Exam 4: Global Management: Managing Across Borders

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

The United States has prohibited the import of sugar and cigars from Cuba. This is an example of a(n) ____.

In a low-context culture ____.

Out of GATT came a series of "rounds," or negotiations, that resulted in the lowering of barriers, such as the Uruguay Round.

A manufacturing facility in a Mexico was unable to afford the products it needs from an American supplier because Mexico's currency dropped dramatically. To acquire the parts needed to produce its products, the Mexican facility bartered with several companies in Texas, offering completed goods for parts. This direct exchange of goods for goods is known as countertrading.

Peter Agnefjäll, president and CEO of the IKEA Group, spends plenty of time with IKEA employees at all levels. This is an example of individualism/collectivism, which refers to the amount of time the managers, especially upper and middle management, spend with their employees.

The IMF has ____.

The United States limits the amount of cheese purchased from other countries; this policy is a type of ____.

Dawn grew up helping her father work on cars in his auto repair shop and developed into an excellent auto technician. Because of stereotypes regarding women in this field, she is interested in finding a shop that minimizes gender discrimination and role inequalities. This describes an organization that, according to the GLOBE project, is high in gender egalitarianism.

An import quota is a trade barrier in the form of a customs duty, or tax, levied mainly on imports.

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.

The degree to which people accept inequality in organizations and social situations is known as power distance.

Prior to NAFTA, the United States implemented a number of tariffs to protect the auto industry and farmers against foreign competition. A tariff is an example of trade protectionism.

Don, who owns an investment firm with customers worldwide, has witnessed how dangerous global economic interdependency can be. During a lunch meeting he mentioned to a customer, "I certainly have seen two negative effects for the United States of global economic interdependency: ___."

Licensing is when a company ____.

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.

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

Prior to 1990, the United States imposed a tax on automobiles imported from Mexico. This type of tax is a(n) _____.

As part of becoming a world citizen, Joe, who is from Michigan and who is transferring to the Paris office, is trying to do things to ___.

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 ____.