IB 300 USM TEST 3 Study guide Lambert

Acceptable leadership traits across cultures, according to Project GLOBE, include

- Being decisive - Informed - Honest - Dynamic - Administratively skilled - Able to coordinate - Just - A team builder - Effective bargainer - Dependable - A win-win problem solver - Forward planner - Intelligent - Seeker of excellence

Strategic alliances are

- Collaboration with competitors, customers, and/or suppliers that may take non-equity or equity form. - provides faster market entry and start up; new access to products, new markets, and technology;and share costs, resources, and risks.

Market screening is divided into which of the following:

- Country screening - Segment screening

Imports

- Do not completely measure a market's potential. - Cannot give much indication of the potential demand for a really new product. Def.- The transportation of any good or service into a country or region, from a foreign origination point. -provide a conservative estimate on immediate potential at the given price.

A turnkey project includes

- Export of technology - Management expertise - Capital equipment

The interdependence that confronts global leaders results from

- External organizations - Increased levels of linkage, both within and outside the company.

Cultural problems and technical difficulties cause problems

- In primary data

Mail surveys can be a difficult foreign market research tool because

- Low levels of literacy

According to Mintzberg and others, the roles of the global leader include

- Monitor - Spokesperson - Liaison - Leader - Negotiator - Innovator - Decision maker - Change agent

Project GLOBE found that

- People in different nations had some similar and many dissimilar understandings of the traits of leaders. - The largest number of leadership traits were contingent on cultural context.

The final step in the screening process will generally include

- Personal visits/field trip

Research conducted by Aperian Global identified five abilities returning expatriates thought necessary for a successful global leadership assignment, including

- See differences - Make connections - Adjust - Integrate and lead change - Localize

Research conducted by Aperian Global identified five abilities that returning expatriates thought were necessary for a successful global leadership assignment, including

- See differences - Make connections - Adjust - Integrate and lead change - Localize

According to Warren Bennis

- The leader innovates; the manager administrates. - The leader develops; the manager maintains. - The leader challenges the status quo; the manager accepts it. - The leader has a long-range perspective; the manager has a short-term perspective - The leader asks "what?" and "why?"; the manager asks "how?" and "when?" - the leader originates; the manager imitates. - The leader inspires; the manager controls.

The analyst is mostly concerned with which of the following during the second screening?

- Trends in Inflation - Currency exchange rate - Interest rates

Technical difficulties researchers in international markets may encounter include

- Up-to-date maps are often unavailable - Streets may have three or four different names - Houses may not be numbered - Unreliable mail service

When they examined the work characteristics of more than 12,000 global leaders, researchers from the Corporate Executive Board found that, in comparison to their peers who operated in single markets, global leaders

- Worked with 17 percent more people that they did not manage directly. - Were 32 percent less likely to possess market information that was accurate. - Had a span of responsibilities that was 74 percent broader. - Worked with 160 percent more stakeholders.

In what order is the selection of foreign markets process presented in the textbook?

1) Basic needs 2) Economic/Financial 3) Political/Legal 4) Sociocultural 5) Competitive 6) Final

Leadership traits viewed universally as unacceptable, according to the Project GLOBE study, are

1) Being ruthless 2) Egocentric 3) Asocial 4) Non explicit 5) Irritable 6) Non cooperative 7) Dictatorial 8) Loner

From a survey of the research on global leadership, Alan Bird collected more than 220 competencies and divided them into three categories, including all of the following except

1) Manage the Business (Business Competencies) 2) Manage people and relationships (People Competencies) 3) Manage the self (Self-Competencies)

A global mind-set involves?

1. Intellectual intelligence, which includes business acumen. 2. Global emotional intelligence, which includes self-awareness, cross-cultural understanding, cultural adjustment, and cross-cultural effectiveness.

Industry association listings or specialized trade journals are good sources when conducting

? First Screening - Initial Screening - Basic Needs Potential

There are several criteria for segmenting markets. Which of the following is not a criterion for segmenting?

? Market segments are identified by - Age - Income - Psychographics (lifestyles) or - Definable -Large -Accessible - Actionable - Capturable

Globalization is creating opportunities for a new breed of leaders who can operate in an increasingly globalized world. According to the text, these leaders must have all of the following traits except

? They need to have - Proficiency in business - Cultural understanding - Adaptability - Be able to work with and inspire individuals from a range of nations and cultures.

Most companies enter a market in stages. Which of the following is not listed in the textbook as a stage of market entry?

? 12-4 Page 320 The ways it CAN - Nonequity Based (Exporting, Turnkey, Licensing, Franchising, Management contract, Contracted manufacturing) - Equity Based (Wholly owned Subsidiary, Joint Venture)

Market screening is needed to

? Def: - An application of environmental scanning in which the firm identifies markets by using analysis of the environmental forces active in markets to eliminate the less desirable ones.

Methods for supplying foreign markets may be summarized in just two activities:

? Maybe - Market indicators - Market factors or - exporting to a foreign market - manufacturing in a foreign market

According to the text, management contracts usually stipulate that

A company provides management in some or all functional areas to another party for a fee that typically ranges from 2 to 5 percent of sales.

A joint venture may be

A corporate entity formed by an international company and local owners, by two international companies for the purpose of doing business in a third market, a corporate entity formed by a government agency and an international firm, or a cooperative undertaking between two or more firms of a limited-duration project.

The market growth rate index is measured by

Average growth rate in commercial energy use + Real GDP growth rate

Environmental scanning is mostly used

By managers during the strategic planning process to provide information about world threats and opportunities that could influence the context in which the firm operates.

Research in the local market by home-country researchers can be impeded by

Cultural problems and technical difficulties

According to the text, research indicates that many CEOs feel that a prerequisite for global industry dominance is?

Developing a company GLOBAL MIND-SET

All of the following are part of the e-commerce readiness index except

Electricity consumption

"Culture does not affect leadership attributes." This statement is

False

Channels of distribution are included in

Fifth screening - Competitive Forces

Global leadership can be regarded as different in kind from domestic leadership because

Global leadership differs from domestic leadership in degree in terms of issues related to connectedness, boundary spanning, complexity, ethical challenges, dealing with tensions and paradoxes, pattern recognition, and building learning environments, teams, and community, and leading large-scale change efforts -- across diverse cultures.

A trade fair is

Large exhibitions at which companies promote the sale of their products, and are open to the public during certain hours.

Market screening eliminates

Less desirable markets

Market size, market growth rate, and e-commerce indexes are all part of

Market indicators

Research by scholars at the Center for Creative Leadership suggests that, in comparison to domestic leaders, global leaders are

More challenged in the areas of emotional stability, ability to learn, and decision making and negotiating roles.

The geometric growth in the volume and nature of issues global leaders deal with is known as

Multiplicity

By means of a licensing agreement,

One firm (the licensor) will grant to another firm (the licensee) the right to use any kind of expertise, such as manufacturing process (patented or unpatented), marketing procedures, and trademarks for one or more of the licensor's products.

Credit availability, paying habits of customers, and rates of return are considered in the

Second Screening - Financial And Economic Forces

When a licensing agreement is made,

The (licensee) generally pays a fixed sum when signing the licensing agreement and then a royalty of 2 to 5 percent of sales over the life of the contract (five to seven years with an option of renewal)

Which of the following is not part of the Leaders' Quest active hope approach, which involves a new way of seeing?

The Leaders' Quest approach involves a new way of seeing called active hope, based on three skills: asking questions by letting go of judgment and embracing uncertainty; listening; and building the courage to act.

Global leaders confront increased ambiguity because

The challenge of dealing with information that lacks clarity and incorporates both quantitative and qualitative dimensions, hindering the understanding of cause-and-effect relationships and the effectiveness of subsequent problem solving efforts.

The four overlapping dimensions of complexity that are relevant to globalization and the challenge confronting global leaders include all of the following except

They INCLUDE the following: 1)Multiplicity - refers to the geometric growth in the volume and nature of issues global leaders deal with. 2) Interdependence - recognizes that although dispersed geographically, the different units of the company are systematically linked to each other and increasingly dependent on external organizations. 3) Ambiguity - refers to the challenge of dealing with information that lacks clarity and incorporates both quantitative and qualitative dimensions, hindering the understanding of cause-and-effect relationships and the effectiveness of subsequent problem solving

Entry barriers, profit remittance barriers, and policy stability are all part of the

Third screening - Political and Legal Forces