Exam 6: Designing Organizations for the International Environment

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

____ teams are cross-border work groups made up of multiskilled, multinational members whose activities span multiple countries.

One of the earliest, and still one of the most powerful, motivations for U.S. companies to invest abroad relates to ____: obtaining raw materials, labor, and other resources at the lowest possible cost.

The ____ model reflects the ultimate in both organizational complexity, with many diverse units, and organizational coordination, with mechanisms for integrating the varied parts.

Select any organization with which you are familiar--your college, the Toyota dealership down the road, a corporation where you work, etc. Analyze the global forces that influence the organization you selected. How should the organization respond to those global forces in order to gain international competitive advantage?

As organizations become more differentiated, with multiple products, divisions, departments, and positions scattered across numerous countries, managers face a tremendous ____ challenge.

The most advanced and competitive use of global teams involves simultaneous contributions in three strategic areas. List these three areas.

-Reference Organization Chart 6.1. This structure is:

____ are groups of independent companies that join together to share skills, resources, costs, and access to one another's markets.

In one survey, 70 percent of global companies reported that the most important function of corporation headquarters was to:

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

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

Compare and contrast the globalization strategy and the multidomestic strategy. Give an example of effective use of each strategy.

The management philosophy of transnational model is based on interdependence rather than either full divisional independence or total dependence of these units on headquarters for decision making and control.

A joint venture is a separate entity created with two or more active firms as sponsors.

-Reference Organization Chart 6.1. Comparing the structure that is diagramed to a global geographic structure:

Hybrid structures are typical in highly volatile environments.

If the forces for national responsiveness and the forces for global integration are high, then a multidomestic strategy with a global geographic structure would be the best fit.

In many instances, companies will need to respond to both global and local opportunities simultaneously, in which case the global matrix structure can be used.

What are the three primary segments of the global organizational challenge? Discuss each.