Question 1

Describe the five benefits for companies of expanding internationally.Give an example of each benefit.

Accepted Answer

The benefits include:
1.Availability of supplies.For years oil companies,for example,have expanded their activities outside the United States in seeking cheaper or more plentiful sources of oil.
2.New markets for old products.Sometimes a company will find,as cigarette makers have,that the demand for their product has declined domestically but that they can still make money overseas.
3.Lower labor costs.For example,the rationale for using maquiladoras,manufacturing plants allowed to operate in Mexico with special privileges in return for employing Mexican citizens,is that they provide less expensive labor for assembling everything from appliances to cars.
4.Access to financial capital.For example,Woody Allen's 2013 film Blue Jasmine,in which Cate Blanchett plays a woman whose husband is revealed to be a Bernie Madoff-like con man,received most of its financing from overseas investors,as do many other American movies.
5.Avoidance of trade barriers.For example,Japan imposes tariffs on agricultural products,such as rice,imported from the United States.To avoid these penalties,a company might create a subsidiary to produce the product in the foreign country.

Question 2

Consisting of 159 member countries,the World Trade Organization is designed to monitor and enforce trade agreements.

Accepted Answer

A) True 
 B)False  True

Question 3

Farm Supply has decided to allow a retailer in Canada to utilize the Farm Supply name and a number of valuable business services in return for paying the company a fee and part of its profits.This business arrangement is known as franchising.

Accepted Answer

A) True 
 B)False  True

Question 4

Countertrading is a decision by an organization to never accept the market price from its suppliers,but to save money by negotiating a lower price.

Accepted Answer

A) True 
 B)False

Question 5

Luxere Hotels International,an American company,sells the rights to other hospitality companies globally to open hotels with the Luxere name for a fee and a share of the profit,in return for using Luxere's brand name and a package of materials and services.This defines ____.

Accepted Answer

A) franchising 
B) importing 
C) offshoring 
D) exporting 
E) countertrading 
A) franchising 
B) importing 
C) offshoring 
D) exporting 
E) countertrading

Question 6

Tom,who owns a successful business with two locations and a few international clients,was approached by a large organization about dramatically expanding his company.Tom later told his wife that he is happy with his success,but he wants to stay small because if he decides to add new products,small companies ____.

Accepted Answer

A) take more time to start new endeavors 
B) typically maneuver slowly with new ideas 
C) can get started more easily and maneuver faster 
D) tend to not change due to inexperienced management 
E) can adjust more easily to capital shortages 
A) take more time to start new endeavors 
B) typically maneuver slowly with new ideas 
C) can get started more easily and maneuver faster 
D) tend to not change due to inexperienced management 
E) can adjust more easily to capital shortages

Question 7

The hallmark of great civilizations has been great systems of ____.

Accepted Answer

A) laws 
B) diversity 
C) leadership 
D) communications 
E) manufacturing 
A) laws 
B) diversity 
C) leadership 
D) communications 
E) manufacturing

Question 8

To complete the Johnson family's new home in Ohio,Top Builders,an American construction company specializing in new homes,utilized a Swiss company that specializes in fine-quality doors,using the wood of trees from the Alps region.Top's use of a foreign company's products and labor is known as offshoring.

Accepted Answer

A) True 
 B)False

Question 9

The greenfield venture is a strategic alliance with individuals and organizations in third-world nations,in order to assist,educate,and share the risks and rewards of starting a new nonprofit organization in their country.

Accepted Answer

A) True 
 B)False

Question 10

Anna,the owner of a café,attended an entrepreneurial conference where they spoke about in-group collectivism from the GLOBE project,which expresses ____.

Accepted Answer

A) how much patriotism and loyalty people should have for their country 
B) the degree to which a society's members expect power to be unequally shared 
C) the extent that individuals are encouraged and rewarded for group loyalty versus pursuing individual goals 
D) the extent to which a society encourages investment in the future,as by planning and saving 
E) how much pride and loyalty people should have for their family or organization 
A) how much patriotism and loyalty people should have for their country 
B) the degree to which a society's members expect power to be unequally shared 
C) the extent that individuals are encouraged and rewarded for group loyalty versus pursuing individual goals 
D) the extent to which a society encourages investment in the future,as by planning and saving 
E) how much pride and loyalty people should have for their family or organization

Question 11

Roberto,the vice president of marketing,is talking to Francis,a sales manager in a foreign office,about several local situations that Francis's reps are facing in their territory.Roberto tells Francis that he believes there are differences and similarities between home and foreign personnel and practices,and that Francis should use whatever techniques are most effective.Trey is an example of a(n)____ manager.

Accepted Answer

A) parochial 
B) ethnocentric 
C) global 
D) geocentric 
E) polycentric 
A) parochial 
B) ethnocentric 
C) global 
D) geocentric 
E) polycentric

Question 12

Quality Air,a company that builds airplanes,typically utilizes other production companies that specialize in certain parts for its jets;this practice is known as ____.

Accepted Answer

A) MBO 
B) bartering 
C) trading 
D) outsourcing 
E) diversifying 
A) MBO 
B) bartering 
C) trading 
D) outsourcing 
E) diversifying

Question 13

An Indian company has been exporting a technology product to American customers and is marketing its product at a price that is well below the price charged by American companies to drive down the price of the American product.This is an example of countertrading.

Accepted Answer

A) True 
 B)False

Question 14

Learning how to enhance the American global image of being a "caring,wonderful person" is part of becoming a world citizen.

Accepted Answer

A) True 
 B)False

Question 15

Foreign companies have built plants in the United States,slowly revitalizing parts of industrial America,with foreign direct investment only at 5% of America's GDP.In addition,companies based overseas provide jobs for about 1% of U.S.workers.

Accepted Answer

A) True 
 B)False

Question 16

According to the findings of the GLOBE project,the assertiveness dimension represents the extent to which a society values ____.

Accepted Answer

A) power distance and sharing 
B) in-group collectivism and loyalty 
C) confrontation and competitiveness 
D) performance improvement and excellence 
E) altruism and caring 
A) power distance and sharing 
B) in-group collectivism and loyalty 
C) confrontation and competitiveness 
D) performance improvement and excellence 
E) altruism and caring

Question 17

A tax on automobiles imported into the United States that raises prices on imported vehicles to make the price of cars produced here more competitive is a(n)______;a tax on all oil imported into the United States,which is implemented to raise money for the American government,is known as a(n)____.

Accepted Answer

A) protective tariff;revenue tariff 
B) revenue tariff;protective tariff 
C) quota tariff;revenue tariff 
D) embargo agreement;income tariff 
E) import barrier;income tariff 
A) protective tariff;revenue tariff 
B) revenue tariff;protective tariff 
C) quota tariff;revenue tariff 
D) embargo agreement;income tariff 
E) import barrier;income tariff

Question 18

Employers have found that there is agreement among most religions of the world as to what is the most important work-related value.

Accepted Answer

A) True 
 B)False

Question 19

Don's Carpet installed carpet at no cost for City Office Supply,in exchange for $1,000 of office supplies.This is an example of ____.

Accepted Answer

A) outsourcing 
B) sourcing 
C) inputting 
D) countertrading 
E) importing 
A) outsourcing 
B) sourcing 
C) inputting 
D) countertrading 
E) importing

Question 20

Many companies are moving production outside the United States because of the effects of geopolitics,a trend known as deglobalization.

Accepted Answer

A) True 
 B)False

Describe the five benefits for companies of expanding internationally.Give an example of each benefit.

Consisting of 159 member countries,the World Trade Organization is designed to monitor and enforce trade agreements.

Farm Supply has decided to allow a retailer in Canada to utilize the Farm Supply name and a number of valuable business services in return for paying the company a fee and part of its profits.This business arrangement is known as franchising.

Countertrading is a decision by an organization to never accept the market price from its suppliers,but to save money by negotiating a lower price.

Luxere Hotels International,an American company,sells the rights to other hospitality companies globally to open hotels with the Luxere name for a fee and a share of the profit,in return for using Luxere's brand name and a package of materials and services.This defines ____.

The hallmark of great civilizations has been great systems of ____.

The greenfield venture is a strategic alliance with individuals and organizations in third-world nations,in order to assist,educate,and share the risks and rewards of starting a new nonprofit organization in their country.

Anna,the owner of a café,attended an entrepreneurial conference where they spoke about in-group collectivism from the GLOBE project,which expresses ____.

Quality Air,a company that builds airplanes,typically utilizes other production companies that specialize in certain parts for its jets;this practice is known as ____.

An Indian company has been exporting a technology product to American customers and is marketing its product at a price that is well below the price charged by American companies to drive down the price of the American product.This is an example of countertrading.

Learning how to enhance the American global image of being a "caring,wonderful person" is part of becoming a world citizen.

Foreign companies have built plants in the United States,slowly revitalizing parts of industrial America,with foreign direct investment only at 5% of America's GDP.In addition,companies based overseas provide jobs for about 1% of U.S.workers.

According to the findings of the GLOBE project,the assertiveness dimension represents the extent to which a society values ____.

A tax on automobiles imported into the United States that raises prices on imported vehicles to make the price of cars produced here more competitive is a(n)__;a tax on all oil imported into the United States,which is implemented to raise money for the American government,is known as a(n).

Employers have found that there is agreement among most religions of the world as to what is the most important work-related value.

Don's Carpet installed carpet at no cost for City Office Supply,in exchange for $1,000 of office supplies.This is an example of ____.

Many companies are moving production outside the United States because of the effects of geopolitics,a trend known as deglobalization.

The Exceptional Manager: What You Do,how You Do It

Management Theory: Essential Background for the Successful Manager

The Managers Changing Work Environment and Ethical Responsibilities: Doing the Right Thing

Planning: The Foundation of Successful Management

Strategic Management: How Exceptional Managers Realize a Grand Design

Individual and Group Decision Making: How Managers Make Things Happen

Organizational Culture,Structure,and Design: Building Blocks of the Organization

Human Resource Management: Getting the Right People for Managerial Success

Organizational Change and Innovation: Lifelong Challenges for the Exceptional Manager

Managing Individual Differences and Behavior: Supervising People As People

Motivating Employees: Achieving Superior Performance in the Workplace

Groups and Teams: Increasing Cooperation,reducing Conflict

Power,Influence,and Leadership: From Becoming a Manager to Becoming a Leader

Interpersonal and Organizational Communication: Mastering the Exchange of Information

Control Systems and Quality Management: Techniques for Enhancing Organizational Effectiveness

Filters

Exam 4: Global Management: Managing Across Borders

Describe the five benefits for companies of expanding internationally.Give an example of each benefit.

Consisting of 159 member countries,the World Trade Organization is designed to monitor and enforce trade agreements.

Farm Supply has decided to allow a retailer in Canada to utilize the Farm Supply name and a number of valuable business services in return for paying the company a fee and part of its profits.This business arrangement is known as franchising.

Countertrading is a decision by an organization to never accept the market price from its suppliers,but to save money by negotiating a lower price.

Luxere Hotels International,an American company,sells the rights to other hospitality companies globally to open hotels with the Luxere name for a fee and a share of the profit,in return for using Luxere's brand name and a package of materials and services.This defines ____.

The hallmark of great civilizations has been great systems of ____.

The greenfield venture is a strategic alliance with individuals and organizations in third-world nations,in order to assist,educate,and share the risks and rewards of starting a new nonprofit organization in their country.

Anna,the owner of a café,attended an entrepreneurial conference where they spoke about in-group collectivism from the GLOBE project,which expresses ____.

Quality Air,a company that builds airplanes,typically utilizes other production companies that specialize in certain parts for its jets;this practice is known as ____.

An Indian company has been exporting a technology product to American customers and is marketing its product at a price that is well below the price charged by American companies to drive down the price of the American product.This is an example of countertrading.

Learning how to enhance the American global image of being a "caring,wonderful person" is part of becoming a world citizen.

Foreign companies have built plants in the United States,slowly revitalizing parts of industrial America,with foreign direct investment only at 5% of America's GDP.In addition,companies based overseas provide jobs for about 1% of U.S.workers.

According to the findings of the GLOBE project,the assertiveness dimension represents the extent to which a society values ____.

A tax on automobiles imported into the United States that raises prices on imported vehicles to make the price of cars produced here more competitive is a(n)______;a tax on all oil imported into the United States,which is implemented to raise money for the American government,is known as a(n)____.

Employers have found that there is agreement among most religions of the world as to what is the most important work-related value.

Don's Carpet installed carpet at no cost for City Office Supply,in exchange for $1,000 of office supplies.This is an example of ____.

Many companies are moving production outside the United States because of the effects of geopolitics,a trend known as deglobalization.

The Exceptional Manager: What You Do,how You Do It

Management Theory: Essential Background for the Successful Manager

The Managers Changing Work Environment and Ethical Responsibilities: Doing the Right Thing

Planning: The Foundation of Successful Management

Strategic Management: How Exceptional Managers Realize a Grand Design

Individual and Group Decision Making: How Managers Make Things Happen

Organizational Culture,Structure,and Design: Building Blocks of the Organization

Human Resource Management: Getting the Right People for Managerial Success

Organizational Change and Innovation: Lifelong Challenges for the Exceptional Manager

Managing Individual Differences and Behavior: Supervising People As People

Motivating Employees: Achieving Superior Performance in the Workplace

Groups and Teams: Increasing Cooperation,reducing Conflict

Power,Influence,and Leadership: From Becoming a Manager to Becoming a Leader

Interpersonal and Organizational Communication: Mastering the Exchange of Information

Control Systems and Quality Management: Techniques for Enhancing Organizational Effectiveness

Filters

A tax on automobiles imported into the United States that raises prices on imported vehicles to make the price of cars produced here more competitive is a(n)__;a tax on all oil imported into the United States,which is implemented to raise money for the American government,is known as a(n).