chapter 9

Objectives are typically more quantifiable as they progress (down, up) through the organization.

down

True or false: A value chain analysis provides information on products but is not used to determine a company's customer base.

false

True or false: Global strategic planning is a linear process.

false

The global strategic planning process is BEST described as Blank______. Multiple choice question. a process completed by a single individual flexible with steps done in no particular order a process used by few international businesses always done in the same sequential steps

flexible with steps done in no particular order

shondra reports to the management team that Italy has decided to increase the tax on all manufactured textiles. As a result, the company will pay more for the fabrics it orders. Which step in the global strategic planning process will help Shondra learn this information? Multiple choice question. Set corporate objectives. Analyze external environments. Make tactical plans. Define the company's mission.

Analyze external environments.

Who is the ultimate manager of strategic planning and strategy making? CEO marketing manager production manager R&D manager

CEO

What steps are included in the global strategic planning process? (check all that apply)

Define the business and mission Make tactical plans Analyze the external environment

What are two ways that a company can achieve a sustainable competitive advantage? Multiple select question. Develop skills or competencies that are easy to copy Develop skills or competencies that are rare Develop skills or competencies that are similar to the competition's Develop skills or competencies that are difficult to substitute

Develop skills or competencies that are rare Develop skills or competencies that are difficult to substitute

______ knowledge is easy to communicate to others via words, pictures, formulas, or another means. Explicit Complicated Tangible Intangible

Explicit

Which of the following are characteristic of the multidomestic strategy? (Check all that apply.) Multiple select question. It typically involves adapting the product to the local market. Local adaptation of a product is not a priority. Subsidiaries are expected to develop and exploit local opportunities. Knowledge and competencies should be developed at the local level. Decision making is highly centralized.

It typically involves adapting the product to the local market. Subsidiaries are expected to develop and exploit local opportunities. Knowledge and competencies should be developed at the local level.

Which of the following are associated with the home replication strategy? (Check all that apply.) Multiple select question. Product strategy is controlled by the foreign-market office. Product development occurs in the home market. Marketing strategy is controlled by the home-country office. Product development occurs in the foreign market.

Product development occurs in the home market. Marketing strategy is controlled by the home-country office.

What are the three key questions managers ask as part of value chain analysis? Who are the company's target customers? How will the company promote the product? How will the customer value be created? What value does the company want to deliver to its customer? Where will raw materials be sourced?

Who are the company's target customers? How will the customer value be created? What value does the company want to deliver to its customer?

As defined in the text, , Correct Unavailable advantage refers to the ability of a company to achieve and maintain a unique and valuable competitive position both within a nation and globally, generating higher rates of profit than its competitors.

competitive

Actions plans to help organizations reach their objectives are called Blank______. Multiple choice question. competitive strategies sales forecasts vision statements mission statements

competitive strategies

The best strategy for competing internationally depends on the relative amount of pressure the company faces to adapt to its local markets and to achieve Blank______. Multiple choice question. global dominance regional integration multidomestic separation cost reductions

cost reduction

If a company needs to reduce costs and doesn't feel pressured to adapt its products to a local market, it should use a Blank______ strategy to compete internationally. Multiple choice question. linear multidomestic global home replication

global

Under the home replication strategy, new product development takes place in the (home, foreign) market.

home

Fill in the Blank Question Fill in the blank question. To be effective, a company's international strategy must be consistent among all departments of the company. In other words, the international strategy must have (internal/external) consistency.

internal

A plan that guides the way firms make choices about developing and deploying scarce resources to achieve their international objectives is called a(n) Blank______. Multiple choice question. SWOT analysis international strategy vision statement mission statement

international strategy

The term used to describe the practices that organizations and their managers use for identifying, creating, acquiring, developing, dispersing, and exploiting competitively valuable knowledge is ____. ____

knowledge management

A broad statement that defines the purpose of a company's existence, including its business, objectives, and approach for reaching those objectives is called the Blank______ statement. Multiple choice question. mission values strategic vision

mission

Google's statement that it wants "to organize the world's information and make it universally accessible and useful" is the company's Blank______ statement. Multiple choice question. strategic trade values mission

mission

If a company is facing strong pressure to adapt its product to the local market, the Blank______ strategy is most effective. Multiple choice question. global multidomestic home replication regional

multidomestic

When pressure to reduce costs is low and pressure for local adaptation is high, firms should pursue which strategy to compete internationally? Multiple choice question. home replication global transnational multidomestic

multidomestic

What are the five strategies a company can use to compete internationally? Multiple select question. multidomestic home replication transnational global political regional domestic

multidomestic home replication transnational global regional

To develop a strategy for reaching its objectives, a company must Blank______ them. Multiple choice question. expand limit quantify describe

quantify

To obtain a competitive advantage in today's marketplace, it is best for a company to (quickly/slowly) identify opportunities in the domestic and international market.

quickly

The two conflicting strategic alternatives facing international firms are Blank______. Multiple choice question. serving existing markets; using local manufacturing reducing costs; adapting to local markets serving existing markets; adapting to local markets using local manufacturing; reducing costs

reducing costs; adapting to local markets

Michell's company delivered the following statement at the shareholder meeting. "The company plans to (1) grow our leadership in the manufacturing sector, (2) grow profits both nationally and internationally, and (3) become a leader in the service sector." This statement reflects the firm's course of action. What aspect of the strategic planning process does this statement reflect? Multiple choice question. writing a values statement publishing an annual report setting corporate objectives preparing a sales forecast

setting corporate objectives

Firms that pursue a global strategy typically offer _______ (standardized or customized?) products and services.

starnderized

The process by which an organization determines where it is going in the future, how it will get there, and how it will assess whether and to what extent it has achieved its goals is called ___________. competitive advantage the mission statement strategic planning the vision statement

strategic planning

Knowledge that is well known by the individual but is difficult to express verbally or document in text or figures is called Blank______ knowledge. Multiple choice question. tangible tacit explicit intangible

tacit

Don's boss asked him to prepare a report that shows the activities in the warehouse from the moment raw steel enters the plant until the end product is shipped out to the customer. His boss wants to understand the activities that go into the product. In other words, Don's boss is seeking to understand ______. corporate mission the value chain market analysis purchasing power parity

the value chain

A firm facing strong pressure for local adaptation and strong pressure for cost reduction should pursue a Blank______ strategy. Multiple choice question. home replication multidomestic transnational global

transnational

True or false: Corporate objectives help firms stay on course with their mission and vision.

true

True or false: Relatively few companies act on key international trends they observe.

true

True or false: When developing a competitive advantage, managers are required to choose what to do and what not to do now and over time.Objectives are typically more quantifiable as they progress (down, up) through the organization.

true

A set of interlinked activities that adds value to the final product or service is called the

value chain

Connor reviews a report and realizes that it is best to keep the manufacturing process at the home plant rather than move it to the international location because import/export fees would double the cost of the company's product if the company manufactured it internationally. Connor is most likely reviewing a (value chain/corporate mission) analysis.

value chain

An assessment conducted on the chain of interlinked activities of an organization or set of interconnected organizations, intended to determine where and to what extent value is added to the final product or service, is known as __________. Multiple choice question. value chain analysis competitive advantage top-down planning strategic planning

value chain analysis

A company's (vision/values) statement provides a guideline for how employees should interact with customers.

values

What provides a clear, concise description of the fundamental values, beliefs, and priorities expected of an organization's members, reflecting how they are to behave with one another and with the company's customers, suppliers, and other members of the global community? Multiple choice question. values statement strategic statement vision statement mission statement

values statement

Barry's boss asks him to prepare a description of where the company hopes to be in ten years if it is able to buy out its trading partner. His boss is requesting a Blank______ statement. Multiple choice question. values mission context vision

vision

The statement that provides a description of a company's desired future position, of what it hopes to accomplish if it can acquire the necessary competencies and successfully implement its strategy, is called the statement.

vision

Strategic planning answers all of the following questions except Blank______. Multiple choice question. why the firm has failed to achieve previous goals how the firm will get to where it is going how the firm will assess the extent to which it has achieved its goals where the firm is going in the future

why the firm has failed to achieve previous goals