Midterm Exam

exporting

Which of the following entry strategies requires little investment and enables quick and easy market withdrawal?

management contract

A ________ gives a foreign company the rights to oversee the daily operations of a business but not to make decisions regarding ownership, financing, or strategic and policy changes.

attribution

According to Hall and Hall, when people experience a failure in communication, they tend to blame the confusion on the other person's stupidity, deceit, or craziness. This process of trying to explain the other person's behavior is known as ________.

assertive

Austria and Germany value competition and have a "can-do" attitude. Therefore, according to the GLOBE project, Austria and Germany are most likely to be ________ societies.

high uncertainty avoidance

Based on Hofstede's value dimensions, countries that have strict laws and procedures to which their people adhere closely most likely have ________.

cultural quotient

Cultural intelligence is also known as ________.

persuasion

During which stage of the negotiations process does hard bargaining begin?

dependency; hedging

In addition to avoidance and adaptation, two other means of risk reduction available to managers are ________ and ________.

deliberately distorting facts

In the American culture, which of the following is most likely to be considered a "dirty trick" during cross-cultural negotiations?

low-contact culture

Josh, a tourist from the United States, goes on a five-day trip to Japan. Apart from learning their rich history and heritage, he notices that people do not shake hands, but bow to each other. He is most likely to conclude that the Japanese have a ________.

be focused on establishing long-term, trusting relationships, even at the expense of some immediate returns

Linda, the operations executive for Tango, is asked to travel to China in order to set up a new operational facility. When negotiating with the Chinese investors, Linda should _______

trade barriers

Roch, a Swiss chocolate company, recently opened a manufacturing unit in Spain. The purpose of this move was that Roch wanted to avoid Spain's high import tariffs. Which of the following reasons prompted Roch to open the manufacturing unit in Spain?

strategic planning

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 ________.

giving speeches at conferences

Which of the following does NOT constitute a normal interpersonal communication task for managers?

organizational mission

Which of the following charts the direction of the company and provides a basis for strategic decision making?

increase in brand value

Which of the following is a business benefit from corporate social responsibility?

One has to read between the lines and interpret meaning from one's general understanding.

Which of the following is true about high-context cultures?

organizational culture

Which of the following represents the expectations, norms, and goals held in common by members of a specific company or group?

negotiation

Which of the following terms refers to the process by which two or more parties meet to try to reach an agreement regarding conflicting interests?

home country

With an ethnocentric approach, a company applies the morality used in its ________.

Factual appeals

________ are based on what North Americans believe is objective information, presented with the assumption that it is understood by the other side on a logical basis.

Communication

________ describes the process of sharing meaning by transmitting messages through media such as words, behavior, or material artifacts.

Expropriation

________ occurs when the local government seizes the foreign-owned assets of the MNC and provides inadequate compensation.

Ethnocentrism

________ refers to the belief that the practices of one's own country are best no matter where or under what conditions they are applied.

Economic integration

________ results from the lessening of trade barriers and the increased flow of goods and services, capital, labor, and technology around the world.