Question 1

Which of the following is NOT true regarding a worldwide area structure?

Accepted Answer

A)  It tends to be favored by firms with a low degree of diversification. 
B)  It facilitates local responsiveness. 
C)  It tends to be favored by firms with a domestic structure based on functions. 
D)  Decision-making responsibilities are centralized. 
A)  It tends to be favored by firms with a low degree of diversification. 
B)  It facilitates local responsiveness. 
C)  It tends to be favored by firms with a domestic structure based on functions. 
D)  Decision-making responsibilities are centralized.

Question 2

Discuss the relationship between a firm's control systems and a firm's incentive system. Why is this relationship important?

Accepted Answer

The relationships between a firm's contr

Question 3

_____ control is achieved by comparing actual performance against targets and intervening selectively to take corrective action.

Accepted Answer

A)  Personal 
B)  Output 
C)  Bureaucratic 
D)  Cultural 
A)  Personal 
B)  Output 
C)  Bureaucratic 
D)  Cultural

Question 4

Which of the following is an argument favoring centralization?

Accepted Answer

A)  It permits greater flexibility. 
B)  Motivational research favors it. 
C)  It can avoid the duplication of activities. 
D)  It gives top management time to focus on critical issues by delegating routine issues to lower-level managers. 
A)  It permits greater flexibility. 
B)  Motivational research favors it. 
C)  It can avoid the duplication of activities. 
D)  It gives top management time to focus on critical issues by delegating routine issues to lower-level managers.

Question 5

The costs of control can be defined as the amount of time top management must devote to monitoring and evaluating subunits' performance.

Accepted Answer

A) True 
 B)False

Question 6

Integration mechanisms are:

Accepted Answer

A)  the formal division of the organization into subunits. 
B)  the mechanisms that enable each subunit to operate independently. 
C)  the mechanisms for coordinating subunits. 
D)  the location of decision making responsibilities within a structure. 
A)  the formal division of the organization into subunits. 
B)  the mechanisms that enable each subunit to operate independently. 
C)  the mechanisms for coordinating subunits. 
D)  the location of decision making responsibilities within a structure.

Question 7

The need for coordination between subunits is highest in firms pursuing a(n):

Accepted Answer

A)  localization strategy. 
B)  international strategy. 
C)  global strategy. 
D)  transnational strategy. 
A)  localization strategy. 
B)  international strategy. 
C)  global strategy. 
D)  transnational strategy.

Question 8

Which of the following is NOT an effective strategy for implementing organizational change?

Accepted Answer

A)  Move the organization to a new state. 
B)  Keep the organizational structure. 
C)  Refreeze the organizational structure. 
D)  Unfreeze the organizational structure. 
A)  Move the organization to a new state. 
B)  Keep the organizational structure. 
C)  Refreeze the organizational structure. 
D)  Unfreeze the organizational structure.

Question 9

A knowledge network is a network for transmitting information within an organization that is based on formal organizational structure.

Accepted Answer

A) True 
 B)False

Question 10

Discuss the sources of inertia in organizations. Is it easy to make organizational changes?

Accepted Answer

Organizations are difficult to change. W

Question 11

Firms pursuing a localization strategy tend to operate with an array of formal and informal integrating mechanisms.

Accepted Answer

A) True 
 B)False

Question 12

Describe the situation where an international division makes sense. How common is this structure? What are the disadvantages of the structure?

Accepted Answer

When firms initially expand abroad, they

Question 13

A manager receives a bonus because the national operating subsidiary, that she is in charge of, exceeds its performance target. This is an example of an incentive.

Accepted Answer

A) True 
 B)False

Question 14

Discuss the global matrix structure.

Accepted Answer

In the classic global matrix structure,

Question 15

Which of the following would be a typical responsibility of a product division in a product divisional structure?

Accepted Answer

A)  Operating decisions 
B)  Overall strategic development of the firm 
C)  Financial control of the various divisions 
D)  Decisions regarding legal issues 
A)  Operating decisions 
B)  Overall strategic development of the firm 
C)  Financial control of the various divisions 
D)  Decisions regarding legal issues

Question 16

Which of the following terms refers to the metrics used to measure the performance of subunits and make judgments about how well managers are running those subunits?

Accepted Answer

A)  Key processes 
B)  Control systems 
C)  Knowledge networks 
D)  Job assignments 
A)  Key processes 
B)  Control systems 
C)  Knowledge networks 
D)  Job assignments

Question 17

Which of the following decisions is typically centralized at a firm's headquarters?

Accepted Answer

A)  Production decisions 
B)  Human resource management 
C)  Marketing decisions 
D)  Overall firm strategy 
A)  Production decisions 
B)  Human resource management 
C)  Marketing decisions 
D)  Overall firm strategy

Question 18

In a company using cultural controls, employees' behavior is closely monitored and controlled through direct supervision.

Accepted Answer

A) True 
 B)False

Question 19

What is horizontal differentiation?

Accepted Answer

A)  The mechanisms that enable each subunit to operate independently 
B)  The formal division of the organization into subunits 
C)  The location of decision-making responsibilities within a structure 
D)  The mechanisms for coordinating subunits 
A)  The mechanisms that enable each subunit to operate independently 
B)  The formal division of the organization into subunits 
C)  The location of decision-making responsibilities within a structure 
D)  The mechanisms for coordinating subunits

Question 20

What is performance ambiguity? Discuss the relationships between strategy, interdependence, and performance ambiguity.

Accepted Answer

Performance ambiguity exists when the ca

Which of the following is NOT true regarding a worldwide area structure?

Discuss the relationship between a firm's control systems and a firm's incentive system. Why is this relationship important?

_____ control is achieved by comparing actual performance against targets and intervening selectively to take corrective action.

Which of the following is an argument favoring centralization?

The costs of control can be defined as the amount of time top management must devote to monitoring and evaluating subunits' performance.

Integration mechanisms are:

The need for coordination between subunits is highest in firms pursuing a(n):

Which of the following is NOT an effective strategy for implementing organizational change?

A knowledge network is a network for transmitting information within an organization that is based on formal organizational structure.

Discuss the sources of inertia in organizations. Is it easy to make organizational changes?

Firms pursuing a localization strategy tend to operate with an array of formal and informal integrating mechanisms.

Describe the situation where an international division makes sense. How common is this structure? What are the disadvantages of the structure?

A manager receives a bonus because the national operating subsidiary, that she is in charge of, exceeds its performance target. This is an example of an incentive.

Discuss the global matrix structure.

Which of the following would be a typical responsibility of a product division in a product divisional structure?

Which of the following terms refers to the metrics used to measure the performance of subunits and make judgments about how well managers are running those subunits?

Which of the following decisions is typically centralized at a firm's headquarters?

In a company using cultural controls, employees' behavior is closely monitored and controlled through direct supervision.

What is horizontal differentiation?

What is performance ambiguity? Discuss the relationships between strategy, interdependence, and performance ambiguity.

Globalization

National Differences in Political Economy

Political Economy and Economic Development

Differences in Culture

Ethics in International Business

International Trade Theory

The Political Economy of International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Global Capital Market

The Strategy of International Business

Entry Strategy and Strategic Alliances

Exporting, Importing, and Countertrade

Global Production, Outsourcing, and Logistics

Global Marketing and RD

Global Human Resource Management

Accounting and Finance in the International Business

Filters

Exam 14: The Organization of International Business

Which of the following is NOT true regarding a worldwide area structure?

Discuss the relationship between a firm's control systems and a firm's incentive system. Why is this relationship important?

_____ control is achieved by comparing actual performance against targets and intervening selectively to take corrective action.

Which of the following is an argument favoring centralization?

The costs of control can be defined as the amount of time top management must devote to monitoring and evaluating subunits' performance.

Integration mechanisms are:

The need for coordination between subunits is highest in firms pursuing a(n):

Which of the following is NOT an effective strategy for implementing organizational change?

A knowledge network is a network for transmitting information within an organization that is based on formal organizational structure.

Discuss the sources of inertia in organizations. Is it easy to make organizational changes?

Firms pursuing a localization strategy tend to operate with an array of formal and informal integrating mechanisms.

Describe the situation where an international division makes sense. How common is this structure? What are the disadvantages of the structure?

A manager receives a bonus because the national operating subsidiary, that she is in charge of, exceeds its performance target. This is an example of an incentive.

Discuss the global matrix structure.

Which of the following would be a typical responsibility of a product division in a product divisional structure?

Which of the following terms refers to the metrics used to measure the performance of subunits and make judgments about how well managers are running those subunits?

Which of the following decisions is typically centralized at a firm's headquarters?

In a company using cultural controls, employees' behavior is closely monitored and controlled through direct supervision.

What is horizontal differentiation?

What is performance ambiguity? Discuss the relationships between strategy, interdependence, and performance ambiguity.

Globalization

National Differences in Political Economy

Political Economy and Economic Development

Differences in Culture

Ethics in International Business

International Trade Theory

The Political Economy of International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Global Capital Market

The Strategy of International Business

Entry Strategy and Strategic Alliances

Exporting, Importing, and Countertrade

Global Production, Outsourcing, and Logistics

Global Marketing and RD

Global Human Resource Management

Accounting and Finance in the International Business

Filters