Question

47. "Crossing the Chasm" refers to a new technology moving from:
a) Early majority to Innovator
b) Innovator to Early Adaptor
c) Early Adaptor to Early Majority
d) Early Majority to Late Majority
e) Innovator to Early Majority

51. A family owned business does not typically have an exit strategy
a) True
b) False

54. What international strategy should be selected for a strongly branded product where there is little pressure for local responsiveness and cost reduction?
a) International
b) Localization
c) Global Standardization
d) Transitional
e) Global Differentiation

57. When using a "Global Standardization Strategy" to enter a global market, which of the following entry tactics would most likely not be considered for the long term?
a) Licensing
b) Franchising
c) Joint Venture
d) Strategic Alliance
e) Exporting

Answer 1

Answer 1) c. Early Adaptor to Early Majority

"Crossing the chasm" is defined as helping a service, product, or technology move from "early adopters" to "early majority" as called a larger market segment.

Answer 2) False

A family-owned business has the following exit strategies:

• Passing the business to another family member
• Selling the business
• Takeover or phased exit
• Management buyouts or employee buyouts

A business exit strategy is a strategic plan to sell ownership in a company to investors or another company. It gives the owner a way to reduce or liquidate his stake in the business.

Answer 3) Licensing

Licensing is a business arrangement in which one company gives another company permission to manufacture its products for a specified payment.

The payment for licensing is done and the permission for licensing is provided for the short duration.

The other options Franchising, Joint Venture, Strategic Alliance, Exporting are long term strategies.

Therefore, Licensing is not a long term global standardization strategy to enter the global market.