Introduction to Management University of Iowa EXAM NEWEST 2026 ACTUAL EXAM COMPLETE QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+

Introduction to Management University of Iowa EXAM NEWEST 2026 ACTUAL EXAM COMPLETE QUESTIONS AND CORRECT DETAILED ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+ What are the forces for internalization? - Answer- Modern communication technology Air travel Corporate globalism Internalization Process - Answer- Stage 1: Exporting Manufacture products and ship them abroad Stage 2: Cooperative contracts Franchising/Licensing Stage 3: Strategic alliances Companies combine resources/technology to share costs and split profits Stage 4: Wholly owned affiliates OR Global new ventures** Two different types of cooperative contracts - Answer- Licensing and franchising What was the problem at Mustang Jeans? - Answer- -Trying to sell jeans in a foreign country -Doesn't understand importance in building a relationship -Not understanding cultural differences High vs. Low Context Cultures - Answer- High: nonverbal and situational messages convey meaning -Relationship more important than terms -Emphasize developing interpersonal relationships -(Asia, Europe, South America) Low: words convey primary meaning -Nonverbal messages are secondary -The terms of the deal are more important than building a business relationship -Straightforward, concise, and efficient -United States What are Hofstede's dimensions? - Answer- Long-term vs. Short-term orientation -How far into the future are people thinking vs living in the now, enjoying the present Uncertainty avoidance -To what extent are people okay with uncertainty vs prioritizing security/safety Masculinity vs. Femininity -To what extent does a country value assertiveness vs building relationships, nurturing others Individualism vs. Collectivism -Expect individuals to achieve on their own vs with their group Power distance -People in society willing to accept hierarchies or distributions Definition of tariff and non-tariff trade barriers - Answer- Tariff- a direct tax on imported goods Nontariff- barriers non tax methods of increasing the cost or reducing the volume of imported goods Why do managers need to know about tariffs and trade? - Answer- Free-trade agreements create new business opportunities and also intensify competition, and addressing that competition is a manager's job Characteristics of an attractive foreign business climate - Answer- 1. Growing markets -purchasing power -foreign competitors 2. Choosing an Office/Manufacturing Location -Qualitative factors -Quantitative factors 3. Minimizing Political Risk -Political uncertainty -Policy uncertainty How do you prepare for an international assignment? - Answer- (involves an expatriate-someone who lives and works outside his or her native country) -Language and Cross-Cultural Training -Spouse, Family, and Dual-Career Issues What is a mongrel? Why is it a good thing? - Answer- A person comfortable in multiple countries -it pawns creativity, nourishes the human spirit, spurs economic growth, empowers nations -avoids barriers -diversity is good What makes an effective mission statement? - Answer- It must stretch and challenge the organization, yet be achievable Options for getting into business - Answer- -Family-owned -Starting new -Buy existing (under appreciated, easiest) -Buy franchise Ways to get funding - Answer- Equity -Investors give you money, but owns a % of those profits Debt -Borrow money, but have to pay creditor back (with interest) Awards from competitions Types of ownership (and differences between them) - Answer- Proprietorship/Partnership -A business that legally has no separate existence from its owner Corporation -Creates a business as a separate entity than the owners -A lot of taxes -Government covers debts Subchapter S-Corporation -Limited Liability Company (LLC) -Separate legal entities -Business only is liable for debt -Profits that they earn are not taxed -Taxed only 1 time -Over 95% of ownerships are these** Main differences: How/when earnings are taxed Liability for debts Key ideas behind 'burn your business plan' - Answer- -Doesn't take a huge business plan to convince someone -Don't spend so much time writing a plan, instead, actually do it Investors are rather interested in... -Great oral presentation -Compelling written story -Effective website -Hard-hitting financial projections