Exam 4: Global Management: Managing Across Borders

A company that produces boats, which is headquartered in Japan, formed a new company in the United States to avoid paying a tariff on its boats manufactured for the U.S. market. This new company is an example of a subsidiary.

Over the last two years an American computer manufacturer has partnered with a technology organization in Japan to develop and produce computers and printers benefiting both organizations. This is an example of countertrading.

Horatio, the CEO of a struggling company, is excited about his trip to New York City to start participating in a global bartering group that will develop business relationships and exchange their products and services. This is an example of free trade.

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 ____.

The IMF operates as a first or primary lender that makes short-term loans to countries suffering from unfavorable balance of payments because of imports, exports, and other matters.

Tops Burger, based out of Texas, has locations in 25 countries. Tops is a ____.

Maria, the vice president of sales for an international organization, believes that employees in her foreign offices understand best how to handle the personnel and practices in their offices. So when the corporate HR manager approached Maria about scolding Robert, the Paris, manager, for not doings things according to corporate policy, Maria backed Robert and said, "I believe that the home office should leave Robert alone because he best understands the local culture." Maria is an example of a(n) ___ manager.

Anthony, who owns a broom and mop factory in New Mexico, has decided to use global outsourcing, and he is considering utilizing maquiladoras. Describe global outsourcing and maquiladoras and the positive and negative reasons for using both.

Before you travel and conduct business abroad, spend some time learning about other patterns of interpersonal communication, such as in Afghanistan, where a man does not ask another man about his wife.

Susan, a teacher, is interested in helping children in other countries learn how to read. She has formed an international nonprofit organization that travels to several nations in Africa to donate books and work in schools as tutors. Susan's organization is an example of a multinational corporation.

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 ____.

Countertrading is ___ goods for goods.

Quotas are designed to prevent _____.

People first begin to learn their culture when they start utilizing social media, technology, such as the Internet, and watching television.

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 ____.

Sometimes a country's laws forbid foreigners from ownership within their nation, and the only way an American company can have a presence in that foreign country is with a(n) ___.

While in Italy, Tony was able to communicate important information to George, his business partner, via e-mail. Later that day, Tony remarked to George about how helpful it was that he was able to return to their office in New York in less than nine hours. This "shrinking" of time and space as air travel and the electronic media have made it easier for people around the globe to communicate with one another defines the global village.

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.

Becoming a world citizen includes being global in focus and learning how _____.

Sally has seen such great interest in her scented candles that she has decided to start her own small business selling them. One benefit that Sally's company can achieve with the Internet and the World Wide Web is that her organization can operate globally, helping her get started more easily because she can put products on a website and sell worldwide, with the advantages of distribution and scope that large companies have.