Question 1

The main levels at which control can be implemented includes which one of the following?

Accepted Answer

A)  marketing level 
B)  financial level 
C)  organizational level 
D)  economic level 
A)  marketing level 
B)  financial level 
C)  organizational level 
D)  economic level

Question 2

What are the typical levels a firm goes through with regard to its organizational design as it transitions from domestic to international to global? What are the three managerial philosophies that guide organization design? Briefly explain when each philosophy is appropriate.

Accepted Answer

If a firm is participating in indirect e

Question 3

Which of the following is an advantage of the functional design?

Accepted Answer

A)  Expertise is transferred with difficulty between functional areas. 
B)  Managers no longer have centralized control over functional operations. 
C)  Attention is focused on key areas of the firm. 
D)  Coordination between divisions is simplified. 
A)  Expertise is transferred with difficulty between functional areas. 
B)  Managers no longer have centralized control over functional operations. 
C)  Attention is focused on key areas of the firm. 
D)  Coordination between divisions is simplified.

Question 4

British Airways is a single-business firm with company-wide function operations dedicated to marketing and operations, public affairs, human resources, and other basic functions. How could the organizational design of British Airways best be described?

Accepted Answer

A)  global product design 
B)  global area design 
C)  global functional design 
D)  global matrix design 
A)  global product design 
B)  global area design 
C)  global functional design 
D)  global matrix design

Question 5

Which organizational design is appropriate when the various customer groups targeted by a firm are so diverse as to require totally distinct marketing approaches?

Accepted Answer

A)  global area design 
B)  global functional design 
C)  global matrix design 
D)  global customer design 
A)  global area design 
B)  global functional design 
C)  global matrix design 
D)  global customer design

Question 6

Why is it important for an international firm to develop and maintain an effective accounting system? What accounting issues are faced by firms with subsidiaries in multiple countries? How can these problems be addressed?

Accepted Answer

It is extremely important for internatio

Question 7

Sarita, a manager at a large international firm, is primarily responsible for the financial resources of the entire organization. Sarita is most likely the firm's ________.

Accepted Answer

A)  chief financial officer 
B)  auditor 
C)  controller 
D)  vice president of financial affairs 
A)  chief financial officer 
B)  auditor 
C)  controller 
D)  vice president of financial affairs

Question 8

What is the meaning of functional knowledge?

Accepted Answer

Functional knowledge refers to

Question 9

The most complex form of international organizational design is the global matrix design.

Accepted Answer

A) True 
 B)False

Question 10

An important characteristic of a successful firm is its ability to match its strategy with a compatible organizational design.

Accepted Answer

A) True 
 B)False

Question 11

Acme Medical Equipment, an MNC, pursues a similar strategy in each market in which the firm competes and typically experiences very predictable operations. Which control system would most likely be best for Acme Medical Equipment?

Accepted Answer

A)  responsibility center control 
B)  generic organizational control 
C)  planning process control 
D)  operations control 
A)  responsibility center control 
B)  generic organizational control 
C)  planning process control 
D)  operations control

Question 12

Peak Manufacturing, an MNE, concentrates its organizational control system on the actual mechanics and processes the firm uses to develop strategic plans. Peak Manufacturing is using operations control.

Accepted Answer

A) True 
 B)False

Question 13

Responsibility center control tends to follow a centralized decision-making system.

Accepted Answer

A) True 
 B)False

Question 14

________ is the overall pattern of structural components and configurations used to manage the total organization.

Accepted Answer

A)  Organizational design 
B)  Functional design 
C)  Management 
D)  Strategy 
A)  Organizational design 
B)  Functional design 
C)  Management 
D)  Strategy

Question 15

How is strategic control handled in strategic alliances?

Accepted Answer

Most partners agree to develop an indepe

Question 16

Inventory turnover is a common performance ratio used by international firms.

Accepted Answer

A) True 
 B)False

Question 17

Parker Industries manufactures and sells a variety of goods including carpeting, power tools, and wallpaper. Which form of organization would most likely be appropriate for Parker Industries?

Accepted Answer

A)  global product design 
B)  global functional design 
C)  global matrix design 
D)  global hybrid design 
A)  global product design 
B)  global functional design 
C)  global matrix design 
D)  global hybrid design

Question 18

Empowering a subsidiary's board promotes centralization.

Accepted Answer

A) True 
 B)False

Question 19

A ________ is the result of superimposing one form of organization design on top of a different, existing form.

Accepted Answer

A)  global area design 
B)  global functional design 
C)  global matrix design 
D)  global hybrid design 
A)  global area design 
B)  global functional design 
C)  global matrix design 
D)  global hybrid design

Question 20

What are the four functions of organizational design?

Accepted Answer

Organizational design allocates organiza

The main levels at which control can be implemented includes which one of the following?

What are the typical levels a firm goes through with regard to its organizational design as it transitions from domestic to international to global? What are the three managerial philosophies that guide organization design? Briefly explain when each philosophy is appropriate.

Which of the following is an advantage of the functional design?

British Airways is a single-business firm with company-wide function operations dedicated to marketing and operations, public affairs, human resources, and other basic functions. How could the organizational design of British Airways best be described?

Which organizational design is appropriate when the various customer groups targeted by a firm are so diverse as to require totally distinct marketing approaches?

Why is it important for an international firm to develop and maintain an effective accounting system? What accounting issues are faced by firms with subsidiaries in multiple countries? How can these problems be addressed?

Sarita, a manager at a large international firm, is primarily responsible for the financial resources of the entire organization. Sarita is most likely the firm's ________.

What is the meaning of functional knowledge?

The most complex form of international organizational design is the global matrix design.

An important characteristic of a successful firm is its ability to match its strategy with a compatible organizational design.

Acme Medical Equipment, an MNC, pursues a similar strategy in each market in which the firm competes and typically experiences very predictable operations. Which control system would most likely be best for Acme Medical Equipment?

Peak Manufacturing, an MNE, concentrates its organizational control system on the actual mechanics and processes the firm uses to develop strategic plans. Peak Manufacturing is using operations control.

Responsibility center control tends to follow a centralized decision-making system.

________ is the overall pattern of structural components and configurations used to manage the total organization.

How is strategic control handled in strategic alliances?

Inventory turnover is a common performance ratio used by international firms.

Parker Industries manufactures and sells a variety of goods including carpeting, power tools, and wallpaper. Which form of organization would most likely be appropriate for Parker Industries?

Empowering a subsidiary's board promotes centralization.

A ________ is the result of superimposing one form of organization design on top of a different, existing form.

What are the four functions of organizational design?

An Overview of International Business

Global Marketplaces and Business Centers

Legal, Technological, and Political Environments

The Role of Culture

Ethics and Social Responsibility in International Business

International Trade and Investment

The International Monetary System and the Balance of Payments

Foreign Exchange and International Financial Markets

Formulation of National Trade Policies

International Cooperation Among Nations

International Strategic Management

Strategies for Analyzing and Entering Foreign Markets

International Strategic Alliances

Leadership and Employee Behavior in International Business

International Marketing

International Operations Management

International Financial Management

International Human Resource Management and Labor Relations

Filters

Exam 14: International Organization Design and Control

The main levels at which control can be implemented includes which one of the following?

What are the typical levels a firm goes through with regard to its organizational design as it transitions from domestic to international to global? What are the three managerial philosophies that guide organization design? Briefly explain when each philosophy is appropriate.

Which of the following is an advantage of the functional design?

British Airways is a single-business firm with company-wide function operations dedicated to marketing and operations, public affairs, human resources, and other basic functions. How could the organizational design of British Airways best be described?

Which organizational design is appropriate when the various customer groups targeted by a firm are so diverse as to require totally distinct marketing approaches?

Why is it important for an international firm to develop and maintain an effective accounting system? What accounting issues are faced by firms with subsidiaries in multiple countries? How can these problems be addressed?

Sarita, a manager at a large international firm, is primarily responsible for the financial resources of the entire organization. Sarita is most likely the firm's ________.

What is the meaning of functional knowledge?

The most complex form of international organizational design is the global matrix design.

An important characteristic of a successful firm is its ability to match its strategy with a compatible organizational design.

Acme Medical Equipment, an MNC, pursues a similar strategy in each market in which the firm competes and typically experiences very predictable operations. Which control system would most likely be best for Acme Medical Equipment?

Peak Manufacturing, an MNE, concentrates its organizational control system on the actual mechanics and processes the firm uses to develop strategic plans. Peak Manufacturing is using operations control.

Responsibility center control tends to follow a centralized decision-making system.

________ is the overall pattern of structural components and configurations used to manage the total organization.

How is strategic control handled in strategic alliances?

Inventory turnover is a common performance ratio used by international firms.

Parker Industries manufactures and sells a variety of goods including carpeting, power tools, and wallpaper. Which form of organization would most likely be appropriate for Parker Industries?

Empowering a subsidiary's board promotes centralization.

A ________ is the result of superimposing one form of organization design on top of a different, existing form.

What are the four functions of organizational design?

An Overview of International Business

Global Marketplaces and Business Centers

Legal, Technological, and Political Environments

The Role of Culture

Ethics and Social Responsibility in International Business

International Trade and Investment

The International Monetary System and the Balance of Payments

Foreign Exchange and International Financial Markets

Formulation of National Trade Policies

International Cooperation Among Nations

International Strategic Management

Strategies for Analyzing and Entering Foreign Markets

International Strategic Alliances

Leadership and Employee Behavior in International Business

International Marketing

International Operations Management

International Financial Management

International Human Resource Management and Labor Relations

Filters