Assignment
1. Civil or Code law is:
The legal system in the U.S., Canada, and England.
The law that comes from Marxist socialistic systems.
The law derived from Roman law and is found in non-Islamic and nonsocialist countries.
The law derived from the Qur'an and the teachings of Muhammad.
2. Social Democracy is achieved:
Through a special referendum voting procedure.
By creating a new political group of socialists that want a democratic system.
Through its nonviolent revolution.
Through a nonviolent coup of government buildings.
3. Collectivism is:
The political method for counting votes during elections.
The political philosophy that views the needs or goals of society as a whole as more important than individual desires.
The way organizations buy contract human resource services.
The method of collecting votes in third world countries.
4. Under Margaret Thatcher's 11 years as Britain's Prime Minister, she reduced the number of state owned organizations from 10% to:
1%.
20%.
9%.
3.9%.
5. Socialism is a moderate form of collectivism:
In which there is government ownership of institutions, and profit is not the ultimate goal of the company.
And teaches people how to socialize in a variety of settings so that no one person becomes too egotistical.
In which individuals come together and decide how to vote before an election.
And helps people in school focus on learning more than grades
6. Conglomerate Investments are:
A type of high-risk investment in which goods or services produced are not similar to those produced at home.
Pooled investors from the host country that work in the MNC management system.
A group of investors from the host government that oversees the MNC management system.
A type of low-risk investment where the goods and services are the same as those produced in the host country.
7. Operational risks include:
Government policies and procedures that directly constrain management and performance of local operations.
Political parties who disagree about how MNCs should operate within a country.
An analysis of business models from the host country currently working within the MNCs host country. This analysis involves determining which management model the MNC will use in that country.
Analyzing the educational levels of all employees to determine which department they are best suited to work in.
8. Lobbying, campaign financing, advocacy, and other political interventions designed to shape and influence the political decisions prior to their impact on the firm are known as:
Vertical Investment.
Integrative Techniques.
Proactive Political Strategies
Horizontal Investment.
9. ________ laws are laws that prompt a nation to hold majority interest in an operation.
Indigenization.
Expropriation.
Social.
Operational
10. Micro Political Risk Analysis involves
Analyzing government policies and actions that influence selected sectors of the economy or specific foreign businesses in a country.
Analyzing small companies in the country to determine which ones will grow and employ the most people in the country.
Analyzing small political parties to determine which ones are likely to cause a revolution and upset business within the country.
Analyzing which organizations within the government are taking bribes from MNCs to create larger companies and earn political favors.
11. In what ways do different ideologies and political systems influence the environment in which MNCs operate? Would these challenges be less for those operating in the EU than those in Russia or China?
12. If a high tech firm wanted to set up operations in Iran, what steps might it take to ensure that the subsidiary would not be expropriated? Identify and describe three strategies that would be particularly helpful. How might proactive political strategies help protect firms from future changes in the political environment?