Exam 4: The Multinational Enterprise

With few exceptions, the largest MNEs are based in the three regions of the world with annual revenues larger than many countries.

Multinational Enterprises are a fairly new phenomenon, established in the twentieth century.

Modularization can protect a company's key competitive technology and at the same time be detrimental to the effectiveness of the venture.

Major players in the international arena include large MNEs from developed countries.

The __________________ company is a firm with at least one majority-owned plant or a joint venture abroad but which lacks representation in all major regions of the world such as Asia, Europe, and the Americas.

"Traditional" MNEs are considered to be large firms based in developed nations and are present in the three regions of the world.

Internationally committed companies have at least one majority owned plant or joint venture abroad in one of the three regions of the world.

Strategic capabilities include technological assets such as

Firms considered International Firms engage in trade activities without foreign direct investment (FDI)

Despite a heightened tendency toward borderless activities and a growing contribution from foreign production and sales, most MNEs do not retain their home country roots and characteristics.

Multinational Enterprises (MNEs) must develop "dynamic capabilities" to sustain a competitive advantage.

The degree of internationality can be determined by calculating a firm's transnationality index.

The evolution of a DIVINE starting with labor-intensive production and gradually moving into technology is an example of

The term MNE refers to a company with moderate FDI.

MNEs have become prevalent in recent years partly due to advancements in host country preferences.

Groups of Multinational Enterprises from developing and emerging economies are known as

Which of the choices listed below describe the following statement: a "business organization that from inception seeks to derive significant competitive advantages from the use of resources and sale of output in multiple countries."

Government support of a DMNE can hinder the growth of the firm.

Multinational enterprises (MNEs) are considered firms with a minimal to no foreign direct investment (FDI)

Effective knowledge transfer is the most important capability for the development of a MNE.