BUSI 400 Read & Interact Dess, McNamara, Eisner, & Lee Chapter 7 solutions complete answers

BUSI 400 Read & Interact Dess, McNamara, Eisner, & Lee Chapter 7 solutions complete answers 

 

______ is the rise of market capitalism around the world.

 

Which of the following are factors of the diamond of national advantage? (Check all that apply.)

 

______ are a nation's position in factors of production.

 

Which of the following statements about demand conditions are correct? (Check all that apply.)

 

Which of the following refers to the presence, absence, and quality in the nation of supplier industries and other related industries that supply services, support, or technology to firms in the industry value chain?

 

Which of the following characterize globalization? (Check all that apply.)

 

Rivalry is particularly intense in nations with which of the following conditions? (Check all that apply.)

 

The ______ is a framework for explaining why countries foster successful multinational corporations.

 

What can be concluded about companies that are successful globally?

 

Which of the following are examples of factor endowments? (Check all that apply.)

 

Many companies expand internationally in order to increase their market size so that they ______.

 

______ are the nature of home-market demand for the industry's product or service.

 

Which of the following statements about arbitrage as a motivation for international expansion are correct? (Check all that apply.)

 

Which of the following statements about related and supporting industries' role in creating a diamond of national advantage are correct? (Check all that apply.)

 

Companies sometimes launch products overseas when sales have flattened because the product has reached the ______ stage in the firm's home country.

 

______ are the conditions in the nation governing how companies are created, organized, and managed as well as the nature of domestic rivalry.

 

Locating a research and development office overseas can yield which of the following advantages? (Check all that apply.)

 

Competitive advantage for global firms typically arises from which of the following characteristics? (Check all that apply.)

 

When a company decides to locate some operations in another country to gain access to needed talent, it is primarily seeking to ______.

 

Which of the following are motivations for international expansion? (Check all that apply.)

 

Which of the following are the main types of risk when expanding internationally? (Check all that apply.)

 

_______ is an opportunity to profit by buying and selling the same good in different markets.

 

______ risk is the potential threat to a firm's operations in a country due to ineffectiveness of the domestic governmental system.

 

Companies sometimes expand to foreign markets to offset the ______ in their domestic market.

 

______ is using other firms to perform value-creating activities that were previously performed in-house.

 

Companies optimize the location for their activities for which of the following reasons? (Check all that apply.)

 

The two opposing pressures that managers face when they decide to go overseas are pressure to ______.

 

Which of the following are considerations that can affect quality when locating overseas? (Check all that apply.)

 

Which of the following describe strengths of using an international strategy? (Check all that apply.)

 

Euromoney magazine's semiannual "Country Risk Rating" evaluates which of the following? (Check all that apply.)

 

A global strategy emphasizes ______. (Check all that apply.)

 

Which of the following are examples of political risk? (Check all that apply.)

 

______ strategy is a strategy based on a firms' differentiating their products and services to adapt to local markets.

 

______ is shifting a value-creating activity from a domestic location to a foreign location.

 

A transnational strategy is used in industries where the pressure for ______.

 

Which of the following are among the basic strategies that companies can use to compete in the global marketplace? (Check all that apply.)

 

______ firms have at least 20% of their sales in each of the three major economic regions—North America, Europe, and Asia.

 

Which of the following describe two limitations of using an international strategy? (Check all that apply.)

 

Ranked by the extent of investment and risk, from least to the most, what is the order of entry for international expansion?

 

______ strategy is based on firms' centralization and control by the corporate office, with the primary emphasis on controlling costs. It is used in industries where the pressure for local adaptation is low, and the pressure for lowering costs is high.

 

______ is producing goods in one country to sell to residents of another country.

 

Which of the following are characteristics of a multidomestic strategy? (Check all that apply.)

 

______ is a contractual arrangement in which a company receives a royalty or fee in exchange for the right to use its trademark, patent, trade secret, or other valuable intellectual property.

 

______ strategy is based on firms' optimizing the trade-offs associated with efficiency, local adaptation, and learning.

 

The benefits of strategic alliances and joint ventures include which of the following? (Check all that apply.)

 

______ is the increasing international exchange of goods, services, money, people, ideas, and information within a specific area, such as Europe, North America, or Asia.

 

Which of the following are ways a firm can establish a wholly owned subsidiary? (Check all that apply.)

 

Which of the following are the primary considerations when selecting a mode of foreign entry? (Check all that apply.)

 

The international entry strategy that requires the least investment of resources and has the least risk is ______.

 

______ is a contractual arrangement in which a company receives a royalty or fee in exchange for the right to its intellectual property or other aspects of its operation; the agreement usually covers a long period of time.

 

Which of the following describe risks and limitations of strategic alliances? (Check all that apply.)

 

A ______ is a business in which a multinational company owns 100% of the stock.

 

 

 
_______ blocs are groups of countries that agree to increase trade among themselves by lowering trade barriers.
 
 
 

 
______ risk is the potential threat to a firm's financial operations in a country due to policies and conditions including intellectual property rights law and enforcement of those laws.
 
 
 
______ risk is the potential threat to a firm's operations in a country due to fluctuations in the local money's exchange rate.
 
 
 
______ risk is the potential threat to a firm's operations in a country due to the problems that managers have making decisions in the context of foreign markets.
 
 
 

 
Which of the following are benefits of wholly owned subsidiaries? (Check all that apply.)
 
 
 

 

 
Which of the following is the main reason most firms are regional and not global? (Check all that apply.)
 
 
 

 

 

 

 
Benefits of licensing and franchising include ______. (Check all that apply.)


 
 
 
A characteristic of legal systems where behavior is governed by rules that are uniformly enforced is ______.
 
 
 
Companies may choose to locate some operations abroad to reduce which of the following risks? (Check all that apply.)
 
 
A company that locates some operations in another country to take advantage of that country's close proximity to other regional markets via rail transportation is likely relocating for ______.
 
 
Expansion into new markets exposes companies to differing market demands, R&D capabilities, functional skills, organizational processes, and managerial practices. In other words, expansion offers the companies ______.
 
 
 
 
 
 
 
 
 
 
 
 

 
______ firms are companies that manage operations in more than one country.
 
 
 
A hidden cost of offshoring can be the loss of intellectual property, such as trade secrets.
 
 
 
A lack of protection of intellectual property rights creates what type of risk?
 
 
 
 
 
 
 
 
 

 
Many firms first expand internationally ______.
 
 
 
A multinational firm has which of the following characteristics? (Check all that apply.)
 
 
 
Of the following, the biggest challenge of globalization and multinational firms is ______.
 
 
 
One of the challenges with globalization is for multinational firms to meet the needs of those living at the bottom of the economic pyramid in developing countries.
 
 
 
One of traditional assumptions for the internationalization of products was that firms should __________ their products for all their markets worldwide in order to achieve economies of scale of production and marketing.
 
 
 
The selling of trademarked goods without the consent of the trademark holder is called ______.
 
 
 
Starling Sports decided to expand operations overseas. Unfortunately, Starling encountered rules and regulations that frequently changed, and Starling had no recourse. Which of the following best explains Starling's situation?
 
 
 
 
 
 
 
 
 

The strengths of a transnational strategy include the ability to ______. (Check all that apply.)
 
 
The strengths of using a multidomestic strategy include the ability to ______. (Check all that apply.)
 
 
What can prompt a firm to look outside its national boundaries for new markets and prepare it to compete successfully in global markets?
 
 
 
 
 
 
 
 

What is a company trying to do when it strategically expands into new markets in order to spread out the high-cost elements of manufacturing operations?
 
 
When groups of countries agree to lower trade barriers to increase trade between them, they are creating ______.
 
 
Which of the following are benefits of exporting? (Check all that apply.)
 
 
 

Which of the following are examples of potential challenges that managers face while managing in a host country? (Check all that apply.)
 
 
Which of the following are "hidden costs" of offshoring? (Check all that apply.)
 
 
Which of the following are limitations of a transnational strategy? (Check all that apply.)
 
 
Which of the following are limitations of using a multidomestic strategy? (Check all that apply.)
 
 
 
 
 
 
 
 

Which of the following are risks and challenges of using an international strategy? (Check all that apply.)
 
 
Which of the following are risks of licensing or franchising? (Check all that apply.)
 
 
Which of the following are risks or limitations of exporting? (Check all that apply.)
 
 
Which of the following are risks or limitations of wholly owned subsidiaries? (Check all that apply.)
 
 
Which of the following are strengths of using a global strategy? (Check all that apply.)
 
 
 
 
 
 
 
 

Which of the following are the three key assumptions for internationalizing products and services? (Check all that apply.)
 
 
Which of the following describe limitations of using a global strategy? (Check all that apply.)
 
 
 
 
 
 
 
 

Which of the following is the term for when new products are developed by developed-country multinational firms for emerging markets, and those products have adequate functionality at a low cost?
 
 
Which of the following statements about counterfeit goods are correct? (Check all that apply.)
 
 
 
 
 
 
 
 

Which of the following statements about currency risk are correct? (Check all that apply.)
 
 
Which of the following statements about intense domestic rivalry are true? (Check all that apply.)
 
 
Which of the following statements about locating some operations in another country as a means for cost reduction are correct? (Check all that apply.)
 
 
 
 
 
 
 
 

Which of the following statements regarding learning opportunities that come from overseas expansion are correct? (Check all that apply.
 
 
Which of the following statements regarding reverse innovation to penetrate developing markets are correct? (Check all that apply.)