1) Global standards for products
a. Are virtually impossible in technical industries
b. Refer to having one product standard for all countries
c. Puts companies at a strategic disadvantage
d. All of the above
2) Cost reduction, technology and efficiencies are considered to be the ________ of
e-commerce.
a. Attractions
b. Challenges
c. Deterrents
d. Keys
3) It is now easier to overcome the barriers to small business internationalization
because of all of the following reasons EXCEPT
a. There are more government programs that support small business exporting and sales
b. Trade agreements (such as NAFTA) are making international trade less complex
c. Larger organizations are increasingly more willing to share their global expertise with
smaller ones
d. There is a wealth of information regarding international opportunities such as those
available on the World Wide Web
4) _________ mean/means that management locates subsidiaries anywhere in the world
where they can benefit the company.
a. Dispersed subunits
b. Specialized operations
c. Interdependent relationships
d. None of the above
5) According to the experts cited in your text, the next generation of global managers
will need all of the following, EXCEPT:
a. Emotional intelligence
b. The ability to work with people from different cultural backgrounds
c. Poor negotiation skills
d. A local mindset
6) Preference for involvement in multiple areas of personal and work life
simultaneously are more likely in
a. Specific cultures
b. Diffuse cultures
c. Neutral cultures
d. Affective cultures
7) Defensive strategies include
a. Direct attacks, end-run offensive, and acquisitions
b. The generic strategies
c. Counter-parries
d. None of the above
8) Temporary groups created to solve a particular organizational problem such as
entering a new market are
a. Teams
b. Liaisons
c. Taskforces
d. Full time integrators
9) When communicating with nonnative speakers, which of the following would make
communication harder and less accurate?
a. Strictly following basic rules of grammar
b. Using words that have numerous alternative meanings
c. Using slang
d. Using most common words with their most common meanings
10) Which of the following statements regarding the Foreign Corrupt Practices Act
(FCPA) is NOT TRUE?
a. Bribes or payments made under duress to avoid injury or violence are acceptable
b. Small payments to encourage officials to do their legitimate and routine jobs are
acceptable
c. Payments or gifts to foreign government officials for the sake of gaining or retaining
business are acceptable
d. In an unstable political environment, payments made to local officials to avoid
harassment of employees are acceptable
11) According to the text, the degree of difficulty in conducting global e-commerce
businesses is primarily dependent on
a. The financial requirements
b. The availability of management talent
c. The infrastructure requirements
d. The telecommunications infrastructure requirements
12) Independent operations between the brick and mortar part of a company and its
e-commerce system offer which of the following benefits?
a. The independent operation can move faster and be more entrepreneurial when freed
from corporate bureaucracy and it can seek funding from deep pockets of venture
capitalists
b. The independent operation can benefit from cross-promotion of shared products,
shared customer information, increased large-quantity purchase leverage, and
economies of scale by using the same distribution channels
c. The brick and mortar part of the company can transfer learning to the e-commerce
system of the company
d. Independent operations can facilitate synergy between the brick and mortar part and
the e-commerce system
13) The Whorf hypothesis
a. Suggests that language determines the nature of culture
b. Suggests that nonverbal communication determines cultural patterns
c. Culture comes first and requires the development of certain concepts and thus certain
words
d. None of the above
14) Which of the following is NOT one of the questions asked when designing an
organization?
a. How should work be divided among the organizations subunits?
b. How should the work be coordinated among the various subunits?
c. How should the work of the various subunits be controlled?
d. How many subunits should the multinational have?
15) This is considered to be a popular and controversial way to address internal cost
inefficiencies.
a. Insourcing
b. Outsourcing
c. Related diversification
d. Unrelated diversification
16) The main objective of the balance sheet approach to international compensation is
a. To match home and host county purchasing power
b. To make sure you reward international managers for their hardship
c. To save costs in inexpensive countries
d. To provide headquarters accountants with consistent information on salaries
17) An expatriate finds that one of his subordinates regularly jokes about a minority
group in the country. She decides to ignore the jokes hoping that the subordinate will
eventually stop such jokes. Which aspect of reinforcement theory is she using?
a. Avoidance
b. Extinction
c. Punishment
d. Operant conditioning
18) Which of the following businesses poses the highest degree of difficulty in
e-commerce?
a. Portals and infomediaries
b. Businesses such as Travelocity, and those that sell digital music, and software
c. Businesses that rely on a physical infrastructure
d. Brick and mortar companies
19) Anything that a government might do to affect a multinational adversely is known
as
a. Exchange rate risk
b. Business risk
c. Sales risk
d. Political risk
20) All of the following are true about Fiedler’s Leadership Effectiveness theory
EXCEPT
a. Fiedler proposed that managers tend to be either task or person-centered leaders
b. The success of leadership styles depends on three characteristics of the work situation
c. Effective leadership occurs when the leadership style matches the situation
d. Task-centered leadership works best in mixed conditions
21) Which of the following cultural dimensions is NOT included in Hofstede’s model of
national culture?
a. Power distance
b. Individualism
c. Masculinity
d. Neutrality
22) Which of the following is NOT one of the major threats to e-commerce
globalization?
a. Cost of site construction, maintenance and upgrades
b. Cost of training in top managers in computer programming
c. Easily copied e-commerce models
d. Traditional cross-border transaction and other cross-cultural complexities
23) A company that treats and fills overseas orders like domestic orders is an example
of a
a. Indirect exporter
b. Export management company
c. Aggressive exporter
d. Passive exporter
24) Which one of the following is NOT one of the personal success characteristics of
successful international negotiators as discussed in the text?
a. Tolerance of ambiguity and curiosity
b. Focus on achieving negotiation goals without making concessions
c. Flexibility, creativity, and sense of humor
d. All of the above are personal success characteristics
25) Contingency theories
a. Look for leadership behaviors that work in all countries
b. Focus on which leadership traits or behaviors define excellent in Japan
c. Assume that different styles and different leaders are more appropriate for different
situations
d. None of the above
26) Examples of developed economies would include:
a. The U.S. and Japan
b. Hungary and Poland
c. Argentina and Brazil
d. Hong Kong and Singapore
27) Negotiators who make an agreement and then reveal that it must be approved by
senior managers or the government is an example of which type of dirty trick?
a. Escalating authority
b. Good guy, bad guy routine
c. You are wealthy and we are poor
d. Old friends
28) Which of the following is NOT a factor considered when assessing political risk?
a. The durability of the political system
b. The role of the government, unions and the media in political stability
c. The profitability
d. The reliability of the rule of law
29) Which of the following does NOT represent a necessary component of the ideal
multinational e-business?
a. Corporate headquarters which represents the global core in charge of providing a
common vision and strategy
b. Managers at headquarters having worldwide responsibility for their shared functional
areas responsibility
c. Local subsidiaries which actually deliver the goods and also taking charge of
functions best done locally
d. All of the above are necessary aspects of the multinational e-business
30) Emerging markets are
a. Located mostly in Africa and South America
b. Similar to developed economies
c. Those countries between developed and developing countries that present
tremendous opportunities
d. have free trade areas
31) The index of economic freedom may be used by multinationals to understand the
nature of
a. market transitions
b. national culture
c. national context
d. governmental intervention
32) The small business advantage refers to
a. The energy and creativity entrepreneurs can put in their multinational operations
b. The ease by which small companies can become global start-ups
c. The speed by which entrepreneurs can react to changing conditions and capture
significant sales before larger companies can react
d. The number of venture capitalists willing to invest in successful small businesses
33) Which of the following statements regarding the European Union is true?
a. The European Union no longer exists
b. The European Union includes Venezuela
c. The European Union has a common currency
d. All of the above are true
34) All of the following are true about the US performance appraisal system EXCEPT
a. It represents cultural values that espouse links among individual rights, duties, and
rewards
b. It attempts to be rational, logical, and legal
c. It focuses primarily on the ability to function well in groups
d. Research shows that it works well in all national contexts
35) Which of the following best describes U.S. culture with regard to individualism?
a. Lower than many European nations
b. Highest observed so far
c. About the same as Japan
d. Slightly above average
36) Channel conflicts, cost of site construction and maintenance are considered to be
_____ of e-commerce.
a. Attractions
b. Challenges or deterrents
c. Linking services
d. Supporting software
37) In countries where it is believed that nature dominates people,
a. Managers are less likely to be fatalistic
b. Managers emphasize planning and scheduling
c. Managers actively try to change situations
d. Managers believe that they must accept situations rather than changing them
38) A low cost strategy leads to higher profits by
a. Charging a higher price than competitors
b. Offering the customer products with more features
c. The cost savings that firms achieve
d. Adding unique features to products
39) All of the following are true about US training and development practices EXCEPT
a. The most popular training topics are management development and computer training
b. Most training programs reach a majority of the workers
c. Because of global competition, demand for training will increase
d. There are increased pressures on businesses to supplement basic educational training
40) Understanding a new market and developing a new technology may be used as
performance criteria for which of the following?
a. Organizational learning
b. Management processes
c. Competitive advantage
d. Commitment
41) Discuss at least two major forces that are driving the world toward a global
economy.
42) What are interpreters? What can managers do to ensure appropriate use of
interpreters?
43) Define social institutions. How do social institutions affect individuals and
organizations?
44) Discuss some of the pressures for ethical convergence. What are some implications
for multinational management?
45) What are some of the major factors to take into consideration when picking a
country for setting up an e-commerce business? Why do trading blocks such as
Mercosur, ASEAN, and the European Union present significant potential for
e-commerce businesses?
46) What are some of the recruitment strategies used by U.S. companies? Why is open
and public advertisements seen as the most effective recruitment strategies? Why would
such strategies not work in more collectivist cultures?
47) Describe the U.S. FCPA, what makes it challenging for U.S. firms, and how they
deal with that challenge.