MARKETING MANAGEMENT IIBM EXAM ANSWER SHEET

 MARKETING MANAGEMENT IIBM EXAM ANSWER SHEET

Examination Paper of Marketing Management

IIBM Institute of Business Management 1

IIBM Institute of Business Management

Examination Paper MM.100

International Marketing Management

Section A: Objective Type & Short Questions (30 Marks)

Part One:

Multiple choices:

1. International marketing includes activities that direct the flow of goods from:

a. One country to one country

b. One country to another country

c. One country to multiple country

d. All of the above

2. ETC stands for______________

a. Expert trading companies

b. Essential trading companies

c. Export trading companies

d. None of the above

3. Till 1950-56 there was no clear exim policy and no __________ restrictions of any kind.

a. Import

b. Export

c. Both a) & b)

d. None of the above

4. Tariffs have been one of the classical methods of regulating ___________ trade.

a. International

b. National

c. Domestic

d. None of the above

5. The world trade organization (WTO) was established on 1st January____________

a. 1996

b. 1995

c. 1997

d. None of the above

6. Export documentation is a very important area in ___________ management.

a. International

b. Import

 This section consists of Multiple Choice & Short Answer Type Questions.

 Answer all the questions.

 Part One carries 1 mark each & Part Two carries 5 marks each.

Examination Paper of Marketing Management

IIBM Institute of Business Management 2

c. Export

d. None of the above

7. Methods of export pricing are_____________

a. Cost plus pricing

b. Competitive pricing

c. Marginal pricing

d. All of the above

8. OCED has been a destination of a major portion of ___________exports.

a. Japan

b. USA

c. India

d. UK

9. Psychographic segmentation involves grouping people in terms of:

a. Attitudes

b. Life styles

c. Values

d. All of the above

10. Foreign direct investment would be permitted up to __________ in the development of the

zones.

a. 100%

b. 90%

c. 38%

d. 48%

Part Two:

1. Differentiate between domestic & international marketing.

2. Write a short note on World trade organization (WTO).

3. Briefly describe the exim policy of India (one part of India‟s export import policy).

4. Write a short note on tariff and non tariff barriers of international trade.

END OF SECTION A

Section B: Caselets (40 marks)

 This section consists of Case lets.

 Answer all the questions.

 Each case let carries 20 marks.

 Detailed information should form the part of your answer (Word limit 150to 200).

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IIBM Institute of Business Management 3

Caselet 1

Export Marketing:

The trade in black pepper is unhappy that exports may not show a sign of revival in prices in the

immediate future. World prices have been showing a downward trend for eighteen months and this has

resulted in much lower earnings for exporters. The UK, West Germany and the Netherlands have cut

their import requirement though the American demand has shown some growth. Brazil has been

resorting to aggressive selling at lower prices and the expectations are that its exports will reach an alltime

peak of 32,000 tones in the 1981-82 season. The 1981-82 Indian season is only about six weeks

away. The Brazilian offensive has forced India to withdraw so to any from the US and West European

markets and increase its reliance on communist buyers. As many as 1980-81.the Soviet Union alone

accounting for 12,647 tones. But exporters are concerned at the diversion on such a scale of this trade.

Questions:

1. Had you been the pepper exporter, what would be your short term and medium-term export

marketing strategy in the above environment?

2. Could you examine the weak points in this case study?

Caselet 2

SMART KIDS – SELLING EDUCATIONAL GAMES AND

RESOURCES TO THE WORLD

Smart Kids Ltd. An Auckland company that makes educational games and resources to read and

understand math‟s has won a Trade New Zealand Export Award for its success in international markets

in 2003.Established eight years ago in the family home basement, Smart Kids is led by husband and

wife team, joint chief executives David and Sun Milne and their sons Duncan and Frase. She Milne, an

ex-teacher, says from just 30 products when it started, the company produces more than 200 produces

catering for student‟s activities, grammar concepts and numeracy. She says the international appeal of

Smart Kids products was highlighted recently, when company‟s SMART PHONICS was listed amongst

the top five products out of almost 100 in the education trade show in the United Kingdom. The key

requirement for every new Smart Kids products is that it stimulates student‟s minds in the classroom,

teaches them a specific concept easily, enjoyably and permanently and enables problem solving. David

Milne says Smart Kids started selling its educational games and resources to New Zealand schools in

1995, drawings an immediate and strong response. It quickly became apartment that the New Zealand

market was not large enough to sustain considerable investment in product development, and secondly,

that their products have done so well that they deserved wider exposure.”Our export research came

down to two options. Find educational distributors in other countries or set-up our own operations. The

first option was less risky and easy to manage but it meant that Smart Kids products were lost in a wide

range of materials. So we went for the second option and over the next few years established offices in

Australia, in UK and Canada”. This has successfully branded Smart Kids as a leading supplier of

educational resources in these countries. Mr. Milne says the Smart Kids product catalogue is now sent

Examination Paper of Marketing Management

IIBM Institute of Business Management 4

regularly to teachers in more than 50,000 schools across the UK, Ireland, Canada and Australia. “We

also sell to schools in the US. In that market we elected to work through a distributor, we didn‟t have

the financial resources to set-up an operation that could cover almost 70,000 schools and compete with

every established educational publisher”. He says annual exports now exceed $2.2 million and account

for more than 90% of turnover. In order to grow the business, surplus profits are reinvested back into

product development, infrastructure – the company recently moved its Auckland operation into new

20,000 square feet premises in Ellerslie. Mr. Milne says the Smart Kids brand is now well established

internationally with the company enjoying many competitive advantages, including its New Zealand

origin. New Zealand education is highly regarded overseas and we find that international teachers to get

hold of educational products made in this country.

Questions:

1. What are the major considerations for a firm in order to while deciding its markets entry

strategy?

2. To what extent direct control and ownership are critical for Smart kids export distribution

strategy?

END OF SECTION B

Section C: Applied Theory (30 marks)

 This section consists of Applied theory.

 Answer all the questions.

 Each question carries 15 marks.

 Detailed information should form the part of your answer (Word limit 150 to 200 words).

1. What do mean by International marketing? Discuss the scope of International marketing.

2. Describe the export documentation framework in India in detail.

END OF SECTION C

Examination Paper of Marketing Management

IIBM Institute of Business Management 5

IIBM Institute of Business Management

Examination Paper MM.100

Research Methodology

Section A: Objective Type & Short Questions (30 Marks)

 This section consists of Multiple Choice & Short Answer Type questions.

 Answer all the questions.

 Part One carries 1 marks each & Part Two carries 5 marks each.

Part One:

Multiple Choices:

1. Research is an art of ____________ investigation.

a. Technological

b. Scientific

c. Political

d. None of the above

2. Exploratory research is flexible and very ___________ research.

a. Variable

b. Visuals

c. Versatile

d. None of the above

3. Frame error, chance error and response error are collectively called____________

a. Total error

b. Non sampling error

c. Sampling error

d. Universal error

4. Hypothesis testing is sometimes called ____________ analysis.

a. Exploratory data

b. Confirmatory data

c. Experimental data

d. Both a) & b)

5. Execution of the project is a very important step in the ____________ process.

a. Questions

b. Identification

c. Research

d. None of the above

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IIBM Institute of Business Management 6

6. Thurstone scale is also known as ____________ scale.

a. Equal appearing interval

b. Equal alternatives interval

c. Equal alternatives item

d. None of the above

7. A ratio in which the units of numerator & denominator are not the same is termed as a:

a. Class

b. Rate

c. Data

d. None of the above

8. ANOVA stands for______________

a. Analysis of automobiles

b. Analysis of variable

c. Analysis of variance

d. None of the above

9. One tailed & two tailed test are the part of ____________ test.

a. Null

b. Hypothesis

c. Alternative

d. None of the above

10. Chi – square is an important ____________ test.

a. Parametric

b. Probability

c. Non – parametric

d. None the above

Part Two:

1. What is „Sequential sampling‟?

2. Write a short note on „nominal scale‟.

3. Write a note on „Z – Test‟. (One of the parametric test for hypothesis).

4. What are the cautions to be taken on χ2 (chi square) test?

END OF SECTION A

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IIBM Institute of Business Management 7

Section B: Caselets (40 marks)

 This section consists of Case lets.

 Answer all the questions.

 Each case let carries 20 marks.

 Detailed information should form the part of your answer (Word limit 150 to 200 words).

Caselet 1

Swastika Computer System was established in 1981 at Delhi to provide computer training. In 1980s

computer education was relatively new in India. Personal computers 286 existed and MS DOS was the

operating system. Languages like Basic, Pascal, COBOL, FORTRAN were used in programming.

Swastika Computer Systems was established with their support departments namely computer

assembly, faculty training and computer servicing department. In the first financial year, it recorded a

turnover of Rs 11.5 lakhs. Within a few years of its existence, Swastik Computer System opened its

branches in eight major cities of India and had a gross annual turnover of Rs 86 lakhs. The organization

was highly centralized. The head office at Delhi handled all accounts, recruitment, and placement of

students and servicing of computers. The Bhopal branch of Swastik Computer Systems was set up in

May 1987. The branch was headed by a dynamic branch manager Hemant Gupta. He was a BSc in

computers and had previously worked in the data processing department of a manufacturing concern.

To establish the Bhopal branch, Hemant Gupta realized the need for making Swastik Computer

Systems, Bhopal known to the younger generation. With this in mind he introduced some innovative

promotional schemes like offering scholarships to students doing well in the intelligence tests

administered by the branch, giving personal computers to students to deposit term fees at their

convenience. Hemant Gupta also ensured that teaching standards were high and computers at the

branch were well maintained, so a student once enrolled felt that he had made the right decision by

joining Swastik Computer Systems. He also made himself available from 8.00 am to 7.00 p.m at the

branch. Students were free to go to him with their problems, which he took pains to solve. Soon

Swastik Computer Systems was one of the leading computer training centres in Bhopal. As the Bhopal

branch prospered, the head office at Delhi started taking an active interest in the running of this branch.

The Regional Manager who visited Bhopal once a month started making frequent visits. During one of

his visits, his attention was drawn to rumors that branch funds were being misappropriated. When the

Regional Manager informed the Delhi office about the rumor, a team was sent to the Bhopal Branch to

look into the matter. On investigation, the term was convinced that the rumors had some truth in them.

It was found that a larger number of students attended the classes than were enrolled. It was felt that this

fraud was not possible without the consent of Hemant Gupta, and without any further inquiry a decision

was taken to remove him forthwith. Amit Verma who was a senior faculty at Swastik Computer

Systems, Delhi was asked to take over the Bhopal branch as Manager. He was an MCA and had been

associated with the organization since its inception. Amit Verma‟s appointment at Bhopal was

welcomed at the Bhopal branch by both, staff and faculty as he had the reputation of being an easy

going person. After he joined the Bhopal, it was observed that Amit Verma, although academically

sound, was not an effective administrator. His approach towards staff and faculty was lenient. He was

not particular about punctuality and was not available during office hours. This had an adverse effect on

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faculty in general and classes in particular. Not only did classes suffer but even administrative work

was affected. Monthly reports to the head office were not sent on time, as a result requisitions for

computer servicing, reading material and funds were unduly delayed. Due to lack of maintenance,

computer breakdowns became common, students did not receive their reading material on time and

payment of building rent, and telephone bills etc were unnecessarily delayed. The symptoms of

deterioration at the Bhopal branch were obvious. The branch which had an annual turnover of Rs 30.7

lakhs fell to Rs. 4 lakhs. As enrollments decreased the head office at Delhi started feeling the pinch. It

started delaying transfer of funds to the Bhopal branch. As a result faculty salaries were unduly delayed.

The faculty started leaving for greener pastures.

Worried by the number of faculty turnover, the head office started a practice of recruiting only

those faculties willing to sign a bond of 3 years. The organization started a practice of taking a deposit

of Rupees 5000 from the joining faculty, which would be refunded after 3 years. In case the faculty left

before this duration, the deposit stood forfeited. This policy further reduced the quality of faculty

joining Swastik Computer Systems, Bhopal.

Questions:

1. What according to you went wrong at the Bhopal branch?

2. What can be done to revive the Bhopal branch?

Caselet 2

Mind tree which was founded in 1999 in India by a group of IT professionals who wanted to chart a

somewhat distinctive path. Today, it has a top line of $269 million and is rated as one of the most

promising mid-sized IT services companies. Creditable as that is, Mind Tree does not want to be just

that. There is an element of serendipity about what it has been doing over the last year. In 2008, it

designated one of its founders Subroto Bagchi „Gardener‟, a gimmicky signal, intended to declare that

he was moving out of the day-to-day running of the company to nurture talent which would run the

company in the future. He has now a report card ready on a year as gardener. During this one year, he

has also spent around 45 days travelling round the world talking to clients and prospective ones which

has yield remarkable insights into what firms are doing in these traumatic times. Lastly, Mind Tree as

a whole has spent the last year going through the exercise of redefining its mission statement and

vision for the next five years. Quite fortuitously these processes have come together with a unifying

thread, presenting a coherent big picture. Mind Tree wants to seed the future while still young, and

executive chairman Ashok Soota has declared that by 2020, it will be led by a non-founder. So a year

ago the gardener Bagchi set out to “touch” 100 top people in the organization, with a goal of doing 50

in a year so as to eventually identify the top 20 by 2015. From among them will emerge not just the

leader but a team of ten who would eventually, as group heads, deliver $200 million of turnover each.

That will give a turnover of $2 billion. To put it in perspective, one one VC-funded company, which

has not closed or been bought over, has been able to get to $2 billion and that is Google. But to get

there it has to periodically redefine its mission (why we exist) and its vision – measurable goals for the

next five years. Its redefined mission is built around “successful customers, happy people, and

innovative solution”. Its new vision targets a turnover of $1 billion by 2014. It wants to be among the

globally 20 most profitable IT services companies and also among the 20 globally most admired ones.

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Admired in terms of customer satisfaction (pay for the course), people practices (creditable),

knowledge management (exciting) and corporate governance (the Enron-Satyam effect). The really

interesting bit about Mind Tree in the last one year is what Bagchi has been up to. He has been

embedding himself in the 50 lives, working in a personal private continuum, making it a rich learning

process “which has helped connect so many dots.” Of the hundred who will be engaged, may be 50

will leave, of them 25 may better themselves only marginally, and from the remaining 25 ten will

emerge who will carry the company forward.

Questions:

1. What do you analyse as the main reason behind the success of Mind tree?

2. Do you think that redefining the mission statement shows the lacunae on the part of the founder

members of an organization? Why?

END OF SECTION B

Section C: Applied Theory (30 marks)

 This section consists of Applied Theory.

 Answer all the questions.

 Each question carries 15 marks.

 Detailed information should form the part of your answer (Word limit 200 to 250 words).

1. What are the various methods of collecting statistical data? Explain in brief their merits and

demerits.

2. What do mean by Research design. What are basic types of research design?

END OF SECTION C

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