How Are Global Retailers Like IKEA, Costco, and Walmart Becoming

question 81

Multiple Choice

How are global retailers like IKEA, Costco, and Walmart becoming major domestic middlemen for international markets?

• A) They maintain their core marketing approaches while localizing the array of products, promotions, and other peripheral aspects of their operations.
• B) They work under the names of the manufacturers and function as low-cost, independent marketing departments with direct responsibility to the parent firms.
• C) They have minimum investment costs as they do not commit to investing in company personnel.
• D) They serve as the producer's export department but have a short-term relationship, cover only one or two markets, and operate on a straight commission basis.
• E) They offer reduction of export costs, demand expansion through promotion, trade barrier reduction, and improvement of trade terms through bilateral bargaining.

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Definitions:

Marginal Benefit

The gain in satisfaction or utility that comes with the consumption of another unit of a product or service.

Streetlights

Artificial outdoor lighting devices installed on poles, used to illuminate streets and public areas during the night for safety and convenience.

Marginal Benefit

The increment in pleasure or usefulness experienced from consuming or creating an additional unit of a good or service.

Streetlights

Streetlights are outdoor lighting fixtures placed along streets, designed to enhance visibility and safety during nighttime.