Exam 12: Building and Managing Global Strategic Alliances Gsas

Financial capabilities include organizational skills, previous collaboration, learning ability, and foreign exchange experience.

________________ refers to the congruence of strategic goals set for an alliance between its parent firms.

International managers should make a strategic assessment about the necessity of building GSAs in the course of feasibility study.

GM and Toyota have made a GSA. What benefit is the driving factor for GM?

Managerial control is realized through equity control and parent control.

Many of IKEA's foreign suppliers are committed to becoming ________.

According to personal attachment, it is driven by interpersonal relationships as well as interpersonal learning of individual skills and knowledge.

Goal complementarity is the extent to which one party's contributed resources are complementary to the other party's resources, resulting in synergies pursued by both.

Risk reduction, knowledge acquisition, economies of scale and rationalization are examples of FDI.

Maintaining flexibility is a virtue for avoiding conflicts.

Who is Mitsubishi's biggest competitor?

The ______________ arrangement provides a platform in which each party can reach a larger pool of international consumers.

IBM and Microsoft, each contributed cash, facilities, and intellectual property rights in a joint venture project. This is an example of _________.

Two companies, each partner contributes cash, facilities, equipment, materials, intellectual property rights, labor, or land-use rights. This is an example of _______.

Siemens AG is

Joint exploration projects are a special type of non-equity cooperative alliance whereby the exploration costs are borne by the foreign partner, with development costs later shared by a local entity.

To ensure goal compatibility, MNEs often partner with those that have been co-operated in the past.

Strategic capabilities of a partner firm generally include such areas as market power, marketing competence, technological skills, relationship building, industrial experience, and corporate image.

Parent control is the process through which a parent company ensures that the way an alliance is managed conforms to its own interests.

During the process of GSA formation, foreign companies do not have to identify what selection criteria should be employed or the relative importance of each criterion.