Exam 4: Managing in a Global Environment

MNCs that are truly world-oriented and favor no specific country are considered _____.

List the three examples of direct investing mentioned in your text.

When a company builds a subsidiary from scratch in a foreign country it is called a greenfield venture.

Which of the following is a form of franchising?

Seeking cheaper sources of materials or labor offshore is called offshoring.

Which organization originated and supports the idea of small businesses operating on a global level?

Cultural intelligence is a person's ability to use reason and observation to interpret culturally unfamiliar situations and know how to respond appropriately. Do you think it is important for managers to develop their cultural intelligence? Write a short essay defending your stance.

_____ (objects, taboos, holidays) is a sociocultural factor in the international environment.

The countries experiencing political stability face the greatest threat of violence.

Most firms begin with which strategy to enter foreign markets?

Business has become a unified, global field as trade barriers fall, communication becomes faster and cheaper, and consumer tastes converge.

Market strategies are various tactics that managers use to enter foreign markets. Write a short essay that compares and contrasts these four market entry strategies: exporting, outsourcing, licensing, and direct investing. Include an example of products or services that are exported, outsourced, licensed, or acquired by direct investing.

Which of the following has a goal to guide the nations of the world toward free trade and open markets?

The Nissan plant in Mississippi is an example of a _____.

Kim, a Japanese expatriate working in Denmark, tends to use communication primarily to build personal social relationships. She feels that relationships and trust are more important than business. Kim is surprised that her business associates in Denmark do not share the same views. Based on this information, Kim most likely grew up in what type of culture?

_____ refers to a person's ability to use reasoning and observation skills to interpret unfamiliar gestures and situations and devise appropriate behavioral responses.

According to the GLOBE Project, a society with a high performance orientation places high emphasis on performance and rewards people for performance improvements and excellence.

Countries, businesses, and people are becoming increasingly interdependent. To succeed on an international level, managers in all fields need a global mindset. Write a short essay expounding on what it means to have a global mindset and why it is necessary in today's business environment. Include your thoughts on two or three steps a manager can take that will help him develop a global mindset.