MGT 4478 final CGBP questions and
answers graded A+
In the past, many products were not competitive to be traded primarily due to - correct answer
✔✔High trade barriers, high transportation costs, high communication costs.
What is a global trend as regards to consumer behavior? - correct answer ✔✔Consumers are
increasingly demanding the same types of products
What are the fundamental reasons for a company to expand internationally? - correct answer
✔✔More sales, diversification, and supplying a growing global consumer base.
Due to the economies of scale in particular industries such as wide-bodied aircraft and
pharmaceutical drugs - correct answer ✔✔Companies in that industry rely on export sales to be
profitable.
What are the additional benefits for companies to expand internationally beyond the
fundamentals? - correct answer ✔✔Global branding, worldwide distribution, economies of
scale, cross-country learning, and global money flows.
What is a benefit of a global brand? - correct answer ✔✔It offers increased marketing
advantages and opportunities not available to strictly local brands.
What is the benefit to a company of having a worldwide distribution network? - correct answer
✔✔It can become a competitive barrier.
How does cross-country learning support a company's global growth? - correct answer ✔✔it
allows companies to bring best practices learned in one market to all markets.
, Within the context of global money flows, what is meant by cross-subsidization? - correct
answer ✔✔Using cash flow in one market to attack a competitor in another market.
Do the motivations to expand globally apply to large and small firms? - correct answer ✔✔The
motivations generally apply to both large and small companies.
In order to make international sales, which of the following is a true statement? - correct
answer ✔✔Travel to the foreign market is not required but suggested.
Which of the following would be issues included with an international business plan? - correct
answer ✔✔SWOT, product selection, entry mode, sales and expense forecast.
How much cash flow is required for a company to expand internationally? - correct answer
✔✔It varies based on the overall international strategy but can be less than the current
domestic budget.
Which of the following is not a necessary condition for a company to be ready to go global? -
correct answer ✔✔Foreign language ability
What is meant by a company's capability to produce international products? - correct answer
✔✔Can it manufacture products that meet foreign market standards and regulations?
How does a company's domestic strategy impact its international strategy? - correct answer
✔✔The international strategy will be based on a firm's competitive advantage and is an
important starting point from which the international strategy is developed.
What are some of the management and business plan implications relating to management
commitment? - correct answer ✔✔It establishes key decisions such as payback period, how
overhead is allocated, and feedback and control policies.
answers graded A+
In the past, many products were not competitive to be traded primarily due to - correct answer
✔✔High trade barriers, high transportation costs, high communication costs.
What is a global trend as regards to consumer behavior? - correct answer ✔✔Consumers are
increasingly demanding the same types of products
What are the fundamental reasons for a company to expand internationally? - correct answer
✔✔More sales, diversification, and supplying a growing global consumer base.
Due to the economies of scale in particular industries such as wide-bodied aircraft and
pharmaceutical drugs - correct answer ✔✔Companies in that industry rely on export sales to be
profitable.
What are the additional benefits for companies to expand internationally beyond the
fundamentals? - correct answer ✔✔Global branding, worldwide distribution, economies of
scale, cross-country learning, and global money flows.
What is a benefit of a global brand? - correct answer ✔✔It offers increased marketing
advantages and opportunities not available to strictly local brands.
What is the benefit to a company of having a worldwide distribution network? - correct answer
✔✔It can become a competitive barrier.
How does cross-country learning support a company's global growth? - correct answer ✔✔it
allows companies to bring best practices learned in one market to all markets.
, Within the context of global money flows, what is meant by cross-subsidization? - correct
answer ✔✔Using cash flow in one market to attack a competitor in another market.
Do the motivations to expand globally apply to large and small firms? - correct answer ✔✔The
motivations generally apply to both large and small companies.
In order to make international sales, which of the following is a true statement? - correct
answer ✔✔Travel to the foreign market is not required but suggested.
Which of the following would be issues included with an international business plan? - correct
answer ✔✔SWOT, product selection, entry mode, sales and expense forecast.
How much cash flow is required for a company to expand internationally? - correct answer
✔✔It varies based on the overall international strategy but can be less than the current
domestic budget.
Which of the following is not a necessary condition for a company to be ready to go global? -
correct answer ✔✔Foreign language ability
What is meant by a company's capability to produce international products? - correct answer
✔✔Can it manufacture products that meet foreign market standards and regulations?
How does a company's domestic strategy impact its international strategy? - correct answer
✔✔The international strategy will be based on a firm's competitive advantage and is an
important starting point from which the international strategy is developed.
What are some of the management and business plan implications relating to management
commitment? - correct answer ✔✔It establishes key decisions such as payback period, how
overhead is allocated, and feedback and control policies.
