manner consistent with company values

measures of the company's short-, medium-, and long-term goals as they pertain to overall environment

measures of effectiveness of the company's employees in performing their assigned jobs

measures of the company's success in obtaining and applying required resources

measures of the company's progress toward achieving its mission, vision, and objectives in a manner consistent with company values

measures of effectiveness of the company's employees in performing their assigned jobs

measures of the company's success in obtaining and applying required resources

Which type of planning begins at the lowest level in the organization and continues upward?

iterative

bottom-up

strategic

top-down

Which type of planning combines aspects of top-down and bottom-up planning?

iterative

strategic

operational

tactical

True or false: In any type of business, long-range planning constitutes any plan over 5 years.

False - For some businesses, long-range planning may be for a 5-year period. For others, such as aircraft manufacturers, a 5-year period reflects a medium-term plan.

If there are four organizational levels in a company, there will be _________ strategic plans.

five

three

two

four

Which type of planning begins at the highest level in the organization and continues downward?

operational

bottom-up

tactical

top-down

True or false: Groupthink is NOT a problem with the traditional strategic approach to planning.

An advantage of _________ planning is that the people responsible for attaining goals are formulating them.

iterative

strategic

top-down

bottom-up

Under the contemporary strategic management approach to strategic planning, who is responsible for strategic thinking, planning, and implementation?

line management

mid-level management

the CEO

the head of planning

_________ planning is becoming more popular in global companies with operations in many diverse foreign environments that want to have a single global plan.

Operational;

Tactical

Strategic

Iterative

Which one of the following statements reflects how strategic planning is done today?

To ensure better implementation, companies are separating tactics and strategy.

Most companies focus on making fixed five-year plans and more flexible shorter plans.

Effective strategic planning encourages ideas to surface anywhere in the organization and at any time.

Reflecting the greater uncertainty in the world, strategic plans tend to be more detailed and longer.

Effective strategic planning encourages ideas to surface anywhere in the organization and at any time.

Which of the following statements accurately describes direct marketing?

Which of the following statements accurately describes the ethical issue that Marco the owner of the upcycled dog faces?

Which type of advertising is expected to show the most growth over the next four years?

Which of the following is a primary difference between publicity and advertising?