7/4/25, 9:58
PM
MBA 705 - CH 4&5 Exam questions and answers with
complete solutions verified latest update graded a++
Terms in this set (287)
Social forces -Concepts and beliefs that members of a society
tend to hold in high esteem.
-include societal values, trends, traditions,
religious practices
-individual freedom
-fairness
societal values in US -free markets
-free speech
-equality of opportunity
culture A society's generally accepted values,
traditions, and patterns of behavior.
cross cultural require modifications in managerial behaviors
differences in norms
and values
1. digitization can eliminate capacity constraints
2. network effects exist, value of an
3 factors linked to offering increases simultaneously w.
advance in number of users
technology 3. transportation and telcom have reduced
geographical barrier for selling
supporters of -flatter world is the natural order
expanding tech and a
1/
17
,7/4/25, 9:58
PM
level economic -efforts to thwart it will only stifle growth in
playing field economic powers
opponents of -unbridled global trade drives down wages
expanding tech and a -ultimately result in a reduced standard of living
level economic
playing field
-keep track of customers
traditional firms utilize -increase sales
the internet to -enhance visibility
a firm will expand until the costs of
organizing an extra transaction w/in the
coase's law firm become equal to the costs of
carrying out the same transaction on the
open market
** basically most large firms can do
everything themselves better than if they
were to outsource to open market
self-reference -unconscious reference to one's own cultural
criterion values as a standard of judgment.
-suggested as the cause of many international
business problems
A contractual relationship with an enterprise
partnership outside the organization.
-longer term commitment associated with
activities that are more complex
-extension of org.
When all parties to a transaction share
information symmetry the same information concerning that
2/
17
, 7/4/25, 9:58
PM
transaction.
-under assumption of pure competition
information asymmetry When one party has information that another
does not.
-primary reason why many markets are less
competitive
why firms push lack of consumer knowledge, time, and
asymmetry expertise required to obtain info desired
results in higher selling price
internet acts as distribution channel for non-tangible goods and
service
-difficulty firms have distinguishing their
products and services from those of their
commoditization rivals.
-goods or services become relatively
indistinguishable from competing
offerings over time
buyers view their tending to reduce purchase decisions to
products as things such as major product feature,
commodities reliability, or convenience, price
ability to individualize product and service
mass customization offerings to meet specific buyer needs
-i.e. how amazon suggest top selling
books for individual customer based on
previous purchase behavior
mass customization firms to enhance both customization and EoS via
allows technology
-systematic collection and analysis of
3/
17
PM
MBA 705 - CH 4&5 Exam questions and answers with
complete solutions verified latest update graded a++
Terms in this set (287)
Social forces -Concepts and beliefs that members of a society
tend to hold in high esteem.
-include societal values, trends, traditions,
religious practices
-individual freedom
-fairness
societal values in US -free markets
-free speech
-equality of opportunity
culture A society's generally accepted values,
traditions, and patterns of behavior.
cross cultural require modifications in managerial behaviors
differences in norms
and values
1. digitization can eliminate capacity constraints
2. network effects exist, value of an
3 factors linked to offering increases simultaneously w.
advance in number of users
technology 3. transportation and telcom have reduced
geographical barrier for selling
supporters of -flatter world is the natural order
expanding tech and a
1/
17
,7/4/25, 9:58
PM
level economic -efforts to thwart it will only stifle growth in
playing field economic powers
opponents of -unbridled global trade drives down wages
expanding tech and a -ultimately result in a reduced standard of living
level economic
playing field
-keep track of customers
traditional firms utilize -increase sales
the internet to -enhance visibility
a firm will expand until the costs of
organizing an extra transaction w/in the
coase's law firm become equal to the costs of
carrying out the same transaction on the
open market
** basically most large firms can do
everything themselves better than if they
were to outsource to open market
self-reference -unconscious reference to one's own cultural
criterion values as a standard of judgment.
-suggested as the cause of many international
business problems
A contractual relationship with an enterprise
partnership outside the organization.
-longer term commitment associated with
activities that are more complex
-extension of org.
When all parties to a transaction share
information symmetry the same information concerning that
2/
17
, 7/4/25, 9:58
PM
transaction.
-under assumption of pure competition
information asymmetry When one party has information that another
does not.
-primary reason why many markets are less
competitive
why firms push lack of consumer knowledge, time, and
asymmetry expertise required to obtain info desired
results in higher selling price
internet acts as distribution channel for non-tangible goods and
service
-difficulty firms have distinguishing their
products and services from those of their
commoditization rivals.
-goods or services become relatively
indistinguishable from competing
offerings over time
buyers view their tending to reduce purchase decisions to
products as things such as major product feature,
commodities reliability, or convenience, price
ability to individualize product and service
mass customization offerings to meet specific buyer needs
-i.e. how amazon suggest top selling
books for individual customer based on
previous purchase behavior
mass customization firms to enhance both customization and EoS via
allows technology
-systematic collection and analysis of
3/
17
