Exam 8: Strategy in the Global Environment

The Achilles heel of international strategy is that

Which of the following factors increases pressures for local responsiveness?

For a hotel company whose competitive advantage is based on high brand-name recognition,which of the following ways of serving an overseas market makes the most sense?

When a company performs a value creation activity in the optimal location for that activity,wherever in the world that might be,it is trying to capitalize on

In which of the following circumstances does a global standardization strategy make the most sense?

Which of the following factors increases pressures for cost reductions?

Which of the following has occurred in international trade over the past half-century?

Which of the following companies exemplifies the trend toward national markets merging into one large global marketplace?

Factors of production include all but which of the following?

Most manufacturing companies begin their global expansion by

In the wireless telecommunications industry,different technical standards are found in different parts of the world.A technical standard known as GSM is common in Europe,and an alternative standard,CDMA,is more common in the United States and parts of Asia.Equipment designed for GSM will not work on a CDMA network and vice versa.Which of the following pressures for local responsiveness does this represent?

Black and Decker,Capitol One,Gillette,and Unilever are all companies that conduct business in two or more national markets.These companies are known as

An international strategy may not be viable in the long term and to survive,companies that can pursue it need to shift toward a global standardization strategy.

An important ingredient of success in a strategic alliance appears to be cultural sensitivity.

A localization strategy is most appropriate when there are substantial differences across nations with regard to consumer tastes and preferences and when cost pressures are not too intense.

When a company licenses its technology it can quickly lose control over it.

Location economies refer to the economic benefits that arise from performing a value creation activity at central headquarters.

What is meant by the term national competitive advantage,and what are the attributes of a nation that affect the global competitiveness of companies located within that nation?

A company may create value if it can leverage the skills created within subsidiaries and apply them to other operations within the firm's global network.

If a company's competitive advantage derives from its control of proprietary technological know-how,it should either license its technology to others or pursue a joint venture.