Question 1 As entry-mode strategies, direct and indirect exporting have
High levels of control and low levels of risk.
Similar levels of risk and control as FDI.
Low levels of risk and control.
Are among the most risky.
Question 2 When a firm from another country has an equity (or ownership) position in a separate company, it is engaging in
An international cooperative alliance.
A turnkey operation.
A contract manufacturer.
FDI.
Question 3 A company that treats and fills overseas orders like domestic orders is an example of a
Indirect exporter.
Export management company.
Aggressive exporter.
Passive exporter.
Question 4 Which strategy attempts to balance advantages from three other multinational strategies?
Regional
Multidomestic
Transnational
International
Question 5 Common customer needs, global sources of raw material, and favorable trade policies all lead to
An increased focus on local markets.
More use of the multidomestic strategy.
More use of the local solution to the global-local dilemma.
A greater likelihood that companies select global strategies.
Question 6
Selling global products and using similar marketing techniques worldwide is an example of a
Transnational strategy.
International strategy.
Multidomestic strategy.
Regional strategy.
Question 7 The type of vertical control mechanism most often associated with a profit center is
Bureaucratic.
Output.
Cultural.
Decision making.
Question 8 Which of the following is NOT one of the questions asked when designing an organization?
How should work be divided among the organization's subunits?
How should the work be coordinated among the various subunits?
How should the work of the various subunits be controlled?
How many subunits should the multinational have?
Question 9 A __________ helps link the organization horizontally.
Control system
Coordination system
Cultural system
Centralized operations
Question 10 The type of control system favored by the transnational is
Bureaucratic.
Output.
Cultural.
Decision making.
Question 11 The worldwide product structure is usually considered best to implement a/an _____ strategy.
Multidomestic or regional
Transnational
International
Indirect exporting
Question 12
The least efficient of the following structural options is
Product structure.
Functional structure.
Vertical structure.
Graphic structure.
Question 13 Understanding a new market and developing a new technology may be used as performance criteria for which of the following?
Organizational learning
Management processes
Competitive advantage
Commitment
Question 14 Strategic alliance partners prefer a dominant management structure
If partners have similar technologies or know-how and they contribute this knowledge equally to the alliance.
If partners have different technologies or know-how and they contribute this knowledge equally to the alliance.
If partners have different technologies or know-how and they contribute this knowledge differently to the alliance.
If the alliance has more strategic importance to one partner.
Question 15 Which of the following type of strategic alliances allows the multinational to combine manufacturing or assembly activities to achieve a profitable volume of activity?
Operations alliances
Output alliances
Upstream-downstream alliances
Marketing alliances
Question 16 Strategic complementarity in a strategic alliance means that
Both sides must have similar strategic objectives for the strategic alliance to succeed.
Objectives can be different if they are not in conflict.
Cultural differences must be dealt with first.
Parent companies must leave the strategic alliance management to develop their own strategic goals.
Question 17 An agreement not legally binding between companies to cooperate on any value-chain activity is a (an)
Formal international cooperative alliance.
International joint venture.
Informal international joint venture.
International cooperative alliance.
Question 18 __________ means that companies rely on each other to contribute to the relationship.
Shared management
Balanced management
The norm of reciprocity
Mutual dependency
Question 19 Which of the following describes the situation where companies stay in a strategic alliance despite strong evidence that the alliance won't work?
Calculative commitment
Credibility commitment
Attitudinal commitment
Escalation of commitment
Question 20 According to the text, the degree of difficulty in conducting global e-commerce businesses is primarily dependent on
The financial requirements.
The availability of management talent.
The infrastructure requirements.
The telecommunications infrastructure requirements.
Question 21 According to the text, where is the greatest potential for e-commerce businesses?
North America
The European Union
South America
Asia
Question 22 Having systems in place to ensure that collected information is accurate and reliable represents which form of information security?
Confidentiality
Availability
Integrity
Authentication
Question 23 Southeast Asian countries represent opportunities for e-commerce growth due to
Spanish language websites.
Membership in ASEAN.
Global demand.
Internet economy.
Question 24 According to the text, which of the following is NOT one of the management challenges companies will face as they develop their e-commerce businesses?
Attracting, retaining, and developing employees in the e-commerce unit
Deciding which e-commerce functions to outsource
Finding funds to develop the e-commerce business
Finding ways to provide individuals with growth opportunities and job fulfillment to encourage employee retention in the e-commerce business
Question 25
An Internet host that allows users to send encrypted data so that those outside the connection cannot see the information is a
A secure server.
An internet host.
A computer that has its own Internet Protocol address.
A computer that has its own World Wide Web address.