Exam 10: Strategizing, Structuring, and Learning

MNEs often must rely on a great deal of informal integrating mechanisms.

No one argues that knowledge management is the defining feature of MNEs.

Localization strategy is an extension of the home replication strategy.

Which of the following is not an argument in favor of centralization in knowledge management but instead is an argument in favor of decentralization? a. Capability to facilitate corporate-wide coordination. b. Consistency in decision-making. c. Permits greater speed, flexibility, and innovation. d. Sufficient power for corporate-level managers to initiate necessary actions. e. None of the above.

The text recommended that firms avoid simplifying both product and geographic scope by downsizing and downscoping.

Unique to international competition are the pressures for local responsiveness, which are reflected in: a. Consumer preferences. b. Distribution channels. c. Host country demands. d. A through C above. e. Shareholder demands.

Which of the following is a solution rather than a problem in knowledge management? a. Open innovation. b. Knowledge leakage. c. Not invented here syndrome. d. All of the above. e. None of the above.

Which of the following is a customer-focused dimension? a. Global account structure. b. An industry sector structure. c. Solutions-based structure. d. All of the above. e. None of the above.

Multidomestic strategy involves all of the following except: a. Focuses on a number of foreign countries/regions. b. Each foreign country is regarded as a stand-alone "domestic" market. c. Is effective when there are clear differences among national and regional markets. d. A multidomestic strategy has high costs. e. Global standardization strategy is the same as a multidomestic strategy.

This structure is commonly used in professional service firms: a. Global account structure. b. An industry sector structure. c. Solutions-based structure. d. All of the above. e. None of the above.

In which of the following structures are foreign subsidiary managers not given sufficient voice relative to domestic managers? a. International division structure. b. Geographic area structure. c. Global product division structure. d. Global matrix structure. e. Flexible matrix structure.

Which is not one of the suggestions for international managersthat can be drawn from this chapter? a. Create a common structure for all MNEs. b. Understand the nature and evolution of your industry. c. Actively develop learning and innovation capabilities. d. Masterthe external rules of the game. e. Understand and be prepared to change the internal rules of the game.

The "not invented here" syndrome causes managers to accept ideas invented elsewhere.

Global product division structure is the same as the geographic area structure.

The most appropriate structure for a multidomestic strategy is a: a. International division structure. b. Geographic area structure. c. Global product division structure. d. Global matrix structure. e. Flexible matrix structure.

To what extent should a firm be committed to a particular strategy versus making frequent changes in the strategy? If a strategy is likely to be changed, what is the point in having one?

The type of knowledge that is codifiable that is, it can be written down and transferred without losing much of its richness) is called: a. Explicit. b. Implicit. c. Tacit. d. Lucid. e. Clear.

It is obviously a lot easier to imitate an intangible philosophy or mentality than to imitate a tangible structure.

The Porter five forces are not helpful in understanding MNE structure.

Home replication strategy emphasizes the home country replication of international based competencies.