Question 1

The success of outsourcing strategic alliances depends on which of the following?

Accepted Answer

A) Outsourcing must be done carefully, with clear objectives and expectations 
B) Outsourcing partners must be selected based on expertise and based on their cultural fit with the firm 
C) The outsourcing plan should provide clear expectations, requirements, and benefits 
D) The success of the alliance depends on all of the above. 
A) Outsourcing must be done carefully, with clear objectives and expectations 
B) Outsourcing partners must be selected based on expertise and based on their cultural fit with the firm 
C) The outsourcing plan should provide clear expectations, requirements, and benefits 
D) The success of the alliance depends on all of the above.

Question 2

Indirect exporting indicates that the company is not committed to the market.

Accepted Answer

A) True 
 B)False

Question 3

______________________________ offer the company control over how to handle revenue and profits.

Accepted Answer

Wholly-owned subsidi

Question 4

Overall, 70% of all joint ventures break up within 2.5 years.

Accepted Answer

A) True 
 B)False

Question 5

Which statement regarding branch offices is false?

Accepted Answer

A) Branch offices, like subsidiaries, offer a high level of control over operations. 
B) Branch offices are part of the international company (i.e., it is not a separate entity). 
C) Branch offices have a higher level of risk than subsidiaries. 
D) Branch offices of service providers typically engage in a full spectrum of activity. 
A) Branch offices, like subsidiaries, offer a high level of control over operations. 
B) Branch offices are part of the international company (i.e., it is not a separate entity). 
C) Branch offices have a higher level of risk than subsidiaries. 
D) Branch offices of service providers typically engage in a full spectrum of activity.

Question 6

A company can use cooperative exporting, which is also known as "piggybacking" or "_________________________."

Accepted Answer

The answer of A company can use cooperative exporting, which...

Question 7

All joint ventures and licensing agreements are considered to be strategic alliances between companies attempting to reach joint corporate and market-related goals.

Accepted Answer

A) True 
 B)False

Question 8

It is typical for the local government of a developing country to limit the joint venture ownership of international firms to less than ____________________.

Accepted Answer

The answer of It is typical for the local government...

Question 9

Greenfielding refers to the process that occurs for a company when it

Accepted Answer

A) is forced to comply with international environmental laws. 
B) develops its own subsidiary in another country. 
C) selects a new target market in a region. 
D) takes a "poison pill" to prevent a forced nationalization. 
A) is forced to comply with international environmental laws. 
B) develops its own subsidiary in another country. 
C) selects a new target market in a region. 
D) takes a "poison pill" to prevent a forced nationalization.

Question 10

Which entry mode below offers the lowest control?

Accepted Answer

A) Licensing, 
B) Indirect exporting 
C) Franchising 
D) Wholly-owned subsidiary 
A) Licensing, 
B) Indirect exporting 
C) Franchising 
D) Wholly-owned subsidiary

Question 11

Greenfielding is the process of exporting a company's product to a country to which it has not previously exported.

Accepted Answer

A) True 
 B)False

Question 12

Transfer pricing is a policy that a government may implement to encourage a company to keep its profits within the country's borders.

Accepted Answer

A) True 
 B)False

Question 13

Like licensing, joint venture partners can turn into competitors. But in the joint venture situation

Accepted Answer

A) the competitor is rarely a threat. 
B) the competitor is not protected by the government. 
C) the international firm may be able to control the supply chain preventing access to equipment that the competitor needs. 
D) All of the above are true. 
A) the competitor is rarely a threat. 
B) the competitor is not protected by the government. 
C) the international firm may be able to control the supply chain preventing access to equipment that the competitor needs. 
D) All of the above are true.

Question 14

Airbus has subsidiaries in _________________________, ____________________, and ____________________.

Accepted Answer

The United

Question 15

Which of the following is considered to more of a short-term strategic alliance?

Accepted Answer

A) Franchising 
B) Joint Ventures 
C) Consortia 
D) Manufacturing alliances 
A) Franchising 
B) Joint Ventures 
C) Consortia 
D) Manufacturing alliances

Question 16

Outsourcing is especially popular in the areas of customer service and billing.

Accepted Answer

A) True 
 B)False

Question 17

The _________________________ mode of entry is the least risky entry mode.

Accepted Answer

Export
Ind

Question 18

In general, companies tend to use licensing in their first attempt to expand internationally.

Accepted Answer

A) True 
 B)False

Question 19

Which international marketing strategy carries the greatest level of risk?

Accepted Answer

A) Joint ventures 
B) Wholly-owned subsidiaries 
C) Branch offices 
D) Licensing 
A) Joint ventures 
B) Wholly-owned subsidiaries 
C) Branch offices 
D) Licensing

Question 20

Which of the following is not likely to be used by an indirect exporter?

Accepted Answer

A) Merchant middlemen 
B) Trading companies 
C) Agents/brokers 
D) Export management companies 
A) Merchant middlemen 
B) Trading companies 
C) Agents/brokers 
D) Export management companies

The success of outsourcing strategic alliances depends on which of the following?

Indirect exporting indicates that the company is not committed to the market.

______________________________ offer the company control over how to handle revenue and profits.

Overall, 70% of all joint ventures break up within 2.5 years.

Which statement regarding branch offices is false?

A company can use cooperative exporting, which is also known as "piggybacking" or "_________________________."

All joint ventures and licensing agreements are considered to be strategic alliances between companies attempting to reach joint corporate and market-related goals.

It is typical for the local government of a developing country to limit the joint venture ownership of international firms to less than ____________________.

Greenfielding refers to the process that occurs for a company when it

Which entry mode below offers the lowest control?

Greenfielding is the process of exporting a company's product to a country to which it has not previously exported.

Transfer pricing is a policy that a government may implement to encourage a company to keep its profits within the country's borders.

Like licensing, joint venture partners can turn into competitors. But in the joint venture situation

Airbus has subsidiaries in _____, , and .

Which of the following is considered to more of a short-term strategic alliance?

Outsourcing is especially popular in the areas of customer service and billing.

The _________________________ mode of entry is the least risky entry mode.

In general, companies tend to use licensing in their first attempt to expand internationally.

Which international marketing strategy carries the greatest level of risk?

Which of the following is not likely to be used by an indirect exporter?

Scope, Concepts, and Drivers of International Marketing

An Overview of the International Marketing Environment

International Trade: Institutional Barriers and Facilitators

Regional Economic and Political Integration

Cultural Influences on International Marketing

International Marketing Research: Practices and Challenges

International Strategic Planning

Products and Services: Branding Decisions in International Markets

International Product and Service Strategies

Managing International Distribution Operations and Logistics

International Retailing

The International Promotional Mix and Advertising Strategies

International Publicity, Public Relations, and Sales Promotion Strategies

International Personal Selling and Personnel Management

International Pricing Strategy

Organizing and Controlling International Marketing Operations and Perspectives for the Future

Filters

Exam 8: Expansion Strategies and Entry Mode Selection

The success of outsourcing strategic alliances depends on which of the following?

Indirect exporting indicates that the company is not committed to the market.

______________________________ offer the company control over how to handle revenue and profits.

Overall, 70% of all joint ventures break up within 2.5 years.

Which statement regarding branch offices is false?

A company can use cooperative exporting, which is also known as "piggybacking" or "_________________________."

All joint ventures and licensing agreements are considered to be strategic alliances between companies attempting to reach joint corporate and market-related goals.

It is typical for the local government of a developing country to limit the joint venture ownership of international firms to less than ____________________.

Greenfielding refers to the process that occurs for a company when it

Which entry mode below offers the lowest control?

Greenfielding is the process of exporting a company's product to a country to which it has not previously exported.

Transfer pricing is a policy that a government may implement to encourage a company to keep its profits within the country's borders.

Like licensing, joint venture partners can turn into competitors. But in the joint venture situation

Airbus has subsidiaries in _________________________, ____________________, and ____________________.

Which of the following is considered to more of a short-term strategic alliance?

Outsourcing is especially popular in the areas of customer service and billing.

The _________________________ mode of entry is the least risky entry mode.

In general, companies tend to use licensing in their first attempt to expand internationally.

Which international marketing strategy carries the greatest level of risk?

Which of the following is not likely to be used by an indirect exporter?

Scope, Concepts, and Drivers of International Marketing

An Overview of the International Marketing Environment

International Trade: Institutional Barriers and Facilitators

Regional Economic and Political Integration

Cultural Influences on International Marketing

International Marketing Research: Practices and Challenges

International Strategic Planning

Products and Services: Branding Decisions in International Markets

International Product and Service Strategies

Managing International Distribution Operations and Logistics

International Retailing

The International Promotional Mix and Advertising Strategies

International Publicity, Public Relations, and Sales Promotion Strategies

International Personal Selling and Personnel Management

International Pricing Strategy

Organizing and Controlling International Marketing Operations and Perspectives for the Future

Filters

Airbus has subsidiaries in _____, , and .