b. False
International Strategic Management is a comprehensive and short-term management planning process aimed at formulating and implementing strategies that enable a firm to compete effectively internationally.
c. Location efficiencies
Garmin Footwear, an MNE, establishes facilities anywhere in the world that yields the lowest production costs. Garmin most likely benefits from _____.
d. Economies of scope
Carvel Industries, an MNE, broadens its product line in each of the countries that it enters. Carvel most likely benefits from ___.
c. Transnational strategy
Which strategy combines the benefits of global scale efficiencies and local responsiveness?
a. Developing a control framework
What is the final step of formulating an international business strategy?
a. True
The 3 basic forms of business strategy are differentiation, overall cost leadership, and focus.
b. Scope of operations
Disney has constructed theme parks in Japan, the United States, and France. This refers to Disney's ___.
c. Perform a situation analysis
Which of the following is not one of the three steps in increasing market share, revenue, and profits?
c. Opportunity costs
Gameware recently entered the German market. Gameware executives also wanted to enter the Canadian market but had to delay the entry because of limited resources. What type of costs will Gameware incur as a result of being unable to enter the Canadian mar
a. Ownership advantage
___ are tangible or intangible resources owned by a firm which grant it a competitive advantage over its industry rivals.
a. Indirect exporting
___ occur(s) when a firm sells its products to a domestic customer, which in turn exports the product, in either its original form or a modified form.
b. False
Contract manufacturing is a contract under which a firm agrees to fully design, construct, and equip a facility and then turn the project over to the purchaser when it is ready for operation.
d. Greenfield strategy
Comtex, a U.S. clock manufacturer, recently built a new production facility in Bangladesh. Which term best describes the activities of Comtex?
b. Licensor
The firm that leases the right to use intellectual property is called the ___.
a. Joint venture
A ___ is special type of strategic alliance in which 2 or more firms join together to create a new business entity that is legally separate and distinct from its parents.
b. False
Non-joint venture strategic alliances are often formed for broad purposes and are long-term partnerships.
c. Synergy
___ refers to value achieved through the combination of market entry, risk sharing, and learning potential that is greater than what the firm could have done alone.
b. False
Most comprehensive alliances are organized as non-joint ventures.
d. Functional alliance
A marketing alliances is a type of ___.
d. Public-private venture
The government of Abu Dhabi formed a joint venture with Exxon Mobil in 2006. What type of joint venture is this an example of?
c. Corporation
What form does a joint venture usually take?
b. Delegated arrangement
Which type of arrangement is limited to joint ventures?
c. Global matrix design
A ___ is the result of superimposing one form of organization design on top of a different, existing form.
d. Organization structure
What is another name for organizational design?
c. Comprehend features such as technological trends, customers' needs, and competitive forces affecting the foods the firm produces.
Product knowledge refers to the idea that managers must ___.
b. Global product design
Which design is the most common form of organizational design adopted by MNCs?
b. Control
___ is the process of monitoring ongoing performance and making necessary changes to keep the organization moving toward its performance goals.
a. Responsibility center control
What is the most common type of organizational control system?
b. Strategic control
___ is intended to monitor both how well an international business formulates strategy and how well it goes about implementing that strategy.
a. Corollary approach
Apex Enterprises has recently started to engage in a small amount of direct exporting. As a result, Apex managers have delegated responsibilities for processing international orders to individuals within the production department. Which of the following i
a. Personality
Which term refers to the relatively stable set of psychological attributes that distinguishes one individual from another?
a. Agreeableness
Jess is irritable, short-tempered, and uncooperative with others. Which of the "Big Five" personality traits is he lacking in ___?
b. Attitude
Which term refers to complexes of beliefs and feelings that people have about specific ideas, situations, or other people?
c. McClelland's learned needs framework
Which theory suggest that motivational needs can be taught to people in different cultures?
b. Problem recognition
What is the first step in the normative model of decision making?
b. False
Management is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives.
c. Differentiation
Marketing managers of Unique Home Furnishings strive to develop products, pricing strategies, promotional strategies, and distribution tactics that set the firm's products apart from those of competitors in the eyes of customers. Unique Home Furnishings h
a. Product
Which element of the marketing mix includes the development of the tangible and intangible features that meet customer needs in diverse markets?
c. Transportation and distribution
In the international marketing mix, the place element focuses on ___.
a. Ethnocentric
When adopting a(n) ___ approach, a firm applies the domestic marketing mix abroad.
b. False
Both the polycentric and geocentric approaches to international marketing advocate the concept of standardization.
b. Two-tiered
Mazda was charged with dumping minivans in the US market. What pricing policy was Mazda most likely using?
c. Complex
Which term best describes the market pricing policy?
a. Advertising
Which of the following is one of the elements of the promotion mix?
c. Channel length
What term refers to the number of stages in the distribution channel?
c. Operations management
The transformation of inputs to final goods and services in an international firm is called international ___.
b. Vertical integration
___ is the extent to which a firm either provides its own resources or obtains them from other sources.
a. Supply chain management
Sourcing and procuring refer to ___.
a. International logistics
___ is the management flow of materials, parts, supplies, and other resources from suppliers to the firm; the flow of materials, parts, supplies, and other resources within and between units of the firm itself; and the flow of finished products, services,
b. False
The management of the flow of materials, parts, supplies, and other resources from suppliers to the firm combined with the flow of materials, parts, supplies, and other resources within and between units of the firm itself is called distribution managemen
d. Design
Which is NOT a trade-off that international businesses must decide upon?
a. Cost
Operations managers typically must decide important and complex issues in 3 areas. Which is NOT one of these areas?
c. Transportation costs
A product's value-to-weight ratio primarily affects ___.
b. Quality
___ is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs.
b. False
Quality assurance is an integrated effort to systematically and continuously improve the quality of an organization's products and/or services.