Exam 7: International Strategy: Creating Value in Global Markets

The form of entry strategy into international operations that offers the lowest level of control would be

Typically,intense rivalry in domestic markets does not force firms to look outside their national boundaries for new markets.

During the 1990s,western telecommunication firms frequently sold its earlier generation telephone switches to developing countries at lower costs,and used the revenues for R&D.

A domestic corporation considering expanding into international markets for the first time will typically

Typically,the best method of entry into a foreign market is the establishment of a wholly owned foreign subsidiary so that the parent organization can maintain a high level of control.

Many U.S.multinational companies set up maquiladora operations south of the US-Mexico border primarily

Pressures to "reduce costs" require that

Among Theodore Levitt's assumptions that would favour a global strategy is that consumers around the world are becoming less price-sensitive.

A multidomestic strategy is the most appropriate strategy for international operations because it drives economies of scale as far as possible and provides a middle of the road product appealing to the largest number of consumers in every market.

Many international firms are increasing their efforts to market their products and services to countries such as India and China as the ranks of their middle class continue to increase.

In Michael Porter's "diamond of national advantage," there are four broad attributes that,as a system,constitute a nation's competitiveness in an industry.

A multidomestic strategy would likely include the use of high volume,centralized production facilities to maximize economies of scale.

Prior to Molson's investment in Brazil,they had merged with Carling O'Keefe-this merger did not yield significant accomplishments.

To address the challenges of a multidomestic strategy,Maple Leaf Foods customizes its prepared meats to meet local tastes.

In Michael Porter's framework all of the following factors affect a nation's competitiveness except

All of the following are limitations of a global strategy except

Demanding domestic consumers tend to push firms to move ahead of companies in other countries where consumers are less demanding and more complacent.

Which of the following is a disadvantage of a transnational strategy?

All of the following are risks associated with a global strategy except

Rivalry is intense in nations with conditions of ________ consumer demand,___________ supplier bases,and ____________ new entrant potential from related industries.