Exam 11: Strategy and Organization in the International Firm

Armaz Inc., a manufacturing company, has its headquarters located in Texas, U.S., and subsidiaries in India, China, and Vietnam. Which of the following decisions will be the LEAST decentralized?

Coordinating the international value-chain activities of a firm across multiple countries to achieve maximum efficiency is known as ________.

In which of the following organizational structures does an employee at a foreign subsidiary report to both a local manager and a corporate manager?

A company can be compelled to be locally responsive in individual countries to provide uniform services to global customers.

Strategic global teams identify or implement initiatives that enhance the short-term direction of the firm in its global industry.

Quik Meal Structure (Scenario) Quik Meal is a fast-growing MNE that manufactures and sells energy gels for consumption by serious athletes, such as marathoners and triathletes. The energy gels produced by Quik Meal taste much better than the gels sold by other firms, which has led to an increase in sales. Managers and executives with Quik Meal need to determine the best organizational structure for the young firm. Quik Meal has subsidiaries in Japan and Brazil, while company headquarters are based in San Francisco. -Which of the following questions would be more important for Quik Meal executives to evaluate when determining whether to centralize or decentralize the firm's structure?

When developing strategies, managers start by ________.

Decisions about local products that will be sold in only one country are typically the joint responsibility of corporate and country-level managers, with the latter taking the lead role.

Headquarters of a firm is the primary contributor to decisions about local market research.

Geographic area structure is an organizational design in which management and control are decentralized to the level of individual geographic regions.

The computer industry is an example of a ________.

Which of the following activities would be considered last by a manager while developing strategies?

A multidomestic industry is one in which competition takes place on a country-by-country basis.

The managerial routines, behaviors, and mechanisms that allow a firm to function as intended are known as ________.

In which of the following are substantial autonomy and decision-making authority delegated to a firm's subsidiaries around the world?

Describe four factors that might persuade a firm to become locally responsive in a nation where it conducts business.

Which of the following is TRUE about global teams?

When using a home replication strategy, firms delegate autonomy to managers in each foreign unit, allowing them to operate independently and pursue local responsiveness.

Firms undertake global integration to seek cost reduction through economies of scale.

Armaz Inc., a manufacturing company, has its headquarters located in Texas, U.S., and subsidiaries in India, China, and Vietnam. Which of the following decisions will be the MOST centralized?