1. Which of the following is NOT a purpose of the portfolio management matrix?

a. To assist a firm in achieving a balanced portfolio of businesses

b. To identify priorities for the allocation of resources

c. Achieve a better understanding of the competitive position of an overall portfolio of businesses

d. To reduce levels of diversification

2. Restructuring is a way in which a corporate office can add value to a business.  Which of the following is not one of the three primary restructuring activities?

a. Capital restructuring

b. Diversification restructuring

c. Asset restructuring

d. Management restructuring

3. Imagine a pharmaceutical company, Roche Holdings, produces a drug called Herceptin which is effective in treating a rare stomach cancer, therefore there is little needs for local adaptation.  Because of the rarity of the disease, each course of treatment costs $50,000 and there is little pressure for Roche Holdings to lower costs.  What type of global market strategy would be used for Herceptin?

a. International

b. Multidomestic

c. Global

d. Transnational