Deck 9: Strategic Planning

Question 1

A(n)________ is a newly founded firm that,from its inception,is established as an international business.

A)Domestic corporation
B)Multidomestic
C)Mininational
D)Born global
E)Exporter

Answer 1

D

Question 2

Internal and external analysis belongs in which portion of the global strategy formulation process?

A)Control
B)Implementation
C)Development
D)Assessment and adjustment
E)Formulation

Answer 2

D

Question 3

Rapid technological evolution and innovation has occurred in recent years in virtually all industries. This is an example of which driving factor for globalization?

A)Cost
B)Cultural
C)Competitive
D)Environmental
E)Market

Answer 3

D

Question 4

In the planning and business world,SBU stands for:

A)Strategic business unit
B)Social barometer unit
C)Stratified balances unit
D)Statistical business unit
E)Starting base unit

Question 5

______ has become a major asset in business,which partially explains the many mergers and acquisitions in industries such as aerospace and pharmaceuticals.

A)Homogeneity
B)Size
C)Innovation
D)Government
E)Marketing

Question 6

To facilitate the globalization of markets and the activities of companies within them,what has happened to government barriers in recent years?

A)Barriers have fallen
B)Barriers have risen
C)Barriers have stayed the same for thirty years
D)Barriers have disappeared
E)Barriers have experienced dramatic ebbs and flows

Question 7

Planning processes that focus on _________ provide global marketers with tools to help balance risks.

A)a single market
B)multiple markets
C)a single product
D)market homogeneity
E)lowering costs

Question 8

The task of controlling can be classified under which portion of the global strategy formulation process?

A)Assessment
B)Adjustment
C)Formulation
D)Development of Global Program
E)Implementation

Question 9

The increased mobility of goods,services,labor,technology,and capital throughout the world refers to:

A)Globalization
B)Internationalization
C)Nationalization
D)Cultural divergence
E)Networking

Question 10

The four factors that drive globalization include market,cost,environmental,and _______ factors.

A)technological
B)innovation
C)supplier
D)cultural
E)competitive

Question 11

Robert is an upper-level business manager who is charged with choosing competitive strategies for his company along with a team of other upper-level managers. This type of work is part of which portion of the global strategy formulation process?

A)Assessment
B)Adjustment
C)Formulation
D)Development of Global Program
E)Implementation

Question 12

At the ________ stage,a company must assess its own organizational commitment to whatever goals have been established by the company.

A)internal analysis
B)external analysis
C)market analysis
D)competitive analysis
E)cost analysis

Question 13

_________ is any unit in an organization around which decisions are based.

A)Strategic business unit
B)Geographic division
C)Matrix unit
D)Product division
E)Headquarters division

Question 14

According to the 2008 Nielsen global survey,Trends in Online Shopping,how many Internet users make online purchases at least once per month?

A)Ten percent
B)One quarter
C)One half
D)Three quarters
E)Ninety percent

Question 15

Given the opportunities and challenges provided by the new realities of the marketplace,decision makers have to engage in ___________ to match markets with products.

A)micromanagement
B)management by walking around
C)supply chain management
D)just-in-time management
E)strategic planning

Question 16

__________ strategy is a business strategy where each individual country organization is operated as a profit center.

A)Global
B)Multidomestic
C)Domestic
D)Local
E)Universal

Question 17

Ron is a business manager at a small textile company that has recently entered the global market. Ron believes each individual country organization should be operated as a profit center. This is an example of:

A)Multidomestic strategy
B)Nationalization
C)Globalization
D)Glocalization
E)Cultural divergence

Question 18

A(n)_________ is a newer company with sales between 200 million and 1 billion that is able to serve the world from a handful of manufacturing bases.

A)Domestic corporation
B)Multidomestic
C)Mininational
D)Born global
E)Exporter

Question 19

The three basic choices of competitive strategies that a manager has to choose from include differentiation,focus,and:

A)Service leadership
B)Segmentation
C)Niche
D)Value leadership
E)Cost leadership

Question 20

Zerone is a global beverage and bottling company that has recently decided to establish operations in new markets where per capita consumption is still relatively low. Zerone is looking to exploit what factor driving global business in this example?

A)Competitive
B)Environmental
C)Cost
D)Cultural
E)Technological

Question 21

Alerta Security Systems has won "Most Innovative Security System of the Year" awards for five years running. These award-winning security systems are likely marketed using which competitive strategy?

A)Segmentation
B)Focus
C)Differentiation
D)Cost leadership
E)Value leadership

Question 22

A ________ strategy is defined by its emphasis on a single industry segment within which the orientation may be either toward low cost or differentiation.

A)specialized
B)niche
C)focus
D)individualized
E)personal

Question 23

All of the following are possible bases for segmentation EXCEPT:

A)Geographic variables
B)Political variables
C)Economic variables
D)Cultural variables
E)Internal variables

Question 24

________ management programs involve a single point of contact for domestic and international operations and consistent worldwide service.

A)Financial surplus
B)Domestic account
C)Global account
D)Just-in-time
E)Strategic business unit

Question 25

Globalization calls for what type of authority?

A)Centralized
B)Decentralized
C)Laissez-faire
D)Dictatorial
E)Nonexistent

Question 26

For Jenny,a production line manager at a pencil manufacturing facility,the main priority of her work is to watch for extremes and deviations on the production line. This is an example of what type of task?

A)Corporate diplomacy
B)Competitive advantage
C)Configuration
D)Control
E)Coordination

Question 27

__________ is the use of resources accumulated in one part of the world to fight a competitive battle in another part of the world.

A)Cross-subsidization
B)Cross-cultivation
C)Competitive advantage
D)Absolute advantage
E)Mercantilism

Question 28

Variables included in the marketing management bases include those that are related to product,promotion,price,and:

A)Geography
B)Distribution
C)Politics
D)Economics
E)Culture

Question 29

In pursuing ____________,the company offers an identical product or service at a lower cost than competitors.

A)segmentation
B)a focus strategy
C)differentiation
D)cost leadership
E)value leadership

Question 30

The three factors that most determine country selection for global companies include attractiveness of a market,global strategic importance,and:

A)Possible synergies
B)Quality of life
C)Local GDP
D)Internal company processes
E)Local labor pool

Question 31

Typically involving internal strengths and external attractiveness,________ are tools that have been proposed for use in market and competitive analysis.

A)quantitative unit algorithms
B)consumer-price indexes
C)marketing indexes
D)portfolio models
E)strategic business models

Question 32

Corporate ________ affects and is affected by two dimensions: the overall way in which the company holds its operations together and the commitment to the global marketplace.

A)diversity
B)culture
C)profitability
D)personality
E)finance

Question 33

Which of the following can be considered a market-related reason for suboptimal company performance?

A)Stellar sales growth
B)Inflexibility in planning
C)Insufficient capital
D)Insufficient research
E)Insufficient technology

Question 34

Carlyle,an American manager for a Japanese company,is highly critical of decisions coming from the headquarters in Japan,citing that these are "not applicable to the American culture". Carlyle's behavior can best be described as:

A)Protecting the home front
B)Repatriation
C)Expatriate defensiveness issues
D)Homesickness
E)Not-invented-here syndrome

Question 35

In competitive advantage through ________,a company works to achieve absolute economies through international specialization.

A)adaption
B)aggregation
C)arbitrage
D)alliances
E)aggression

Question 36

________ refers to the recognition that groups within markets differ sufficiently to warrant individual approaches.

A)Differentiation
B)Segmentation
C)Focus
D)Customization
E)Product leadership

Question 37

In its global expansion strategy,Cil-Con Systems wishes to coordinate and connect international operations by emphasizing horizontal relationships for cross-border economies of scale. This is an emphasis of which program development element?

A)Adaption
B)Aggregation
C)Arbitrage
D)Alliances
E)Aggression

Question 38

Which of the following strategies would be the best approach for avoiding the not-invented-here-syndrome?

A)Ensuring that local managers participate in the development of strategies
B)Controlling budgets at the headquarters level only
C)Maintaining a product portfolio that includes local-only brands
D)Maintaining a product portfolio that includes global-only brands
E)Focuses on services rather than products

Question 39

The ________ structure,which focuses on customers,is considered more effective than the traditional country-by-country approach in today's global marketplace.

A)decentralized
B)matrix
C)domestic
D)service
E)bi-fold

Question 40

__________ is the ability to obtain what one wants through co-option and attraction.

A)Hard power
B)Soft power
C)Diplomacy
D)Hard-balling
E)Negotiation

Question 41

Sidney works for a company whose products are customized to the domestic market,where pressures to globalize in the industry are high. Sidney's company has decided to sell out to a global player.This is an example of which of these?

A)Pretender
B)Contender
C)Extender
D)Dodger
E)Defender

Question 42

The three factors that should determine country selection for global business include the attractiveness of the market,global strategic importance,and possible synergies.

Question 43

Portfolio models typically involve two measures: domestic strength and global opportunity.

Question 44

Most global companies combine high differentiation with cost containment to enter markets and to expand their market shares.

Question 45

In all cases,globalization is equal to standardization.

Question 46

The acronym SBU stands for "standard buyout unit".

Question 47

On a global basis,both external and internal factors are responsible for creating favorable conditions for development of strategy and resource allocation on a global basis.

Question 48

Maximizing a marketer's local relevance is done through adaptation.

Question 49

In today's society,globalization strategies are increasingly being replaced by multidomestic strategies.

Question 50

The first choice in the formulation of global strategy is the choice of country markets followed by the choice of competitive strategy.

Question 51

Which type of local company has assets that are transferable,allowing it to compete head-on with established global players worldwide?

A)Defender
B)Contender
C)Extender
D)Dodger
E)Pretender

Question 52

In today's global market,channels of distribution are becoming increasingly global.

Question 53

Strategy begins not with individual national markets,but with understanding trends and sources of profit in the global market.

Question 54

A(n)________ is a local company that has assets that give it a competitive advantage only in its home market.

A)Defender
B)Contender
C)Extender
D)Dodger
E)Pretender

Question 55

In today's society,national borders are becoming increasingly irrelevant as liberalization and privatization take place.

Question 56

Mininationals are newly founded firms that,from their inception,are established as international businesses.

Question 57

Sam works for a fast food company that possesses numerous transferable assets,allowing it to compete head-on with established global players worldwide. This fast food company could best be described as a(n):

A)Defender
B)Contender
C)Extender
D)Dodger
E)Pretender

Question 58

When a company employs a global strategy,by definition,it must serve the entire globe.

Question 59

A(n)________ is a local company that sells out to a global player or becomes part of an alliance.

A)pretender
B)contender
C)extender
D)dodger
E)defender

Question 60

For segmentation,managers typically use marketing management bases such as variables related to product and price.

Question 61

Compare and contrast the competitive strategies of cost leadership,differentiation,and focus. What types of strategies are popular for global companies?

Question 62

________ is a business strategy where each individual country organization is operated as a profit center.

Question 63

A dodger's competitive assets are transferable abroad,and it is situated in an industry with low pressures to globalize.

Question 64

A(n)________ is a local company that has assets that give it a competitive advantage only in its home market.

Question 65

The role of headquarters staff should be that of coordination and leveraging the resources of the corporation.

Question 66

________ are tools that have been proposed for use in market and competitive analysis,which typically involve internal strength and external attractiveness measures.

Question 67

Explain the role of the strategic business unit (SBU)in the strategic planning process.

Question 68

Describe the four primary globalization drivers in international business.

Question 69

__________ involves providing a single point of contact for domestic and international operations and consistent worldwide service.

Question 70

__________ takes advantage of a company's real or perceived uniqueness on elements such as design or after-sales service.

Question 71

___________ is a term coined to describe the networked global organization approach to an organizational structure.

Question 72

__________ is a defensive,territorial attitude that,if held by managers,can frustrate effective implementation of global strategies.

Question 73

The successful global companies of the future will be those that can achieve a balance between the local and the regional/global concerns.

Question 74

In the globalization approach,country organizations have very little need to exchange ideas,whereas the multidomestic approach requires the transfer of information.

Question 75

_________ is the use of resources accumulated in one part of the world to fight a competitive battle in another.

Question 76

_________ is a pricing tactic where a company offers an identical product or service at a lower cost than the competition.

Question 77

__________ are newer companies with sales between 200 million and 1 billion that are able to serve the world from a handful of manufacturing bases.

Question 78

A contender is a local company whose assets are transferable,allowing it to compete head-on with established global players worldwide.

Question 79

________ is the ability to obtain what one wants through co-option and attraction.

Question 80

________ is the increased mobility of goods,services,labor,technology,and capital throughout the world.