86) A ________ team is one composed of employees who work at similar levels in different
operative departments in an organization.
A) self-managed
B) global
C) virtual
D) cross-functional
87) ________ teams can help break down barriers between departments and reorganize
operations around processes in an organization.
A) Cross-functional
B) Self-managed
C) Global
D) Virtual
88) A team of top managers from both headquarters and international subsidiaries who meet to
develop solutions to company-wide problems is referred to as a ________ team.
A) virtual
B) global team
C) cross-functional team
D) self-managed team
89) Which of the following should managers at Beanstalk conduct to identify and distinguish
between the primary and support activities in the organization?
A) fundamental analysis
B) structural analysis
C) value chain analysis
D) technical analysis
90) Which of the following is a primary activity that creates value for Beanstalk’s customers?
A) firm infrastructure
B) procurement
C) human resource management
D) inbound logistics
91) Which of the following is a support activity that creates value for Beanstalk’s customers?
A) production
B) marketing and sales
C) customer service
D) technology development
92) The strategy that Beanstalk would most likely want to follow is called a ________ strategy.
A) multinational
B) retrenchment
C) global
D) stability
93) Beanstalk managers know that the drawback of such an adaptive strategy is that it ________.
A) does not allow companies to exploit scale economies in product development, manufacturing,
and marketing
B) can cause a company to overlook important differences in buyer preferences across various
markets
C) is applicable only to industries in which price-competitiveness is a key success factor
D) does not allow a company to modify its products except for the most superficial features
Scenario: TeleToys Inc.
TeleToys Inc., a U.S.-based company, recently opened eighteen new toy stores in Brazil,
acquired a women’s clothing company in Canada, and closed its men’s clothing line in Australia.
The company has a structure that organizes its global operations into geographic regions.
94) TeleToys recently opened eighteen new toy stores in Brazil. This move can best be described
as a ________ strategy.
A) growth
B) stability
C) retrenchment
D) differentiation
95) The closing of TeleToys’ Australian men’s clothing line can best be described as a(n)
________ strategy.
A) organic growth
B) stability
C) retrenchment
D) global
96) Which of the following strategies should TeleToys follow if it wants buyers to perceive its
products as unique?
A) retrenchment strategy
B) global strategy
C) differentiation strategy
D) low-cost leadership strategy
97) Which of the following features is TeleToys least likely to use in order to create a perception
of having unique products?
A) brand image
B) reputation for quality
C) product design
D) low cost
98) TeleToys’ organizational structure can best be referred to as a(n) ________ structure.
A) international division
B) global product
C) global matrix
D) international area
99) Differentiate between primary and support activities that create value for a company’s
customers. How can managers determine whether an activity enhances customer value?
100) Briefly describe the strategy formulation process of international organizations.
101) Differentiate between a multinational and a global strategy. Identify the main benefits and
the main drawbacks of each.
102) Describe the four key approaches to corporate strategy, providing an example of each.
103) How do national and international business environments influence multinational strategy
formulation?
104) Explain the differences between a mission statement and a business-level strategy.
105) Briefly describe the three generic business-level strategies, providing an example of each.
106) Explain how a global strategy complements a corporate growth strategy.
107) Explain the different ways in which products can be differentiated, providing an example of
each.
108) When should managers consider decentralized decision making? What benefits might
emerge?
109) Discuss the major points of differences between centralization and decentralization, and
explain the differences between an international area structure and a global product structure.
110) Describe any three organizational structures that are common for a vast majority of
international companies.
111) Explain participative management and accountability in a decentralized organization, and
discuss the probable accountability issues in a global matrix structure. Include a description of
the global matrix structure in your answer.
112) When should managers consider decentralized decision making? What type of work teams
might emerge in organizations that practice decentralized decision making?
