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International Business, 12e (Hill)
1) In today's world of global communications, rapid transportation, and global markets, cultural
differences have ceased to exist.
2) Norms are abstract ideas about what a group believes to be good, right, and desirable.
3) Folkways include rituals and symbolic behavior.
4) Upon meeting a foreign business executive, a Japanese executive will hold his business card in
both hands and bow while presenting the card to the foreigner. This is an example of ritual
behavior.
5) The term social strata refers to the extent to which individuals can move out of the strata into
which they were born.
6) Education plays an important role, from an international business perspective, as a determinant
of national competitive advantage.
7) Both Hindus and Buddhists stress the afterlife and spiritual achievement rather than
involvement in this world.
8) Islam is a polytheistic religion, like Christianity and Judaism.
9) A caste system is a closed system of stratification in which social position is determined by the
family into which the person is born.
10) A class system is a rigid form of social stratification in which the position a person has by birth
cannot be changed through his or her own achievements or luck.
11) An antagonistic relationship between management and labor classes may result in lower costs
of production.
12) Max Weber believed that Protestantism encouraged capitalism's development by emphasizing
the importance of wealth creation and frugality.
13) Individualism has led to a high degree of managerial mobility between companies resulting in
managers who have good general skills but lack company-specific experience.
14) In countries where the value of group identification is considered to be primary, managers and
workers are discouraged from moving from company to company.
15) The mudarabah contract is the most widely used Islamic banking method, because it is the
easiest to implement.
16) Max Weber believed that devout Hindus would be less likely to engage in entrepreneurial
activity than devout Protestants.
17) Guanxi is an important mechanism for building long-term business relationships and getting
business done in China.
18) Hofstede's study found that in masculine cultures, sex roles were less sharply distinguished,
and little differentiation was made between men and women in the same job.
19) Hofstede's research has been criticized because it was culturally bound.
20) Hofstede's concept of power distance focused on the extent to which different cultures
socialized their members into tolerating uncertainty.
21) According to Hofstede, the concept of Confucian dynamism captures attitudes toward time,
persistence, protection of face, and respect for tradition.
22) The convergence hypothesis states that there is a slow but steady merging occurring across
different cultures toward some universally accepted values and norms.
23) International businesses that are ill-informed about the practices of another culture are likely to
fail.
24) The value systems and norms of a country are unrelated to the costs of doing business in that
country.
25) Because of its individualistic mind-set, Japanese culture is more supportive of entrepreneurial
activities than American culture.
26) Culture is
A) static.
B) not static.
C) unchanging.
D) abstract.
27) The term ________ refers to a group of people sharing a common set of values and norms.
A) mores
B) society
C) culture
D) folkway
