MGT 538 Final Exam
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1)
Experts suggest that firms that want to globalize through e-commerce must first
localize, which means that firms need to
- use local
suppliers, vendors, and distributors to manufacture products for the local
market
- modify their
products and services to meet the needs and interests of local cultures
- sell their
products in a brick-and-mortar store before selling them through an
e-market
- test their
products and services in local markets before selling them over the
Internet
2)
Which of the following behaviors is inconsistent with Casse's profile of
successful American negotiators?
- Refusing to make
concessions in advance
- Exhibiting a
good sense of timing
- Being quiet and
not arguing
- Understanding
the issues
3)
Dell most likely offshores product support service jobs to India because of the
- superior
technical knowledge of Indian workers
- extensive call
center experience of Indian workers
- lower payroll
costs associated with Indian workers
- customer
preference for interacting with Indian workers
4)
In the context of doing business in Asia, what is meant by the phrase "the
contract is in the relationship, not on the paper"?
- Asian contracts
are not legally binding for MNCs.
- Contracts are
ceremoniously destroyed after they are written.
- Managers risk
being offensive to Asians by requiring contracts.
- Managers should
nurture the relationship to ensure the reliability of the contract.
5)
The ________ model of leadership style has been recommended by American
research studies as one more likely to have positive results with American
employees.
- autocratic
- charismatic
- transactional
- participative
6)
Which of the following is a similarity between the negotiation styles of both
North Americans and Latin Americans?
- Emotional
sensitivity is highly valued.
- A strong
commitment is shown to the employer.
- Significant
importance is given to documentation.
- Negotiators are
argumentative when they think they are right.
7)
Arab negotiators will most likely make concessions because of their interest in
- saving valuable
time
- preventing
embarrassment
- forming
long-term relationships
- implementing
spontaneous decisions
8)
According to research, what is the most significant monetary benefit for firms
that implement corporate social responsibility?
- Employee retention
- High recruitment
rates
- Increased brand
value
- Improved
organizational culture
9)
Which of the following statements about the Foreign Corrupt Practices Act
(FCPA) is NOT true?
- The FCPA allows
grease payments as long as they are lawful in the host country.
- Possible
penalties for violating the FCPA include severe fines and imprisonment.
- The FCPA allows
firms to give government officials gifts in exchange for help.
- The FCPA applies
only to U.S.-based multinational corporations.
10)
John Smith travels back and forth between the United States and Saudi Arabia as
an international manager. On John's most recent trip to Saudi Arabia, he
presents his business associate, Tariq Ahmed, with a silk scarf. The scarf is
intended as a gift for Tariq's wife. John's actions will most likely be viewed
by Tariq as
- a thoughtful
gesture from the American
- an inappropriate
and impolite gesture
- a bribe
punishable by imprisonment
- an obligation
that must be reciprocated
11)
Stereotyping should most likely be avoided by international managers because
- current
variables of culture are grossly inaccurate
- many cultures
have diverse subcultures
- many countries
outlaw the practice
- national culture
is nonexistent
12)
Sweden barring airlines from transmitting passenger information most likely
illustrates the
- dependence on
the Internet by Swedish citizens
- lax enforcement
of privacy rights in Sweden
- importance of
the Internet to international business
- impact of
culture on Internet usage
13)
Which of the following is the primary reason for ineffective cross-cultural
business negotiations?
- Insufficient
knowledge about native bargaining rituals
- Highly
restrictive government legislation
- Poorly planned
business strategies
- Language
differences
14)
Most small and medium-sized enterprises are
- competing only
on the local level due to technological and financial constraints
- investing
heavily in world markets by offshoring their labor activities
- contributing to
their national economies through exporting
- attempting to avoid
becoming globalized too quickly
15)
What is the best method for avoiding miscommunications?
- Taking detailed
notes
- Learning foreign
phrases
- Practicing
projective listening
- Relying on a
language interpreter
16)
Problems associated with cross-cultural negotiations and decision making styles
are the primary reasons for
- lawsuits filed
against MNCs by angry shareholders
- decreasing
numbers of international joint ventures
- increasing
regulations within the European Union
- economic
hardships in former socialist countries
17)
Which of the following significantly increases the complexity of corporate
social responsibility for MNCs?
- distance between
the home office and the subsidiaries
- difficult nature
of training managers in different cultures
- additional
stakeholders associated with the firm's activities
- international
laws, regulations, and moral principles
18)
Primo is a multinational enterprise based in California that manufactures and
sells affordably priced athletic shoes in retail stores around the world. A
Primo manufacturing subsidiary in China employs over 20,000 locals. Primo
executives recently learned of human rights violations at the firm's China
subsidiary. Workers had been forced to work more than 60 hours each week, and
minimum wage laws were regularly ignored. As a result, Primo executives need to
decide whether to continue operations in China. Which of the following, if
true, would best support a decision by Primo to remain in China?
- Primo becomes
SA8000 certified.
- Sales of Primo's
competitors drop sharply.
- U.S.
manufacturing jobs decrease in number.
- More service
sector jobs become available in China.
19)
Which of the following is a common Chinese tactic used during negotiations with
Americans?
- Refusing to
answer the Americans' questions or respond to their inquiries
- Suggesting that
the Americans are reneging on their friendship
- Refusing to
compromise until the last possible moment
- Asking for
concessions relating to product delivery time
20)
What is the most likely reason that over half of the Saudi workforce consists
of foreigners?
- High wage rates
and low taxes for expatriates at Saudi-based MNEs
- Negative
attitudes among Saudi Arabians regarding hard work
- Saudi Arabia's
tight restrictions on male and female workers
- Lack of Saudi
government support for university training
21)
A French businessman has a meeting scheduled with a Brazilian businessman to
negotiate terms of a joint venture. The Frenchman prepares for the meeting in
the way he always does when negotiating with French firms. The Frenchman
assumes that the Brazilian will perceive and reason the way he does. Which of
the following terms best describes the Frenchman's mistake?
- cognitive
dissonance
- moral idealism
- parochialism
- projective
cognitive similarity
22)
Which of the following best explains why Avon expanded to the international
market?
- Increased
domestic competition in the door-to-door cosmetic industry
- Increased number
of American women in the workforce
- Decreased
restrictions on cosmetics in the Chinese market
- Decreased number
of qualified sales representatives in the United States
23)
John is an American manager working at his firm's subsidiary in Indonesia. A
local government official tells John that materials could be delivered to the
firm's facility more quickly if John pays an extra fee to the port supervisor.
What should be John's first action?
- Consult his
supervisor in the United States.
- Discuss the
issue with his local agent.
- Refer to the
company's code of ethics.
- Consult both
American and Indonesian laws.
24)
An international manager can best develop an understanding of a particular
culture by
- creating a
cultural profile for that country or region in which the firm does
business
- assuming that
American cultural styles and practices can be successfully transplanted
- using
stereotypes to develop cross-cultural understanding in a business setting
- hiring locals
rather than expatriates for management positions in overseas subsidiaries
25)
Tom manages a U.S. pharmaceutical subsidiary located in Ireland. In order to
communicate effectively with Irish employees, Tom should most likely
- speak explicitly
and directly
- demand that
specific results be met
- provide positive
support to workers
- address
conflicts during group meetings
26)
Which of the following is a typical value in U.S. culture?
- Employment is
for a lifetime.
- Success occurs
because of luck.
- Commitments
should be honored.
- Schedules are
relative to other priorities.
27)
A person working in a high-contact culture will most likely experience which of
the following?
- Co-workers
spending time together socially
- Managers using
hand motions to express emotion
- Managers
speaking to subordinates quickly and rudely
- Co-workers
greeting each other with a double handshake
28)
How will negotiators most likely benefit from exhibiting an understanding of
the opponents' viewpoints during presentations?
- Opponents
succumb quicker to concession strategies than to aggressive bargaining
tactics.
- Considering both
sides promotes the assessment of a wide range of resolution alternatives.
- Emotional
appeals not backed by information will be more persuasive to skeptical
opponents.
- Cultural norms
demand that each side share their weaknesses during the negotiation
process.
29)
Contingency theory proposes that the best organizational structure is that
which
- enables a firm
to globalize quickly
- leads to a
high-efficiency work system
- provides for
balanced control of subsidiaries
- allows the firm
to carry out its strategic goals
30)
Trust most likely improves cross-cultural communication by
- enabling
managers to network effectively
- replacing formal
legal contracts for global firms
- encouraging the
open exchange of ideas and information
- eliminating all
variables that hinder the communication process
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