Question 1

Which of the following most likely encourages firms to localize?

Accepted Answer

A)  increasing tariffs at the host country 
B)  providing domestic subsidies 
C)  demand for undifferentiated, standardized products 
D)  need for economies of scale 
A)  increasing tariffs at the host country 
B)  providing domestic subsidies 
C)  demand for undifferentiated, standardized products 
D)  need for economies of scale

Question 2

________ are companies that start out with a global reach,typically by using their Internet capabilities and also through hiring people with international experience and contacts around the world.

Accepted Answer

A)  GLOCALS 
B)  Global civics 
C)  Born globals 
D)  Global commons 
A)  GLOCALS 
B)  Global civics 
C)  Born globals 
D)  Global commons

Question 3

Offshoring provides the company with access to foreign markets while avoiding ________.

Accepted Answer

A)  relocation of the company to other countries 
B)  competition between companies in the global market 
C)  trade risks 
D)  trade barriers 
A)  relocation of the company to other countries 
B)  competition between companies in the global market 
C)  trade risks 
D)  trade barriers

Question 4

The use of professional or skilled workers located in countries other than that of the home country is referred to as ________.

Accepted Answer

A)  franchising 
B)  licensing 
C)  outsourcing 
D)  importing 
A)  franchising 
B)  licensing 
C)  outsourcing 
D)  importing

Question 5

An internal analysis focuses on the company's ________.

Accepted Answer

A)  vision and mission 
B)  market share 
C)  competitors 
D)  resources and operations 
A)  vision and mission 
B)  market share 
C)  competitors 
D)  resources and operations

Question 6

What are the two levels of strategic alternatives that a firm must consider when competing internationally?

Accepted Answer

The first level,global strategic alterna

Question 7

Roch,a Swiss chocolate company,recently opened a manufacturing unit in Spain.The purpose of this move was that Roch wanted to avoid Spain's high import tariffs.Which of the following reasons prompted Roch to open the manufacturing unit in Spain?

Accepted Answer

A)  customer demands 
B)  trade barriers 
C)  globalization of competitors 
D)  growth opportunities 
A)  customer demands 
B)  trade barriers 
C)  globalization of competitors 
D)  growth opportunities

Question 8

Which of the following is the quickest and cheapest way to develop a global strategy?

Accepted Answer

A)  fully-owned subsidiaries 
B)  greenfield investments 
C)  strategic alliances 
D)  acquisitions 
A)  fully-owned subsidiaries 
B)  greenfield investments 
C)  strategic alliances 
D)  acquisitions

Question 9

Which of the following is the most preferred source of environmental information for environmental scanning purposes in a firm?

Accepted Answer

A)  computer database 
B)  corporate clipping service 
C)  internal sources 
D)  information packages 
A)  computer database 
B)  corporate clipping service 
C)  internal sources 
D)  information packages

Question 10

Which of the following is a critical success factor for exporting?

Accepted Answer

A)  reliable infrastructure 
B)  domestic client acceptance 
C)  choice of distributor 
D)  differences in business models 
A)  reliable infrastructure 
B)  domestic client acceptance 
C)  choice of distributor 
D)  differences in business models

Question 11

Which of the following charts the direction of the company and provides a basis for strategic decision making?

Accepted Answer

A)  environmental assessment 
B)  corporate structure 
C)  organizational mission 
D)  SWOT analysis 
A)  environmental assessment 
B)  corporate structure 
C)  organizational mission 
D)  SWOT analysis

Question 12

________ includes environmental scanning and continuous monitoring to keep abreast of variables around the world that are pertinent to the firm.

Accepted Answer

A)  Environmental mitigation 
B)  Internal analysis 
C)  Competitive analysis 
D)  Environmental assessment 
A)  Environmental mitigation 
B)  Internal analysis 
C)  Competitive analysis 
D)  Environmental assessment

Question 13

Which of the following entry strategies is most likely to serve as a short-term strategy and to provide limited income?

Accepted Answer

A)  joint venture 
B)  management contract 
C)  offshoring 
D)  fully owned subsidiary 
A)  joint venture 
B)  management contract 
C)  offshoring 
D)  fully owned subsidiary

Question 14

Which of the following statements is true of clustering?

Accepted Answer

A)  It uses different suppliers and distribution channels for interdependent companies within an industry. 
B)  It helps a firm gain an increase in efficiencies. 
C)  It seldom uses specialized labor. 
D)  It typically increases the costs of production and distribution. 
A)  It uses different suppliers and distribution channels for interdependent companies within an industry. 
B)  It helps a firm gain an increase in efficiencies. 
C)  It seldom uses specialized labor. 
D)  It typically increases the costs of production and distribution.

Question 15

After clarifying the corporate mission and objectives,the first major step in weighing international strategic options is the environmental assessment.

Accepted Answer

A) True 
 B)False

Question 16

Dell is an American corporation that deals with computer technology.With its worldwide sourcing and fully merged production and marketing system,Dell is considered to be a ________.

Accepted Answer

A)  greenfield investment 
B)  turnkey operation 
C)  shell corporation 
D)  globally integrated company 
A)  greenfield investment 
B)  turnkey operation 
C)  shell corporation 
D)  globally integrated company

Question 17

Which of the following is a regional risk with regard to strategic entry scanning?

Accepted Answer

A)  financial and currency instability 
B)  varying fiscal strategies 
C)  repatriation policies 
D)  shifting production and consumption 
A)  financial and currency instability 
B)  varying fiscal strategies 
C)  repatriation policies 
D)  shifting production and consumption

Question 18

Globalization of competitors is one of the proactive reasons that prompt a company to operate overseas.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following is an internal factor that affects the choice of international entry mode for a company?

Accepted Answer

A)  potential of local market 
B)  knowledge of local market 
C)  industrial globalization 
D)  global experience of firm and managers 
A)  potential of local market 
B)  knowledge of local market 
C)  industrial globalization 
D)  global experience of firm and managers

Question 20

Which of the following is the proactive reason that prompts firms to expand overseas?

Accepted Answer

A)  avoiding restrictive trade barriers 
B)  solving logistics-related problems 
C)  responding to foreign competition 
D)  seeking economies of scale 
A)  avoiding restrictive trade barriers 
B)  solving logistics-related problems 
C)  responding to foreign competition 
D)  seeking economies of scale

Which of the following most likely encourages firms to localize?

________ are companies that start out with a global reach,typically by using their Internet capabilities and also through hiring people with international experience and contacts around the world.

Offshoring provides the company with access to foreign markets while avoiding ________.

The use of professional or skilled workers located in countries other than that of the home country is referred to as ________.

An internal analysis focuses on the company's ________.

What are the two levels of strategic alternatives that a firm must consider when competing internationally?

Roch,a Swiss chocolate company,recently opened a manufacturing unit in Spain.The purpose of this move was that Roch wanted to avoid Spain's high import tariffs.Which of the following reasons prompted Roch to open the manufacturing unit in Spain?

Which of the following is the quickest and cheapest way to develop a global strategy?

Which of the following is the most preferred source of environmental information for environmental scanning purposes in a firm?

Which of the following is a critical success factor for exporting?

Which of the following charts the direction of the company and provides a basis for strategic decision making?

________ includes environmental scanning and continuous monitoring to keep abreast of variables around the world that are pertinent to the firm.

Which of the following entry strategies is most likely to serve as a short-term strategy and to provide limited income?

Which of the following statements is true of clustering?

After clarifying the corporate mission and objectives,the first major step in weighing international strategic options is the environmental assessment.

Dell is an American corporation that deals with computer technology.With its worldwide sourcing and fully merged production and marketing system,Dell is considered to be a ________.

Which of the following is a regional risk with regard to strategic entry scanning?

Globalization of competitors is one of the proactive reasons that prompt a company to operate overseas.

Which of the following is an internal factor that affects the choice of international entry mode for a company?

Which of the following is the proactive reason that prompts firms to expand overseas?

Assessing the Environment: Political, Economic, Legal, Technological

Managing Interdependence, Social Responsibility, and Ethics

Understanding the Role of Culture

Communicating Across Cultures

Cross-Cultural Negotiation and Decision Making

Global Alliances and Strategy Implementation

Organization Structure and Control Systems

Staffing,Training,and Compensation for Global Operations

Developing a Global Management Cadre

Motivating and Leading

Filters

Exam 6: Formulating Strategy

Which of the following most likely encourages firms to localize?

________ are companies that start out with a global reach,typically by using their Internet capabilities and also through hiring people with international experience and contacts around the world.

Offshoring provides the company with access to foreign markets while avoiding ________.

The use of professional or skilled workers located in countries other than that of the home country is referred to as ________.

An internal analysis focuses on the company's ________.

What are the two levels of strategic alternatives that a firm must consider when competing internationally?

Roch,a Swiss chocolate company,recently opened a manufacturing unit in Spain.The purpose of this move was that Roch wanted to avoid Spain's high import tariffs.Which of the following reasons prompted Roch to open the manufacturing unit in Spain?

Which of the following is the quickest and cheapest way to develop a global strategy?

Which of the following is the most preferred source of environmental information for environmental scanning purposes in a firm?

Which of the following is a critical success factor for exporting?

Which of the following charts the direction of the company and provides a basis for strategic decision making?

________ includes environmental scanning and continuous monitoring to keep abreast of variables around the world that are pertinent to the firm.

Which of the following entry strategies is most likely to serve as a short-term strategy and to provide limited income?

Which of the following statements is true of clustering?

After clarifying the corporate mission and objectives,the first major step in weighing international strategic options is the environmental assessment.

Dell is an American corporation that deals with computer technology.With its worldwide sourcing and fully merged production and marketing system,Dell is considered to be a ________.

Which of the following is a regional risk with regard to strategic entry scanning?

Globalization of competitors is one of the proactive reasons that prompt a company to operate overseas.

Which of the following is an internal factor that affects the choice of international entry mode for a company?

Which of the following is the proactive reason that prompts firms to expand overseas?

Assessing the Environment: Political, Economic, Legal, Technological

Managing Interdependence, Social Responsibility, and Ethics

Understanding the Role of Culture

Communicating Across Cultures

Cross-Cultural Negotiation and Decision Making

Global Alliances and Strategy Implementation

Organization Structure and Control Systems

Staffing,Training,and Compensation for Global Operations

Developing a Global Management Cadre

Motivating and Leading

Filters