Acceptable leadership traits across cultures, according to Project GLOBE, include:
A. directive, not afraid of criticizing others, and direct.
B. planning, able to stick to schedule, and able to stay within budget.
C. effective bargainer, dependable, win-win problem solver, and plans ahead.
D. high context, high power distance, and high tolerance for ambiguity.
E. low power distance, female, and low tolerance for ambiguity.
According to the text, political drivers of globalization include:
A. preferential trading agreements.
B. reduction of barriers to trade and foreign investment.
C. nationalization of much of the industry in formerly communist nations.
D. all of the above.
E. two of A, B, and C.
Wind power is sourced:
A. on land only.
B. on land and sea.
C. where altitudes permit.
D. in the Swiss Alps.
The international business manager can choose to:
A. transfer a management practice intact.
B. transfer and adjust a management practice.
C. not transfer a management practice at all.
D. two of A, B, and C.
E. all of A, B, and C.
The Organization for Economic Cooperation and Development provides information
on:
A. military alliances.
B. economic and other activities within its member-nations.
C. trade imbalances for nonmember countries.
D. sovereign debt risk.
The price of gold since about 1200 A.D. has been:
A. trending downward.
B. flat, keeping its value.
C. wildly fluctuating.
D. trending upward.
The United States allocates quotas to 40 countries for specific tonnages of:
A. sugar.
B. roast beef.
C. malt beer.
D. soybeans
E. two of the above.
Market research includes:
A. customized research.
B. general surveys.
C. nonprofit surveys.
D. all of the above.
E. two of A, B, and C.
3BL gives companies the chance to measure and make public the social and
environmental effects of their decisions: they should welcome this, in part because:
A. what we tend to learn about companies is what is reported in the media, and that
reporting tends to be focused on problems.
B. it’s about time companies are held accountable for their actions.
C. right now we measure company decision results only at the economic level.
D. A and C.
Part of the problems with international accounting convergence efforts has to do with:
A. cultural differences in value systems between the EU and the United States.
B. stubbornness on the part of U.S. negotiators.
C. accounting’s objectivity.
D. difficulties related to quantification.
Which of the following is true about trend analysis?
A. None of the following.
B. It is appropriate for use with the introduction of new products.
C. It is based on the assumption that past conditions are not an accurate predictor of the
future.
D. It accounts for the impact of entry by competitors.
E. B, C, and D
A pioneering firm stands the best chance for long-term success in market-share
leadership and profitability when:
A. there are high entry barriers for competitors.
B. it has strong patent protection.
C. there are substantial investment requirements.
D. all of the above.
E. two of A, B, and C.
Nationalization and privatization are:
A. similar trends.
B. opposing trends.
C. both risks faced by privately held firms.
D. both risks not encountered in capitalist democracies.
E. two of the above.
International firms have found it necessary to institute formal global planning:
A. all of B, C, and D.
B. to eliminate the practice of informal planning.
C. to provide top management with a means to identify threats and opportunities
worldwide.
D. to provide consistency of action among the firm’s managers.
E. two of B, C, and D.
When a company faces strong pressures for both reducing costs and adapting products
for local markets, it should tend to use a:
A. global strategy.
B. multidomestic strategy.
C. transnational strategy.
D. differentiation strategy.
E. home replication strategy.
One measure of the magnitude of international trade and how it has grown is that
_____________ of everything grown or made in the world is now exported.
A. 10 percent
B. 25 percent
C. 32 percent
D. 45 percent
E. over two-thirds
Quotas are a quantitative barrier that sets:
A. limits, established by the importer.
B. goals, established by the exporter.
C. precise quantities of imports or exports, based on price.
D. expectations on domestic and foreign sales.
E. two of the above.
Gift-giving in many cultures is marked by:
A. specific etiquette and meaning that may be markedly different from what the
international manager knows in the home culture.
B. graft and corruption; for example, a way to launder money.
C. humility not fitting an international manager.
D. drinking and late parties.
The international product life cycle:
A. explains how international trade in manufactured goods will be linked to gross
national income.
B. states that a nation will trade goods that can be produced with the production factor
that is most abundant.
C. is concerned with the role of innovation in trade patterns.
D. two of the above.
E. none of A, B, or C.
The Foreign Corrupt Practices Act (FCPA) clearly stipulates terminology and behavior
that is illegal on the part of U.S. businesses and of foreign businesses operating in the
United States
Hofstede’s long-term orientation tends to be found in:
A. Asian cultures.
B. Canada.
C. Brazil.
D. A and C.
The United Nations is probably the best known among:
A. for-profit organizations.
B. social service organizations.
C. international organizations.
D. military organizations.
EU rulings:
A. affect all businesses headquartered within the EU.
B. affect all businesses within the EU and those that trade within the EU.
C. limit businesses outside the EU but not in the United States.
D. are of no importance outside the EU.
The Pyramid Model of Global Leadership identifies:
A. character traits necessary for global leaders
B. personality traits necessary for global leaders.
C. a progression of skills required for effective global leadership.
D. a progression of activities necessary to build global leadership skills.
E. A and B.
According to the text, it has been argued that the ultimate goal of effective supply chain
management systems is to:
A. reduce costs.
B. improve quality.
C. reduce inventory.
D. increase sales.
E. increase standardization.
Scenarios:
A. all of B, C, and D.
B. have an objective of envisioning possible futures that might lie outside their
traditional frame of reference.
C. are based on stories about possible futures that are presented to line managers by the
strategic planners.
D. extrapolate from past data to make predictions.
E. two of B, C, and D.
In a code law country, a brand name belongs to the:
A. person registering it first.
B. person who uses it first.
C. company that uses it first.
D. person who registers it first under the Berlin Convention.
E. none of the above.
Regarding economic and social development:
A. international trade has an important role in influencing nations’ economic and social
performance, with this role being even more fundamental in the case of developed
countries.
B. expansion of trade guarantees improvement for a country and its people.
C. the Trade and Development Index attempts to provide a quantitative indication of a
nation’s social and economic development.
D. the 30 highest-ranked nations in the initial Trade and Development Index were all
developed countries.
E. for the Trade and Development Index, the best regional performance among
developing countries was that of the countries of the East Asia and Pacific region.
Government stability is understood to refer to a government’s:
A. policies—their ability to endure over time.
B. ability to keep itself in power.
C. two of A, B, and D.
D. ability to adjust to sudden changes by making radical policy changes.
E. all of A, B, and D.
The OECD is called the “rich man’s club” because its members:
A. are rich and male.
B. are 34 of the world’s wealthiest nations.
C. are concerned with increasing their own wealth rather than promoting development.
D. promote wealth at the cost of health and safety.
Reasons for sourcing globally include:
A. a lower price.
B. products not available locally.
C. a firm’s worldwide operation and quality.
D. all of the above.
