1) Which of the following statements is NOT TRUE regarding the experiences
countries go through as they undertake market transitions from socialism to a more
market based economy?
a. Drastic measures have to be taken to turn around formerly inefficient companies
b. Managers’ thinking have to be changed so that they can understand management
functions
c. Financial systems have to be left unregulated to accurately reflect market prices
d. More workers have to be hired as companies find that they are understaffed
2) Which of the following is not an implication of educational systems as they apply to
multinationals?
a. Educational level gives an indication of the skill and productivity of workers in any
society
b. Educational systems have implications for how labor force issues are approached and
policies implemented
c. Educational levels can be gauged to give an idea of what multinationals can expect
d. All of the above are true
3) Asking diagnostic questions such as are there economies of scale, are there cheaper
sources of raw materials, are there global sources of low-cost raw materials provide
information regarding which globalization driver?
a. Global markets
b. Costs
c. Competition
d. Governments
4) The World Trade Organization:
a. Is a major trading company
b. Succeeded the GATT agreements
c. Collects duties for member countries
d. Is a consulting group for companies who wish to engage in international trade
5) Which of the following statements is NOT TRUE regarding social responsibility?
a. Social responsibility is not linked with business ethics
b. Refers to the idea that businesses have certain responsibilities to society beyond
making profits
c. Means that a company has to take into consideration various stakeholders when
making decisions
d. Is concerned with the ethical consequences of policies and procedures of the
company as an organization
6) In societies with high social inequality, resources are controlled by
a. A majority of people
b. Very few people
c. The Government
d. Religious institutions
7) Olfactics
a. Is the use of smells as a means of nonverbal communication
b. Refers to communication through eye contact or gazing
c. Communication through the use of space
d. Communication through body contact
8) The free market reforms in emerging countries are creating a potential group of
a. new competitors
b. old competitors
c. subsidized firms
d. government companies
9) In dealing with cross-cultural communication in a strategic alliance, managers should
expect
a. Communication difficulties to disappear when operational managers are fluent in
each other’s language
b. Slower communication and more errors
c. No communication problems if all managers were educated in the US
d. No communication difficulties if all parties agree on a common language of the
strategic alliance
10) A society that is characterized by dominance of the manufacturing or secondary
sectors is a/an
a. Industrial society
b. Pre-industrial society
c. Post-industrial society
d. Market society
11) Selection in collectivist cultures
a. Favors performance-related backgrounds and qualifications
b. Is similar to US selection practices
c. Gives preference to the in-group members
d. Gives preference to individuals with technical skills
12) __________ help link the organization vertically, up and down the organizational
hierarchy.
a. Coordination systems
b. Dispersed subunits
c. Control systems
d. Subunits
13) A multinational manager is studying the data on total entrepreneurial activity ratings
by country. She is most likely doing this in order to
a. Assess the level of entrepreneurship in a country
b. Understand available industries
c. Assess small business failure
d. Understand opportunities for new ventures
14) Suggested ways to build and sustain commitment in strategic alliances include
a. Go slowly
b. Be the dominant partner
c. Keep your goals secret so your partner does not get nervous about your intentions
d. Use extensive written documentation
15) E-commerce enablers are
a. Software that provide electronic payment models in addition to credit cards
b. Systems that calculate and show purchase information on international shipping,
duties, and local taxes such as VAT
c. Companies that provide services and software that translate Web sites, calculate
shipping, value-added taxes, duties, and other charges unique to each country
d. Equity partners in multinational businesses
16) The correct definitions of the levels of culture include all of these EXCEPT:
a. The national culture, dominant within the political boundaries of a nation-state
b. The business culture, unique to each business
c. The organizational culture, shared by members of an organization
d. The occupational culture, shared by those in the same occupation
17) Conclusions from the World Values Survey and the European Values Survey on
functions of work reveal that
a. People across the world assign the same degree of importance to work functions
b. People across the world rate income as the most important work function
c. People from different nations do not assign the same magnitude of importance to
work functions
d. Workers saw the most important function of work as providing contact with other
people
18) People’s expectations from work (such as work providing necessary income or work
providing satisfactory experiences) refer to
a. Functions of work
b. Work centrality
c. Importance of work
d. Work motivation
19) The sociotechnical systems approach to job design
a. Gives priority to the technical efficiency of workers
b. Attempts to mesh both modern technology and social needs of workers
c. Has no major differences with the US job characteristics model
d. Focuses on designing each worker’s task for job enrichment
20) According to a study of ten countries on nine compensation practices
a. There was universal consensus on all nine as being necessary
b. There was universal consensus on eight as being necessary
c. There was universal consensus that seniority considerations are necessary
d. None of the above are true
21) Which of the following has helped to level the playing field for small businesses
wanting to go international?
a. Technology and e-commerce
b. Sources of venture capital
c. Having a headquarters located near a major customer
d. The existence of trade shows
22) What dictates the choice of a multinational entry-mode strategy?
a. Strategic competition
b. Strategic reason to be in the market
c. Companies want to share risks and costs of developing technology
d. Companies want to achieve economies of scale
23) All of the following statements about Maslow’s hierarchy of needs are true
EXCEPT
a. People have six basic type of needs
b. People have basic needs that follow a hierarchy from lower level to higher level
needs
c. People first seek to satisfy lower level needs and then move to higher level needs
d. All of the above are true
24) According to the text, which of the following is NOT a key criterion used in picking
an alliance partner?
a. Pick a partner who provides strategic complementarity
b. Pick a partner who provides financial security
c. Pick a partner who has complementary skills
d. Pick a partner who provides the right level of mutual dependency
25) In the independent control management structure
a. Strategic alliance managers have nearly complete autonomy for operational decisions
b. Partners act independently of each other except when necessary
c. Partners focus only on their special areas of expertise
d. None of the above
26) Host country nationals may have limited career development in a company with a
(an)
a. Ethnocentric, Regio or polycentric HRM orientation
b. Only an ethnocentric HRM orientation
c. Regiocentric or global HRM orientation
d. Only a polycentric HRM orientation
27) Which of the following statements about the GINI index is FALSE?
a. The GINI index represents the extent of inequality in peoples income within a society
b. Ranges from 0 to 100
c. Is scaled so that 0 represents no inequality while 100 represents perfect inequality
d. Is scaled so that 100 represents no inequality while 0 represents perfect inequality
28) Using intermediaries or go-between firms to provide the knowledge and contacts
necessary to sell overseas is usually associated with
a. Direct exporting
b. Franchising
c. Indirect exporting
d. Licensing
29) What is attribution theory? How can leaders use attribution theory to help them be
good leaders?
30) Discuss five preferred influence tactics that U.S. managers favor. Discuss how these
tactics might work in other countries.
31) Define and describe union membership density as it has been historically and is
now. Why is it important to multinational managers?
32) What are some of the common value chain links companies use to gain strategic
benefits from alliances? Pick two of these links and describe some of the benefits
partners gain from pursuing these links.
33) Identify some cultural differences in body movements (kinesics). How might these
influence a negotiation session?
34) What is e-commerce security? Discuss the four key aspects of information security.
What can a multinational do to ensure that its e-commerce system is secure?