International Management 2
According to research by Dovev Lavie, which of the following best describes the bilateral competition strategy?
Avoid partners that compete in your industry if they enjoy superior bargaining power
________ involves the ability to inspire and influence the thinking, attitudes, and behavior of people anywhere in the world.
Effective global leadership
________ is increasingly being recognized as a major determinant of success or failure in international business.
International human resource management
________ is the ability to build teams and resolve conflict.
Interpersonal facilitation
Which of the following is a true statement regarding a common leadership style in the EU?
It is unlikely that a common leadership style will develop in the EU
________ suggests being motivated by more risky opportunities for variety and fast-track advancement.
Low uncertainty avoidance
Which of the following is true with regard to Mexican workers?
Mexican workers need more reassurance than employees in the United States.
The process by which a firm's managers evaluate the future prospects of the firm and decide on appropriate strategies to achieve long-term objectives is called ________.
Strategic Planning
Which of the following is true about highly feminine cultures?
The division of work and roles tend to be looser, motivating people through more flexible roles and work networks.
According to Lazarova and Tarique, which of the following conditions must be met for the successful transfer of knowledge between repatriates and firms?
The repatriates must have valuable knowledge to transfer
Which of the following does NOT accurately characterize workers in the Mexican culture?
They rank low on uncertainty avoidance.
Which of the following should (ideally) dictate the organizational structure and staffing needs of the firm?
the firms strategy
Actually, most problems with international joint ventures involve ________.
the local partner
The ________ strategy involves maximizing opportunities for both efficiency and local responsiveness by adopting a structure that uses alliances, networks, and horizontal design formats.
transnational
As a company becomes larger, more complex, and more sophisticated in its approach to world markets, it will most likely evolve into a(n) ________.
transnational corporation
In a ________, a company designs and constructs a facility abroad, trains local personnel, and then transfers the facility to local management for a fee.
turnkey operation
According to research, which of the following is LEAST likely to cause a global alliance to fail?
unnecessary government intervention
The primary motive in the contract manufacturing strategy generally is ________.
utilizing inexpensive overseas labor
There are various categories of resources—both people and processes—which IHR managers and others must develop and maintain; in particular it is essential for them to ________.
develop effective global management teams
Which of the following is a negatively regarded trait of a leader?
dictatorial
Which of the following terms refers to focusing on and specializing in specific markets?
differentiation
Which of the following is NOT a knowledge management process?
distributing knowledge to clients and media outlets
Which of the following structures represents the most common way that small firms enter the global market?
domestic structure plus export department
Historically, personnel directors selected potential expatriates on the basis of a candidate's ________.
domestic track records
Which of the following terms refers to fulfillment specialists who provide other companies with services such as website translation?
e-commerce enablers
Which of the following is a global risk with regard to strategic entry scanning?
economic and financial risk
________ involves the ability to inspire and influence the thinking, attitudes, and behavior of people anywhere in the world.
effective global leadership
The first broad scan of all potential world markets should result in the firm being able to ________.
eliminate markets with unreasonable entry conditions
A(n) ________ policy is likely to be used where a company notes the inadequacy of local managerial skills and determines a high need to maintain close communication and coordination with headquarters.
ethnocentric
________ staffing approach serves to perpetuate particular personnel selections and other decision-making processes because the same types of people are making the same types of decisions.
ethnocentric
________ staffing approach usually results in a higher level of authority and decision making at headquarters compared to the polycentric approach.
ethnocentric
A team-oriented leader is someone who ________.
exhibits diplomatic, integrative, and collaborative behaviors toward the team
Small businesses typically begin their international involvement by ________.
exporting
Which of the following is generally the least risky entry strategy?
exporting
Which of the following is NOT an advantage of using licensing as an entry strategy ?
gives licensors total control over the licensee's activities
Which of the following charts the direction of the company and provides a basis for strategic decision making?
organizational mission
Which of the following is the primary benefit for a firm that carefully manages its expatriates' careers?
retaining managers with global experience and skills
"The longer a person is away, the more difficult it is to get back into the swing of things." In the context of repatriation, this often leads to ________.
reverse culture shock
The psychological process of readapting to one's home culture after working in a host-country culture is called ________.
reverse culture shock
Which of the following is the proactive reason that prompts firms to expand overseas?
seeking economies of scale
An employee's needs are determined largely by ________.
the cultural context of values and attitudes
________ is one of the informal means that firms often use to help the trailing spouse find a position at the same location.
Intercompany networking
________ research focused on how some people are motivated by internal aspirations and life goals, whereas others are primarily motivated by the job conditions
Frederick Herzberg's
________ research focused on how some people are motivated by internal aspirations and life goals, whereas others are primarily motivated by the job conditions
Frederick Herzbergs
________ suggests the need for job security, whereas people with ________ would probably be motivated by more risky opportunities for variety and fast-track advancement.
High uncertainty avoidance; low uncertainty avoidance
________ operate(s) outside the formal structure, focusing on innovation and improvement.
Parallel global virtual teams
Which of the following is true about collectivist cultures?
People are motivated when they feel that the company is providing them with good working conditions, fringe benefits, and training.
In which of the following countries would a merit-based reward system most likely be effective?
US
The primary advantage of a global geographic structure is the business' ability to ________.
adapt products to local needs and demands
Strategic alliance implementation plans require setting up ________ throughout the organization.
all of these are required
"Contingency theory" proposes that the best organizational structure is that which ________.
allows the firm to carry out its strategic goals
According to experts, managers of foreign companies planning to set up business in Russia should ________.
assign funds for local promotion and advertising to establish a corporate image
Most managers in Mexico find that the management style that works best there is ________.
authoritative
According to Mansour Javidan, which of the following is NOT a global mind-set attribute that a successful expatriates possesses?
autocratic leadership qualities
Japanese workers are likely to ________.
be insulted by material incentives
According to Oberg, which of the following is the final stage of culture shock
biculturalism
________ are companies that start out with a global reach, typically by using their Internet capabilities and also through hiring people with international experience and contacts around the world.
born globals
The management of the reentry phase of the career cycle, if not handled adequately,
can lead to the negation of the long-term benefits of that executive's international experience
In the context of the study conducted by Lazarova and Caligiuri, which of the following refers to a top-five ranked practice for successful repatriation?
career planning sessions
All of the following are characteristics of a firm with transnational capability EXCEPT ________.
centralized vertical structure
A visionary leader who inspires subordinates and is performance-oriented would be best described as a(n) ________ leader.
charismatic
The most important factor that determines the success or failure of an international joint venture is the ________.
choice of partner
________ refers to a process of negotiations between workers and managers.
collective bargaining
To minimize potential problems in alliances, companies should most likely choose partners with ________.
complementary products and skills
All of the following are typical tasks performed by e-commerce enablers EXCEPT ________.
conducting performance appraisals
The dual role of strategic alliance refers to the ________.
conflict between co-operation and competition
Strategic alliances are also known as ________.
cooperative strategies
According to a study of global teams by Govindarajan and Gupta, which of the following is the most important task in developing a successful global business team?
cultivating trust among all team members
According to a study of global teams by Govindarajan and Gupta, which of the following is critical to the success of global business teams if they want to minimize conflict and encourage cooperation?
cultivating trust among team members
Which of the following is NOT one of the typical reward categories in the United States?
cultural
What variable is frequently overlooked when deciding on entry strategies and alliances, particularly when the target country is perceived to be similar to the home country?
culture
According to Tung, the ________ training technique exposes trainees to the kinds of situations they are likely to encounter, which are critical to successful interactions.
culture assimilators
A state of disorientation and anxiety that results from not knowing how to behave in an unfamiliar culture is called ________.
culture shock
The goal of cross-cultural training is to ease the expatriate's adjustment to the new environment by reducing ________.
culture shock
Which of the following is a reactive reason that prompts a firm to expand overseas?
customer demands
________ includes environmental scanning and continuous monitoring to keep abreast of variables around the world that are pertinent to the firm.
environmental assessment
Alliances in which two or more partners have different relative ownership shares in the new venture are called ________.
equity strategic alliances
Which of the following is the first step of the planning phase of a strategic management process?
establishment of the company's mission
The ability to mesh the team's activities with the organization's goals is called ________.
external alignment
In Mexico, ________ is of central importance.
family
What was the origin of most emergent market companies?
family businesses
Research on expatriate assignments continues to show that ________.
females are disproportionately underrepresented in expatriate assignments
In most international organizations, decisions regarding ________ functions are centralized.
finance
As part of the internal analysis, ________ reveal an inefficient use of assets that restricts profitability.
financial ratios
The stages model is best described as the stages of change in an organizational structure that ________.
follow the evolution of the internationalization process
Great example: How did Mercedes-Benz adapt to U.S. culture and management styles in its Alabama plant?
formed workers into teams that met every day to solve problems
Which of the following is generally viewed as the most risky entry strategy?
fully owned subsidaries
An international division may be organized along what lines?
functional, product, geographic
________ refers to the ability to recognize global market opportunities for a company and having a vision of doing business worldwide
global business savvy
Company XYZ is a small firm with a highly centralized system and a narrow spectrum of customers. It most likely has a ________ structure.
global functional
Which of the following forms of organization is particularly appropriate for product lines using similar technology and for businesses with a narrow spectrum of customers?
global functional structure
What is the most common form of organizing foreign operations?
global geographic structure
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.
global management
The term ________ describes a collection of managers in or from several countries who must rely on group collaboration if each member is to experience optimum success and goal achievement.
global management team
The critical factors necessary for successful leadership abroad have come to be known as the ________.
global mindset
Given the generally accepted consensus that staffing, along with structure and systems, must "fit" the desired strategy, firms desiring a truly worldwide posture should adopt a(n) ________.
global staffing approach
In which of the following staffing approaches, are the best managers recruited from within or outside of the company, regardless of nationality?
global staffing approach
________ are working partnerships between companies across national boundaries and increasingly across industries.
global strategic alliances
A specific strategy that treats the world as one market by using a standardized approach to products and markets is called ________.
globalization
________ refers to the establishment of worldwide operations and the development of standardized products and marketing.
globalization
What are the two major variables that determine the structure and design of an organization?
globalization and localization
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 ________.
globally integrated company
As described by Oberg, in the ________ stage of culture shock the expatriate and his or her family members come to understand and predict patterns of behavior, use the language, deal with daily activities, and accept their new life.
gradual adjustment
All of the following are signs of international organizational malaise (sickness) EXCEPT ________.
greater demands for information systems
For most people, the basic meaning of work is tied to ________.
group membership
Increasingly, global companies are requiring that their managers who will progress to top management positions must ________.
have overseas assignment experience
According to Lazarova and Tarique, organizations need to ________ in order to facilitate knowledge transfer.
have the right tools to capture knowledge
Which of the following is NOT a barrier for maintaining globalization momentum?
having an international team
The task of ________ is the essence of leadership
helping employees realize their highest potential in the workplace
As described by Oberg, which of the following is most likely a characteristic of the irritation and hostility stage of culture shock?
homesickness
Which of the following is the first step in developing a successful export strategy?
identification of a potential market
The second part of the strategic management process involves the ________.
implementation phase
Which of the following is characterized by low dependence on an organization and a desire for personal time, freedom, and challenges?
individualism
The traditional trade union structures in Western industrialized societies have been in ________, representing all grades of employees in a specific industry.
industrial unions
More recently, a staffing option known as ________ has been utilized to provide a linking pin between the company's headquarters and local host subsidiaries.
inpatriates
According to research by Dovev, Lavie, which of the following is a value creation strategy?
integrating network and internal resources to create synergies
Which of the following terms refers to the coordination of markets?
integration
A(n) ________ determines which areas of a firm's operations represent strengths or weaknesses (currently or potentially) compared to competitors.
internal analysis
Which of the following is the most preferred source of environmental information for environmental scanning purposes in a firm?
internal sources
The creation of a(n) ________ facilitates the beginning of a global strategy by allowing managers to coordinate resources for foreign activities from one location.
international division
Which of the following is NOT one of the primary categories under which alliances typically fall?
international management
________ is the process by which an organization gradually changes in response to the imperatives of international competition, domestic market saturation, and desire for expansion.
internationalization
Which of the following terms refers to a new independent entity that is mutually created and owned by two or more parent companies?
joint venture
Opening your own subsidiary in the host country may be better than contracting with an outside firm in the host country if it is crucial for you to ________.
keep control of proprietary technology and processes
Which of the following is a strategic implementation used by McDonald's?
keeping prices low to build market share
According to Berthoin, which of the following types of knowledge gained abroad helps in understanding the differences in customer preferences?
knowledge about what
Which of the following terms refers to the process by which the firm integrates and benefits from the experiences and skills learned by its employees?
knowledge management
________ is optimized when career opportunities provided by the organization are congruent with repatriate career goals and aspirations.
knowledge transfer
Which of the following is the LEAST relevant variable to consider in organizational design?
labor market
The process through which managers and workers determine their workplace relationships is known as ________.
labor relations
Which of the following factors most significantly affects all other variables necessary for the successful implementation of a global alliance?
leadership
Which of the following is a national risk with regard to strategic entry scanning?
legal protection
The use of professional or skilled workers located in countries other than that in which the firm is domiciled is best known as ________.
licensing
A comparative study of European project groups in several countries by Sylvie Chevrie revealed three main strategies for dealing with the challenge of achieving cross-cultural collaboration in multinational horizontal projects. Which of the following is NOT one of those strategies?
linking rewards to individual achievement
The ________ pays the expatriate the going rate for similar positions in the host country, plus whatever allowances and benefits for the assignment that the manager negotiates.
localization approach
Which of the following is NOT one of the typical characteristics of a successful leader with a global mindset?
low cultural quotient
________ suggests being motivated by more risky opportunities for variety and fast-track advancement.
low uncertainity avoidance
________ are all about learning how to deal with a wide range of people, to adapt to their cultures through compromise, and not to be a dictator.
managerial skills
Which of the following organizational structures is typical of most transnational companies?
matrix structure
Which organizational form is a hybrid structure with overlapping responsibilities?
matrix structure
Which of the following is NOT a recommendation made by Govindarajan and Gupta for improving global teamwork?
minimize global exposure for all team members
An appropriate compensation and benefits package is most likely to ________.
motivate employees
Which of the following is/are particularly important in joint ventures for the purposes of strategic planning, implementation, and production?
multicultural teams
At which three levels should firms ideally perform global environmental analysis?
multinational regional and local
All of the following represent government influences on international joint ventures EXCEPT ________.
negotiation practices
Modern leadership theory recognizes that ________.
no single leadership style works well in all situations
Kelly, an American, is a senior manager at her firm's headquarters in New York. Kelly is a(n) ________.
parent country nationals
________ are familiar with company goals, products, technology, policies, and procedures; they know how to get things accomplished through headquarters.
parent country nationals
________ are the most preferred staffing choice for a foreign subsidiary where proprietary technology is used extensively.
parent country nationals
________ are usually preferable when a high level of technical capability is required and maintenance of close control is desired.
parent country nationals
Training for host-country nationals during the export stage of globalization will most likely focus on ________.
parent-country products
The ________ model of leadership style has been recommended by American research studies as the one more likely to have positive results with most U.S. employees.
participative
Low power distance implies that ________.
people would be more motivated by teamwork and relations with peers
Which staffing approach will most likely be effective when implementing a global strategy of "acting local"?
polycentric
In ________, operations outside the home country are managed by individuals from the host country.
polycentric staffing
Expatriate failure, defined in broad terms, refers to the ________.
poor expatriate selection procedures of the MNE
People generally prefer little consultation between superiors and subordinates in cultures where ________ is high.
power distance
________ is the first stage in a comprehensive plan for training and developing expatriates.
problem recognition
In a global product division, each strategic business unit (SBU) is responsible for ________ and ________.
production; sales
Again, in order to maximize a firm's global human resources, IHR managers need to ______
promote the role of women in international management
A global staffing policy ________.
provides a greater pool of qualified and willing applicants from which to choose
When Disney decided to build a park in Paris, the French government gave Disney prime farmland just outside the city limits. This is most likely an example of a firm expanding overseas due to ________.
provision of incentives
According to Mansour Javidan, the ability to function successfully in the host country through internal acceptance of different cultures and a strong desire to learn from new experiences is termed ________.
psychological capital
Which of the following is the primary advantage of using e-business as a local-level entry strategy?
rapid entry and exit from markets
By selecting the manufacturing location for each product based on where the best combination of cost, quality, and technology can be obtained, a firm will most likely achieve ________.
rationalization
Recruiting managers from Latin America for a position in Brazil is an example of ________.
regiocentric staffing approach
Which of the following is NOT a stage in Stopford's stages model?
regional structure
In the Middle East, ________ plays a major role in all aspects of life, including work
religion
Which of the following is typical of the Mexican business culture?
resistance to change
The ________ dimension describes a leader who is self-centered, conflictual, and status conscious.
self protective
Which of the following is a factor that facilitates integration of expatriate staff with local staff?
speaking the local language
Which of these is the quickest and least expensive way to develop a global strategy?
strategic alliances
Which of the following terms refers to a self-contained business within a company with its own functional departments and accounting systems?
strategic business unit
Jamie decides to plan his strategies for starting an electric equipment manufacturing company. His main aim is to ensure that it runs efficiently. He decides to do this in two phases: the planning phase and the implementation phase. In which of the following processes is Jamie engaging?
strategic management
A company's choice to operate in a business or businesses and the ways in which it differentiates itself from its competitors is called its ________.
strategy
Structure must fit an organization's ________, or it will not work.
strategy
According to Tye and Chen, which of the following characteristics has the greatest predictive value of determining expatriate success?
stress tolerance
Which of the following most likely occurs when a manager is transferred to another part of the country where there are significant cultural differences?
subculture shock
A ________ is an assessment of a firm's capabilities relative to those of its competitors as pertinent to the opportunities and threats in the environment for those firms.
swot analysis
________ is the ability to convey goals and train team members to use the collaborative technology effectively.
task facilitation
Which of the following is the LEAST critical area of expatriate preparation?
technical training
All of the following are typical reasons for forming cross-border alliances EXCEPT ________.
testing marketing campaigns overseas
The content of leadership comprises ________.
the attributes of the leader
The context of leadership comprises ________.
the business environment
The global leader's role comprises the interaction of two sets of variables, ________.
the content and the context of leadership
In the global stage of a firm's globalization, ________.
the need for training is high
In the context of needs, Eastern cultures tend to focus on ________.
the needs of society
In which of the following countries would a merit-based reward system most likely be effective?
the us
The purpose of proctor & Gamble's Four Pillars organizational structure is to enable it to ________.
think globally and act locally
Who, among the following, when used to manage subsidiaries, usually brings more cultural flexibility and adaptability to a situation?
third country nationals
________ are employees assigned to a country other than their own.
third country nationals
Which of the following is most likely NOT an indication that changes need to be made to a firm's organizational design?
tight budgets
________ is an acquired skill that refer(s) to making decisions with less information and more uncertainty about the process and the outcome.
tolerance for ambiguity
Which of the following is considered to be an incentive in China and gives workers more power?
training
Which of the following refers to one of the four personal development strategies, outlined by Morrison, Gregersen, and Black, through which companies and managers can meet the requirements of effective global leadership?
training
Opportunities for indigenous female employees to move up the managerial ladder in a given culture depend on the ________.
values and expectations regarding the role of women in that society
The continued prevalence of authoritative leadership in Russia has resulted in ________.
vertically managed hierarchies
With a transnational strategy, the need for complex integrating mechanisms is ________, and in an international strategy, the need is ________.
very high; medium
With a transnational strategy, the role of organizational culture is ________, and in a multidomestic strategy, the role of organizational culture is ________.
very important; not important
The members of ________ interact through computer-mediated communication systems and are linked together across time, space, and organizational boundaries.
virtual teams
The degree of general importance that working has in the life of an individual at any given point in time is called ________.
work centrality