Question 1

IMAX claims that every new theatre that opens somewhere in the world lowers the cost of production of its unique movies.

Accepted Answer

A) True 
 B)False

Question 2

Which one of the following is one of Theodore Levitt's assumptions supporting a pure global strategy?

Accepted Answer

A)  Consumers are willing to pay more for specific product features. 
B)  Customer needs and interests are becoming more dissimilar. 
C)  If the world markets are treated as heterogeneous, substantial economies of scale are easily achieved. 
D)  MNCs can compete with aggressive pricing on low cost products that meet the common needs of global consumers. 
A)  Consumers are willing to pay more for specific product features. 
B)  Customer needs and interests are becoming more dissimilar. 
C)  If the world markets are treated as heterogeneous, substantial economies of scale are easily achieved. 
D)  MNCs can compete with aggressive pricing on low cost products that meet the common needs of global consumers.

Question 3

Multinational firms following a transnational strategy strive to optimize the trade-offs associated with efficiency,local adaptation,and learning.

Accepted Answer

A) True 
 B)False

Question 4

Microsoft decided to establish a corporate research laboratory in Cambridge,England

Accepted Answer

A)  because England is an ally of the United States. 
B)  because they could access technical and professional talent available in Cambridge. 
C)  because the local language is English. 
D)  because the company views the United States as a risky place to expand due to the actions of the U.S. Department of Justice. 
A)  because England is an ally of the United States. 
B)  because they could access technical and professional talent available in Cambridge. 
C)  because the local language is English. 
D)  because the company views the United States as a risky place to expand due to the actions of the U.S. Department of Justice.

Question 5

The text mentions Canadian firms Lingo Media and Hydrogenics as having directed all their efforts to overseas markets with

Accepted Answer

A)  transfer prices. 
B)  dividends. 
C)  little local presence at home in Canada. 
D)  intra-corporate inflows. 
A)  transfer prices. 
B)  dividends. 
C)  little local presence at home in Canada. 
D)  intra-corporate inflows.

Question 6

Explain Michael Porter's "diamond of national advantage."

Accepted Answer

Porter conducted a four-year study in wh

Question 7

When Dofasco approached the cultural differences of operating in Mexico,Dofasco's motto "our strength is people" was a problem because

Accepted Answer

A)  it did not translate into Spanish. 
B)  Latin American customers wanted a focus on the product. 
C)  Mexican workers typically expect more hierarchical structures and want managers to supervise. 
D)  Mexican workers like a "flat organization" with no supervision. 
A)  it did not translate into Spanish. 
B)  Latin American customers wanted a focus on the product. 
C)  Mexican workers typically expect more hierarchical structures and want managers to supervise. 
D)  Mexican workers like a "flat organization" with no supervision.

Question 8

Discuss why international expansion is a viable diversification strategy that is being pursued by many firms.

Accepted Answer

The rise of globalization and market cap

Question 9

Explain how the two opposing forces facing MNC managers,cost reduction and local adaptation,create pressures to operate with a global or multidomestic strategy,respectively.

Accepted Answer

A global strategy involves standardized

Question 10

An advantage of international expansion is that it can enable a firm to optimize the location of every activity in its value chain.

Accepted Answer

A) True 
 B)False

Question 11

Corporations with multiple foreign operations that act very independently of one another are following a multidomestic strategy.

Accepted Answer

A) True 
 B)False

Question 12

High pressure for local adaptation combined with low pressure for lower costs would suggest what type of international strategy?

Accepted Answer

A)  global 
B)  multidomestic 
C)  transnational 
D)  overall cost leadership 
A)  global 
B)  multidomestic 
C)  transnational 
D)  overall cost leadership

Question 13

Discuss how the global dispersion of value chains has influenced the traditional modes of international expansion.

Accepted Answer

Beyond the traditional entry modes of in

Question 14

International expansion can extend the life cycle of a product that is in its maturity stage in a firm's home country.

Accepted Answer

A) True 
 B)False

Question 15

Industries in which proportionally more value is added in upstream activities are more likely to benefit from a global strategy than those in which more value is added downstream (closer to the customer).

Accepted Answer

A) True 
 B)False

Question 16

What are some of the primary benefits of transnational strategies?

Accepted Answer

A multinational firm following a transna

Question 17

The difference between a franchise and licensing contract is that

Accepted Answer

A)  a franchise contract has a broader range of factors and is usually longer in duration. 
B)  a franchise contract must include a foreign government. 
C)  a licensing contract covers more aspects of operations. 
D)  a franchise contract involves less control and less risk. 
A)  a franchise contract has a broader range of factors and is usually longer in duration. 
B)  a franchise contract must include a foreign government. 
C)  a licensing contract covers more aspects of operations. 
D)  a franchise contract involves less control and less risk.

Question 18

In a global strategy a firm operates all its businesses under a single common strategy regardless of location.

Accepted Answer

A) True 
 B)False

Question 19

Canadian steel company Dofasco looked at cultural challenges in expanding and decided to stick to its famous motto: "our strength is people."

Accepted Answer

A) True 
 B)False

Question 20

The need to attain economies of scale encourages multinational firms to operate under a multidomestic strategy.

Accepted Answer

A) True 
 B)False

IMAX claims that every new theatre that opens somewhere in the world lowers the cost of production of its unique movies.

Which one of the following is one of Theodore Levitt's assumptions supporting a pure global strategy?

Multinational firms following a transnational strategy strive to optimize the trade-offs associated with efficiency,local adaptation,and learning.

Microsoft decided to establish a corporate research laboratory in Cambridge,England

The text mentions Canadian firms Lingo Media and Hydrogenics as having directed all their efforts to overseas markets with

Explain Michael Porter's "diamond of national advantage."

When Dofasco approached the cultural differences of operating in Mexico,Dofasco's motto "our strength is people" was a problem because

Discuss why international expansion is a viable diversification strategy that is being pursued by many firms.

Explain how the two opposing forces facing MNC managers,cost reduction and local adaptation,create pressures to operate with a global or multidomestic strategy,respectively.

An advantage of international expansion is that it can enable a firm to optimize the location of every activity in its value chain.

Corporations with multiple foreign operations that act very independently of one another are following a multidomestic strategy.

High pressure for local adaptation combined with low pressure for lower costs would suggest what type of international strategy?

Discuss how the global dispersion of value chains has influenced the traditional modes of international expansion.

International expansion can extend the life cycle of a product that is in its maturity stage in a firm's home country.

Industries in which proportionally more value is added in upstream activities are more likely to benefit from a global strategy than those in which more value is added downstream (closer to the customer).

What are some of the primary benefits of transnational strategies?

The difference between a franchise and licensing contract is that

In a global strategy a firm operates all its businesses under a single common strategy regardless of location.

Canadian steel company Dofasco looked at cultural challenges in expanding and decided to stick to its famous motto: "our strength is people."

The need to attain economies of scale encourages multinational firms to operate under a multidomestic strategy.

Strategic Management: Creating Competitive Advantages

Analyzing the External Environment of the Firm

Assessing the Internal Environment of the Firm

Recognizing a Firms Intellectual Assets: Moving Beyond a Firms Tangible Resources

Business-Level Strategy: Creating and Sustaining Competitive Advantages

Corporate-Level Strategy: Creating Value Through Diversification

Entrepreneurial Strategy and Competitive Dynamics

Strategic Control and Corporate Governance

Creating Effective Organizational Designs

Strategic Leadership: Creating a Learning Organization and an Ethical Organization

Managing Innovation and Fostering Corporate Entrepreneurship

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Exam 7: International Strategy: Creating Value in Global Markets

IMAX claims that every new theatre that opens somewhere in the world lowers the cost of production of its unique movies.

Which one of the following is one of Theodore Levitt's assumptions supporting a pure global strategy?

Multinational firms following a transnational strategy strive to optimize the trade-offs associated with efficiency,local adaptation,and learning.

Microsoft decided to establish a corporate research laboratory in Cambridge,England

The text mentions Canadian firms Lingo Media and Hydrogenics as having directed all their efforts to overseas markets with

Explain Michael Porter's "diamond of national advantage."

When Dofasco approached the cultural differences of operating in Mexico,Dofasco's motto "our strength is people" was a problem because

Discuss why international expansion is a viable diversification strategy that is being pursued by many firms.

Explain how the two opposing forces facing MNC managers,cost reduction and local adaptation,create pressures to operate with a global or multidomestic strategy,respectively.

An advantage of international expansion is that it can enable a firm to optimize the location of every activity in its value chain.

Corporations with multiple foreign operations that act very independently of one another are following a multidomestic strategy.

High pressure for local adaptation combined with low pressure for lower costs would suggest what type of international strategy?

Discuss how the global dispersion of value chains has influenced the traditional modes of international expansion.

International expansion can extend the life cycle of a product that is in its maturity stage in a firm's home country.

Industries in which proportionally more value is added in upstream activities are more likely to benefit from a global strategy than those in which more value is added downstream (closer to the customer).

What are some of the primary benefits of transnational strategies?

The difference between a franchise and licensing contract is that

In a global strategy a firm operates all its businesses under a single common strategy regardless of location.

Canadian steel company Dofasco looked at cultural challenges in expanding and decided to stick to its famous motto: "our strength is people."

The need to attain economies of scale encourages multinational firms to operate under a multidomestic strategy.

Strategic Management: Creating Competitive Advantages

Analyzing the External Environment of the Firm

Assessing the Internal Environment of the Firm

Recognizing a Firms Intellectual Assets: Moving Beyond a Firms Tangible Resources

Business-Level Strategy: Creating and Sustaining Competitive Advantages

Corporate-Level Strategy: Creating Value Through Diversification

Entrepreneurial Strategy and Competitive Dynamics

Strategic Control and Corporate Governance

Creating Effective Organizational Designs

Strategic Leadership: Creating a Learning Organization and an Ethical Organization

Managing Innovation and Fostering Corporate Entrepreneurship

Filters