Question 1

The ________ calls for a firm to create departments or divisions that have worldwide responsibility for common organizational functions.

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 2

Operations control usually focuses on the lower levels of a firm such as first-line managers and operating employees.

Accepted Answer

A) True 
 B)False

Question 3

What is the focus of organizational control?

Accepted Answer

Organizational control focuses

Question 4

Which of the following is an advantage of using a global area design?

Accepted Answer

A)  eliminating duplication of functional areas 
B)  gaining cost efficiencies in manufacturing 
C)  tailoring the product mix in a region 
D)  encouraging global product planning 
A)  eliminating duplication of functional areas 
B)  gaining cost efficiencies in manufacturing 
C)  tailoring the product mix in a region 
D)  encouraging global product planning

Question 5

Vantage Computers, an MNE, has a multidomestic corporate philosophy. Which organizational design would be most useful for Vantage?

Accepted Answer

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

Question 6

________ is the process of monitoring ongoing performance and making necessary changes to keep the organization moving toward its performance goals.

Accepted Answer

A)  Coordination 
B)  Control 
C)  Implementation 
D)  Execution 
A)  Coordination 
B)  Control 
C)  Implementation 
D)  Execution

Question 7

________ focuses specifically on operating processes and systems within both the firm and its subsidiaries and operating units.

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 8

Maureen is manager of the export department at Claussen Cutlery. Which of the following is LEAST likely a responsibility of Maureen's department?

Accepted Answer

A)  overseeing domestic operations 
B)  working with foreign distributors 
C)  processing orders 
D)  marketing products 
A)  overseeing domestic operations 
B)  working with foreign distributors 
C)  processing orders 
D)  marketing products

Question 9

What is the difference between an M-form design and an H-form design? When would international firms use each of these?

Accepted Answer

A firm with related products using the g

Question 10

What is the focus of strategic control?

Accepted Answer

Strategic control focuses on h

Question 11

Manix Enterprises, an MNC, uses a global product organizational design. Manix manufactures and sells chemical products and electronics. The firm also owns a financial services company and a small hotel chain. Which form does Manix most likely use?

Accepted Answer

A)  C-form 
B)  H-form 
C)  M-form 
D)  U-form 
A)  C-form 
B)  H-form 
C)  M-form 
D)  U-form

Question 12

Host governments typically require international firms to develop accounting procedures based on local regulations, which is problematic for firms operating in multiple countries with incompatible accounting standards.

Accepted Answer

A) True 
 B)False

Question 13

A(n) ________ is a numerical index of performance that the firm wants to maintain.

Accepted Answer

A)  control standard 
B)  performance ratio 
C)  accounting standard 
D)  benchmark 
A)  control standard 
B)  performance ratio 
C)  accounting standard 
D)  benchmark

Question 14

Which of the following types of knowledge is not necessary to compete effectively in international business?

Accepted Answer

A)  area knowledge 
B)  product knowledge 
C)  functional knowledge 
D)  geocentric knowledge 
A)  area knowledge 
B)  product knowledge 
C)  functional knowledge 
D)  geocentric knowledge

Question 15

When is a subsidiary board beneficial to an international firm? Why would an MNC appoint prominent local citizens to a subsidiary board?

Accepted Answer

A subsidiary board is most useful when t

Question 16

Managers at Audio-Tech, an MNE, are trying to determine the best organizational design for the firm. Which factor is LEAST relevant to this decision?

Accepted Answer

A)  firm size 
B)  HR metrics 
C)  technology 
D)  environment 
A)  firm size 
B)  HR metrics 
C)  technology 
D)  environment

Question 17

What types of firms use the functional design?

Accepted Answer

The functional design is used

Question 18

Which design assigns worldwide responsibility for specific products or product groups to separate operating divisions within a firm?

Accepted Answer

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

Question 19

What is the first step in establishing an international control system?

Accepted Answer

A)  Set control standards for performance. 
B)  Measure actual performance. 
C)  Compare performance against standards. 
D)  Discuss deviations with employees. 
A)  Set control standards for performance. 
B)  Measure actual performance. 
C)  Compare performance against standards. 
D)  Discuss deviations with employees.

Question 20

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

Accepted Answer

A) True 
 B)False

The ________ calls for a firm to create departments or divisions that have worldwide responsibility for common organizational functions.

Operations control usually focuses on the lower levels of a firm such as first-line managers and operating employees.

What is the focus of organizational control?

Which of the following is an advantage of using a global area design?

Vantage Computers, an MNE, has a multidomestic corporate philosophy. Which organizational design would be most useful for Vantage?

________ is the process of monitoring ongoing performance and making necessary changes to keep the organization moving toward its performance goals.

________ focuses specifically on operating processes and systems within both the firm and its subsidiaries and operating units.

Maureen is manager of the export department at Claussen Cutlery. Which of the following is LEAST likely a responsibility of Maureen's department?

What is the difference between an M-form design and an H-form design? When would international firms use each of these?

What is the focus of strategic control?

Manix Enterprises, an MNC, uses a global product organizational design. Manix manufactures and sells chemical products and electronics. The firm also owns a financial services company and a small hotel chain. Which form does Manix most likely use?

Host governments typically require international firms to develop accounting procedures based on local regulations, which is problematic for firms operating in multiple countries with incompatible accounting standards.

A(n) ________ is a numerical index of performance that the firm wants to maintain.

Which of the following types of knowledge is not necessary to compete effectively in international business?

When is a subsidiary board beneficial to an international firm? Why would an MNC appoint prominent local citizens to a subsidiary board?

Managers at Audio-Tech, an MNE, are trying to determine the best organizational design for the firm. Which factor is LEAST relevant to this decision?

What types of firms use the functional design?

Which design assigns worldwide responsibility for specific products or product groups to separate operating divisions within a firm?

What is the first step in establishing an international control system?

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

An Overview of International Business

Global Marketplaces and Business Centers

Legal, Technological, Accounting, 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 ________ calls for a firm to create departments or divisions that have worldwide responsibility for common organizational functions.

Operations control usually focuses on the lower levels of a firm such as first-line managers and operating employees.

What is the focus of organizational control?

Which of the following is an advantage of using a global area design?

Vantage Computers, an MNE, has a multidomestic corporate philosophy. Which organizational design would be most useful for Vantage?

________ is the process of monitoring ongoing performance and making necessary changes to keep the organization moving toward its performance goals.

________ focuses specifically on operating processes and systems within both the firm and its subsidiaries and operating units.

Maureen is manager of the export department at Claussen Cutlery. Which of the following is LEAST likely a responsibility of Maureen's department?

What is the difference between an M-form design and an H-form design? When would international firms use each of these?

What is the focus of strategic control?

Manix Enterprises, an MNC, uses a global product organizational design. Manix manufactures and sells chemical products and electronics. The firm also owns a financial services company and a small hotel chain. Which form does Manix most likely use?

Host governments typically require international firms to develop accounting procedures based on local regulations, which is problematic for firms operating in multiple countries with incompatible accounting standards.

A(n) ________ is a numerical index of performance that the firm wants to maintain.

Which of the following types of knowledge is not necessary to compete effectively in international business?

When is a subsidiary board beneficial to an international firm? Why would an MNC appoint prominent local citizens to a subsidiary board?

Managers at Audio-Tech, an MNE, are trying to determine the best organizational design for the firm. Which factor is LEAST relevant to this decision?

What types of firms use the functional design?

Which design assigns worldwide responsibility for specific products or product groups to separate operating divisions within a firm?

What is the first step in establishing an international control system?

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

An Overview of International Business

Global Marketplaces and Business Centers

Legal, Technological, Accounting, 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