Chapter 4
The single European Union currency is called the ________.
Euro
In Malbadia, a central committee formed by the political powers decides what products and how many of each will be produced. This situation is typical of ________.
A planned economy
Alfredo believes that the CEO is no better than the janitor of the organization and neither should receive preferential treatment. Using the GLOBE model, what can we infer about Alfredo's culture?
Alfredo's culture is low in power distance.
While talking with her advisor at the university, Jane deduces that she has a(n) ________ attitude, as she has never traveled abroad and relates well only to people from her home country.
Ethnocentric
Nathan uses ethnic craftsmen to make high quality oak furniture. If he decides to offer his furniture for sale in other countries, he will be engaging in ________.
Exporting
A ________ economy is one in which resources are primarily owned and controlled by the private sector.
Free market
In today's global environment, managers must have a(n) ________ attitude to be successful.
Geocentric
Melanie joins an international student association in order to better understand the views of students from other countries. She is trying to become more ________ in her attitude.
Geocentric
Natalya operates a retail store in Romania. She buys consumer electronics from vendors in China and Japan to sell in her store. Natalya is engaging in ____
Importing
According to the text, which of the following is a typical definition of a multinational corporation?
It is a company that maintains operations in multiple countries.
The ________ decentralizes its management and other decisions to the local country.
Multi-domestic corporation
Only speaking one language is one sign that a nation suffers from ________.
Parochialism
Samanex Corporation maintains production facilities in 13 different countries on three continents. Each facility is managed by a native of the country where it is located. This practice is indicative of a(n) ________ attitude.
Polycentric
A(n) ________ attitude is the view that employees in the host country know the best practices for running their operations.
Polycentric
Jack moved to China to manage his company's production facility there. Immediately he instituted the company practice of recognizing an employee of the month. The Chinese employees were horrified. Why might this be so?
The employees are acting on their national cultural influences.
Which of the following types of global organizations reflects the geocentric attitude?
Transnational organization
A corporation drops its organizational structure based on countries and reorganizes into industry groups. This is an example of the company becoming a(n) ________.
borderless organization
Outsiders would call them clannish. Ianos and his family are very close. At work, he gives his all to the team. His neighbors support each other but exclude people they do not know. This describes a culture that is ________.
high in in-group collectivism
Caron admits she's a tough cookie. She thrives in an environment in which employees compete against each other for big rewards. It is likely that Caron's culture ________.
is high in assertiveness
An ethnocentric attitude ________.
is the belief that the home country has the best work approaches and practices
Harley Davidson makes motorcycles but in its retail stores it also sells clothing, motorcycle accessories, jewelry, and many related products made by other companies. Harley Davidson is engaging in ________.
licensing
Joint ventures are a type of ________.
strategic alliance
Parochialism is a tendency to ________.
view the world solely through one's own eyes and perspectives
The North American Free Trade Agreement includes ________.
Mexico, Canada, and the United States
Unlike the United States, the change from one regime to another in foreign countries can be less than peaceful. Differences in the ________ can lead to uncertainty and risk for global managers.
political/legal environment
