Question 1

A company using just-in-time (JIT)manufacturing involves ________.

Accepted Answer

A)  increased availability of components in large inventories 
B)  quicker detection of defective materials and components 
C)  easier training of sales staff regarding product descriptions 
D)  benefits stemming from combining several Japanese technologies 
A)  increased availability of components in large inventories 
B)  quicker detection of defective materials and components 
C)  easier training of sales staff regarding product descriptions 
D)  benefits stemming from combining several Japanese technologies

Question 2

Which of the following statements is true of outsourcing?

Accepted Answer

A)  It reduces economic risk by facilitating the purchase of large insurance policies. 
B)  It reduces production risk by eliminating delays in the timely receipt of needed parts. 
C)  It reduces political risk by enabling the company to avoid investing in plants and equipment abroad. 
D)  It reduces currency risk by allowing the company to invest the home currency on in-house production facilities. 
A)  It reduces economic risk by facilitating the purchase of large insurance policies. 
B)  It reduces production risk by eliminating delays in the timely receipt of needed parts. 
C)  It reduces political risk by enabling the company to avoid investing in plants and equipment abroad. 
D)  It reduces currency risk by allowing the company to invest the home currency on in-house production facilities.

Question 3

When a market is experiencing rapid growth,a company will ________.

Accepted Answer

A)  emphasize on decruitment 
B)  divest its operations 
C)  reinvest in its operations 
D)  implement retrenchment strategies 
A)  emphasize on decruitment 
B)  divest its operations 
C)  reinvest in its operations 
D)  implement retrenchment strategies

Question 4

Scenario: Wilson Industries Inc.
Wilson Industries Inc. is a multinational firm that designs and produces premium leather bags for major destinations worldwide. The company's board of directors is meeting to discuss changes that might be needed in the company's operations.
-The board plans to examine Wilson's ability to produce enough bags to satisfy their customers' demands.This evaluation is known as ________.

Accepted Answer

A)  capacity planning 
B)  process planning 
C)  lean production 
D)  product structure modeling 
A)  capacity planning 
B)  process planning 
C)  lean production 
D)  product structure modeling

Question 5

Scenario: Wilson Industries Inc.
Wilson Industries Inc. is a multinational firm that designs and produces premium leather bags for major destinations worldwide. The company's board of directors is meeting to discuss changes that might be needed in the company's operations.
-If the board discusses the spatial arrangement of production processes within Wilson's production facilities,they will be engaging in ________.

Accepted Answer

A)  capacity planning 
B)  facilities location planning 
C)  process planning 
D)  facilities layout planning 
A)  capacity planning 
B)  facilities location planning 
C)  process planning 
D)  facilities layout planning

Question 6

A fixed asset can also be referred to as a ________ asset.

Accepted Answer

A)  liquid 
B)  current 
C)  tangible 
D)  trading account 
A)  liquid 
B)  current 
C)  tangible 
D)  trading account

Question 7

Scenario: Verandas International
Verandas International is expanding its operations in North America. The Dutch company supplies customized furniture to five-star hotels. Verandas International is a leader in this industry, but the company believes it must increase its geographic reach to maintain that position.
-Economic forecasts reveal that the U.S.dollar is expected to decline relative to the Euro.Which of the following is the most advantageous method of obtaining funding for Verandas under these conditions?

Accepted Answer

A)  borrowing from U.S. banks 
B)  issuing equity in Germany 
C)  issuing equity in the U.S. 
D)  borrowing from Dutch banks 
A)  borrowing from U.S. banks 
B)  issuing equity in Germany 
C)  issuing equity in the U.S. 
D)  borrowing from Dutch banks

Question 8

The process by which a company extends its control over additional stages of production is called ________.

Accepted Answer

A)  a push strategy 
B)  a pull strategy 
C)  vertical integration 
D)  horizontal integration 
A)  a push strategy 
B)  a pull strategy 
C)  vertical integration 
D)  horizontal integration

Question 9

Differentiation strategies demand that producers provide extra value by offering customers something unique,such as superior quality,added features,or special brand images.

Accepted Answer

A) True 
 B)False

Question 10

Describe the issues involved in the decision of how a company acquires raw materials and fixed assets.

Accepted Answer

Raw Materials-Decisions about the select

Question 11

Which of the following factors has the least effect on facilities layout planning?

Accepted Answer

A)  supply of land in a nation 
B)  cost of land in a nation 
C)  a firm's production process 
D)  age of the company 
A)  supply of land in a nation 
B)  cost of land in a nation 
C)  a firm's production process 
D)  age of the company

Question 12

What are the options available to companies seeking financial resources?

Accepted Answer

Companies need financial resources to pa

Question 13

________ is the financing obtained from investors who believe the borrower will experience rapid growth and who receive equity in return for their investment.

Accepted Answer

A)  Internal funding 
B)  Venture capital 
C)  Credit derivative 
D)  Mortgage loan 
A)  Internal funding 
B)  Venture capital 
C)  Credit derivative 
D)  Mortgage loan

Question 14

A company often undertakes in-house production when it can manufacture a product for less than it must pay another business to produce it.

Accepted Answer

A) True 
 B)False

Question 15

Outsourcing refers to the practice of buying from another company a good or a service that is part of a company's value-added activities.

Accepted Answer

A) True 
 B)False

Question 16

Companies strive toward quality improvements for attaining economies of scale.

Accepted Answer

A) True 
 B)False

Question 17

A company that sells undifferentiated products in all their markets and do not need to locate near their markets in order to stay on top of changes in buyer preferences use ________.

Accepted Answer

A)  vertical integration 
B)  centralized production 
C)  lean production 
D)  continuous production 
A)  vertical integration 
B)  centralized production 
C)  lean production 
D)  continuous production

Question 18

Deciding the spatial arrangement of production processes within production units is called ________.

Accepted Answer

A)  facilities layout planning 
B)  capacity planning 
C)  process planning 
D)  location economies 
A)  facilities layout planning 
B)  capacity planning 
C)  process planning 
D)  location economies

Question 19

Which of the following statements is true regarding the ISO 9000 standards?

Accepted Answer

A)  They specify details on how companies should develop its quality processes. 
B)  The standards are applicable to Asia exclusively. 
C)  ISO 9000 is a certification that companies get for their environment-friendly initiatives. 
D)  The standards require each company to define and document its own quality processes. 
A)  They specify details on how companies should develop its quality processes. 
B)  The standards are applicable to Asia exclusively. 
C)  ISO 9000 is a certification that companies get for their environment-friendly initiatives. 
D)  The standards require each company to define and document its own quality processes.

Question 20

________ will enable a company to reduce the degree to which it is vertically integrated and the overall amount of specialized skills and knowledge that it would have to possess.

Accepted Answer

A)  Outsourcing 
B)  Skimming 
C)  Lean production 
D)  Centralized production 
A)  Outsourcing 
B)  Skimming 
C)  Lean production 
D)  Centralized production

A company using just-in-time (JIT)manufacturing involves ________.

Which of the following statements is true of outsourcing?

When a market is experiencing rapid growth,a company will ________.

A fixed asset can also be referred to as a ________ asset.

The process by which a company extends its control over additional stages of production is called ________.

Differentiation strategies demand that producers provide extra value by offering customers something unique,such as superior quality,added features,or special brand images.

Describe the issues involved in the decision of how a company acquires raw materials and fixed assets.

Which of the following factors has the least effect on facilities layout planning?

What are the options available to companies seeking financial resources?

________ is the financing obtained from investors who believe the borrower will experience rapid growth and who receive equity in return for their investment.

A company often undertakes in-house production when it can manufacture a product for less than it must pay another business to produce it.

Outsourcing refers to the practice of buying from another company a good or a service that is part of a company's value-added activities.

Companies strive toward quality improvements for attaining economies of scale.

A company that sells undifferentiated products in all their markets and do not need to locate near their markets in order to stay on top of changes in buyer preferences use ________.

Deciding the spatial arrangement of production processes within production units is called ________.

Which of the following statements is true regarding the ISO 9000 standards?

________ will enable a company to reduce the degree to which it is vertically integrated and the overall amount of specialized skills and knowledge that it would have to possess.

Globalization

Cross-Cultural Business

Political Economy and Ethics

Economic Development of Nations

International Trade Theory

Political Economy of Trade

Foreign Direct Investment

Regional Economic Integration

International Financial Markets

International Monetary System

International Strategy and Organization

Analyzing International Opportunities

Selecting and Managing Entry Modes

Developing and Marketing Products

Hiring and Managing Employees

Filters

Exam 15: Managing International Operations

A company using just-in-time (JIT)manufacturing involves ________.

Which of the following statements is true of outsourcing?

When a market is experiencing rapid growth,a company will ________.

A fixed asset can also be referred to as a ________ asset.

The process by which a company extends its control over additional stages of production is called ________.

Differentiation strategies demand that producers provide extra value by offering customers something unique,such as superior quality,added features,or special brand images.

Describe the issues involved in the decision of how a company acquires raw materials and fixed assets.

Which of the following factors has the least effect on facilities layout planning?

What are the options available to companies seeking financial resources?

________ is the financing obtained from investors who believe the borrower will experience rapid growth and who receive equity in return for their investment.

A company often undertakes in-house production when it can manufacture a product for less than it must pay another business to produce it.

Outsourcing refers to the practice of buying from another company a good or a service that is part of a company's value-added activities.

Companies strive toward quality improvements for attaining economies of scale.

A company that sells undifferentiated products in all their markets and do not need to locate near their markets in order to stay on top of changes in buyer preferences use ________.

Deciding the spatial arrangement of production processes within production units is called ________.

Which of the following statements is true regarding the ISO 9000 standards?

________ will enable a company to reduce the degree to which it is vertically integrated and the overall amount of specialized skills and knowledge that it would have to possess.

Globalization

Cross-Cultural Business

Political Economy and Ethics

Economic Development of Nations

International Trade Theory

Political Economy of Trade

Foreign Direct Investment

Regional Economic Integration

International Financial Markets

International Monetary System

International Strategy and Organization

Analyzing International Opportunities

Selecting and Managing Entry Modes

Developing and Marketing Products

Hiring and Managing Employees

Filters