Question 1

One typical challenge to international joint ventures is that:

Accepted Answer

A)  They create excessive overlaps in resources and operations 
B)  They are harder to set up than wholly owned subsidiaries 
C)  The partners have conflicting interests 
D)  The partners share the costs of operations 
A)  They create excessive overlaps in resources and operations 
B)  They are harder to set up than wholly owned subsidiaries 
C)  The partners have conflicting interests 
D)  The partners share the costs of operations

Question 2

Why did Starbucks use joint ventures to enter China initially?

Accepted Answer

The answer of Why did Starbucks use joint ventures to...

Question 3

How can a company evaluate the attractiveness of a foreign market? What factors should be considered?

Accepted Answer

The answer of How can a company evaluate the attractiveness...

Question 4

An exporter typically faces the following challenges except ____________.

Accepted Answer

A)  unknown foreign buyers 
B)  international trade barriers 
C)  high-risk entry into another country 
D)  international sales and payment terms 
A)  unknown foreign buyers 
B)  international trade barriers 
C)  high-risk entry into another country 
D)  international sales and payment terms

Question 5

An early entrant into a new foreign market faces the following disadvantages except ____.

Accepted Answer

A)  uncertainties of the new market 
B)  unfamiliarity with the new market 
C)  opportunities to learn from others 
D)  limited competition 
A)  uncertainties of the new market 
B)  unfamiliarity with the new market 
C)  opportunities to learn from others 
D)  limited competition

Question 6

Which of the following is a typical advantage of wholly owned subsidiaries?

Accepted Answer

A)  Strong managerial control 
B)  Relatively low risks 
C)  Supported by local partners 
D)  Favored by local governments 
A)  Strong managerial control 
B)  Relatively low risks 
C)  Supported by local partners 
D)  Favored by local governments

Question 7

Which of the following is not considered a typical drawback of licensing?

Accepted Answer

A)  Limited control over the licensee 
B)  Low resource requirement 
C)  The risk of leaking knowledge 
D)  Limited revenue from licensing 
A)  Limited control over the licensee 
B)  Low resource requirement 
C)  The risk of leaking knowledge 
D)  Limited revenue from licensing

Question 8

Which of the following statements is incorrect?

Accepted Answer

A)  An MNC may restructure its global operations through relocation. 
B)  An MNC may exit a country by selling its business to another party. 
C)  If needed, an MNC may liquidate its assets in a country. 
D)  It is viewed as a failure when an MNC exits a country. 
A)  An MNC may restructure its global operations through relocation. 
B)  An MNC may exit a country by selling its business to another party. 
C)  If needed, an MNC may liquidate its assets in a country. 
D)  It is viewed as a failure when an MNC exits a country.

Question 9

The following factors increase the need for local responsiveness except __________.

Accepted Answer

A)  Different customer preferences 
B)  Different distribution channels 
C)  Price competition 
D)  Local regulations 
A)  Different customer preferences 
B)  Different distribution channels 
C)  Price competition 
D)  Local regulations

Question 10

How would you rate the attractiveness of Myanmar to a global fast food chain like KFC?

Accepted Answer

The answer of How would you rate the attractiveness of...

Question 11

What are the main entry modes a company can use to enter international markets? How are they different from one another?

Accepted Answer

The answer of What are the main entry modes a...

Question 12

Which of the following is not a typical characteristic of global standardization strategy?

Accepted Answer

A)  Strong headquarter control over global operations 
B)  Relatively standard products and operations 
C)  Relatively autonomous local units 
D)  Strong coordination among worldwide operations 
A)  Strong headquarter control over global operations 
B)  Relatively standard products and operations 
C)  Relatively autonomous local units 
D)  Strong coordination among worldwide operations

Question 13

Which of the following increases the attractiveness of a foreign market?

Accepted Answer

A)  Economic changes 
B)  The liability of foreignness 
C)  Local competition 
D)  Market growth 
A)  Economic changes 
B)  The liability of foreignness 
C)  Local competition 
D)  Market growth

Question 14

Which of the following strategies indicates an MNC seeks both cost reduction and local responsiveness?

Accepted Answer

A)  Global standardization strategy 
B)  Multi-domestic strategy 
C)  Transnational strategy 
D)  Home replication strategy 
A)  Global standardization strategy 
B)  Multi-domestic strategy 
C)  Transnational strategy 
D)  Home replication strategy

Question 15

The following factors increase the costs of doing business overseas except _____.

Accepted Answer

A)  Purchasing power 
B)  Regulation compliance 
C)  Cross-border coordination 
D)  Underdeveloped infrastructure 
A)  Purchasing power 
B)  Regulation compliance 
C)  Cross-border coordination 
D)  Underdeveloped infrastructure

Question 16

Which of the following statements is incorrect?

Accepted Answer

A)  Foreign companies face extra risks because they are unfamiliar with a local market. 
B)  Foreign companies are subject to extra costs due to spatial distance. 
C)  Foreign firms always face negative perceptions because they are foreign. 
D)  Foreign firms can benefit from government policies that provide incentives. 
A)  Foreign companies face extra risks because they are unfamiliar with a local market. 
B)  Foreign companies are subject to extra costs due to spatial distance. 
C)  Foreign firms always face negative perceptions because they are foreign. 
D)  Foreign firms can benefit from government policies that provide incentives.

Question 17

If you were the CEO of Target, how would enter international markets differently?

Accepted Answer

The answer of If you were the CEO of Target,...

Question 18

The following approaches help MNCs reduce costs except ________.

Accepted Answer

A)  Seeking economies of scale 
B)  Sourcing resources and operations globally 
C)  Standardizing products and services 
D)  Complying with local rules 
A)  Seeking economies of scale 
B)  Sourcing resources and operations globally 
C)  Standardizing products and services 
D)  Complying with local rules

Question 19

Which of the following entry mode does not involve equity investment?

Accepted Answer

A)  Licensing 
B)  Joint venture 
C)  Greenfield investment 
D)  Acquisition 
A)  Licensing 
B)  Joint venture 
C)  Greenfield investment 
D)  Acquisition

One typical challenge to international joint ventures is that:

Why did Starbucks use joint ventures to enter China initially?

How can a company evaluate the attractiveness of a foreign market? What factors should be considered?

An exporter typically faces the following challenges except ____________.

An early entrant into a new foreign market faces the following disadvantages except ____.

Which of the following is a typical advantage of wholly owned subsidiaries?

Which of the following is not considered a typical drawback of licensing?

Which of the following statements is incorrect?

The following factors increase the need for local responsiveness except __________.

How would you rate the attractiveness of Myanmar to a global fast food chain like KFC?

What are the main entry modes a company can use to enter international markets? How are they different from one another?

Which of the following is not a typical characteristic of global standardization strategy?

Which of the following increases the attractiveness of a foreign market?

Which of the following strategies indicates an MNC seeks both cost reduction and local responsiveness?

The following factors increase the costs of doing business overseas except _____.

Which of the following statements is incorrect?

If you were the CEO of Target, how would enter international markets differently?

The following approaches help MNCs reduce costs except ________.

Which of the following entry mode does not involve equity investment?

Globalization

Trade

Foreign Direct Investment

Economic Environment

Political and Legal Environment

Social and Cultural Environment

The Foreign Exchange Market and the International Monetary System

Managing People

Managing Money

Managing Operations

Managing Customers

Managing Sustainability

Filters

Exam 8: Managing Entry and Exit Decisions

One typical challenge to international joint ventures is that:

Why did Starbucks use joint ventures to enter China initially?

How can a company evaluate the attractiveness of a foreign market? What factors should be considered?

An exporter typically faces the following challenges except ____________.

An early entrant into a new foreign market faces the following disadvantages except ____.

Which of the following is a typical advantage of wholly owned subsidiaries?

Which of the following is not considered a typical drawback of licensing?

Which of the following statements is incorrect?

The following factors increase the need for local responsiveness except __________.

How would you rate the attractiveness of Myanmar to a global fast food chain like KFC?

What are the main entry modes a company can use to enter international markets? How are they different from one another?

Which of the following is not a typical characteristic of global standardization strategy?

Which of the following increases the attractiveness of a foreign market?

Which of the following strategies indicates an MNC seeks both cost reduction and local responsiveness?

The following factors increase the costs of doing business overseas except _____.

Which of the following statements is incorrect?

If you were the CEO of Target, how would enter international markets differently?

The following approaches help MNCs reduce costs except ________.

Which of the following entry mode does not involve equity investment?

Globalization

Trade

Foreign Direct Investment

Economic Environment

Political and Legal Environment

Social and Cultural Environment

The Foreign Exchange Market and the International Monetary System

Managing People

Managing Money

Managing Operations

Managing Customers

Managing Sustainability

Filters