Question 1

Scenarios are forecasts that extrapolate from past data to make predictions.

Accepted Answer

A) True 
 B)False

Question 2

When a company faces strong pressures for reducing costs and limited pressure to adapt products for local markets,it should tend to use a

Accepted Answer

A)   global strategy.
B)   multidomestic strategy.
C)   transnational strategy.
D)   differentiation strategy.
E)   home replication strategy.F) A) and B)
G) D) and E)

Question 3

In response to China's requirement to censor Internet searches

Accepted Answer

A)   Google chose not to enter that country.
B)   Google refused to engage in censorship, including a disclosure on its site that no censorship had occurred.
C)   Google agreed to engage in censorship, disclosing to customers that censorship had occurred.
D)   Google provided users of its Chinese site with a hot link to its uncensored U.S. site, which prevented the Chinese government from restricting Chinese users access to uncensored content.
E)   Google supported cyberattacks against Chinese government servers.F) A) and B)
G) A) and C)

Question 4

Managers of international companies that are attempting to develop a competitive advantage face a formidable challenge because

Accepted Answer

A)   time, talent, and money are scarce.
B)   resources are seldom scarce.
C)   there are few or no alternative ways to use the company's scarce resources.
D)   without planning, we cannot make decisions that make good sense.
E)   the company's mission is constantly changing.F) B) and D)
G) B) and C) A

Question 5

When developing and assessing strategic alternatives,companies competing in international markets confront which two opposing goals?

Accepted Answer

A)   Reduce investment and increase profits.
B)   Reduce complexity and improve effectiveness.
C)   Standardize policies and reduce complexity.
D)   Reduce costs and adapt to local markets.
E)   Be innovative and efficient.F) All of the above
G) D) and E)

Question 6

According to the text,what is the primary value of scenario planning efforts?

Accepted Answer

A)   Transformation in strategic thinking.
B)   Prediction of future events and their impact.
C)   The strategic plans that are created.
D)   The ability to control external forces that impact the firm.
E)   The ability to eliminate uncertainty.F) None of the above
G) A) and D)

Question 7

_________ are broad guidelines issued by upper management for the purpose of assisting lower-level managers in handling recurring problems.

Accepted Answer

Policies
Explanation: Policies...

Question 8

Most top managers

Accepted Answer

A)   prefer nonquantifiable, directional goals.
B)   prefer nonquantifiable, but verifiable goals.
C)   prefer verifiable objectives.
D)   have no preference as to quantifiable and nonquantifiable goals.
E)   have more quantifiable goals than do managers at lower levels.F) D) and E)
G) A) and B)

Question 9

Scenarios are a particularly useful approach for international companies that face high levels of change and uncertainty,because they allow management to anticipate and prepare for opportunities and threats by predicting and controlling for these developments.

Accepted Answer

A) True 
 B)False  False

Question 10

Procedures are broad guidelines issued by upper management for the purpose of assisting lower-level managers in handling nonrecurring problems.

Accepted Answer

A) True 
 B)False

Question 11

In planning,there has recently been a decided move among many firms

Accepted Answer

A)   to use advanced statistical techniques to help produce voluminous and detailed strategic plans.
B)   toward a less-structured format and a shorter plan.
C)   to concentrate on factors that can be easily quantified.
D)   to avoid including issues that are vague and uncertain.
E)   to directly include environmental and political activities in the planning team.F) A) and E)
G) A) and D)

Question 12

A ________________ tends to be used when a company simultaneously confronts pressures for cost-effectiveness and local adaptation.

Accepted Answer

multidomestic strategy
Explanation: A multidomestic strategy tends to be used when a company simultaneously confronts pressures for cost-effectiveness and local adaptation.

Question 13

Compare and contrast global,multidomestic,and transnational strategies.

Accepted Answer

Answers may vary but may include the fol...

Question 14

Companies pursuing a home replication strategy typically centralize product development functions in their home country and then transfer innovations to foreign markets to capture additional value.

Accepted Answer

A) True 
 B)False

Question 15

To create a competitive advantage that is sustainable over time,the international company should try to develop competencies that

Accepted Answer

A)   create value for customers and for which they are willing to pay.
B)   are easy to imitate or substitute for.
C)   are expensive to develop and maintain.
D)   are not critical to successful penetration of international markets.
E)   imitate those of market leaders.F) B) and D)
G) B) and E)

Question 16

An ________________ process is useful for continuous gathering of information,but managers also need to develop and implement appropriate responses to any changes in key environmental forces such as competitors' actions and changes in government taxes and regulations.

Accepted Answer

environmental scanning
Explanation: An e...

Question 17

Historically,more aspects of _______ have been standardized and coordinated worldwide by companies than has been the case for other value chain activities such as _______.

Accepted Answer

A)   research and development; manufacturing
B)   marketing; manufacturing
C)   manufacturing; marketing
D)   marketing; research and development
E)   human resources; marketingF) A) and E)
G) A) and B)

Question 18

Knowledge that an individual has that is easy to express clearly in words,pictures,or formulas is known as

Accepted Answer

A)   explicit.
B)   implicit.
C)   tacit.
D)   intangible.
E)   valuable.F) A) and D)
G) A) and C)

Question 19

A prediction that provides managers with an estimate of future revenue to be received and the units to be sold,but also serves as the basis for planning in the other functional areas,is a

Accepted Answer

A)   sales forecast.
B)   budget.
C)   marketing plan.
D)   strategic plan.
E)   contingency plan.F) A) and D)
G) A) and E)

Question 20

International firms have found it necessary to institute formal global planning

Accepted Answer

A)   to eliminate the practice of informal planning.
B)   to provide top management with a means to identify threats and opportunities worldwide.
C)   to promote different courses of action among the firm's managers worldwide.
D)   to serve as an input for scenario building.E) A) and C)
F) C) and D)

Exam 9: International Competitive Strategy

Scenarios are forecasts that extrapolate from past data to make predictions.

Correct AnswerverifiedShow Answer

When a company faces strong pressures for reducing costs and limited pressure to adapt products for local markets,it should tend to use a

Correct AnswerverifiedShow Answer

In response to China's requirement to censor Internet searches

Correct AnswerverifiedShow Answer

Managers of international companies that are attempting to develop a competitive advantage face a formidable challenge because

Correct AnswerverifiedA

When developing and assessing strategic alternatives,companies competing in international markets confront which two opposing goals?

Correct AnswerverifiedShow Answer

According to the text,what is the primary value of scenario planning efforts?

Correct AnswerverifiedShow Answer

_________ are broad guidelines issued by upper management for the purpose of assisting lower-level managers in handling recurring problems.

Correct AnswerverifiedPoliciesExplanation: Policies...View AnswerShow Answer

Most top managers

Correct AnswerverifiedShow Answer

Scenarios are a particularly useful approach for international companies that face high levels of change and uncertainty,because they allow management to anticipate and prepare for opportunities and threats by predicting and controlling for these developments.

Correct AnswerverifiedFalse

Procedures are broad guidelines issued by upper management for the purpose of assisting lower-level managers in handling nonrecurring problems.

Correct AnswerverifiedShow Answer

In planning,there has recently been a decided move among many firms

Correct AnswerverifiedShow Answer

A ________________ tends to be used when a company simultaneously confronts pressures for cost-effectiveness and local adaptation.

Correct Answerverifiedmultidomestic strategy Explanation: A multidomestic strategy tends to be used when a company simultaneously confronts pressures for cost-effectiveness and local adaptation.

Compare and contrast global,multidomestic,and transnational strategies.

Correct AnswerverifiedAnswers may vary but may include the fol...View AnswerShow Answer

Companies pursuing a home replication strategy typically centralize product development functions in their home country and then transfer innovations to foreign markets to capture additional value.

Correct AnswerverifiedShow Answer

To create a competitive advantage that is sustainable over time,the international company should try to develop competencies that

Correct AnswerverifiedShow Answer

An ________________ process is useful for continuous gathering of information,but managers also need to develop and implement appropriate responses to any changes in key environmental forces such as competitors' actions and changes in government taxes and regulations.

Correct Answerverifiedenvironmental scanningExplanation: An e...View AnswerShow Answer

Historically,more aspects of _______ have been standardized and coordinated worldwide by companies than has been the case for other value chain activities such as _______.

Correct AnswerverifiedShow Answer

Knowledge that an individual has that is easy to express clearly in words,pictures,or formulas is known as

Correct AnswerverifiedShow Answer

A prediction that provides managers with an estimate of future revenue to be received and the units to be sold,but also serves as the basis for planning in the other functional areas,is a

Correct AnswerverifiedShow Answer

International firms have found it necessary to institute formal global planning

Correct AnswerverifiedShow Answer

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A

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Policies
Explanation: Policies...
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False

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multidomestic strategy Explanation: A multidomestic strategy tends to be used when a company simultaneously confronts pressures for cost-effectiveness and local adaptation.

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Answers may vary but may include the fol...
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environmental scanning
Explanation: An e...
View Answer

Historically,more aspects of _ have been standardized and coordinated worldwide by companies than has been the case for other value chain activities such as _.

Correct Answer
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