Chapter 16 — Integrated Marketing Communications and International AdvertisingObjectivesAdvertising and communications tends to be culture specific. After all, to be understood and to communicateeffectively, you must express yourself in the cultural language of your audience. So, how can the idea ofglobal advertising ever be anything other than standardize when feasible and adapt where culturallynecessary. In any case, since this issue continues to be debated and because there is often confusion aboutglobal advertising, these topics need to be discussed. In most cases, actual practice is to standardize parts ofthe message and to localize other parts.OutlineI. Global PerspectiveIntegrated marketing communications [IMC] are composed of advertising, sales promotions, trade shows,personal selling, direct selling and public relations.All these mutually reinforcing elements of thepromotional mix have as their common objective the successful sale of a product or service.In manymarkets, the availability of appropriate communication channels to customers can determine entrydecisions. For example, most toy manufacturers would agree that toys cannot be marketed profitably incountries without commercial television advertising directed toward children. Often different messages areappropriate for different communications channels.For most companies, advertising and personal selling are the major components in the marketingcommunications mix. The goal of most companies is to achieve synergies when sales promotions, publicrelations, and advertising are used together.II. Sales Promotions in International MarketsSales promotions are marketing activities that stimulate consumer purchases and improve the middlemen'seffectiveness and cooperation.Cents-off, in-store demonstrations, samples, coupons, gifts, product tie-ins, contests, sweepstakes,sponsorship of special events such as concerts, the Olympics, fairs, and point-of-purchase displays are typesof sales promotion devices. Sales promotions are short-term efforts directed to the consumer or retailer toachieve such specific objectives as consumer product trial or immediate purchase, consumer introduction tothe store or brand, gaining retail point-of-purchase displays, encouraging stores to stock the product, andsupporting and augmenting advertising and personal sales efforts.In markets in which the consumer is hard to reach because of media limitations, the percentage of thepromotional budget allocated to sales promotions may have to be increased. In some less developedcountries, sales promotions constitute the major portion of the promotional effort in rural and lessaccessible parts of the market. ie: Pepsi-Cocla, Coca-Cola; Ariel Road Show in Egypt; Nestle Baby Foodsproduct sampling [an especially effective promotional tool when the product concept is new or has a verysmall market share]; Oreo ambassadors in China; Microsoft/Burger King collaboration - "Windows 7Whopper"; The success of a promotion may depend on local adaptation
Which element of the international communications process comprises external influences such as competitive advertising, other sales personnel, and confusion at the receiving end that can detract from the ultimate effectiveness of the communication?
A. Public relations
B. Encoding
C. Feedback
D. NoiseNoise
Sales promotions are short-term efforts directed to the consumer or retailer to achieve specific objectives such as...
A. Sales promotion
B. Consumer product trial or immediate purchase
C. Tobacco products
D. Different advertising appealsConsumer product trial or immediate purchase
The assault on advertising of ________ is escalating, as evidenced by the World Health Organization launching a global campaign against it.
A. Public relations
B. Message channel
C. Tobacco products
D. Sales promotionsTobacco products
Corporate ________ might be classified as an aspect of sales promotions or public relations, though they also bear a connection to advertising.
A. Advertising
B. Decoding
C. Sponsorships
D. EncodingSponsorships
Which medium suffer[s] from issues such as difficulty in assessing taxes, unfair competition, import duties, and privacy?
A. Internet services
B. The Internet
C. Feedback
D. Public relationsThe Internet
Advertising ________ in some countries can distort media choice by changing the cost ratios of various media.
A. Creativity
B. the Internet
C. Taxation
D. DecodingTaxation
In-store demonstrations, samples, coupons, contests, and sweepstakes are examples of ________ devices.
A. Radio and television
B. Sales promotions
C. Sponsorships
D. Tobacco productsSales promotions
Of all the elements of the marketing mix, decisions involving ________ are those most often affected by cultural differences among country markets.
A. Creativity
B. Advertising
C. Advertising and personal selling
D. AdvertisingAdvertising
What is especially vulnerable as EU member states decide which area of regulation should apply to these services?
A. Internet services
B. Different advertising appeals
C. the Internet
D. Tobacco productsThe Internet
Companies that rely on television infomercials and television shopping are restricted by the limitations placed on the ________ of television commercials permitted when their programs are classified as advertisements.
A. Length and number
B. Message channel
C. Encoding
D. Message channelLength and number
________ is especially important when an advertising budget is small, where there are severe production limitations, or where there are low literacy rates.
A. Decoding
B. Creativity
C. Advertising
D. Princeton Video ImagingCreativity
Billboards are especially useful in countries:...
A. With high illiteracy rates
B. The ability of a camera to take a picture
C. Different advertising appeals
D. Media channel selectionWith high illiteracy rates
Which step of the international communications process is important as a check on the effectiveness of the other steps?
A. The Internet
B. Decoding
C. Feedback
D. MyanmarFeedback
Direct mail is an unpopular medium in Chile because...
A. Governments' fear of a loss of control over their airwaves and messages
B. Customers must pay for every item delivered by the letter carrier
C. Performing in-country testing with the target consumer group
D. Toy, tobacco, and liquor advertising is restricted in numerous countriesCustomers must pay for every item delivered by the letter carrier
What is an example of the primary function of a product?
A. Radio and television broadcasting
B. Performing in-country testing with the target consumer group
C. The cross-cultural communication between a foreign client and a local agency can be problematic
D. The ability of a camera to take a pictureThe ability of a camera to take a picture
The sales force of a company that provides the company's product specifications to the customer acts as a[n]...
A. Media channel selection
B. Sales promotions
C. Message channel
D. Message channelMessage channel
Using the Internet as a communication medium when only a small percentage of an intended market has access to it is an example of an error related to
A. Media channel selection
B. Different advertising appeals
C. Message channel
D. Message channel selectionMessage channel selection
Since 2007, FedEx has contributed millions to the PGA Tour, and as its most lucrative donor, an event is named after the company. This is an example of...
A. Sponsorships
B. Advertising
C. Tobacco products
D. A sponsorshipA sponsorship
________ are considered to be major communications media in most countries due to their inherent entertainment value.
A. Creativity
B. Princeton Video Imaging
C. Radio and television
D. Product samplingRadio and television
The ________ step in the international communications process refers to the information about the effectiveness of the message that flows from the receiver back to the information source for evaluation of the effectiveness of the process.
A. Deception
B. Feedback
C. Creativity
D. DecodingFeedback
Which element of integrated marketing communications includes encouraging the press to cover positive stories about companies and managing unfavorable rumors, stories, and events?
A. the Internet
B. Public relations
C. Product sampling
D. Tobacco productsPublic relations
Blogs, virtual worlds, and video sharing are examples of media commonly known as...
A. Sales promotions
B. Product sampling
C. Social media
D. Hong KongSocial media
An especially effective promotional tool when a product concept is new or has a very small market share is...
A. Product sampling
B. Internet services
C. Message channel
D. Information sourceProduct sampling
During ________, the message from the source is converted into effective symbolism for transmission to a receiver.
A. Hong Kong
B. Taxation
C. Sponsorships
D. EncodingEncoding
Which statement about advertising laws is correct?
A. The cross-cultural communication between a foreign client and a local agency can be problematic
B. Nearly 8 in 10 believed ads were often deceptive about product quality
C. Toy, tobacco, and liquor advertising is restricted in numerous countries
D. An ad showing a dog choosing one brand of dog food over another brandToy, tobacco, and liquor advertising is restricted in numerous countries
A manufacturer of sports bicycles uses various cycling legends and sports celebrities as brand ambassadors to promote its product in China. Bicycles in China are used mainly by the working class for commuting, not sports, so the promotional campaign was a failure. During which step of the international communications process did the manufacturer most likely go wrong?
A. Message channel selection
B. Message channel
C. Length and number
D. Media channel selectionMessage channel
During which step of the international communications process does the receiver of the message interpret symbolism transmitted from an information source?
A. Advertising
B. Encoding
C. Decoding
D. FeedbackDecoding
In the context of consumer products, what is the major limitation of the Internet?
A. Advertising and personal selling
B. Message channel selection
C. Encoding
D. Accessibility outside the United StatesAccessibility outside the United States
In an international advertising campaign, what happens once the goals of the communication have been specified?
A. Government fear of a loss of control over their airwaves and messages
B. Develop the most effective message[s] for the market segments selected
C. Information source
D. Nearly 8 in 10 believed ads were often deceptive about product qualityDevelop the most effective message[s] for the market segments selected
Sales promotions are...
A. Consumer product trial or immediate purchase
B. Customer must pay for every item delivered by the letter carrier
C. In many countries, there is a time lag before advertisements can be run in a newspaper
D. Marketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperationMarketing activities that stimulate consumer purchases and improve retailer or middlemen effectiveness and cooperation
In the context of the communications process in advertising, problems of literacy, media availability, and types of media create challenges in the communications process at the ________ step.
A. Encoding
B. Advertising
C. Noise
D. DecodingEncoding
________ in advertising is a thorny issue because most member countries of the European Commission have different interpretations of what constitutes a misleading advertisement.
A. Creativity
B. Feedback
C. Deception
D. DecodingDeception
In the context of international advertising, it has been observed that advertising expenditures are generally...
A. Encoding
B. Product sampling
C. Cyclical
D. Accessibility outside the United StatesCyclical
Which statement best defines the concept of public relations?
A. It the creation of relationships with the media to help communicate messages to their customers, the general public, and governmental regulators
B. Toy, tobacco, and liquor advertising is restricted in numerous countries
C. The ability of a camera to take a picture
D. The cross-cultural communication between a foreign client and a local agency can be problematicIt the creation of relationships with the media to help communicate messages to their customers, the general public, and governmental regulators
_______ allows ESPN to fill blank walls, streets, or stadium sidings with computer-generated visuals that look like they belong in the scene.
A. Princeton Video Imaging
B. Different advertising appeals
C. Radio and television broadcasting
D. DeceptionPrinceton Video Imaging
The only way to avoid linguistic problems in advertising communication is by...
A. Performing in-country testing with the target consumer group
B. Customers must pay for every item delivered by the letter carrier.
C. Governments' fear of a loss of control over their airwaves and messages
D. The cross-cultural communication between a foreign client and a local agency can be problematicPerforming in-country testing with the target consumer group
What is true of the newspaper industry?
A. The cross-cultural communication between a foreign client and a local agency can be problematic
B. In many countries, there is a time lag before advertisements can be run in a newspaper
C. An ad showing a dog choosing one brand of dog food over another brand
D. Governments' fear of a loss of control over their airwaves and messagesIn many countries, there is a time lag before advertisements can be run in a newspaper.
A multinational pharmaceutical company used a saffron trident in a promotional campaign for one of its drugs in India. The saffron trident, a religious symbol in India, was meant to indicate the three levels of efficacy of the drug but mistakenly conveyed a religious message to Indians. This miscommunication indicates a problem associated with which step of the international communications process?
A. Encoding
B. Encoding of the message
C. Message channel
D. DecodingEncoding
A study of a representative sample of European consumers indicated that...
A. Nearly 8 in 10 believed ads were often deceptive about product quality
B. In many countries, there is a time lag before advertisements can be run in a newspaper
C. Performing in-country testing with the target consumer group
D. An ad showing a dog choosing one brand of dog food over another brandNearly 8 in 10 believed ads were often deceptive about product quality
When developing an international advertisement campaign, what is the first step of the process?
A. Message channel selection
B. Advertising and personal selling
C. Information source
D. Perform marketing researchPerform marketing research
In Spain, a new medium for advertising called Publicoche involves...
A. Customers must pay for every item delivered by the letter carrier
B. The ability of a camera to take a picture
C. Accessibility outside the United States
D. Private cars that are painted with advertisementsPrivate cares that are painted with advertisements
What are the major components in the marketing communications mix for most companies?
A. Advertising and personal selling
B. Different advertising appeals
C. Perform marketing research
D. AdvertisingAdvertising and personal selling
Certain advertising media are forbidden by government edict to accept some advertising materials. Such restrictions are most prevalent in...
A. Princeton Video Imaging
B. The ability of a camera to take a picture
C. Radio and television broadcasting
D. Different advertising appealsRadio and television broadcasting
One of the drawbacks of satellite TV is...
A. An ad showing a dog choosing one brand of dog food over another brand
B. Toy, tobacco, and liquor advertising is restricted in numerous countries
C. Develop the most effective message[s] for the market segments selected
D. Governments' fear of a loss of control over their airwaves and messagesGovernments' fear of a loss of control over their airwaves and messages
Using newspapers or magazine ads as a channel of communication when the majority of the intended users cannot read is an example of ineffective ________ in the communications process.
A. Communication channels
B. Radio and television broadcasting
C. Media channel selection
D. Message channel selectionMedia channel selection
Skepticism and negative attitudes about advertising, along with poor practices by some advertisers, have resulted in the International Advertising Association...
A. Performing in-country testing with the target consumer group
B. Consumer product trial or immediate purchase
C. Radio and television broadcasting
D. Developing self-regulating codes of conductDeveloping self-regulating codes of conduct
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. Public relations
B. Myanmar
C. Feedback
D. EncodingMyanmar
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. An ad showing a dog choosing one brand of dog food over another brand
C. If the creation of relationships with the media to help communicate messages to their customers, the general public, and governmental regulators
D. The ability of a camera to take a pictureThe cross-cultural communication between a foreign client and a local agency can be problematic
Janel, a media consultant, is helping the integrated marketing communications manager of a French cosmetics company with the design and content to be used in an upcoming promotional campaign in Japan. The IMC manager knows what to convey but wants to word it in a culturally relevant manner. With which step of the international communications process is Janel helping the company?
A. Princeton Video Imaging
B. Encoding of the message
C. Encoding
D. Message channelEncoding of the message
An international marketing executive with a product message to communicate specifically acts as a[n]...
A. Tobacco products
B. Information source
C. Develop the most effective message[s] for the market segments selected
D. Product samplingInformation source
What is an example of comparative advertising?
A. The ability of a camera to take a picture
B. In many countries, there is a time lag before advertisements can be run in a newspaper
C. The cross-cultural communication between a foreign client and a local agency can be problematic
D. An ad showing a dog choosing one brand of dog food over another brandAn ad showing a dog choosing one brand of dog food over another brand
Compensation arrangements for advertising agencies throughout the world are based on the U.S. system of ________ commissions.
A. 15 percent
B. The Internet
C. Tobacco products
D. Sponsorships15 percent
________ is defined as the interpretation by the receiver of the symbolism transmitted from an information source.
A. Decoding
B. Advertising
C. Radio and television
D. CreativityDecoding
Most toy manufacturers would agree that toys cannot be marketed profitably in countries without commercial television advertising directed toward children. In this scenario, commercial television advertising exemplifies the availability of appropriate...
A. Public relations
B. Media channel selection
C. Encoding of the message
D. Communication channelsCommunication channels
In the context of international advertising, ________ is the neon capital of the world.
A. Cyclical
B. Hong Kong
C. Accessibility outside the United States
D. Social mediaHong Kong
Due to differences in culture in different markets, standardized products that are marketed globally will most likely require...
A. Internet services
B. Message channel selection
C. Princeton Video Imaging
D. Different advertising appealsDifferent advertising appeals
Integrated marketing communications include...
A. Hong Kong
B. Sales promotions
C. Advertising
D. Message channelAdvertising
What is a company's most direct tie to the customer?
The salesperson
An expatriate sales force is likely to be...
the best choice when selling requires an extensive amount of background knowledge
In relationship-oriented cultures such as France, Mexico, and Japan, sales representatives...
Tend not to be highly respected
What practice, with respect to motivating sales personnel, is most common in relationship-oriented countries like Japan?
Companies motivate sales representatives through frequent interaction with supervisors.
Unlike the Japanese, the American sales managers have less need to worry about the problem of motivating poor performers. What is the reason for this?
the team does not have low performers as they either quit or are fired
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. True or False?
True
Countries such as Germany allow for greater use of expatriates in international sales forces. What is most likely the reason for this?
Germany has an information-oriented culture
When hiring new personnel for international marketing, what is considered to be the best way to assess the traits necessary for success?
Interviews and role playing exercises
What is the final link in a company's marketing and sales efforts?
The sales representative
What is true of local nationals who are hired to sell a company's products?
They are better able to lead a company through the maze of unfamiliar distribution systems
A marketer who expects to be effective in the international marketplace should...
Have a positive outlook on an international assignment
Expatriates working in high-tax countries prefer direct income instead of fringe benefits as part of their compensation package. True or False?
False
Most expatriate failures are caused by the lack of...
An understanding of cultural differences
When is an expatriate sales force most likely to have an advantage over a native sales force?
When the product is highly technical in nature
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...
Professional expatriate
Doreen is a French citizen who has been working for a U.S. company in Spain for twenty years. Doreen may be considered to be a...
Third-country national
When Sandra was offered a transfer to the London office from New York, she worried that she would miss out on opportunities in the New York office when she returned because she hadn't been there. This is a common problem with...
Repatriation
Qualified and ambitious sales personnel refuse to take up foreign assignments for fear of hampering their career development. This "out of sight, out of mind" fear is most closely linked to the problems of...
Repatriation
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. True or False?
False
A chief disadvantage of an expatriate sales force is the high cost for a company. True or False?
True
Japanese sales representatives are motivated more by the social pressure of their peers than by the prospect of making more money individually. True or False?
True
In relationship-oriented cultures, sales representatives tend to be on the bottom rung of the social ladder. True or False?
True
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. True or False?
False
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. True or False?
False
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. True or False?
True