Mangt 595 Quiz exam 3
Acme Corp. has decided to enter a foreign market organically, by building its own production facilities and establishing distribution channels from the ground up. This will allow it to have strong control over all of its business activities. Which of the following foreign entry modes has Acme Corp. chosen? A.greenfield venture B.export C.joint venture D.acquisition
A
Evara Cosmetics Inc. is a company that operates in 20 countries around the globe. The company clearly understands that the skin and hair type of customers vary from one country to another. Consequently, its products are customized to suit local customer needs and preferences, even though the costs incurred while producing these products are exceptionally high. This strategy helps the company behave as a local firm in a foreign market. In this scenario, which of the following strategies is Evara Cosmetics Inc. most likely pursuing? A.a multi-domestic strategy B.an international strategy C.a global-standardization strategy D.a one-product strategy
A
While working a night job, John creates an app called DineSmart, which can be used to make reservations at restaurants, place orders, and rate the restaurants. Because he receives good responses for his app, he quits his current job to focus his efforts on DineSmart. He creates a start-up called TYOP and hires three people to help him run DineSmart and maintain the servers that run it. In this scenario, TYOP most likely has a _____ structure. A. simple B. matrix C. mechanistic D. functional
A
Executives of Octa Autos Inc. want to expand the company's operations to foreign markets. They want to ensure that the company's mode of foreign entry allows it to have strong control over its operations and protect its intellectual property, even though it may mean investing a significant amount of capital and other resources. In this scenario, which of the following foreign entry modes would best suit Octa Autos Inc.? A.exporting B.franchise agreement C. acquisition D. licensing
C
Fast Call Inc. is a pharmaceutical company that has many breakthroughs in medicine to its credit. Unlike many other pharmaceutical companies, Fast Call has a relaxed work environment where employees are free to discuss projects with each other. Employees are encouraged to choose the projects that interest them; communication between team members and their supervisors is open and easy. Because of the company's work culture, its employees feel motivated to work harder and display more entrepreneurial behaviors. In this scenario, Fast Call Inc. is most likely an organization that is A.mechanistic B. centralized C. organic D. formalized
C
The textbook mentions three key motivations for entering foreign markets. Which of the following is NOT one of these strategically rational motives? A.gain access to a larger market B.gain access to low-cost input factors C.avoid exchange rate fluctuations D.develop new competencies
C
In his TED Talk, Dan Pink discussed the power of incentives in motivating employees. He uses research to make the case that employees are more motivated when they find their work interesting and creative compared to when they are only offered bonuses and commissions. Firms that offer interesting and creative work opportunities not only carefully hire workers who fit well with their assigned tasks and clearly define the results expected of each worker, but also allow the workers to determine the means to these results. Based on this information, which of the following should the firm emphasize most when motivating and evaluating its employees? A. intrinsic motivation and input controls B. extrinsic motivation and output controls C. extrinsic motivation and input controls D. intrinsic motivaretion and output controls
D
The Amos Ball Printing Company was established in 1866. Currently, Amos Ball V is the CEO and chairman of the board. The company has traditionally used a functional structure. Five years ago, the company branched into online publishing and small-batch printing in addition to its regular large-batch operations. Both new businesses are significantly different in technology and marketing from each other and from Ball's traditional business. Despite the hiring of experienced professionals in these new endeavors, performance continues to be poor and is affecting Ball's overall performance. Which of the following statements is TRUE based on the information provided? A.These businesses are impossible to coordinate within one corporation, so the company should restructure and spin off these divisions. B. Mr. Ball has insufficient power to change the structure of the firm. C. Restructuring must only be done from a position of strength, so it is necessary to wait until the company's overall performance improves before making radical changes. D. Amos should consider adopting the multidivisional structure to better manage and coordinate its activities.
D
When a country scores high on the ___________ dimension of Hofstede's national culture index, it means that hierarchy relationships, use of titles, and exercise of interpersonal influence is expected to occur among individuals and that people are generally comfortable with such status differences. A.uncertainty avoidance B.individualism C.collectivism D.power distance E.long-term orientation
D
Which of the following terms describes the costs that accrue to firms when they enter unfamiliar foreign markets that are different from their domestic market in important ways? A.Agency costs B.Diseconomies of scale C.Liability of foreignness D.Conglomerate discount E.None of the above
C
