MGMT ch.4,5 quiz

Which countries are often the first place that U.S. businesses go when they are interested in getting into an international business?

China and India

Learning by thinking requires _____.

a genuine curiosity about other people and cultures

Some organizations are characterized by people who help one another, share information, and collaborate. These tendencies also help the organization to be more effective. This type of organization has _____.

a giving culture

As a manager, Dalton would like to take the company into the international arena. The company, however, is not in a position to take on a great deal of risk or commitment or to spend much to make it happen. Which of the following options would be a good place for Dalton to start? a) Exporting b) Outsourcing c) A partnership d) A joint venture

a) Exporting

Which of the following are NOT issues that an international manager must deal with when supervising operations in a foreign country? a) Handling communication within corporate channels. b) Handling a general public that may view foreign companies and foreign employees as outsiders. c) Understanding and abiding by differing laws and regulations concerning libel statutes, consumer protection, information and labeling, employment and safety, and wages. d) Engaging with unfamiliar political systems as well as more government supervision.

a) Handling communication within corporate channels.

In the United States, many have called for government-provided health insurance for all residents, similar to what countries such as Canada, Japan, and Norway have, arguing that health care is a basic human right. Their reasoning in this ethical decision of whether to provide health care for all would be based on which of the following normative approaches? a) Moral-rights approach b) Utilitarian approach c) Compensatory justice approach d) Individualism approach

a) Moral-rights approach

Which of the following best describes the difference between principle and policy-based statements in an organization's code of ethics? a) Principle-based statements are designed to affect corporate culture, whereas policy-based statements generally outline the procedures to be used in specific ethical situations. b) Principle-based statements outline moral principles and values that govern the behavior of a person, whereas policy-based statements outline moral principles and values that govern an organization. c) Principle-based statements consider the impact of all decisions on society, whereas policy-based statements indicate what is good or bad in individual conduct and decision making. d) Principle-based statements consider an organization's social performance, whereas policy-based statements consider its environmental and financial performance.

a) Principle-based statements are designed to affect corporate culture, whereas policy-based statements generally outline the procedures to be used in specific ethical situations.

Which of the following is a characteristic of a person with a global mindset? a) The ability to perceive and respond to many different perspectives at the same time b) The ability to perceive and respond to events based on the person's own cultural perspective c) The preference to speak English d) The preference to avoid risks and the unpredictable

a) The ability to perceive and respond to many different perspectives at the same time

The text discusses major alternatives for engaging in the international arena. Which of the following would NOT be included among those alternatives? a) To engage in retrenchment strategies b) To develop markets outside the home country c) To seek cheaper resources via outsourcing d) To transfer products for sale in foreign countries

a) To engage in retrenchment strategies

Which of the following statements about competitive intelligence is true? a) Right and wrong can be clearly identified among competitive intelligence methods. b) The laws regarding information gathering are clear-cut. c) Companies are increasingly using social media to learn more about their competitors. d) The opinions regarding the ethics of information gathering are not in conflict.

c) Companies are increasingly using social media to learn more about their competitors.

Which of the following characteristics is evident in a high-context culture? a) People use communication primarily to exchange facts and information. b) Business transactions are more important than building relationships and trust. c) People are sensitive to circumstances surrounding social exchanges. d) Individual welfare and achievement are more important than the group.

c) People are sensitive to circumstances surrounding social exchanges.

Rosa is having trouble implementing cross functional product teams in the company's marketing department that she manages in their Mexico City headquarters. Which of the following cultural values would explain why Rosa is encountering resistance? a) The employees' cultural values indicate a high tolerance for uncertainty. b) The employees' cultural values encourage collectivism. c) The employees' cultural values support high power distance. d) The employees' cultural values discourage altruism and outward expressions of concern.

c) The employees' cultural values support high power distance.

One expert on business ethics suggests that managers can ask themselves five questions to help resolve ethical dilemmas. Which of the following questions is NOT among the five questions listed in the text? a) What rules, policies, or social norms apply? b) What are my obligations to others? c) What will best satisfy the important stakeholders? d) What's in it for me?

c) What will best satisfy the important stakeholders?

To be considered ethical under the practical approach, a decision would need to satisfy all of the following EXCEPT be _____. a) considered acceptable by the professional community b) one that the manager would not hesitate to publicize on the evening news c) based on standards of equity, fairness, and impartiality d) one that a person would typically feel comfortable explaining to family and friends

c) based on standards of equity, fairness, and impartiality

Lukas tends to speak up in meetings, to clarify points raised in discussion, and to demonstrate managerial competence to those higher in the hierarchy. Lukas is most likely from a _____. a) collectivist culture b) culture that values low assertiveness. c) low-context culture d) culture that values high power distance

c) low-context culture

Nestlé SA has hundreds of brands that come from production facilities or other operations in almost every country in the world. In transcending national boundaries, Nestlé is a truly _____ company.

global company

The partnership strategy for entering the international arena to acquire resources or to enter new markets involves a high level of ownership and a ____.

high cost to enter foreign operations

When speaking with others in the company, Silvan is always working to make sure his body language is conveying the same message as the words he is saying. His facial expression and body language are aspects of _____.

implicit communication

Which approach to ethical decision making is NOT popular in the highly organized and group-oriented society of today because it is easily misinterpreted to support immediate self-gain?

individualism

You are the director of a small food bank, where not-for-profit donations are essential and working with donors is a major part of your job. An individual in the community offers you a used pickup truck that would be really useful for collecting and distributing food. The pickup is worth about $10,000. The donor asks you to report the value of the pickup as $20,000 so the donor can receive a greater tax deduction. In this situation, you are the _____.

moral agent

Within the GLOBE Project value dimensions, a society with a low performance orientation means that _____.

people pay less attention to performance and more attention to loyalty, belonging, and background

If the country in which you want to do business has regular uprisings to overthrow the government, it has a high level of _____.

political instability

If you are measuring the possibility that your company will be harmed because of social activism, you are measuring _____.

political risk

Designed to affect corporate culture, codes of ethics define fundamental values and contain general language about company responsibilities, quality of products, and treatment of employees. Codes of ethics are _____.

principle based statements

As a manager, Imani focuses on making resources accessible and considering personal needs of the members of the team. In addition, Imani encourages team members to think for themselves. Imani exhibits the qualities of a _____.

servant leader

In assessing how well an organization is performing on its triple bottom line, Andrew is responsible for reporting the organization's performance in terms of fair labor practices, diversity, supplier relationships, treatment of employees, and contributions to the community. These data are part of the organization's _____.

social performance

Harvard psychologists conducted a study of teams in the U.S. intelligence system. They found that the single biggest predictor of a team's effectiveness was _____.

the amount of help and support that members gave to one another

Shay heads the office that oversees all aspects of ethics and legal compliance, including establishing and broadly communicating standards, conducting ethics training programs, and dealing with exceptions or problems. Shay is _____.

the chief ethics officer

The two ways managers expand their global mind-set are by _____.

thinking and doing

Parker lives in a city in a developing country where people haven't been served by most large businesses because products and services are too expensive, are inaccessible, and are not suited to their needs. This issue can potentially be alleviated when multinational companies _____.

use bottom of the pyramid business models

People at the postconventional level of moral development are able to act in an independent, ethical manner regardless of expectations from others inside or outside the organization. What percentage of U.S. adults reach this level?

20%

Which of the following statements best describes globalization of business? a) Business, unlike crime, has not become a unified, global field. b) Events, ideas, and trends that influence organizations in one country are unlikely to influence them in other countries. c) Globalization refers to the extent to which trade, investments, and information—but not social and cultural ideas and political cooperation—flow between countries. d) Globalization and increasing interdependence have dramatically shifted the environment for managers.

Globalization and increasing interdependence have dramatically shifted the environment for managers.

What makes it difficult to do business in China?

High taxes, strict rules and regulations, and tight governmental controls

Which country has a large number of highly trained scientists and doctors which has attracted U.S. pharmaceutical and healthcare R&D centers?

India

Which country has the second largest population in the world and is a major source of technological and scientific brainpower?

India

Proponents of bottom-of-the-pyramid (BOP) thinking believe multinational firms _____. a) can contribute to positive lasting change when the profit motive goes hand in hand with the desire to make a contribution to humankind b) should not be paid for developing products that alleviate disadvantages of the world's poor c) charge the poor significantly more than their wealthier counterparts are charged for some basic needs d) place emphasis on their home countries

a) can contribute to positive lasting change when the profit motive goes hand in hand with the desire to make a contribution to humankind

Tom manages a company that arranges for products made in African nations to be sold to retail outlets in the United States and Europe. Tom's function in this arrangement is _____. a) exporting b) importing c) outsourcing d) customer service

a) exporting

The WTO serves as a _____. a) global institution that can monitor international trade and has the legal authority to arbitrate disputes on some 400 trade issues b) a European trade alliance that assists with creating common currency and trade agreements between member nations c) a member only organization that assists nations with tariffs and outsourcing d) an international membership-based institution that has the legal authority to arbitrate disputes on some 1000 trade issues

a) global institution that can monitor international trade and has the legal authority to arbitrate disputes on some 400 trade issues

Priya works for a large company that has a no-union policy, yet she sees that some employees don't get paid as well and don't seem to have a voice to speak up about poor working conditions. Priya feels the need to speak out and to gather others in support, but in doing so, she may be fired. Priya is facing _____.

an ethical dilema

Through the use of stakeholder mapping and cultivating open, trust-based relationships with key stakeholders, companies can ensure that managers _____.

are able to do the right thing swiftly, sometimes with the result that crises can become opportunities

Which of the following characteristics applies to those referred to as bottom of the pyramid? a) They traditionally end up paying significantly less than their wealthier counterparts for some basic needs. b) About one-fourth of them earn less than a dollar a day. c) They account for more than 5 billion people. d) They earn less than US$800 per capita.

b) About one-fourth of them earn less than a dollar a day.

Of the following organizations, which could incorporate as a benefit corporation? a) The Nature Conservancy, the world's leading conservation organization b) CVS Health, the nation's largest retailer of prescription drugs c) Samaritan's Purse, a nondenominational evangelical Christian international relief organization d) Ronald McDonald House Charities, provider of resources for children under medical care and their families

b) CVS Health, the nation's largest retailer of prescription drugs

Which of the following is a disadvantage of globalization, brought to light by COVID-19? a) Globalization can slow the rapid spread of future illnesses. b) Globalization adds risks to prosperity in ways firms and nations had not anticipated. c) Globalization contributes to travel bans and closed borders. d) Globalization leaves nations disconnected to everyone else.

b) Globalization adds risks to prosperity in ways firms and nations had not anticipated.

All of the following explain aspects of today's business world that may increase the tendency of a manager to act unethically EXCEPT _____. a) executive compensation plans that include stock-based incentives, which may encourage managers to ignore the long-term health of the company and do whatever will increase the share price b) enormous pressure to meet short-term earnings goals c) use of accounting techniques that reflect an organization's true performance d) an overemphasis on pleasing shareholders

c) use of accounting techniques that reflect an organization's true performance

As a manager, Hoa uses a leadership style that encourages interpersonal relationships and cooperation. Hoa is operating at which level of moral development?

conventional

The goal of the European Union is to _____.

create a powerful single-market system for Europe's millions of consumers, allowing people, goods and services to move freely

Which of the following statements about codes of ethics is true? a) Codes of ethics exert a great deal of influence in ensuring ethical behavior among employees and managers. b) Having a strong code of conduct or code of ethics guarantees that companies won't be challenged by stakeholders on ethical issues. c) Although top management may support and enforce them, ethics codes are generally not influential to a company's ethical climate. d) Codes of ethics state the values or behaviors expected and those that will not be tolerated.

d) Codes of ethics state the values or behaviors expected and those that will not be tolerated.

Stefano is committed to a philosophy of sustainability for the organization. In which of the following ways is that commitment shown? a) Internal values about the environment take precedence over financial goals of the organization. b) All decisions about environmental and corporate goals are made within the context of giving and helping behavior. c) The leadership style of all managers encourages interpersonal relationships and cooperation. d) Environmental and social concerns are integral to every strategic decision that balances financial goals with environmental responsibility.

d) Environmental and social concerns are integral to every strategic decision that balances financial goals with environmental responsibility.

he General Agreement on Tariffs and Trade (GATT) was the precursor to which of the following trade agreements? a) The European Union b) The USMCA c) The United Nations d) The WTO

d) The WTO

Ethical dilemmas arise when _____. a) right and wrong can be clearly identified b) decisions have already been made c) values are not in conflict d) people hold widely divergent views about what is appropriate

d) people hold widely divergent views about what is appropriate

Tyler would like to turn Outdoor Life Supply into a benefit corporation. As a benefit corporation, Outdoor Life Supply would need to meet all of the following criteria EXCEPT ____. a) voluntarily hold itself to high standards of accountability and transparency b) have as its stated purpose as a for-profit organization to create a positive impact on society c) consider the impact of its decisions on employees, the community, and the environment as well as shareholders d) successfully portray itself as more environmentally minded than it actually is

d) successfully portray itself as more environmentally minded than it actually is

he USMCA varies from NAFTA in areas concerning _____. a) the restriction of free trade across the United States-Canada border b) more lenient rules on labor laws c) the automotive industry and increasing the opportunities for global car manufacturers to open factories in Mexico d) the automotive industry and restrictions on global carmakers manufacturing in Mexico

d) the automotive industry and restrictions on global car makers manufacturing in Mexico

Managers can create and support an ethical organization in all of the following ways EXCEPT_____. a) through ethical leadership b) through an ethics committee c) support for whistle-blowers d) with compensatory justice

d) with compensatory justice

In its production and marketing, Harley-Davidson plays up its red-white-and-blue roots, billing itself as an all-American brand that has a global appeal. This type of a multinational corporation is considered _____.

ethocentric