1) the japanese ningensei style of communication refers to the preference for humanity,
reciprocity, a receiver orientation, and an underlying distrust of words and analytic
logic.
2) people in countries with a high level of national individualism are more likely to be
motivated by opportunities for personal advancement.
3) companies seek out less restrictive foreign operating environments when the
regulations and restrictions enforced by the firm’s home government become expensive.
4) americans are calm, quiet, patient negotiators; they are accustomed to long, detailed
negotiating sessions.
5) for firms with diversified product lines that have different technological bases and
are aimed at dissimilar or dispersed markets, a functional structure is far more
strategically advantageous than a global product structure.
6) host-country nationals are more likely to be accepted by people both inside and
outside the subsidiary, and they provide role models for other upwardly mobile
personnel.
7) social responsibility deals with decisions and interactions mostly on an individual
level.
8) to achieve rationalization, managers choose the manufacturing location for each
product based on where the best combination of cost, quality, and technology can be
attained.
9) risk tolerance is one of the cultural variables that greatly affects the decision-making
process.
10) in the mexican culture, the workers expect the managers to delegate authority and
encourage participation.
11) expropriation occurs when a local government seizes and does not provide any
compensation for the foreign-owned assets of an mnc.
12) cross-border allies usually collaborate effectively, and are most often associated
with long lasting trust and loyalty.
13) the quantitative approach evaluates a country’s economic risk by assessing the
competence of its leaders and analyzing the types of policies they are likely to
implement.
14) the mission of an organization provides a basis for strategic decision making.
15) historically, personnel directors selected potential expatriates on the basis of a
candidate’s ________.
a) interpersonal skills
b) adaptation capabilities
c) cross-cultural awareness
d) domestic track records
16) understanding foreign languages is especially important for international managers
because of ________.
a) increased diversity in the global workforce
b) reduced incidence of outsourcing
c) dominance of english in business communication
d) decline in the status of the u.s. as a superpower
17) past court decisions serve as precedents to the interpretation of the law under
________.
a) civil law
b) common law
c) theocratic law
d) contract law
18) ________ suggests being motivated by more risky opportunities for variety and
fast-track advancement.
a) low uncertainty avoidance
b) high uncertainty avoidance
c) small power distance
d) large power distance
19) robert is a technology officer in an umerian firm and he manages the firm’s
operations at its facility in elador. robert is considering the idea of installing new
technology in the facility that would significantly improve productivity and reduce
labor costs. which of the following undermines the argument that robert should install
the new technology?
a) elador’s government leaders encourage firms to install the most modern machinery
available
b) the high school graduation rate in elador is higher than in neighboring countries
c) elador is currently experiencing a very high rate of unemployment
d) the firm’s competitors recently installed the same technology
20) employees in countries that rank high on power distance are more likely to prefer
a(n) ________.
a) autocratic leadership style
b) participative leadership style
c) charismatic leadership style
d) consultative leadership style
21) which of the following is one of the standards of sa8000?
a) reducing environmental footprints
b) providing a safe work environment
c) not allowing workers to unionize
d) regularly require more than 48-hour workweeks
22) according to hofstede, the tendency of people to look after themselves and their
immediate family and to place less emphasis on the needs of the society is known as
________.
a) power distance
b) uncertainty avoidance
c) individualism
d) masculinity
23) dell is an american corporation that deals with computer technology. with its
worldwide sourcing and fully merged production and marketing system, dell is
considered to be a ________.
a) greenfield investment
b) turnkey operation
c) shell corporation
d) globally integrated company
24) panera bread is a chain of cafes serving sandwiches, soups, and freshly baked
breads. the company began in 1981 with stores primarily located along the east coast of
the u.s. since then, the firm has expanded to over 1,300 locations throughout the u.s.
and canada. the firm has strong earnings and has been designated by business week as a
‘significant growth company.” panera bread executives are considering the idea of
expanding globally by opening cafes in asia through a franchising strategy. which of the
following, if true, undermines the argument that panera bread should expand into asia
through franchising?
a) quality control is a high priority for panera bread
b) panera bread wants to access the asian market quickly
c) panera bread’s primary competitor has already expanded to asia
d) many panera bread managers have expressed interest in relocating to asia
25) which of the following countries is today known as the world’s services supplier,
providing highly skilled and educated workers to foreign companies.
a) china
b) brazil
c) mexico
d) india
26) the traditional trade union structures in western industrialized societies have been in
________, representing all grades of employees in a specific industry.
a) craft unions
b) general unions
c) industrial unions
d) conglomerate unions
27) which of the following is an element of paralanguage?
a) hand gesture
b) body posture
c) yawning
d) personal touch
28) a ________ gives a foreign company the rights to oversee the daily operations of a
business but not to make decisions regarding ownership, financing, or strategic and
policy changes.
a) licensing agreement
b) management contract
c) turnkey operation
d) lease
29) in their rush to get on the globalization bandwagon, too many firms have ________.
a) opted for niche marketing
b) sacrificed the ability to respond to local market structures and consumer preferences
c) overly focused on local markets at the cost of losing out on market share abroad
d) wrongly overestimated the importance of mass customization for the global market
30) which of the following is a potential benefit to the host country of mnc operation?
a) increased competition for local scarce capital
b) competition for scarce skills
c) increased interest rates as supply of local capital decreases
d) infrastructure development and support
31) which of the following statements is true of the strategic formulation process?
a) the global strategic formulation process is completely independent of the process
followed in domestic companies
b) the strategic formulation process is part of the strategic management process in
which most firms engage, either formally or informally
c) strategic formulation consists of four defined stages that occur in a consecutive order
d) most firms operate on planning cycles of one or two years with periodic strategy
reviews
32) according to the international codes of conduct, the mne behavior toward the host
government is related to ________.
a) economic and developmental policies, laws and regulations, and political
involvement
b) political involvement, technology transfer, and environmental protection
c) political involvement, communication practices, and laws and regulations
d) laws and regulations, technology transfer, and communication practices
33) what are the three phases of the expatriate transition process? briefly describe each
phase.
34) what are the long-term consequences of an ineffective repatriation program?
35) describe tung’s five training techniques for assisting expatriates in the adjustment
process. how can training be integrated with global orientation?
36) what is convergence?
37) what are the major variables that should be taken into account when designing a
firm’s organizational structure?