Exam 12: The Strategy of International Business

Phillip is an international business manager with Corbin Manufacturing.Which of the following serves as an external influence on the business decisions that Phillip makes?

A distinct disadvantage of an international strategy is ________.

Advantages of following a strategy of local responsiveness include the ________.

A differentiation strategy is a unique mixture of the localization and global strategies whereby the company attempts to capture the advantages of both.

Preston Electronics is an MNE with facilities located in Taiwan, Singapore, and Germany.Preston gives its local operations the authority to adapt value activities to prevailing local economic, political, legal, and cultural conditions.Preston is most likely using a(n)________ strategy.

Managers use a value chain analysis to determine how the company will design, make, move, and sell products; how it will find efficiencies in doing so; and how it will coordinate the decisions in one part of the business with those made in other parts.

Which force in Toyota's immediate environment would most likely have the greatest impact on its strategy?

Some companies that opt for the cost leadership strategy plan to sell products below the average industry prices in order to capture market share.

A distinct advantage of an international strategy is ________.

Describe the pressures for local responsiveness that international companies face.

A core competency gives every employee in an MNE a principle that helps them coordinate transactions between value activities.

Marrin Associates is an MNE with operations in Hong Kong, India, and Canada.The firm strives to leverage its core competencies worldwide, reduce costs by exploiting location economics, and adapt when efficient to local conditions.Marrin is most likely following a(n)________ strategy.

The industry organization (IO)paradigm assumes which of the following?

The MNE that applies a global strategy aims to ________.

Successful implementation of a ________ strategy requires a company to develop unique competencies that rivals find hard, if not impossible, to match or copy.

Which of the following is NOT a disadvantage of the international strategy?

The quest to maximize individual purchasing power compels local responsiveness.

Which of the following is the primary limitation of the transnational strategy?

The framework that managers use to make decisions that maximize their companies' value creation performance is referred to as a strategy.

Which of the following would most likely pressure an MNE to globally integrate its value activities?