MC bus final chp. 12-15

Which country is now Manpower's largest market ahead of the United States? a. France b. Germany c. China d. India

a. France

In which of the following strategies is knowledge mostly developed and retained at the center and key locations? a. Global standardization strategy b. Transnational strategy c. Localization strategy d. Home replication strategy

a. Global standardization strategy

Which is the best-case scenario for an equity-based alliance? a. High tacitness and high importance to direct organizational monitoring and control b. Low potential as real options and low influence of formal institutions c. High tacitness and low influence of formal institutions d. Low tacitness and high importance to direct organizational monitoring and control

a. High tacitness and high importance to direct organizational monitoring and control

___ refers to overconfidence in one's capabilities. a. Hubris b. Fringe c. Decoupling d. Andon

a. Hubris

Which of the following stakeholders has the most concern over short-term revenue falling during mergers and acquisitions? a. Investors b. Top management c. Middle management d. Customers

a. Investors

Which of the following is a disadvantage of the home replication strategy? a. It lacks local responsiveness. b. It is organizationally complex and difficult to implement. c. It focuses too much on the foreign country. d. It has higher costs due to duplication of efforts in multiple countries.

a. It lacks local responsiveness.

Which element of knowledge management faces the common problem of "Not invented here" syndrome? a. Knowledge inflow b. Knowledge transmission c. Knowledge acquisition d. Knowledge outflow

a. Knowledge inflow

Which element of knowledge management faces the common problem of absorptive capacity? a. Knowledge inflow b. Knowledge transmission c. Knowledge outflow d. Knowledge retention

a. Knowledge inflow

Which of the following occurs in the uncoupling stage of an alliance dissolution? a. Last minute salvage b. New relationships c. Reconciliation d. Mediation by third parties

a. Last minute salvage

_____ refers to a philosophy or way of thinking that places the highest priority on the creation of superior customer value in the marketplace. a. Market orientation b. Societal orientation c. Relationship orientation d. Sales orientation

a. Market orientation

Which of the following is an example of tacit knowledge? a. Performing surgery b. A product manual c. HR policies d. Writing an e-mail

a. Performing surgery

Which of the following four Ps in the marketing mix includes the online marketplace? a. Place b. Promotion c. Pointcasting d. Positioning

a. Place

____ is the informal benefits individuals and organizations derive from their networks. a. Social capital b. Micro-macro link c. Absorptive capacity d. Global mandate

a. Social capital

_____ is the cost needed to own a product, consisting of initial purchase cost and follow-up maintenance/service cost. a. Total cost of ownership b. Price c. Fixed cost d. Cost-plus pricing

a. Total cost of ownership

_____ is leading the world in managerial compensation. a. United States b. Japan c. China d. Germany

a. United States

The act of investigating prior to signing contracts is called _____. a. due diligence b. strategic fit c. relational capability d. hubristic motive

a. due diligence

MNEs adopting the _____ strategy may designate centers of excellence. a. global b. home replication c. localization d. transnational

a. global

The second phase in an alliance dissolution is _____. a. going public b. imitation c. strategizing d. uncoupling

a. going public

Compensation with a _____ makes locations, where pay is higher than in their home country, a more attractive place to work for PCNs and TCNs. a. going rate approach b. balance sheet approach c. pay-per-impression d. merit rate

a. going rate approach

MNEs with a _____ strategic orientation follow an ethnocentric staffing approach. a. home replication b. localization c. global standardization d. transnational

a. home replication

Bristall Inc. is a steel manufacturing company headquartered in the United States with subsidiaries in India, China, and the United States. To create a global mind-set for its subsidiary employees, Bristall Inc. relocated its employees in India to the United States. This employee relocation is an example of _____. a. inpatriation b. benchmarking c. collusion d. expatriation

a. inpatriation

An informal understanding of expected delivery of benefits in the future for current services is referred to as a(n) _____. a. psychological contract b. collective bargain c. indorsement d. social contract

a. psychological contract

In terms of the supply chain, alignment is best defined as _____. a. the combining of interests of various players involved in the supply chain b. the ability to change supply chain configurations in response to long-term changes in the environment and technology c. the ability to quickly react to unexpected shifts in supply and demand d. the way to identify consumers who differ from others in purchasing behavior

a. the combining of interests of various players involved in the supply chain

in theory, a global matrix structure supports the goals of the _____ strategy. a. transnational b. localization c. global standardization d. home replication

a. transnational

Which of the following staffing approaches focuses on the norms and practices of the host country? a. Polycentric approach b. Geocentric approach c. Regiocentric approach d. Ethnocentric approach

a. . Polycentric approach

The majority of a multinational enterprise's employees would typically comprise of _____. a. host-country nationals b. parent-country nationals c. third-country nationals d. multinationals

a. . host-country nationals

Which of the following alliances is an equity-based alliance? a. Strategic investment b. Licensing c. Turnkey projects d. Co-marketing

a. Strategic investment

Which of the following is a key element to achieving alignment in the supply chain? a. Power b. Standardization c. Localization d. Productivity

a. power

____ focuses on flexibility that can overcome short-term fluctuation in the supply chain. a. Aggregation b. Agility c. Alignment d. Adaptability

b. Agility

Which of the following was considered the primary sector for organized economic activities during the Industrial Revolution in the 18th and 19th centuries? a. Retail b. Agriculture c. Manufacturing d. Service

b. Agriculture

Which are the two primary pressures MNEs confront? a. Ethics and governance b. Cost reductions and local responsiveness c. Liability of foreignness and investment risk d. Ethics and local responsiveness

b. Cost reductions and local responsiveness

in the context of acquisitions, which of the following is a resource-based issue faced by synergistic motives? a. Herd behavior b. Enhancement of market power and scale economies c. Chasing fads of M&As d. Self-interested actions

b. Enhancement of market power and scale economies

For which of the following customer categories are firms advised to leverage the global brands and their relatively more standardized products and services? a. Global dreamers and antiglobals b. Global citizens and global dreamers c. Antiglobals and global agnostics d. Global agnostics and global citizens

b. Global citizens and global dreamers

Which of the following strategies is usually the first one adopted when firms venture abroad? a. Global strategy b. Home replication strategy c. Localization strategy d. Transnational strategy

b. Home replication strategy

Which of the following is an advantage of using the balance sheet approach of compensation? a. It does not create disparity in pay between expatriates and HCNs. b. It creates less fluctuation between overseas and parent country pay during repatriation. c. It is organizationally less complex to administer. d. It is the cheapest method of managerial compensation for expatriation.

b. It creates less fluctuation between overseas and parent country pay during repatriation.

Which strategy is best for environments where there are clear differences among national and regional markets and there is a low pressure for cost reduction? a. Home replication strategy b. Localization strategy c. Global standardization strategy d. International strategy

b. Localization strategy

____ innovation is the use of purposive inflows and outflows of knowledge to accelerate internal innovation and expand the markets for external use of innovation. a. Collaborative b. Open c. Closed d. Absorptive

b. Open

which of the following is a disadvantage of alliances? a. Lack of learning race b. Partner opportunism c. Value as real options d. Scale up and scale down of investments

b. Partner opportunism

____ refers to the expenditures a customer is willing to pay for a product. a. Total cost b. Price c. Total cost of ownership d. Price elasticity

b. Price

Which of the following is one of the four Ps in the marketing mix? a. Perfection b. Promotion c. Power d. Perception

b. Promotion

Which of the following was viewed the tertiary sector for organized economic activities during the Industrial Revolution in the 18th and 19th centuries? a. Agriculture b. Residual service activities c. Manufacturing d. Retail

b. Residual service activities

At which stage in the formation of alliance must a firm decide whether to take a contract or an equity approach? a. Stage 1 b. Stage 2 c. Stage 3 d. Stage 4

b. Stage 2

Who benefits the most from the acquisition premium valued during an acquisition? a. The shareholders of the acquiring firm b. The shareholders of the target firm c. The opportunistic partner d. The partner who possesses hard-to-imitate capabilities

b. The shareholders of the target firm

Which strategy is organizationally complex and most difficult to implement? a. Localization strategy b. Transnational strategy c. Home replication strategy d. Global standardization strategy

b. Transnational strategy

The most widely used method in expatriate compensation is _____. a. going rate approach b. balance sheet approach c. pay-per-impression d. employee's request approach

b. balance sheet approach

Pre-acquisition analysis often focuses on strategic fit, which is the effective matching of ____ strategic capabilities. a. competitive b. complementary c. relational d. collaborative

b. complementary

Non-native employees who work and reside in a foreign country are known as _____. a. host-country nationals b. expatriates c. multinationals d. repatriates

b. expatriates

Knowledge acquisition, one of the knowledge management elements, faces the common problem of _____. a. "How does it help me? " syndrome b. failure to share and integrate external knowledge c. "Not invented here " syndrome d. absorptive capacity

b. failure to share and integrate external knowledge

The category of customers who may not be able to afford, but nevertheless admire, global brands are called _____. a. global agnostics b. global dreamers c. antiglobals d. global citizens

b. global dreamers

An MNE following a _____ strategy is more likely to hire a mix of parent-, host-, and third-country nationals as managers in their local subsidiary. a. home replication b. global standardization c. regionalization d. localization

b. global standardization

When expatriates evaluate HCNs, cultural difference may create problems. In ____ countries, performance appraisals based on subordinate expressions could potentially undermine the power and status of supervisors. a. high individualism b. high power-distance c. high uncertainty avoidance d. high masculinity

b. high power-distance

MNEs interested in a _____ strategy are typically polycentric in nature when staffing. a. home replication b. localization c. global standardization d. transnational

b. localization

A _____ approach is the opposite of an ethnocentric approach. a. telocentric b. polycentric c. geocentric d. regiocentric

b. polycentric

In the context of the customer-focused dimension of a global matrix, the _____ structure allows a provider to sell whatever combination of goods and services that customers prefer, including rivals' offerings. a. open innovation b. solutions-based c. global account d. social capital

b. solutions-based

In the context of the motives for acquisition, from a resource-based view, the most important _____ rationale is to leverage superior resources. a. managerial b. synergistic c. hubristic d. collusive

b. synergistic

The _____ strategy endeavors to be simultaneously cost efficient, locally responsive, and learning-driven around the world. a. home replication b. transnational c. global d. localization

b. transnational

Which of the following alliances is a contractual alliance? a. Strategic investment b. Franchising c. Cross-shareholding d. voint venture

b. Franchising

____ requires firms to continuously monitor major geopolitical, social, and technological trends in the world, and reconfigure the supply chain accordingly. a. Agility b. Adaptability c. Alignment d. Aggregation

b. adaptability

The combination of operations and management of two firms to establish a new legal entity is called a(n) _____. a. joint venture b. merger c. contractual alliance d. acquisition

b. merger

Which of the following four Ps of marketing includes TV, radio, print, and online advertising, as well as coupons, direct mail, billboards, direct marketing, and public relations? a. Prospecting b. Promotion c. Pointcasting d. Positioning

b. promotion

Knowledge outflow, one of the knowledge management elements, faces the common problem of _____. a. inappropriate channels b. absorptive capacity c. "How does it help me?" syndrome d. "Not invented here" syndrome

c. "How does it help me?" syndrome

_____ is a neutral, third-party intermediary in the supply chain that provides logistics and other support services. a. LCL b. FOB c. 3PL d. PPB

c. 3PL

___ is the ability to recognize the value of new information, assimilate it, and apply it. a. Social capital b. Micro-macro link c. Absorptive capacity d. Global mandate

c. Absorptive capacity

Which of the following must be practiced to avoid blunders in international marketing? a. Encourage ethnocentrism b. Encourage the pushy salesman approach c. Be susceptible to nationalistic feelings of local consumers, employees, and governments d. Save back-translation cost

c. Be susceptible to nationalistic feelings of local consumers, employees, and governments

____ is the set of firms that facilitate the movement of goods from producers to consumers. a. Stock keeping unit b. Production channel c. Distribution channel d. CIF

c. Distribution channe

Which of the following strategies has the lowest interdependence on knowledge management? a. Global standardization strategy b. Transnational strategy c. Localization strategy d. Home replication strategy

c. Localization strategy

Which of the following was considered the secondary sector for organized economic activities during the Industrial Revolution in the 18th and 19th centuries? a. Retail b. Residual service activities c. Manufacturing d. Agriculture

c. Manufacturing

____ divides consumers based on purchasing behavior. a. Selective distribution b. Sorting c. Market segmentation d. Market orientation

c. Market segmentation

____ is the informal interpersonal relationships among managers of different units that may greatly facilitate intersubsidiary cooperation among various units. a. Social capital b. Absorptive capacity c. Micro-macro link d. Subsidiary initiative

c. Micro-macro link

Which of the following reasons for cross-border acquisition failure is associated with pre-acquisition? a. Failure to address multiple stakeholder groups' concerns b. Poor organizational fit c. Nationalistic concerns against foreign takeovers (political and media levels) d. Clashes of organizational cultures

c. Nationalistic concerns against foreign takeovers (political and media levels)

In a non-equity-based alliance, which of the following should be high for possible upgrading to equity-based relationships? a. Degree of tacitness b. Importance of direct organizational monitoring and control c. Potential as real option d. Influence of formal institutions

c. Potential as real option

____ shows how demand changes when price changes. a. Price lining b. Price fixing c. Price elasticity d. Price discrimination

c. Price elasticity

____ refers to all the communications that marketers insert into the marketplace. a. Purchasing specification b. Product orientation c. Promotion d. Prospecting

c. Promotion

_____ refers to HRM activities associated with hiring employees and filling positions. a. Rostering b. Sourcing c. Staffing d. Benchmarking

c. Staffing

____ is the flow of products, services, finances, and information that passes through a set of entities from a source to the customer. a. Logistic engineering b. Market orientation c. Supply chain d. Product chain

c. Supply chain

Which of the following statements with respect to differences in knowledge management among the four types of MNEs is true? a. Interdependence on knowledge management in moderate in a transnational strategy. b. The role of foreign subsidiaries in a localization strategy is to adapt and leverage parent company competencies. c. There is extensive flow of knowledge and people in multiple directions in a transnational strategy. d. Knowledge is developed and retained within each subsidiary in a home replication strategy.

c. There is extensive flow of knowledge and people in multiple directions in a transnational strategy.

A(n) ____ is the transfer of the control of operations and management from one firm to another with the former becoming a unit of the latter. a. joint venture b. merger c. acquisition d. contractual alliance

c. acquisition

The category of customers who are skeptical about whether global brands deliver higher quality goods are called _____. a. global citizens b. global dreamers c. antiglobals d. global agnostics

c. antiglobals

At stage 1 in the formation of an alliance, a firm must _____. a. check the degree of tacitness b. evaluate institutional constraints c. decide whether growth can be achieved through market transactions d. choose between a contract or an equity approach

c. decide whether growth can be achieved through market transactions

Technically, place in the four Ps of marketing is also often referred to as the _____. a. production channel b. vertical channel c. distribution channel d. traditional channel

c. distribution channel

in an MNE, a perceived lack of talent and skills of HCNs often necessitates a(n) _____ approach. a. regiocentric b. telocentric c. ethnocentric d. polycentric

c. ethnocentric

Disregarding nationality, a(n) _____ approach focuses on finding the most suitable managers, who can be PCNs, HCNs, or TCNs. a. polycentric b. ethnocentric c. geocentric d. regiocentric

c. geocentric

The _____ structure is appropriate for a localization strategy. a. international division b. global product division c. geographic area d. global matrix

c. geographic area

In the context of the customer-focused dimension of a global matrix, the _____ structure supplies customers in a coordinated and consistent way across various countries. a. solutions-based b. open innovation c. global account d. social capital

c. global account

The hallmark of the _____ structure is the coordination of responsibilities between product divisions and geographic areas. a. global product division b. geographic area c. global matrix d. international division

c. global matrix

The _____ strategy focuses on a number of foreign countries/regions, each of which is regarded as a standalone market worthy of significant attention and adaptation. a. global b. home replication c. localization d. transnational

c. localization

The _____ strategy is an extension of the home replication strategy. a. global b. transnational c. localization d. export

c. localization

In an alliance, keeping critical skills and technologies not meant to be shared a secret helps prevent _____. a. proxy fight b. corporate raider c. opportunism d. hostile takeover

c. opportunism

In the context of acquisitions, the similarity in cultures, systems, and structures between firms is called _____. a. strategic fit b. acquisition premium c. organizational fit d. relational capability

c. organizational fit

In supply chain management, _____ is a focus to establish, maintain, and enhance associations with customers. a. market orientation b. societal orientation c. relationship orientation d. sales orientation

c. relationship orientation

Returning expatriates are referred to as _____. a. crossovers b. inbounds c. repatriates d. inpatriates

c. repatriates

MNEs with a _____ strategic orientation follow a geocentric staffing approach. a. home replication b. localization c. transnational d. regionalization

c. transnational

_____ entails the evaluation of employee's work for promotion, retention, or termination purposes. a. Benchmarking b. Replacement chart c. Performance appraisal d. Open-book management

c. . Performance appraisal

MNEs pursuing localization strategy typically hire _____ as top managers at local subsidiaries. a. parent-country nationals b. multinationals c. host-country nationals d. third-country nationals

c. . host-country nationals

_____ alliances are based on ownership or financial interest between the firms. a. Contractual b. Hubristic c. Equity-based d. Synergistic

c. Equity-based

_____ are associations between firms that are based on contracts and do not involve the sharing of ownership. a. Joint ventures b. Cross-shareholdings c. Non-equity based alliances d. Strategic investments

c. Non-equity based alliances

____ refers to the ability to change supply chain configurations in response to long-term changes in the environment and technology. a. Aggregation b. Agility c. Alignment d. Adaptability

d. Adaptability

_____ refers to the ability to quickly react to unexpected shifts in supply and demand. a. Aggregation b. Adaptability c. Alignment d. Agility

d. Agility

Which of the following is one of the triple As in supply chain management? a. Accountability b. Accessibility c. Applicability d. Alignment

d. Alignment

____ refers to the positive or negative perception of firms and products from a certain country. a. Ethnocentrism b. VRIO effect c. Market orientation d. Country-of-origin effect

d. Country-of-origin effect

Market orientation seeks to place the highest priority on which of the following? a. Coordinating operations b. Supply chain efficiency c. Relationships with customers d. Creation of superior customer value

d. Creation of superior customer value

_____ refers to longer term, broader preparation to improve managerial skills for a better career. a. Benchmarking b. Nepotism c. Outplacement d. Development

d. Development

Which of the following is an advantage of hiring parent-country nationals? a. Lesser international exposure for managers b. Eliminates cultural and language barriers c. Bridges gap between headquarters and subsidiary d. Facilitates control and coordination by headquarters

d. Facilitates control and coordination by headquarters

Which of the following staffing approaches is said to be color blind (the "color" refers to the color of the manager's passport)? a. Ethnocentric approach b. Polycentric approach c. Regiocentric approach d. Geocentric approach

d. Geocentric approach

For which of the following categories of customers can MNEs market localized products and services under local brands? a. Global dreamers b. Global activists c. Global citizens d. Global agnostics

d. Global agnostics

Which of the following category of customers are most likely to lead anti-globalization demonstrations? a. Global dreamers b. Global citizens c. Antiglobals d. Global agnostics

d. Global agnostics

Which of the following strategies is often known as "international strategy"? a. Localization b. Global standardization c. Transnational d. Home replication

d. Home replication

Which of the following types of employees in MNEs are often known as locals? a. Multinationals b. Third-country nationals c. Parent-country nationals d. Host-country nationals

d. Host-country nationals

Which element of knowledge management faces the common problem of employee turnover? a. Knowledge inflow b. Knowledge transmission c. Knowledge outflow d. Knowledge retention

d. Knowledge retention

Which is the best-case scenario for a non-equity-based alliance? a. High tacitness and low influence of formal institutions b. Low potential as real options and low influence of formal institutions c. High tacitness and high importance of direct organizational monitoring and control d. Low tacitness and low importance of direct organizational monitoring and control

d. Low tacitness and low importance of direct organizational monitoring and control

Which of the following is an advantage of hiring parent-country nationals (PCNs)? a. Increases opportunities for HCNs b. Opportunities for host-country nationals will be abundant. c. Adaptation will take lesser time. d. Managers are given international experience.

d. Managers are given international experience.

Which of the following motives for acquisition faces the resource-based issue of access to complementary resources? a. Collaborative b. Hubristic c. Managerial d. Synergistic

d. Synergistic

_____ is specific preparation to do a particular job. a. Appraisal b. Onboarding c. Tracking d. Training

d. Training

Which of the following may be a hindrance to successful knowledge management? a. Bonuses to measurable knowledge outflows and inflows b. Investment in codifying tacit knowledge c. Facilitation of informal social capital d. Use of single-subsidiary-based incentives

d. Use of single-subsidiary-based incentives

The difference between the acquisition price and the market value of target firms is called _____. a. acquisition equity b. acquisition cost c. acquisition value d. acquisition premium

d. acquisition premium

Enhancing ____ often entails making a series of make-or-buy decisions. a. aggregation b. agility c. alignment d. adaptability

d. adaptability

The institution-based view driving alliances and acquisitions focuses on _____ concerns. a. value b. rarity c. learning by doing d. antitrust

d. antitrust

in HRM, _____ refers to the determination of salary and benefits. a. negotiation b. benchmarking c. cost-per-hire d. compensation

d. compensation

When an MNE is locally responsive, _____. a. the local government's involvement reduces b. regulations are loosened c. innovations are limited d. costs increase

d. costs increase

A(n) _____ emphasizes the norms and practices of the parent company relying on parent-country nationals. a. polycentric approach b. geocentric approach c. regiocentric approach d. ethnocentric approach

d. ethnocentric approach

The process of selecting, managing, and motivating non-native employees to work abroad is called _____. a. nepotism b. onboarding c. diasporization d. expatriation

d. expatriation

The category of customers who are in favor of buying global brands that signal prestige and cachet are called _____. a. global agnostics b. global dreamers c. antiglobals d. global citizens

d. global citizens

The _____ structure allows for consolidation on a worldwide or regional basis and reduces inefficient duplication in multiple countries. a. geographic area b. global matrix c. international division d. global product division

d. global product division

The _____ structure is the opposite of the geographic area structure. a. international division b. global matrix c. multidomestic d. global product division

d. global product division

The _____ strategy focuses on development and distribution of standardized products worldwide to reap maximum benefits from low-cost advantages. a. transnational b. localization c. home replication d. global standardization

d. global standardization

The global product division structure supports the _____ strategy. a. transnational b. global matrix c. multidomestic d. global standardization

d. global standardization

A compensation approach that pays expatriates the prevailing rate for comparable positions in a host country is called the _____ approach. a. pay-per-impression b. balance sheet c. merit rate d. going rate

d. going rate

In staffing, elimination of language and cultural barriers is an advantage of hiring _____. a. multinationals b. third-country nationals c. parent-country nationals d. host-country nationals

d. host-country nationals

Relocating employees of a foreign subsidiary to the MNE's headquarters for the purposes of filling skill shortages at headquarters and developing a global mind-set for such employees is called _____. a. onboarding b. orientation c. nepotism d. inpatriation

d. inpatriation

The _____ strategy is also known as multidomestic strategy. a. home replication b. transnational c. global d. localization

d. localization

MNEs pursuing home replication strategy typically hire _____ as top managers at local subsidiaries. a. third-country nationals b. host-country nationals c. multinationals d. parent-country nationals

d. parent-country nationals

The ability to successfully manage interfirm relationships is called _____. a. hubristic capability b. synergistic capability c. contractual capability d. relational capability

d. relational capability

With respect to the motives for acquisition, _____ motives add value. a. collusive b. hubristic c. managerial d. synergistic

d. synergistic

The set of informal institutions that stresses the cognitive pillar lays emphasis on _____. a. establishing wholly owned subsidiaries b. granting more liberal policies c. copying reputable organizations to ensure a low-cost way to gain legitimacy d. the internalized taken-for-granted values and beliefs that guide firm behavior

d. the internalized taken-for-granted values and beliefs that guide firm behavior

the two key elements to achieve alignment are power and _____. a. agility b. promotion c. aggregation d. trust

d. trust

In which type of equity-based alliance does one firm invest in another? a. Hubristic investment b. Cross-shareholding c. Licensing d. Strategic investment

d. Strategic investment

A non-equity based alliance is also called a _____. a. cross-border alliance b. synergistic alliance c. hubristic alliance d. contractual alliance

d. contractual alliance

In the context of equity-based alliances, _____ involves both firms investing in each other. a. strategic fit b. acquisition premium c. strategic investment d. cross-shareholding

d. cross-shareholding