Question 1

All of the following are common examples of government incentives used to attract foreign investment EXCEPT ________.

Accepted Answer

A)  loans 
B)  tax holidays 
C)  use of property 
D)  minimum wage reductions 
A)  loans 
B)  tax holidays 
C)  use of property 
D)  minimum wage reductions D

Question 2

What are the most common reactive reasons that firms expand internationally?

Accepted Answer

To respond to competitors; to get around restrictive trade barriers; to overcome regulations and restrictions by a firm's home government; and to respond to newly emerging customer demands in the international marketplace.

Question 3

The second part of the strategic management process is known as the ________.

Accepted Answer

A)  implementation phase 
B)  evaluation stage 
C)  planning phase 
D)  analysis stage 
A)  implementation phase 
B)  evaluation stage 
C)  planning phase 
D)  analysis stage A

Question 4

The e-local approach is LEAST appropriate when ________.

Accepted Answer

A)  supply-chain management is very important to success 
B)  customer behavior and market structures are similar within a region 
C)  production and consumption are regional rather than global in scope 
D)  consumer demand for the product or service exists on an international level 
A)  supply-chain management is very important to success 
B)  customer behavior and market structures are similar within a region 
C)  production and consumption are regional rather than global in scope 
D)  consumer demand for the product or service exists on an international level

Question 5

In a brief essay, discuss the strategies of globalization and regionalization. When can each strategy be used most effectively?

Accepted Answer

A globalization strategy is based on the

Question 6

Which of the following would most likely be categorized as a global financial objective of an international firm?

Accepted Answer

A)  foreign-exchange management 
B)  long-term profit growth 
C)  quality and cost control 
D)  company market share 
A)  foreign-exchange management 
B)  long-term profit growth 
C)  quality and cost control 
D)  company market share

Question 7

List the seven steps in the strategic management process.

Accepted Answer

(1)Define the company's mission and obje

Question 8

Which of the following charts the direction of the company and provides a basis for strategic decision making?

Accepted Answer

A)  environmental assessment 
B)  corporate structure 
C)  organizational mission 
D)  SWOT analysis 
A)  environmental assessment 
B)  corporate structure 
C)  organizational mission 
D)  SWOT analysis

Question 9

Which of the following is NOT one of the primary reasons that firms globalize?

Accepted Answer

A)  declining tariffs that open up new markets 
B)  decreasing consumer interest in domestic products 
C)  increasing competition from regional trading blocs 
D)  advancements in technology that simplify global operations 
A)  declining tariffs that open up new markets 
B)  decreasing consumer interest in domestic products 
C)  increasing competition from regional trading blocs 
D)  advancements in technology that simplify global operations

Question 10

Which of the following is exemplified by the U.S. government pressuring Japan to regulate unfair competition? ****

Accepted Answer

A)  ethnocentrism 
B)  globalization 
C)  nationalism 
D)  competition 
A)  ethnocentrism 
B)  globalization 
C)  nationalism 
D)  competition

Question 11

What is the quickest and cheapest way to develop a global strategy?

Accepted Answer

A)  wholly owned subsidiaries 
B)  exporting 
C)  strategic alliances 
D)  importing 
A)  wholly owned subsidiaries 
B)  exporting 
C)  strategic alliances 
D)  importing

Question 12

What is a SWOT analysis? How is it used in strategic planning?

Accepted Answer

A SWOT analysis is a summary of the exte

Question 13

Mitsubishi Trading Company uses ________ to gather and analyze market information for environmental scanning purposes.

Accepted Answer

A)  external industry experts 
B)  corporate clipping services 
C)  internal market analysts 
D)  international census data 
A)  external industry experts 
B)  corporate clipping services 
C)  internal market analysts 
D)  international census data

Question 14

What is the difference between environmental scanning at the multinational level and the regional level?

Accepted Answer

Companies should assess the multinationa

Question 15

Which of the following is a true statement about the strategic formulation process?

Accepted Answer

A)  Domestic strategic formulation is more difficult than global strategic formulation. 
B)  The strategic formulation process is an aspect of a firm's strategic management process. 
C)  Strategic formulation consists of four defined stages that occur in a consecutive order. 
D)  Most firms operate on planning cycles of ten or more years with periodic strategy reviews. 
A)  Domestic strategic formulation is more difficult than global strategic formulation. 
B)  The strategic formulation process is an aspect of a firm's strategic management process. 
C)  Strategic formulation consists of four defined stages that occur in a consecutive order. 
D)  Most firms operate on planning cycles of ten or more years with periodic strategy reviews.

Question 16

Which of the following terms refers to the continuous process of gathering and evaluating information about variables and events around the world that may pose threats or opportunities to the firm?

Accepted Answer

A)  strategic management 
B)  SWOT analysis 
C)  environmental assessment 
D)  mission evaluation 
A)  strategic management 
B)  SWOT analysis 
C)  environmental assessment 
D)  mission evaluation

Question 17

Which of the following is generally viewed as the most risky entry strategy?

Accepted Answer

A)  turnkey operations 
B)  fully owned subsidiaries 
C)  international joint ventures 
D)  service sector outsourcing 
A)  turnkey operations 
B)  fully owned subsidiaries 
C)  international joint ventures 
D)  service sector outsourcing

Question 18

Which of the following terms refers to a mutual benefit in the exchange of goods between countries, where each country exports those products in which it is relatively more efficient in production than other countries?

Accepted Answer

A)  comparative advantage 
B)  collective bargaining 
C)  competitive advantage 
D)  control system 
A)  comparative advantage 
B)  collective bargaining 
C)  competitive advantage 
D)  control system

Question 19

________ and ________ are examples of location factors in entry mode planning.

Accepted Answer

A)  Country risk; cultural distance 
B)  Size of planned venture; knowledge of local market 
C)  Industry growth rate; potential of local market 
D)  International experience; competition in local market 
A)  Country risk; cultural distance 
B)  Size of planned venture; knowledge of local market 
C)  Industry growth rate; potential of local market 
D)  International experience; competition in local market

Question 20

Wal-Mart's effective distribution channels are best described as the firm's ________.

Accepted Answer

A)  multidomestic strategy 
B)  institutional effect 
C)  key success factor 
D)  material culture 
A)  multidomestic strategy 
B)  institutional effect 
C)  key success factor 
D)  material culture

All of the following are common examples of government incentives used to attract foreign investment EXCEPT ________.

What are the most common reactive reasons that firms expand internationally?

The second part of the strategic management process is known as the ________.

The e-local approach is LEAST appropriate when ________.

In a brief essay, discuss the strategies of globalization and regionalization. When can each strategy be used most effectively?

Which of the following would most likely be categorized as a global financial objective of an international firm?

List the seven steps in the strategic management process.

Which of the following charts the direction of the company and provides a basis for strategic decision making?

Which of the following is NOT one of the primary reasons that firms globalize?

Which of the following is exemplified by the U.S. government pressuring Japan to regulate unfair competition? ****

What is the quickest and cheapest way to develop a global strategy?

What is a SWOT analysis? How is it used in strategic planning?

Mitsubishi Trading Company uses ________ to gather and analyze market information for environmental scanning purposes.

What is the difference between environmental scanning at the multinational level and the regional level?

Which of the following is a true statement about the strategic formulation process?

Which of the following terms refers to the continuous process of gathering and evaluating information about variables and events around the world that may pose threats or opportunities to the firm?

Which of the following is generally viewed as the most risky entry strategy?

Which of the following terms refers to a mutual benefit in the exchange of goods between countries, where each country exports those products in which it is relatively more efficient in production than other countries?

and are examples of location factors in entry mode planning.

Wal-Mart's effective distribution channels are best described as the firm's ________.

Assessing the Environment Political, Economic, Legal, Technological

Managing Interdependence Social Responsibility and Ethics

Understanding the Role of Culture

Communicating Across Cultures

Cross Cultural Negotiation and Decision Making

Global Alliances and Strategy Implementation

Organization Structure and Control Systems

Staffing Training and Compensation for Global Operations

Developing a Global Management Cadre

Motivating and Leading

Filters

Exam 6: Formulating Strategy

All of the following are common examples of government incentives used to attract foreign investment EXCEPT ________.

What are the most common reactive reasons that firms expand internationally?

The second part of the strategic management process is known as the ________.

The e-local approach is LEAST appropriate when ________.

In a brief essay, discuss the strategies of globalization and regionalization. When can each strategy be used most effectively?

Which of the following would most likely be categorized as a global financial objective of an international firm?

List the seven steps in the strategic management process.

Which of the following charts the direction of the company and provides a basis for strategic decision making?

Which of the following is NOT one of the primary reasons that firms globalize?

Which of the following is exemplified by the U.S. government pressuring Japan to regulate unfair competition? ****

What is the quickest and cheapest way to develop a global strategy?

What is a SWOT analysis? How is it used in strategic planning?

Mitsubishi Trading Company uses ________ to gather and analyze market information for environmental scanning purposes.

What is the difference between environmental scanning at the multinational level and the regional level?

Which of the following is a true statement about the strategic formulation process?

Which of the following terms refers to the continuous process of gathering and evaluating information about variables and events around the world that may pose threats or opportunities to the firm?

Which of the following is generally viewed as the most risky entry strategy?

Which of the following terms refers to a mutual benefit in the exchange of goods between countries, where each country exports those products in which it is relatively more efficient in production than other countries?

________ and ________ are examples of location factors in entry mode planning.

Wal-Mart's effective distribution channels are best described as the firm's ________.

Assessing the Environment Political, Economic, Legal, Technological

Managing Interdependence Social Responsibility and Ethics

Understanding the Role of Culture

Communicating Across Cultures

Cross Cultural Negotiation and Decision Making

Global Alliances and Strategy Implementation

Organization Structure and Control Systems

Staffing Training and Compensation for Global Operations

Developing a Global Management Cadre

Motivating and Leading

Filters

and are examples of location factors in entry mode planning.