Exam 6: Designing Organizations for the International Environment

Compare and contrast the typical alliances: licensing, joint ventures, and consortia.

Discuss the national value systems.

Nestle SA gets most of its sales from outside the "home" country of Switzerland, and its employees are spread all over the world. The CEO is Belgian, and the chairman was born in Austria, and more than half of the company's managers are non-Swiss. Nestle has hundreds of brands and has production facilities or other operations in almost every country in the world. Nestle is in the _____ stage of international development.

Which stage is export-oriented and in a competitive position?

In the ____ stage of international evolution, explosion occurs as international operations take off.

Service companies cannot use a divisional structure.

The "not-invented-here" syndrome makes some managers reluctant to tap into the know-how and expertise of other units.

Building a global presence expands an organization's scale of operations, enabling it to realize economies of scale.

Building a global presence expands an organization's scale of operations, enabling it to realize:

The fourth and ultimate stage of international development is the multinational stage.

____ are typical in highly volatile environments.

In the ____ stage, an international division has replaced the export department, and specialists are hired to handle sales, service, and warehousing abroad.

The transnational model is characterized by:

Managers and organizations all over the world are very reluctant to cooperate to achieve competitive advantage on a global scale.

The _____ structure divides the world into geographic reasons.

In general, services are less suitable for globalization because different customs and habits often require a different approach to providing service.

The global geographic structure divides the world into geographical regions, with each geographical division reporting to the CEO.

A company typically shifts its interest from domestic activity to exporting in the 3rd stage (multinational) of international development.

The worldwide geographic or product structures are most likely to appear during the ____ stage of international evolution.

Wheras the _____ divisions are typically organized along functional or product lines, the _____ division is organized according to geographic interests.