1) making decisions with more information and less uncertainty about the process and
the outcome is referred as tolerance for ambiguity.
2) people with high uncertainty avoidance are motivated by more risky opportunities
for variety and fast-track advancement.
3) managers around the world have similar needs but show differing levels of
satisfaction of those needs derived from their jobs.
4) one pressing reason for many large firms to expand overseas is to seek economies of
scale.
5) the term paralanguage refers to how something is said rather than the contenti.e., the
rate of speech, the tone and inflection of voice, other noises, laughing, or yawning.
6) uncertainty avoidance refers to the extent to which people in a society feel threatened
by ambiguous situations.
7) the degree of general importance that working has in the life of an individual at any
given point in time is known as work centrality.
8) under governmentalism, the government uses its policy-setting role to favor national
interests, rather than relying on market forces.
9) the need to outsource employees is a complex issue for international human resource
(ihr) managers as they seek to support strategic mandates.
10) a strategic business unit (sbu) is a self-contained business with its own functional
departments and accounting systems.
11) what is the best method for avoiding miscommunication?
a) taking detailed notes of the messages
b) learning foreign phrases and idioms
c) practicing projective listening
d) relying on technology to interpret meanings
12) according to dovev lavie, which of the following is a value-creation strategy?
a) setting organizational buffers between competing partners
b) allying with multiple partners in one industry to limit power
c) assimilating network resources to acquire new skills and capabilities
d) aligning organizational units to create coherent interfaces
13) to reconcile accounting statements, mncs usually require ________ different sets of
financial statements from subsidiaries.
a) two
b) three
c) five
d) seven
14) the management of the reentry phase of the career cycle, if not handled adequately,
________.
a) can lead to culture shock
b) can lead to the negation of the long-term benefits of that executive’s international
experience
c) is most likely to nullify the monetary benefits associated with the executive’s
international experience
d) is most likely to decrease general apathy toward overseas assignments
15) the unconscious reference point of one’s own cultural values is called a(n)
________.
a) self-reference criterion
b) cultural distance criterion
c) cultural diffusion standard
d) unconscious power-distance point
16) the mexican culture, generally, is “doing-oriented,” compared to the
“being-oriented” culture that prevails in the rest of north america.
17) employees in countries that rank low on power distance are more likely to prefer
a(n) ________ style.
a) autocratic leadership
b) participative leadership
c) self-protective leadership
d) authoritarian leadership
18) for sharing resources and managing the transnational transfer of knowledge, it is
essential for mncs to maximize their human assets in the form of ________ teams.
a) virtual management
b) regional management
c) niche management
d) global management
19) according to the research conducted by tung et al., people in ________ are
bureaucratic, educated, diversified, highly relationship-oriented, and more direct.
a) shenzhen
b) shanghai
c) beijing
d) guangzhou
20) which of the following most likely occurs when a manager is transferred to another
part of the country where there are significant cultural differences?
a) subculture shock
b) culture shock
c) expatriation
d) repatriation
21) the first broad scan of all potential world markets should result in the firm being
able to ________.
a) identify the strengths and weaknesses of its competitors
b) eliminate markets with unreasonable entry conditions
c) determine the best sources for raw materials
d) eliminate countries with high cultural risk
22) ________ model provides a system for examining, measuring, and managing the
drivers of corporate sustainability.
a) epstein’s
b) buhovac’s
c) willard’s
d) atkisson’s
23) according to the international codes of conduct, mnes should ________.
a) resolve disputes according to the domestic law of the home country
b) dominate the capital markets in which their operations are based
c) use inexpensive, imported sources for components and raw materials
d) conduct research and development activities in developing countries
24) primo is a multinational enterprise based in california that manufactures and sells
affordably priced athletic shoes in retail stores around the world. a primo manufacturing
subsidiary in china employs over 20,000 locals. primo executives recently learned of
human rights violations at the firm’s china subsidiary. workers had been forced to work
more than 60 hours each week, and minimum wage laws were regularly ignored. as a
result, primo executives need to decide whether to continue operations in china.
which of the following is most relevant to the decision by primo to remain in china?
a) the extent of effect that bribery has on decisions made by primo’s global managers in
china
b) the methods of dealing with the hazardous waste created by primo’s china
manufacturing facility
c) the benefits that the local chinese community might have
d) the changes that need to be made by primo managers to show more respect for the
chinese culture
25) sedona inc. is an american firm that manufactures high-quality handbags, duffel
bags, and leather belts at its facility in arizona. sedona’s products have been featured in
various fashion magazines and as a result, consumer demand has increased
significantly. currently, sedona is organized as a domestic structure plus export
department. executives at sedona believe the firm is ready to internationalize its
operations, and they are considering various organizational structures.
which of the following best supports the argument that sedona should reorganize into a
global functional structure?
a) sedona has a highly decentralized system of management
b) sedona uses a variety of technologies for its numerous and varied product lines
c) sedona has only a few domestic competitors
d) sedona serves a narrow spectrum of customers and has a product line that uses
similar technology
26) which of the following terms refers to a country’s use of tariff and nontariff barriers
to partially or completely close its borders to various imported products that would
compete with domestic products?
a) nationalism
b) privatization
c) protectionism
d) governmentalism
27) moral universalism is the need for a moral standard that is accepted by all
________.
a) corporations
b) governments
c) cultures
d) employees
28) overlooking cultural differences in cross-border alliances can create a negative
impact when ________.
a) target country has similar views on organizational formality
b) target country and host country equally participate in decision making
c) target country is technologically superior to the host country
d) target country has conflicting practices and systems
29) in ________ cultures, people expect others to understand unarticulated moods,
subtle gestures, and environmental clues.
a) high-contact
b) low-contact
c) high-context
d) monochronic
30) brenda is the head of a sports firm in sweden. in order to communicate effectively
with her workers, brenda should ________.
a) build friendly relationships and encourage two-way dialogues
b) communicate information in a direct and explicit way
c) communicate information with facts and figures
d) exchange gifts with her employees frequently
31) what is the “dual nature” of strategic alliances?
32) what is object language? provide an example of how object language might affect
business communication.
33) according to the international codes of conduct, how should mnes handle
technology transfer overseas?
34) what is subordinateship? according to hofstede, what is the relationship between
leadership and subordinateship?
35) why is expatriate compensation complicated? what are some of the universal best
practices regarding employee compensation?
36) what can american managers conducting business abroad do to counteract the view
that americans are culturally insensitive?
37) what are direct and indirect coordinating mechanisms?
38) how can firms increase the likelihood of forming a successful global alliance?
39) why is it difficult for managers to evaluate and compare performance across
subsidiaries? how can managers overcome these difficulties?