Chapter 05 The Global Environment ALL ANSWERS FALL-2021/2022 SOLUTION GUARANTEED GRADE A+ 100%

1. (p. 128) refers to the strategy of pursuing opportunities anywhere in the world that enable a firm to optimize its business functions in the countries in which it operates. A. Vertical integration B. Horizontal integration C. Globalization D. Franchising Difficulty: Easy Learning Objective: 1 2. (p. 128) is the use of a common product, service, and message across all markets to create a strong brand image. A. Globalization B. Horizontal integration C. Standardization D. Customization Difficulty: Easy Learning Objective: 1 3. (p. 128) is the development of modified products and services, and the use of somewhat tailor-made messages, to meet the demands of a local population A. Globalization B. Horizontal integration C. Customization D. Standardization Difficulty: Easy Learning Objective: 1 4. (p. 128) The change in customer behavior was the beginning of an evolution in international strategy. A. saving B. living C. purchase D. moving Difficulty: Easy Learning Objective: 1 5. (p. 128) The 100 largest U.S. global earn an average of percent of their operating profits abroad. A. 12 B. 69 C. 54 D. 37 Difficulty: Hard Learning Objective: 1 6. (p. 128) Firms from which country lead the way in "direct foreign investment" in the United States? A. Japan B. India C. China D. United Kingdom Difficulty: Medium Learning Objective: 1 7. (p. 128) In recent times, as companies go global, standardization is steadily being replaced by . A. globalization B. customization C. democratization D. vulcanization Difficulty: Medium Learning Objective: 1 8. (p. 128) The direct foreign investment of foreign-based globals that operate in the United States now exceeds A. 200 billion B. 20 billion C. 90 billion D. 9 billion Difficulty: Medium Learning Objective: 1 9. (p. 130) The evolution of a global corporation often entails progressively involved strategy levels. What level has the minimal effect on existing product lines? A. Foreign licensing B. Export-import C. Technology transfer D. Direct investment Difficulty: Medium Learning Objective: 1 10. (p. 130) Firms at what strategy level are called multinational corporations (MNCs)? A. First B. Second C. Third D. Fourth Difficulty: Easy Learning Objective: 1 11. (p. 130) Which of these represent the second level in the evolution of a global corporation? A. Foreign licensing B. Direct investment C. Export-import D. Bartering Difficulty: Easy Learning Objective: 1 12. (p. 130) MNCs are involved mainly in which of the following strategies? A. Direct overseas investment B. Capital repatriation C. Joint research D. Host financial policies Difficulty: Medium Learning Objective: 1 13. (p. 130) At what level do firms begin to emerge as global enterprises with global approaches to production, sales, finance, and control? A. Third B. Fourth C. Second D. First Difficulty: Medium Learning Objective: 1 14. (p. 131) The most involved strategy level in the evolution of a global corporation in characterized by A. Technology transfer B. Export-import operations C. Foreign licensing D. A substantial increase in foreign investment Difficulty: Medium Learning Objective: 1 15. (p. 131) In the past 30 years, the U.S. has in terms of technological advantage. A. Substantially enhanced B. Maintained a status quo C. Declined dramatically D. Reaches the number one spot in the world Difficulty: Hard Learning Objective: 1 16. (p. 131) Which country leads in chemicals and pharmaceuticals, precision and heavy machinery, heavy electrical goods and surface transport equipment? A. France B. Germany C. Japan D. The U.S. Difficulty: Hard Learning Objective: 1 17. (p. 131) leads in optics, solid-state physics, engineering, chemistry and process metallurgy. A. Japan B. France C. The U.S. D. Germany Difficulty: Hard Learning Objective: 1 18. (p. 132) Direct penetration of foreign markets makes sense as a competitive weapon because a firm can drain vital from a foreign competitor’s domestic operations. A. cash flows B. export sales C. dividends D. debt Difficulty: Medium Learning Objective: 1 19. (p. 133) A(n) orientation believes that the values and priorities of the parent organization should guide the strategic decision making of all its operations. A. Ethnocentric B. Polycentric C. Regiocentric D. Geocentric Difficulty: Medium Learning Objective: 2 20. (p. 133) Which one of the following is NOT a strategic orientation of global firms? A. Omnicentric B. Ethnocentric C. Polycentric D. Regiocentric Difficulty: Medium Learning Objective: 2 21. (p. 133) If a corporations has a(n) orientation, then the culture of the country in which a strategy is to be implemented is allowed to dominate the decision-making process. A. Polycentric B. Ethnocentric C. Regiocentric D. Geocentric Difficulty: Medium Learning Objective: 2 22. (p. 133) A(n) orientation exists when the parent attempts to blend its own predisposition with those of the region under consideration. A. Polycentric B. Regiocentric C. Ethnocentric D. Geocentric Difficulty: Medium Learning Objective: 2 23. (p. 133) A company with a orientation adopts a global systems approach to strategic decision making, thereby emphasizing global integration. A. Ethnocentric B. Polycentric C. Regiocentric D. Geocentric Difficulty: Medium Learning Objective: 2 24. (p. 133) A firm with a orientation adopts a global systems approach to strategic decision making, thereby emphasizing global integration. A. polycentric B. geocentric C. regiocentric D. ethnocentric Difficulty: Hard Learning Objective: 2 25. (p. 133) American firms often adopt a orientation for pursuing strategies in Europe. A. polycentric B. regiocentric C. geocentric D. ethnocentric Difficulty: Hard Learning Objective: 2 26. (p. 134) In which of these orientations is governance top-down? A. Polycentric B. Ethnocentric C. Geocentric D. Regioentric Difficulty: Hard Learning Objective: 2 27. (p. 134) In which of these orientations is governance bottom-up? A. Ethnocentric B. Polycentric C. Geocentric D. Regioentric Difficulty: Hard Learning Objective: 2 28. (p. 134) In which of these orientations are we likely to see hierarchical product divisions? A. Polycentric B. Ethnocentric C. Geocentric D. Regioentric Difficulty: Hard Learning Objective: 2 29. (p. 134) In which of these orientations is repatriations of profits to home country a key priority? A. Polycentric B. Ethnocentric C. Geocentric D. Regioentric Difficulty: Hard Learning Objective: 2 30. (p. 134) In which of these orientations is national responsiveness a key strategic priority? A. Ethnocentric B. Polycentric C. Geocentric D. Regioentric Difficulty: Hard Learning Objective: 2 31. (p. 134) countries maintain their stability by restricting the flow of money, goods, services, people, and information across their borders. A. Open