MGT160-SP. INTERNATIONAL BUSINESS (MGT160-SP)>
TAKE ASSESSMENT: FINAL EXAM
Take Assessment: Final Exam
InstructionsThis
exam consists of 100 equally weighed questions. Always pick the single best
answer.
Questions that are skipped or are submitted with multiple answers will be
scored as
incorrect.
Multiple AttemptsThis
Test allows 2 attempts. This is attempt number 1.
Force CompletionThis
Test can be saved and resumed later.
Question Completion Status:
Question 1
________ suggests the need for job security, whereas people with ________
would
probably be motivated by more risky opportunities for variety and
fast-track
advancement.
High uncertainty; low uncertainty
Low uncertainty; high uncertainty
High power distance; low power distance
Lower power distance; high power distance
Question 2
Effective ________ involves the ability to inspire and influence the
thinking, attitudes, and behavior of people anywhere in the world.
global leadership
ethnocentric leadership
polycentric leadership
virtual leadership
Question 3
________ suggests that most people would be more comfortable with the
traditional division of work and roles; in a ________ culture, the boundaries
could be looser, motivating people through more flexible roles and work networks.
High masculinity; more feminine
A more feminine culture; masculine
High uncertainty; low uncertainty
Low uncertainty; high uncertainty
Question 4
Which of the following is a factor identified in the Meaning of Work (MOW)
research study?
work keeps one occupied
work provides a needed income
work provides contacts with others
all of these
Question 5
In order to motivate its managers and employees, Fujitsu ________.
tied pay to performance
raised the incentive pay
cut managers’ salaries by several percent
all of these
Question 6
In Michailova’s study, Russian employees were more motivated by ________ of
their
Russian managers than by attempts of empowerment by Western managers.
authoritarianism
patriarchy
autonomy
pluralism
Question 7
Employees in countries that rank low on power distance are more likely to
prefer a(n)
________ leadership style.
autocratic
participative
charismatic
transformational
Question 8
Which of the following is the most common reason given for absenteeism among
Mexican workers?
illness
taking care of sick relatives and elderly parents
dissatisfaction with the job
personal problems
Question 9
People in highly individualistic countries like United States are likely to
be motivated by
________.
opportunities for individual advancement and autonomy
appeals to group goals
rewards that are collective rather than individualistic
all of these
Question 10
“Kaizen” in the Japanese system is ________.
quality control circles
leadership improvement programs
subordinate enthusiasm programs
continuous improvement efforts
Question 11
Kanungo and Wright recommend that efforts to improve managerial performance
in UK
should focus on ________.
job content
job context
security
fringe benefits
Question 12
For most people, the basic meaning of work refers to ________.
self-fulfillment
self-identity
team or group membership
economic necessity
Question 13
Whereas Americans believe that hard work will get the job done, many Hong
Kong
Chinese believe that outcomes will be determined by ________.
family
social standing
luck
education
Question 14
The ________ model of leadership style has been recommended by American
research studies as one more likely to have positive results with American
employees.
autocratic
charismatic
transactional
democratic
Question 15
In Taiwan, the most highly sought reward is ________.
pay
security
recognition from peers
recognition from the top and affection
Question 16
The ________ leader is someone who is, for example, a visionary, an
inspiration to
subordinates, and performance-oriented.
charismatic
team-oriented
participative
self-protective
Question 17
Which category is not typically included among global corporate objectives?
research and development
entrepreneurship
profitability
production
Question 18
All of the following are examples of pressures to globalize except
________.
increasing competitive clout resulting from regional trading blocs
declining tariffs, which encourage trading across borders and open up new
markets
the information technology explosion, which increases the commonality of
consumer
tastes
all of the selections are correct
Question 19
________ is a term that refers to the establishment of worldwide operations
and the
development of standardized products and marketing.
Customization
Globalization
Nationalization
Internationalization
Question 20
The cost of operating a subsidiary in EU is high due to ________.
high labor costs
high taxation
harmonization codes that have to be adhered to
all of these
Question 21
What is perhaps the most likely reason why McDonald’s has aggressively
expanded
internationally?
to cut costs
to find new sources of financing
to overcome limited expansion opportunities at home
to establish economies of scale
Question 22
A ________ gives a foreign company the rights to manage the daily
operations of a
business but not to make decisions regarding ownership, financing, or
strategy and
policy changes.
franchise
management contract
turnkey operation
contract manufacturing agreement
Question 23
Under which condition is the licensing strategy generally not appropriate?
for firms with diverse product lines
for firms with many financial and managerial resources
when competition is intense
for firms with rapidly changing technology
Question 24
MNCs that have a subsidiary in EU but based in non EU country, sometimes
have an
advantage because of ________.
superior competitiveness and research and development
an existing foothold in the market
reduced operating expenses as you need to have just one subsidiary for all
of EU
all of these
Question 25
The internal analysis focuses on the company’s ________.
mission
past strategy
future strategy
resources and operations
Question 26
One of the quickest and cheapest ways to develop a global strategy is
through ________.
exporting
wholly owned subsidiaries
strategic alliances
importing
Question 27
Which of the following is not an advantage of using a licensing agreement?
Licensing avoids the tariffs and quota usually imposed on exports.
A licensor has total control over the licensee’s
performance.
Licensing is a relatively low-risk strategy because it requires little
investment.
Licensing is especially suitable for the mature phase of a product’s life
cycle.
Question 28
Which of the following can be considered to be trade barriers that
companies seek to
overcome by going international?
tariffs
quotas
buy-local policies
all of these
Question 29
Regional strategies are more appropriate than global strategies for firms
which operate in what kind of situation?
multi-domestic industries
high-tech industries
newly emerging industries
mature industries, which have been in existence for several decades
Question 30
________ is (are) diagnostic tool(s) available to the a company to conduct
an internal resource audit.
Financial ratios
Sales force analysis
Financial ratios and sales force analysis
Neither Financial ratios nor sales force analysis
Question 31
Strategic planning is usually done by ________.
CEO and top managers
bottom up – by employees who submit plans to supervisors
middle managers who know both the workers and the lower level staff
the stockholders
Question 32
The core competencies of a company involve its ________.
key weaknesses and threats
mission and purpose
key customer groups
key strengths
Question 33
Governments often attract foreign investment by providing incentives such
as ________.
use of property
reduced taxes or tax holidays
cheap loans
all of these
Question 34
Local managers are hired to fill key positions in their own company under
________ staffing approach.
global
polycentric
ethnocentric
regiocentric
Question 35
According to research, ________ has been the most frequently cited reason
for the failure of expatriate managers who work in foreign subsidiaries of U.S.
or European companies.
inability of the spouse to adjust
lack of training at the beginning of the process
lack of training during the repatriation part of the process
culture incompatibility
Question 36
Which of the following are examples of stage irritation and hostility stage
of culture shock?
homesickness
disorientation
lashing out
all of these
Question 37
Expatriates from which nation seem to have the highest probability of
success in their
overseas assignment?
Sweden
Great Britain
Italy
Japan
Question 38
Most MNCs, with time, move to a polycentric or regiocentric staffing
approach because ________.
local governments put pressure to hire local nationals
there is greater cost to hiring expatriates
local managers have increased their level of managerial and technical
competence
all of these
Question 39
Which staffing approach will most likely be effective when implementing a
global strategy of regionalization (“acting local”)?
polycentric
regiocentric
ethnocentric
global
Question 40
Which of the following are areas critical to expatriate preparation for an
international assignment?
cultural training
language instruction
familiarity with everyday matters
all of these
Question 41
________ occurs when a manager is transferred to another part of the
country where
there are cultural differences – essentially from what she or he perceives
to be a
“majority” culture to a “minority” one.
Subculture shock
Culture shock
Acculturation shock
Repatriation shock
Question 42
Which of the following are components of the expatriates total compensation
package?
salary
tax equalization
allowances and benefits
all of these
Question 43
________ is the only source of sustainable competitive advantage available
to U.S.
companies.
Sourcing of cheap raw materials
The caliber of its people
Information technology
Capital
Question 44
The direct cost alone of a failed expatriate assignment is estimated to be
________.
$10,000-$20,000
$20,000-$40,000
$50,000-$70,000
$50,000-$150,000
Question 45
Which of the following international staffing approaches can produce a
specific mix of
PCNs, HCNs, and TCNs?
ethnocentric
polycentric
subcentric
regiocentric
Question 46
Which of the following staffing approaches has the broadest geographical
scope?
regiocentric
global
ethnocentric
polycentric
Question 47
According to research by Tung, most U.S. firms failed to include ________
in their
assessment of candidates for potential international experience.
ability to learn languages quickly
ability to adapt to other cultures quickly
human relational abilities
previous experience living in different cultures
Question 48
________ are also called expatriates.
Parent-country nationals
Host-country nationals
Third-country nationals
Cross-country nationals
Question 49
When it is important to satisfy a country’s legal requirement that a
specific proportion of the firm’s top managers be citizens of that particular
country, which staffing approach has the highest potential?
ethnocentric
global
regiocentric
polycentric
Question 50
In the ________ staffing approach, the best managers are recruited from
within or
outside of the company, regardless of nationality.
regiocentric
global
ethnocentric
polycentric
Question 51
Which of the following is an indication of the need for change in
organization design?
a change in the size of the corporation
a change in key individuals
morale problems
all of these
Question 52
The end goal and overall contingency of organizational structure is that it
________.
brings about operations efficiency
brings about tight control of subsidiaries
provides for balanced control of subsidiaries
facilitates implementation of desired strategy
Question 53
The ________ strategy is to maximize opportunities for both efficiency and
local responsiveness by adopting a structure that uses alliances, networks, and
horizontal design formats.
transnational
domestic
international
global
Question 54
Marketing oriented companies like Nestle and Unilever are more likely to
use a global
________ structure, since products can be adapted to local requirements.
functional
geographic
matrix
cluster
Question 55
Non-financial measures of performance evaluation of subsidiaries are
________.
productivity measures
market share measures
public image measures
all of these
Question 56
The way a firm is organized along the ________ dimension determines how
well its
strategies will be implemented.
local — global
high-tech — low tech
homogeneous — diversity
differentiation — integration
Question 57
All of the following are typical ways in which firms organize their
international activities
except ________.
domestic structure plus export department
domestic structure plus foreign subsidiary
international division
cultural structure
Question 58
The creation of a(n) ________ facilitates the beginning of a global
strategy.
local division
international division
transnational division
matrix division
Question 59
With a transnational strategy, the need for complex integrating mechanisms
is ________, while in an international strategy, the need is ________.
very high; very low
very low; high
very high; medium
medium; very high
Question 60
Structure must fit ________ or it will not work.
the environment
corporate traditions and history
cultural factors
strategy
Question 61
A specific strategy that treats the world as one market by using a
standardized approach to products and markets is called ________.
globalization
transnationalization
differentiation
integration
Question 62
With Samsung’s new reorganization, managers ________.
have to go through several layers of hierarchy to get new products and
plans approved
can approve the new products and plans themselves
have to go through fewer layers of hierarchy to get new
products and plans approved
cannot get new products and plans approved
Question 63
According to the author, most likely, the future for MNC structure lies in
________.
a global web of networked companies
a global functional structure
a global product structure
centralized hierarchy
Question 64
What is the downside of rationalization?
too much emphasis on centralized decision making
over-reliance on decentralized decision making
use of the matrix structure
lack of differentiation in local markets
Question 65
Transnational structure, such as what ABB has, is less a matter of boxes on
an organizational chart and more a matter of ________.
controls
communication
alliances
changes
Question 66
An international division may be organized along what lines?
vertical and horizontal
differentiated and integrated
centralized and decentralized
functional, product, geographic
Question 67
Which of the following is not recognized as a financial variable in MNC
reports that
complicates financial statements and performance evaluations?
exchange rates
inflation levels
transfer prices
political systems
Question 68
One of the main dimensions an international manager must consider is the
role of labor in ________.
decisions concerning employee well-being
new international supplier talks
advertising and promotional strategy
all of these
Question 69
In ________, collective bargaining takes place between a local labor union
and management.
Japan
the U.S. and Canada
Europe
the U.S. and Europe
Question 70
In Japan, what is a “gaijin”?
a female worker
a female manager
a male who works for a female
a foreigner
Question 71
The most difficult challenge for women working overseas seems to be
________.
learning how to adjust to men they must work with
learning how to accept the role of women in the culture they work in
getting the overseas assignment in the first place
receiving adequate compensation for the overseas assignment
Question 72
Which of the following is a reason for falling union membership in Europe?
increase in proportion of white collar and service workers
rising proportion of temporary and part-time workers
reduced belief in unions by the younger generation
all of these
Question 73
Which of the following are components of developing an international cadre?
preparation
adaptation
repatriation
all of these
Question 74
Which of the following is an operational challenge for a global virtual
team with respect
to cultural differences?
variations in attitudes and expectations towards time
variations in sets of norms and patterns of behavior
variations in goal sets and work styles based on value of work
all of these
Question 75
The term ________ describes collections of managers from several countries
who
must rely on group collaboration if each member is to experience optimum
success
and goal achievement.
global management teams
specialized management teams
virtual management teams
objective management teams
Question 76
According to Adler, which of the following are skills likely to be acquired
by managers returning from an overseas alignment?
tolerance for ambiguity
multiple perspectives
ability to work with and manage others
all of these
Question 77
Common host country entry issues include all of the following except
________.
motivation adjustment
departure and travel
arrival and orientation
on-site briefing
Question 78
________ occurs primarily because of the difficulty of reintegration into
the organization.
Reverse culture shock
Culture shock
Virtual culture shock
Assimilation
Question 79
According to the former Deputy Chairman of Pirelli, if you want to close a
plant in Italy,
France, Spain, or Germany, you need to notify which of the following groups
of even
the possibility of closure?
the state
the local community
the trade unions
all of these
Question 80
Which of the following is not recognized as a source of origin of unions?
government regulation of unions
economic and unemployment factors
technological issues
all of these
Question 81
In the U.S., union membership ________.
has been increasing and is now over 18% of the population
has been decreasing and is now only 11% of the population
is higher than in Europe, although it has decreased to 18%
has declined about 50% in the last 20 years
Question 82
All of the following are causes of convergence in labor relation practices
except ________.
external competitive forces
increased world trade
frequent moves of MNCs
the great success of codetermination
Question 83
What did Philip Shearer (Clinique) learn from living in different
countries?
humility and the notion that nothing is easy for everyone
people will trust you if you are trustworthy and credible
wherever you are, you have to deliver
all of these
Question 84
Research has identified three control dimensions in international joint
ventures: the extent of degree of control, the mechanisms of control, and the
________.
objective of control
focus of control
locus of control
culture of control
Question 85
All of the following are motives for forming cross-border alliances except
to ________.
gain access to specific markets
gain market share
avoid protectionist legislation
reduce political risk
Question 86
All of the following are examples of international joint venture control
mechanisms
except ________.
contracts
reporting arrangements
government controls
participation in planning and budgeting
Question 87
Which of the following are knowledge management processes?
transfer of existing knowledge
transformation and creation of knowledge
harvest of knowledge from IJV to parents
all of these
Question 88
One of the key differences between Western and Hungarian managerial systems
is that while ________.
Americans are driven by market-driven technology,
Hungarians are driven by volume-driven technology
Americans have large hierarchical structures, Hungarians have flat
structures
Americans have opaque information systems, Hungarians have transparent
information
systems
Americans have administrative HR systems, Hungarians have strategic HR
systems.
Question 89
Europe’s largest multinational corporations employ more than ________
Americans.
500,000
900,000
1,900,000
2,900,000
Question 90
“Krysha”in Russian, refers to ________.
the term for your joint venture partner
a term for the local mafia
money paid for protection
the legal system in Russia
Question 91
In a study of 153 corporate alliances, researchers found that the choice of
“means of
governance” depended on concern regarding ________.
control over type of structure used
control over information flows pertaining to technology
control over markets
control over distribution strategies
Question 92
Among the benefits of cross-border alliances are all of the following
except to
________.
gain entry into new markets
reduce costs
take advantage of synergies
all of these
Question 93
________ are partnerships between two or more firms who decide they can
better pursue their mutual goals by combining their resources as well as their
existing distinctive competitive advantages.
Strategic alliances
Export management companies
Company subsidiaries
Turnkey operations
Question 94
Which of the following is a concern that American computer makers have with
production in China?
The Chinese market is not large enough to sell their products domestically.
There will be loss of intellectual property if Chinese
companies co-produce the computers.
There are not enough high skilled workers available in China for American
companies.
all of these
Question 95
________ are working partnerships between companies across national
boundaries and increasingly across industries.
Global strategic alliances
National strategic alliances
Domestic strategic alliances
Transitional strategic alliances
Question 96
An international joint venture’s best chance of success is to be ________
to retain
control of supplies and access to customers.
horizontally integrated
vertically integrated
virtually integrated
cross integrated
Question 97
Which of the following is not one of the primary categories under which
alliances typically fall?
joint ventures
equity strategic alliances
nonequity strategic alliances
transmodal strategic alliances
Question 98
How did Wal-Mart enter Japan?
by selling through a sales agent
by teaming up with Coco- Cola
by acquiring an already existing grocery chain
by entering into a joint venture with K Mart
Question 99
________ is a typical reason for forming cross-border alliances.
Avoiding import barriers
Sharing R&D costs
Gain access to specific markets
all of these
Question 100
Which of the following is not related to using indirect mechanisms to
control an international joint venture?
parent organizational and reporting structure
staffing policies
close coordination with the international joint venture general manager
all of theseMGT160-SP. INTERNATIONAL BUSINESS (MGT160-SP)>TAKE ASSESSMENT: FINAL EXAMTake Assessment: Final ExamInstructionsThis
exam consists of 100 equally weighed questions. Always pick the single best
answer.Questions that are skipped or are submitted with multiple answers will be
scored asincorrect.Multiple AttemptsThis
Test allows 2 attempts. This is attempt number 1.Force CompletionThis
Test can be saved and resumed later.Question Completion Status:Question 1________ suggests the need for job security, whereas people with ________
wouldprobably be motivated by more risky opportunities for variety and
fast-trackadvancement.High uncertainty; low uncertaintyLow uncertainty; high uncertaintyHigh power distance; low power distanceLower power distance; high power distanceQuestion 2Effective ________ involves the ability to inspire and influence the
thinking, attitudes, and behavior of people anywhere in the world.global leadershipethnocentric leadershippolycentric leadershipvirtual leadershipQuestion 3________ suggests that most people would be more comfortable with the
traditional division of work and roles; in a ________ culture, the boundaries
could be looser, motivating people through more flexible roles and work networks.High masculinity; more feminineA more feminine culture; masculineHigh uncertainty; low uncertaintyLow uncertainty; high uncertaintyQuestion 4Which of the following is a factor identified in the Meaning of Work (MOW)
research study?work keeps one occupiedwork provides a needed incomework provides contacts with othersall of theseQuestion 5In order to motivate its managers and employees, Fujitsu ________.tied pay to performanceraised the incentive paycut managers’ salaries by several percentall of theseQuestion 6In Michailova’s study, Russian employees were more motivated by ________ of
theirRussian managers than by attempts of empowerment by Western managers.authoritarianismpatriarchyautonomypluralismQuestion 7Employees in countries that rank low on power distance are more likely to
prefer a(n)________ leadership style.autocraticparticipativecharismatictransformationalQuestion 8Which of the following is the most common reason given for absenteeism among
Mexican workers?illnesstaking care of sick relatives and elderly parentsdissatisfaction with the jobpersonal problemsQuestion 9People in highly individualistic countries like United States are likely to
be motivated by________.opportunities for individual advancement and autonomyappeals to group goalsrewards that are collective rather than individualisticall of theseQuestion 10″Kaizen” in the Japanese system is ________.quality control circlesleadership improvement programssubordinate enthusiasm programscontinuous improvement effortsQuestion 11Kanungo and Wright recommend that efforts to improve managerial performance
in UKshould focus on ________.job contentjob contextsecurityfringe benefitsQuestion 12For most people, the basic meaning of work refers to ________.self-fulfillmentself-identityteam or group membershipeconomic necessityQuestion 13Whereas Americans believe that hard work will get the job done, many Hong
KongChinese believe that outcomes will be determined by ________.familysocial standingluckeducationQuestion 14The ________ model of leadership style has been recommended by Americanresearch studies as one more likely to have positive results with American
employees.autocraticcharismatictransactionaldemocraticQuestion 15In Taiwan, the most highly sought reward is ________.paysecurityrecognition from peersrecognition from the top and affectionQuestion 16The ________ leader is someone who is, for example, a visionary, an
inspiration tosubordinates, and performance-oriented.charismaticteam-orientedparticipativeself-protectiveQuestion 17Which category is not typically included among global corporate objectives?research and developmententrepreneurshipprofitabilityproductionQuestion 18All of the following are examples of pressures to globalize except
________.increasing competitive clout resulting from regional trading blocsdeclining tariffs, which encourage trading across borders and open up new
marketsthe information technology explosion, which increases the commonality of
consumertastesall of the selections are correctQuestion 19________ is a term that refers to the establishment of worldwide operations
and thedevelopment of standardized products and marketing.CustomizationGlobalizationNationalizationInternationalizationQuestion 20The cost of operating a subsidiary in EU is high due to ________.high labor costshigh taxationharmonization codes that have to be adhered toall of theseQuestion 21What is perhaps the most likely reason why McDonald’s has aggressively
expandedinternationally?to cut coststo find new sources of financingto overcome limited expansion opportunities at hometo establish economies of scaleQuestion 22A ________ gives a foreign company the rights to manage the daily
operations of abusiness but not to make decisions regarding ownership, financing, or
strategy andpolicy changes.franchisemanagement contractturnkey operationcontract manufacturing agreementQuestion 23Under which condition is the licensing strategy generally not appropriate?for firms with diverse product linesfor firms with many financial and managerial resourceswhen competition is intensefor firms with rapidly changing technologyQuestion 24MNCs that have a subsidiary in EU but based in non EU country, sometimes
have anadvantage because of ________.superior competitiveness and research and developmentan existing foothold in the marketreduced operating expenses as you need to have just one subsidiary for all
of EUall of theseQuestion 25The internal analysis focuses on the company’s ________.missionpast strategyfuture strategyresources and operationsQuestion 26One of the quickest and cheapest ways to develop a global strategy is
through ________.exportingwholly owned subsidiariesstrategic alliancesimportingQuestion 27Which of the following is not an advantage of using a licensing agreement?Licensing avoids the tariffs and quota usually imposed on exports.A licensor has total control over the licensee’s
performance.Licensing is a relatively low-risk strategy because it requires little
investment.Licensing is especially suitable for the mature phase of a product’s life
cycle.Question 28Which of the following can be considered to be trade barriers that
companies seek toovercome by going international?tariffsquotasbuy-local policiesall of theseQuestion 29Regional strategies are more appropriate than global strategies for firms
which operate in what kind of situation?multi-domestic industrieshigh-tech industriesnewly emerging industriesmature industries, which have been in existence for several decadesQuestion 30________ is (are) diagnostic tool(s) available to the a company to conduct
an internal resource audit.Financial ratiosSales force analysisFinancial ratios and sales force analysisNeither Financial ratios nor sales force analysisQuestion 31Strategic planning is usually done by ________.CEO and top managersbottom up – by employees who submit plans to supervisorsmiddle managers who know both the workers and the lower level staffthe stockholdersQuestion 32The core competencies of a company involve its ________.key weaknesses and threatsmission and purposekey customer groupskey strengthsQuestion 33Governments often attract foreign investment by providing incentives such
as ________.use of propertyreduced taxes or tax holidayscheap loansall of theseQuestion 34Local managers are hired to fill key positions in their own company under
________ staffing approach.globalpolycentricethnocentricregiocentricQuestion 35According to research, ________ has been the most frequently cited reason
for the failure of expatriate managers who work in foreign subsidiaries of U.S.
or European companies.inability of the spouse to adjustlack of training at the beginning of the processlack of training during the repatriation part of the processculture incompatibilityQuestion 36Which of the following are examples of stage irritation and hostility stage
of culture shock?homesicknessdisorientationlashing outall of theseQuestion 37Expatriates from which nation seem to have the highest probability of
success in theiroverseas assignment?SwedenGreat BritainItalyJapanQuestion 38Most MNCs, with time, move to a polycentric or regiocentric staffing
approach because ________.local governments put pressure to hire local nationalsthere is greater cost to hiring expatriateslocal managers have increased their level of managerial and technical
competenceall of theseQuestion 39Which staffing approach will most likely be effective when implementing a
global strategy of regionalization (“acting local”)?polycentricregiocentricethnocentricglobalQuestion 40Which of the following are areas critical to expatriate preparation for an
international assignment?cultural traininglanguage instructionfamiliarity with everyday mattersall of theseQuestion 41________ occurs when a manager is transferred to another part of the
country wherethere are cultural differences – essentially from what she or he perceives
to be a”majority” culture to a “minority” one.Subculture shockCulture shockAcculturation shockRepatriation shockQuestion 42Which of the following are components of the expatriates total compensation
package?salarytax equalizationallowances and benefitsall of theseQuestion 43________ is the only source of sustainable competitive advantage available
to U.S.companies.Sourcing of cheap raw materialsThe caliber of its peopleInformation technologyCapitalQuestion 44The direct cost alone of a failed expatriate assignment is estimated to be
________.$10,000-$20,000$20,000-$40,000$50,000-$70,000$50,000-$150,000Question 45Which of the following international staffing approaches can produce a
specific mix ofPCNs, HCNs, and TCNs?ethnocentricpolycentricsubcentricregiocentricQuestion 46Which of the following staffing approaches has the broadest geographical
scope?regiocentricglobalethnocentricpolycentricQuestion 47According to research by Tung, most U.S. firms failed to include ________
in theirassessment of candidates for potential international experience.ability to learn languages quicklyability to adapt to other cultures quicklyhuman relational abilitiesprevious experience living in different culturesQuestion 48________ are also called expatriates.Parent-country nationalsHost-country nationalsThird-country nationalsCross-country nationalsQuestion 49When it is important to satisfy a country’s legal requirement that a
specific proportion of the firm’s top managers be citizens of that particular
country, which staffing approach has the highest potential?ethnocentricglobalregiocentricpolycentricQuestion 50In the ________ staffing approach, the best managers are recruited from
within oroutside of the company, regardless of nationality.regiocentricglobalethnocentricpolycentricQuestion 51Which of the following is an indication of the need for change in
organization design?a change in the size of the corporationa change in key individualsmorale problemsall of theseQuestion 52The end goal and overall contingency of organizational structure is that it
________.brings about operations efficiencybrings about tight control of subsidiariesprovides for balanced control of subsidiariesfacilitates implementation of desired strategyQuestion 53The ________ strategy is to maximize opportunities for both efficiency and
local responsiveness by adopting a structure that uses alliances, networks, and
horizontal design formats.transnationaldomesticinternationalglobalQuestion 54Marketing oriented companies like Nestle and Unilever are more likely to
use a global________ structure, since products can be adapted to local requirements.functionalgeographicmatrixclusterQuestion 55Non-financial measures of performance evaluation of subsidiaries are
________.productivity measuresmarket share measurespublic image measuresall of theseQuestion 56The way a firm is organized along the ________ dimension determines how
well itsstrategies will be implemented.local — globalhigh-tech — low techhomogeneous — diversitydifferentiation — integrationQuestion 57All of the following are typical ways in which firms organize their
international activitiesexcept ________.domestic structure plus export departmentdomestic structure plus foreign subsidiaryinternational divisioncultural structureQuestion 58The creation of a(n) ________ facilitates the beginning of a global
strategy.local divisioninternational divisiontransnational divisionmatrix divisionQuestion 59With a transnational strategy, the need for complex integrating mechanisms
is ________, while in an international strategy, the need is ________.very high; very lowvery low; highvery high; mediummedium; very highQuestion 60Structure must fit ________ or it will not work.the environmentcorporate traditions and historycultural factorsstrategyQuestion 61A specific strategy that treats the world as one market by using a
standardized approach to products and markets is called ________.globalizationtransnationalizationdifferentiationintegrationQuestion 62With Samsung’s new reorganization, managers ________.have to go through several layers of hierarchy to get new products and
plans approvedcan approve the new products and plans themselveshave to go through fewer layers of hierarchy to get new
products and plans approvedcannot get new products and plans approvedQuestion 63According to the author, most likely, the future for MNC structure lies in
________.a global web of networked companiesa global functional structurea global product structurecentralized hierarchyQuestion 64What is the downside of rationalization?too much emphasis on centralized decision makingover-reliance on decentralized decision makinguse of the matrix structurelack of differentiation in local marketsQuestion 65Transnational structure, such as what ABB has, is less a matter of boxes on
an organizational chart and more a matter of ________.controlscommunicationallianceschangesQuestion 66An international division may be organized along what lines?vertical and horizontaldifferentiated and integratedcentralized and decentralizedfunctional, product, geographicQuestion 67Which of the following is not recognized as a financial variable in MNC
reports thatcomplicates financial statements and performance evaluations?exchange ratesinflation levelstransfer pricespolitical systemsQuestion 68One of the main dimensions an international manager must consider is the
role of labor in ________.decisions concerning employee well-beingnew international supplier talksadvertising and promotional strategyall of theseQuestion 69In ________, collective bargaining takes place between a local labor union
and management.Japanthe U.S. and CanadaEuropethe U.S. and EuropeQuestion 70In Japan, what is a “gaijin”?a female workera female managera male who works for a femalea foreignerQuestion 71The most difficult challenge for women working overseas seems to be
________.learning how to adjust to men they must work withlearning how to accept the role of women in the culture they work ingetting the overseas assignment in the first placereceiving adequate compensation for the overseas assignmentQuestion 72Which of the following is a reason for falling union membership in Europe?increase in proportion of white collar and service workersrising proportion of temporary and part-time workersreduced belief in unions by the younger generationall of theseQuestion 73Which of the following are components of developing an international cadre?preparationadaptationrepatriationall of theseQuestion 74Which of the following is an operational challenge for a global virtual
team with respectto cultural differences?variations in attitudes and expectations towards timevariations in sets of norms and patterns of behaviorvariations in goal sets and work styles based on value of workall of theseQuestion 75The term ________ describes collections of managers from several countries
whomust rely on group collaboration if each member is to experience optimum
successand goal achievement.global management teamsspecialized management teamsvirtual management teamsobjective management teamsQuestion 76According to Adler, which of the following are skills likely to be acquired
by managers returning from an overseas alignment?tolerance for ambiguitymultiple perspectivesability to work with and manage othersall of theseQuestion 77Common host country entry issues include all of the following except
________.motivation adjustmentdeparture and travelarrival and orientationon-site briefingQuestion 78________ occurs primarily because of the difficulty of reintegration into
the organization.Reverse culture shockCulture shockVirtual culture shockAssimilationQuestion 79According to the former Deputy Chairman of Pirelli, if you want to close a
plant in Italy,France, Spain, or Germany, you need to notify which of the following groups
of eventhe possibility of closure?the statethe local communitythe trade unionsall of theseQuestion 80Which of the following is not recognized as a source of origin of unions?government regulation of unionseconomic and unemployment factorstechnological issuesall of theseQuestion 81In the U.S., union membership ________.has been increasing and is now over 18% of the populationhas been decreasing and is now only 11% of the populationis higher than in Europe, although it has decreased to 18%has declined about 50% in the last 20 yearsQuestion 82All of the following are causes of convergence in labor relation practices
except ________.external competitive forcesincreased world tradefrequent moves of MNCsthe great success of codeterminationQuestion 83What did Philip Shearer (Clinique) learn from living in different
countries?humility and the notion that nothing is easy for everyonepeople will trust you if you are trustworthy and crediblewherever you are, you have to deliverall of theseQuestion 84Research has identified three control dimensions in international joint
ventures: the extent of degree of control, the mechanisms of control, and the
________.objective of controlfocus of controllocus of controlculture of controlQuestion 85All of the following are motives for forming cross-border alliances except
to ________.gain access to specific marketsgain market shareavoid protectionist legislationreduce political riskQuestion 86All of the following are examples of international joint venture control
mechanismsexcept ________.contractsreporting arrangementsgovernment controlsparticipation in planning and budgetingQuestion 87Which of the following are knowledge management processes?transfer of existing knowledgetransformation and creation of knowledgeharvest of knowledge from IJV to parentsall of theseQuestion 88One of the key differences between Western and Hungarian managerial systems
is that while ________.Americans are driven by market-driven technology,
Hungarians are driven by volume-driven technologyAmericans have large hierarchical structures, Hungarians have flat
structuresAmericans have opaque information systems, Hungarians have transparent
informationsystemsAmericans have administrative HR systems, Hungarians have strategic HR
systems.Question 89Europe’s largest multinational corporations employ more than ________
Americans.500,000900,0001,900,0002,900,000Question 90″Krysha”in Russian, refers to ________.the term for your joint venture partnera term for the local mafiamoney paid for protectionthe legal system in RussiaQuestion 91In a study of 153 corporate alliances, researchers found that the choice of
“means ofgovernance” depended on concern regarding ________.control over type of structure usedcontrol over information flows pertaining to technologycontrol over marketscontrol over distribution strategiesQuestion 92Among the benefits of cross-border alliances are all of the following
except to________.gain entry into new marketsreduce coststake advantage of synergiesall of theseQuestion 93________ are partnerships between two or more firms who decide they can
better pursue their mutual goals by combining their resources as well as their
existing distinctive competitive advantages.Strategic alliancesExport management companiesCompany subsidiariesTurnkey operationsQuestion 94Which of the following is a concern that American computer makers have with
production in China?The Chinese market is not large enough to sell their products domestically.There will be loss of intellectual property if Chinese
companies co-produce the computers.There are not enough high skilled workers available in China for American
companies.all of theseQuestion 95________ are working partnerships between companies across national
boundaries and increasingly across industries.Global strategic alliancesNational strategic alliancesDomestic strategic alliancesTransitional strategic alliancesQuestion 96An international joint venture’s best chance of success is to be ________
to retaincontrol of supplies and access to customers.horizontally integratedvertically integratedvirtually integratedcross integratedQuestion 97Which of the following is not one of the primary categories under which
alliances typically fall?joint venturesequity strategic alliancesnonequity strategic alliancestransmodal strategic alliancesQuestion 98How did Wal-Mart enter Japan?by selling through a sales agentby teaming up with Coco- Colaby acquiring an already existing grocery chainby entering into a joint venture with K MartQuestion 99________ is a typical reason for forming cross-border alliances.Avoiding import barriersSharing R&D costsGain access to specific marketsall of theseQuestion 100Which of the following is not related to using indirect mechanisms to
control an international joint venture?parent organizational and reporting structurestaffing policiesclose coordination with the international joint venture general managerall of these