Figure 6-5 -Global Companies Have Five Strategies for Matching Products and Their

question 134

Multiple Choice

Figure 6-5
-Global companies have five strategies for matching products and their promotion efforts to global markets. According to Figure 6-5, A refers to which type of strategy?

• A) product extension strategy
• B) communication adaptation strategy
• C) product adaptation strategy
• D) dual adaptation strategy
• E) product invention strategy

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Definitions:

Allowance for Doubtful Accounts

A contra-asset account used to estimate the portion of accounts receivable that is expected not to be collected.

Percentage-of-Receivables Basis

A method used in accounting to estimate the amount of accounts receivable that will not be collected by applying a percentage based on historical data.

Bad Debt Expense

A cost reported on the income statement, reflecting credit sales that are not expected to be collected.

Retailer

A business entity that sells goods or merchandise directly to consumers.