Question 1

Blue ocean strategy focuses on _____.

Accepted Answer

A)  developing new markets 
B)  attacking core markets defended by rivals 
C)  attacking new markets explored by rivals 
D)  leading a price war 
A)  developing new markets 
B)  attacking core markets defended by rivals 
C)  attacking new markets explored by rivals 
D)  leading a price war A

Question 2

Define predatory pricing.Why is it difficult to win a domestic predation case in the United States?

Accepted Answer

Predatory pricing is defined as (1)setting prices below cost and (2)intending to raise prices after eliminating rivals to cover its losses in the long run.This is an area of significant contention.First,it is not clear what exactly constitutes "cost." Second,even when firms are found to be selling below cost,US courts have ruled that if rivals are too numerous to eliminate,one firm cannot recoup the losses incurred by charging low prices by later jacking up prices,so its pricing cannot be labeled "predatory." This seems to be the case in most industries.These two legal tests have made it extremely difficult to win a domestic predation case in the United States.

Question 3

_____ occurs when firms engage the same rivals in numerous markets.

Accepted Answer

A)  Multimarket competition 
B)  Explicit collusion 
C)  Cross-border dumping 
D)  Cross-market retaliation 
A)  Multimarket competition 
B)  Explicit collusion 
C)  Cross-border dumping 
D)  Cross-market retaliation A

Question 4

Low barriers to entry into an industry make collusion between firms difficult.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following sets of words describes the initial set of actions a firm uses to gain competitive advantage and the other firm's response to it?

Accepted Answer

A)  Tacit collusion, explicit collusion 
B)  Competition, cooperation 
C)  Attack, counterattack 
D)  Cooperation, signaling 
A)  Tacit collusion, explicit collusion 
B)  Competition, cooperation 
C)  Attack, counterattack 
D)  Cooperation, signaling

Question 6

The American antitrust policy is considered to be _____.

Accepted Answer

A)  pro-incumbent 
B)  pro-producer 
C)  pro-collusion 
D)  pro-consumer 
A)  pro-incumbent 
B)  pro-producer 
C)  pro-collusion 
D)  pro-consumer

Question 7

A low degree of market commonality suggests that if a firm attacks in one market,its rivals may engage in cross-market retaliation.

Accepted Answer

A) True 
 B)False

Question 8

Which combination of resource similarity and market commonality results in the most intense competition?

Accepted Answer

A)  High resource similarity, low market commonality 
B)  Low resource similarity, high market commonality 
C)  Low resource similarity, low market commonality 
D)  High resource similarity, high market commonality 
A)  High resource similarity, low market commonality 
B)  Low resource similarity, high market commonality 
C)  Low resource similarity, low market commonality 
D)  High resource similarity, high market commonality

Question 9

_____ strategy centers on leveraging home-grown competencies abroad.

Accepted Answer

A)  Contender 
B)  Extender 
C)  Defender 
D)  Dodger 
A)  Contender 
B)  Extender 
C)  Defender 
D)  Dodger

Question 10

Which of the following industrial characteristics makes a collusion difficult but leads to competition?

Accepted Answer

A)  Existence of few firms in the industry 
B)  Existence of an industry price leader 
C)  Lack of market commonality 
D)  High barriers of entry 
A)  Existence of few firms in the industry 
B)  Existence of an industry price leader 
C)  Lack of market commonality 
D)  High barriers of entry

Question 11

Minimizing an opponent's awareness,motivation,and capabilities is more likely to result in successful attacks.

Accepted Answer

A) True 
 B)False

Question 12

Explain the three drivers of counterattacks.

Accepted Answer

There are three drivers for counterattac

Question 13

Explain the possible outcomes of an antidumping investigation in the United States.

Accepted Answer

The antidumping investigation in the US

Question 14

The act of setting prices below cost to eliminate rivals while intending to raise them in the long run to make up for the initial losses is known as _____.

Accepted Answer

A)  dumping 
B)  collusive price setting 
C)  predatory pricing 
D)  counterattack 
A)  dumping 
B)  collusive price setting 
C)  predatory pricing 
D)  counterattack

Question 15

Firms whose units are loosely controlled are better mutual forbearers than more centrally coordinated firms.

Accepted Answer

A) True 
 B)False

Question 16

____ centers on cooperating through joint ventures with MNEs and sell-offs to MNEs.

Accepted Answer

A)  Defender strategy 
B)  Extender strategy 
C)  Dodger strategy 
D)  Contender strategy 
A)  Defender strategy 
B)  Extender strategy 
C)  Dodger strategy 
D)  Contender strategy

Question 17

Tacit collusions typically lead to a cartel or trust.

Accepted Answer

A) True 
 B)False

Question 18

Prisoners' dilemma is a type of game in which the outcome depends on two parties deciding whether to cooperate or to defect.

Accepted Answer

A) True 
 B)False

Question 19

_____ is defined as a plan to raise prices after eliminating local rivals.

Accepted Answer

A)  Dumping 
B)  Dodging 
C)  Collusion 
D)  Forbearing 
A)  Dumping 
B)  Dodging 
C)  Collusion 
D)  Forbearing

Question 20

Identify and describe two of the arguments that exist against the practice of imposing antidumping restrictions on foreign firms.

Accepted Answer

Two arguments exist against the practice

Blue ocean strategy focuses on _____.

Define predatory pricing.Why is it difficult to win a domestic predation case in the United States?

_____ occurs when firms engage the same rivals in numerous markets.

Low barriers to entry into an industry make collusion between firms difficult.

Which of the following sets of words describes the initial set of actions a firm uses to gain competitive advantage and the other firm's response to it?

The American antitrust policy is considered to be _____.

A low degree of market commonality suggests that if a firm attacks in one market,its rivals may engage in cross-market retaliation.

Which combination of resource similarity and market commonality results in the most intense competition?

_____ strategy centers on leveraging home-grown competencies abroad.

Which of the following industrial characteristics makes a collusion difficult but leads to competition?

Minimizing an opponent's awareness,motivation,and capabilities is more likely to result in successful attacks.

Explain the three drivers of counterattacks.

Explain the possible outcomes of an antidumping investigation in the United States.

The act of setting prices below cost to eliminate rivals while intending to raise them in the long run to make up for the initial losses is known as _____.

Firms whose units are loosely controlled are better mutual forbearers than more centrally coordinated firms.

____ centers on cooperating through joint ventures with MNEs and sell-offs to MNEs.

Tacit collusions typically lead to a cartel or trust.

Prisoners' dilemma is a type of game in which the outcome depends on two parties deciding whether to cooperate or to defect.

_____ is defined as a plan to raise prices after eliminating local rivals.

Identify and describe two of the arguments that exist against the practice of imposing antidumping restrictions on foreign firms.

Globalizing Business

Understanding Formal Institutions: Politics, Laws, and Economics

Emphasizing Informal Institutions: Cultures, Ethics, and Norms

Leveraging Resources and Capabilities

Trading Internationally

Investing Abroad Directly

Dealing with Foreign Exchange

Capitalizing on Global and Regional Integration

Growing and Internationalizing the Entrepreneurial Firm

Entering Foreign Markets

Making Alliances and Acquisitions Work

Strategizing,Structuring,and Learning around the World

Competing on Marketing and Supply Chain Management

Managing Human Resources Globally

Financing and Governing the Corporation Globally

Managing Corporate Social Responsibility Globally

Filters

Exam 11: Managing Global Competitive Dynamics

Blue ocean strategy focuses on _____.

Define predatory pricing.Why is it difficult to win a domestic predation case in the United States?

_____ occurs when firms engage the same rivals in numerous markets.

Low barriers to entry into an industry make collusion between firms difficult.

Which of the following sets of words describes the initial set of actions a firm uses to gain competitive advantage and the other firm's response to it?

The American antitrust policy is considered to be _____.

A low degree of market commonality suggests that if a firm attacks in one market,its rivals may engage in cross-market retaliation.

Which combination of resource similarity and market commonality results in the most intense competition?

_____ strategy centers on leveraging home-grown competencies abroad.

Which of the following industrial characteristics makes a collusion difficult but leads to competition?

Minimizing an opponent's awareness,motivation,and capabilities is more likely to result in successful attacks.

Explain the three drivers of counterattacks.

Explain the possible outcomes of an antidumping investigation in the United States.

The act of setting prices below cost to eliminate rivals while intending to raise them in the long run to make up for the initial losses is known as _____.

Firms whose units are loosely controlled are better mutual forbearers than more centrally coordinated firms.

____ centers on cooperating through joint ventures with MNEs and sell-offs to MNEs.

Tacit collusions typically lead to a cartel or trust.

Prisoners' dilemma is a type of game in which the outcome depends on two parties deciding whether to cooperate or to defect.

_____ is defined as a plan to raise prices after eliminating local rivals.

Identify and describe two of the arguments that exist against the practice of imposing antidumping restrictions on foreign firms.

Globalizing Business

Understanding Formal Institutions: Politics, Laws, and Economics

Emphasizing Informal Institutions: Cultures, Ethics, and Norms

Leveraging Resources and Capabilities

Trading Internationally

Investing Abroad Directly

Dealing with Foreign Exchange

Capitalizing on Global and Regional Integration

Growing and Internationalizing the Entrepreneurial Firm

Entering Foreign Markets

Making Alliances and Acquisitions Work

Strategizing,Structuring,and Learning around the World

Competing on Marketing and Supply Chain Management

Managing Human Resources Globally

Financing and Governing the Corporation Globally

Managing Corporate Social Responsibility Globally

Filters