Global Business - Objective Choice Questions
Global Business - Objective Choice Questions
Global Business - Objective Choice Questions
2. The formal difference between a joint venture and a strategic alliance is that the latter
one is typically a(n):
a. alliance involving an American organization.
b. equity alliance.
c. non-equity alliance.
d. foreign operation.
6. One of the following lists the global market entry modes from the highest level of
risk/commitment to the lowest:
a. acquisition-joint venture-licensing-exporting.
b. joint venture-licensing-exporting-acquisition.
c. exporting-acquisition-joint venture-licensing.
d. exporting-licensing-joint venture-acquisition.
11. Which staffing policy is the most consistent with an international multidomestic
strategy?
a. Polycentric.
b. Ethnocentric.
c. Geocentric.
d. Regiocentric.
12. A strategy of ______ pricing involves using price as a competitive weapon in order to
push competitors out of a national market.
a. incremental
b. psychological
c. premium
d. predatory
13. One of the main advantages of an ethnocentric staffing policy in international markets
is:
a. it is cheaper.
b. it facilitates the transfer of core competencies to and among the firm's
foreign subsidiaries.
c. it results in very technically competent staff.
d. none of the above.
15. When training expatriates for a mission abroad, in either one of the organization's
subsidiaries or in one of the partner firms, ______ training should definitely be
included.
a. technical only
b. cultural, language and practical
c. legal and political
d. language only
16. Which of the following countries is the most culturally challenging for a Westernized
organization wishing to expand internationally?
a. The USA.
b. Japan.
c. France.
d. Germany.
22. The world trade organization was formed in the year _________ with GATT as it
basis.
a. 1993
b. 1994
c. 1995
d. 1996
23. Which of the following is the most spoken language in the world
a. English
b. Spanish
c. Cantonese
d. Mandarin
24. The degree to which people in a society feel uncomfortable with risk and uncertainty
is called
a. individualism.
b. masculinity.
c. power distance.
d. uncertainty avoidance.
25. Individual managers from cultures that score high on the ________ dimensions are
likely to be viewed by those from other cultures as _______.
a. power distance; autocratic
b. performance orientation; autocratic
c. ascription orientation; indecisive
d. future orientation; indecisive
26. The Japanese tend to emphasize:
a. social networks.
b. mechanistic and functional views of the firm.
c. the importance of shareholders.
d. all of the above
28. Typically, people who are at the first stages of international expansion:
a. set up an international business unit.
b. hire a consulting firm to create a large subsidiary in the foreign country.
c. treat their foreign business as an extension of domestic operations.
d. create an internationalization department.
30. Which of the following structures creates a management team that prioritizes overseas
operations?
a. International division.
b. Marketing department.
c. Export department.
d. All of the above.
33. Which of the following is not the force of Porter’s Five Forces of Competition
a. Bargaining Power of Buyers
b. Bargaining Power of Employees
c. Bargaining Power of Suppliers
d. Threat of Substitutes