1) A multinational manager is considering closing a plant in China as wages have
increased considerably in China. The manager considers the implications of laying off
people and closing the plant on the profits of the company. Which form of analysis is
the manager doing?
a. Legal analysis
b. Profit making analysis
c. Ethical analysis
d. None of the above
2) Small businesses differ from large businesses when going international primarily in
a. The available participation strategies
b. The strategies they can use to go international
c. Their founder’s or entrepreneur’s influence
d. The available multinational strategies
3) Key success factors are
a. Examples of defensive strategies
b. Important characteristics of a company or its product that lead to success in an
industry
c. Similar to generic strategies
d. The economic characteristics of countries that lead to success
4) Which of the following societies tend to determine occupations based on ascription
(family background) and social status?
a. Industrial societies
b. Postindustrial societies
c. Socialist societies
d. Pre industrial societies
5) Principles of goal-setting theory include all of the following EXCEPT
a. Set clear and specific goals
b. Provide incentives to achieve goals
c. Give feedback on goal attainment
d. Assign do-your-best types of goals
6) According to the text, those who are underrewarded are likely to
a. Return their rewards
b. Reduce their inputs
c. Increase their inputs
d. None of the above
7) Which of the following is NOT one of the necessary steps to ensure a successful
E-Commerce strategy?
a. Building on current business models and experimenting with new e-commerce
models
b. Allocating resources to the e-commerce business
c. Making sure that the entire firm is prepared to embrace the e-commerce model
d. Training all upper level management in computer programming
8) The brick and mortar part of the company refers to
a. The degree of interaction between traditional business operations and the company’s
e-commerce system
b. The company’s traditional business operations
c. The company’s management information systems
d. The extent of computer use in the company
9) According to the text, which of the following is NOT one of the strategies used to
allow successful repatriation of expatriates?
a. Provide a strategic purpose for the repatriation
b. Allow the expatriate to return when he/she is ready to do so
c. Provide training and preparation for the return
d. Establish a team to aid the expatriate
10) Dirty Tricks in International Negotiations refer to
a. The most common tactics in international negotiations that people use to gain an
upper hand
b. Negotiation tactics that pressure opponents to accept unfair or undesirable
agreements or concessions
c. Face-to-face communication that is not oral
d. None of the above
11) The structure adopted by companies in the early stage of internationalization is
usually
a. Replica
b. Network
c. Export department
d. Transnational subsidiary
12) Which of the following services is not provided by e-commerce enablers?
a. Services and software that translate Websites
b. Software that calculate shipping, value-added, and duties
c. Receiving customers purchased goods and storing, packaging, and shipping to the
customer
d. Training programs to understand the local culture
13) According to the text, all of the following statements about leadership styles in
different cultures are true EXCEPT
a. In high power distance countries, leaders generally behave more autocratically
b. In high uncertainty avoidance national cultures both leaders and subordinates often
feel more comfortable when the leader initiates structure
c. In low uncertainty avoidance countries leaders tell subordinates exactly what to do
d. In high power distance countries, person-centered leadership works best in large
groups
14) U.S. managers’ favored influence tactics include the following EXCEPT
a. Assertiveness
b. Reasoning
c. Aggressiveness
d. Bargaining
15) Transformational leadership
a. Means that managers use rewards or punishments to influence their subordinates
b. Is similar to transactional leadership
c. Succeeds because subordinates respond to the leader with high levels of performance,
personal devotion, and excitement
d. Is one leadership style of Fieldler’s leadership theory
16) Seniority tends to dominate evaluation and promotion in
a. Short term oriented cultures
b. Cultures high on uncertainty avoidance and low on individualism
c. Ethnocentric cultures
d. Doing rather than being cultures
17) The concept of work centrality refers to
a. The reasons why people work
b. The degree of importance of work in the life of an individual
c. The functions that work plays in people’s lives
d. Goals that people hope to achieve from working
18) Aspects of the business culture in China include all of these EXCEPT:
a. Business moves more slowly
b. One should respect Chinese business etiquette
c. It is important to praise individuals who excelled
d. The Chinese value harmony and order
19) Strategic complementarity in a strategic alliance means that
a. Both sides must have similar strategic objectives for the strategic alliance to succeed
b. Objectives can be different if they are not in conflict
c. Cultural differences must be dealt with first
d. Parent companies must leave the strategic alliance management to develop their own
strategic goals
20) Which of the following is NOT one of the factors determining the resource pool of
a country as discussed in the text?
a. The quantity, quality, and accessibility of raw material
b. The quantity, quality and cost of personnel available
c. The training and development system available
d. The cost and amount of capital available to firms
21) Which of the following statements about flexpatriates is FALSE?
a. Flexpatriates are those workers who travel on short notice for shorter duration
b. Flexpatriate assignments usually last longer than expatriate assignments
c. Flexpatriates provide flexibility as the company can send someone on numerous and
much shorter duration assignments
d. All of the above are true
22) In strategic alliance relationships, high levels of trust often
a. Retard organizational functioning due to excessive emotional reactions
b. Cause excessive loyalty to the strategic alliance
c. Are irrelevant if the strategic alliance is projected to have a high financial return
d. Facilitate the exchange of tacit knowledge
23) Which of the following statements regarding international joint ventures is FALSE?
a. International joint ventures usually have two or more partners
b. International joint ventures are usually not legally binding
c. International joint ventures with a large number of partners are known as consortiums
d. Companies do not need equal ownership to form an international joint venture
24) First mover advantages occur when
a. A company can begin business as a global start-up
b. A company adopts global strategies faster than competitors
c. Company moves quickly into a new venture and establishes the business before other
firms can react
d. A company changes production technology
25) Entry-mode strategies
a. Include multidomestic and transnational strategies
b. Are options multinationals have to enter foreign markets and countries
c. Are only processes by which firms fill overseas orders like domestic orders
d. None of the above
26) Third-country nationals are
a. Workers who come from the host-country where the unit is located
b. Foreign workers who work in a country where the parent company is located
c. Workers who come from neither the host nor the host-country
d. None of the above
27) All of the following statements regarding Induced-factor conditions resources are
true EXCEPT
a. Induced-factor conditions resources arise from cultural and institutional pressures
b. Good examples of induced factor conditions are the high cultural value placed on
education in many Asian societies creating a well-trained workforce
c. Induced-factor conditions include those resources that occur naturally such as coal
and gas reserves
d. All of the above are true
28) Indirect strategic benefits for entering a strategic alliance include
a. Immediate improved performance on profit ratios
b. Learning a new market
c. Developing management loyalty
d. None of the above
29) The world seems to be moving towards transnational ethics because:
a. Globalization dramatically increases contact among people from different ethical and
cultural systems
b. This contact creates pressure for the development of new transnational agreements
regarding business practices
c. International trade and trading blocs such as the EU and NAFTA are growing
d. All of these reasons
30) Which of the following statements regarding exporting is FALSE?
a. Exporting is the easiest of entry-mode strategies
b. Export can be of the passive form where overseas orders are treated like domestic
orders
c. Export can be indirect where companies rely on intermediaries to sell overseas
d. Because it is the easiest form of going international, exports are not as important to
the US economy
31) Need theories of motivation are based on the assumption that
a. Motivation is a function of the individual’s beliefs of what happens if one works hard
b. Motivation is a result of the outcomes of one’s past behaviors
c. Motivation is a function of why people work
d. People can satisfy basic human needs in the work setting
32) If negotiators are using deliberate deception as a dirty tricks, the best way to deal
with the deception is
a. Not to make any concessions
b. To ignore the ploy and focus on the agreement
c. To not reveal your negotiation plans
d. To point out directly what you believe is happening
33) Written ethical codes may include which of the following?
a. Contracts
b. International laws
c. Laws of a country
d. All of the above
34) Look at the information on the worlds leading exporters discussed in the text. Do
you think these trends will continue in the future? Why?
35) Describe some functions of coordination mechanisms. Pick two coordination
systems and describe how they work.
36) Discuss the GLOBE cultural framework. How is this cultural framework different
from Hofstedes framework?
37) Discuss some key issues to consider when choosing an entry-mode strategy.
38) Why should multinational management be studied? What are some of the elements
of a strategic approach to multinational management?
39) What are moral languages? How can moral languages help multinational become
more ethical?