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

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 3

Beyond the initial functional division of the organization,further horizontal differentiation may be required if the firm significantly diversifies its product offering,which takes the firm into different business areas.

Accepted Answer

A) True 
 B)False

Question 4

What is a knowledge network? What is the advantage of such a system?

Accepted Answer

A knowledge network is a network for tra

Question 5

The manner in which decisions are made and work is performed within the organization is known as the firm's:

Accepted Answer

A)  organizational culture. 
B)  incentives. 
C)  control systems. 
D)  processes. 
A)  organizational culture. 
B)  incentives. 
C)  control systems. 
D)  processes.

Question 6

National regulations including local content rules and policies pertaining to layoffs might act as a source of inertia.

Accepted Answer

A) True 
 B)False

Question 7

Firms pursuing a(n)_____ attempt to create value by transferring core competencies from home to foreign subsidiaries.

Accepted Answer

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

Question 8

Performance ambiguity lowers the cost of control.

Accepted Answer

A) True 
 B)False

Question 9

What are the formal integrating mechanisms used to integrate subunits?

Accepted Answer

The formal mechanisms used to integrate

Question 10

Norms are abstract ideas about what a group believes to be good,right,and desirable.

Accepted Answer

A) True 
 B)False

Question 11

By centralizing decision making,a firm can avoid the duplication of activities that occurs when similar activities are carried on by various subunits within the organization.

Accepted Answer

A) True 
 B)False

Question 12

Centralization gives top-level managers the power and authority to be able to bring about needed major organizational changes.

Accepted Answer

A) True 
 B)False

Question 13

Global learning based on the multidirectional transfer of skills between subsidiaries and the corporate center is a central feature of a firm pursuing a(n)_____ strategy.

Accepted Answer

A)  localization 
B)  global standardization 
C)  transnational 
D)  international 
A)  localization 
B)  global standardization 
C)  transnational 
D)  international

Question 14

Explain organizational structure.

Accepted Answer

A firm's organizational structure refers

Question 15

Discuss the issues involved in unfreezing an organization.

Accepted Answer

Because of inertia forces,incremental ch

Question 16

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

Accepted Answer

A) True 
 B)False

Question 17

In firms pursuing a transnational strategy,some operating decisions are relatively centralized,while others are relatively decentralized.

Accepted Answer

A) True 
 B)False

Question 18

In the classic global matrix structure,horizontal differentiation proceeds along two dimensions.These dimensions are:

Accepted Answer

A)  hierarchy and overall strategy. 
B)  target returns and sales potential. 
C)  marketing strategy and sales potential. 
D)  product division and geographic area. 
A)  hierarchy and overall strategy. 
B)  target returns and sales potential. 
C)  marketing strategy and sales potential. 
D)  product division and geographic area.

Question 19

_____ refers to giving a person in each subunit responsibility for coordinating with another subunit on a regular basis.

Accepted Answer

A)  Global learning 
B)  Liaison roles 
C)  Knowledge network 
D)  Matrix Structures 
A)  Global learning 
B)  Liaison roles 
C)  Knowledge network 
D)  Matrix Structures

Question 20

Centralization and decentralization differ because:

Accepted Answer

A)  centralization hinders coordination,while decentralization facilitates coordination. 
B)  centralization prevents top-level managers from making required organizational changes,while decentralization gives top-level managers greater power to make organizational changes. 
C)  centralization ensures that decisions are consistent with organizational objectives,while decentralization can result in decisions at variance with organizational goals. 
D)  centralization promotes flexibility,while decentralization reduces flexibility. 
A)  centralization hinders coordination,while decentralization facilitates coordination. 
B)  centralization prevents top-level managers from making required organizational changes,while decentralization gives top-level managers greater power to make organizational changes. 
C)  centralization ensures that decisions are consistent with organizational objectives,while decentralization can result in decisions at variance with organizational goals. 
D)  centralization promotes flexibility,while decentralization reduces flexibility.

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

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

Beyond the initial functional division of the organization,further horizontal differentiation may be required if the firm significantly diversifies its product offering,which takes the firm into different business areas.

What is a knowledge network? What is the advantage of such a system?

The manner in which decisions are made and work is performed within the organization is known as the firm's:

National regulations including local content rules and policies pertaining to layoffs might act as a source of inertia.

Firms pursuing a(n)_____ attempt to create value by transferring core competencies from home to foreign subsidiaries.

Performance ambiguity lowers the cost of control.

What are the formal integrating mechanisms used to integrate subunits?

Norms are abstract ideas about what a group believes to be good,right,and desirable.

By centralizing decision making,a firm can avoid the duplication of activities that occurs when similar activities are carried on by various subunits within the organization.

Centralization gives top-level managers the power and authority to be able to bring about needed major organizational changes.

Global learning based on the multidirectional transfer of skills between subsidiaries and the corporate center is a central feature of a firm pursuing a(n)_____ strategy.

Explain organizational structure.

Discuss the issues involved in unfreezing an organization.

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

In firms pursuing a transnational strategy,some operating decisions are relatively centralized,while others are relatively decentralized.

In the classic global matrix structure,horizontal differentiation proceeds along two dimensions.These dimensions are:

_____ refers to giving a person in each subunit responsibility for coordinating with another subunit on a regular basis.

Centralization and decentralization differ because:

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?

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

Beyond the initial functional division of the organization,further horizontal differentiation may be required if the firm significantly diversifies its product offering,which takes the firm into different business areas.

What is a knowledge network? What is the advantage of such a system?

The manner in which decisions are made and work is performed within the organization is known as the firm's:

National regulations including local content rules and policies pertaining to layoffs might act as a source of inertia.

Firms pursuing a(n)_____ attempt to create value by transferring core competencies from home to foreign subsidiaries.

Performance ambiguity lowers the cost of control.

What are the formal integrating mechanisms used to integrate subunits?

Norms are abstract ideas about what a group believes to be good,right,and desirable.

By centralizing decision making,a firm can avoid the duplication of activities that occurs when similar activities are carried on by various subunits within the organization.

Centralization gives top-level managers the power and authority to be able to bring about needed major organizational changes.

Global learning based on the multidirectional transfer of skills between subsidiaries and the corporate center is a central feature of a firm pursuing a(n)_____ strategy.

Explain organizational structure.

Discuss the issues involved in unfreezing an organization.

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

In firms pursuing a transnational strategy,some operating decisions are relatively centralized,while others are relatively decentralized.

In the classic global matrix structure,horizontal differentiation proceeds along two dimensions.These dimensions are:

_____ refers to giving a person in each subunit responsibility for coordinating with another subunit on a regular basis.

Centralization and decentralization differ because:

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