Exam 3: Developing Transnational Strategies: Building Layers of Competitive Advantage

The diversity of environments in which MNEs operates enables them to develop diverse capabilities and experience multiple learning opportunities.

Product diversification as a source of scope economics and shared external relations can lead a company to use common distribution channels for multiple products.

Having a city-specific strategy is always a better choice than country-specific strategy in emerging markets.

MNEs can maximize each of the following objectives independently: global scale efficiency,multinational flexibility and innovation development.

If middle-class consumers' ability to buy is low and their needs are global,a company can develop which type of strategy to better serve them:

At the annual meeting of the board of directors of LabZaws Co.,James Wilson,the CEO of the company,was directed to focus primarily on enhancing the firm's efficiency.How could he achieve this objective?

The CEO of Informatix Co.,suggested to the board of directors that if the firm was going to adopt a transnational strategy,rather than having treasury operations situated in the headquarters,the company should relocate this operation to London in order to enhance access to financial markets.Consequently,the treasury operations would still be centralized,but situated in a different location.Flexible specialization,or excentralization,is an important attribute of firms that adopt a transnational strategy.

Johnnie Walker's advertising campaign "Keep Walking" is an example of which type of strategy?

A "regional" strategy becomes feasible when:

Which of the following explain why cost reduction occurs in the context of scope economies?

Companies using multinational strategies are characterized by asset and capability configurations that are dispersed,interdependent and specialized.

Which of the following is not considered a source of global competitive advantage?

Which of the following is not a source of environmental volatility?

In order to secure worldwide competitive advantage,a multinational firm should pursue all of the following objectives,except:

Which of the following describes the strategic orientation of a multinational company?

Which of the following best describes an international company's asset and capability configuration?

Describe different types of volatility in the global environment that force the MNE to adjust its strategies.

The overall efficiency can be viewed as the ratio of the value of its outputs to the value of its inputs.

As the CEO of an India based company,how will the rise of the middle class in India help you expand the business?

Which of the following is not a benefit associated with higher production volumes?