IBM110-1C-FinalExam

The process by which a firm's managers evaluate the future prospects of the firm and decide on appropriate strategies to achieve long-term objectives is called ________.

• strategic planning

• strategic delegation

• organizational design

• product planning

________ is the framework that managers apply to determine the competitive moves and business approaches that run the company.

• Competition

• Growth

• Strategy

• Vision

Roch, a Swiss chocolate company, recently opened a manufacturing unit in Spain. The purpose of this move was that Roch wanted to avoid Spain's high import tariffs. Which of the following reasons prompted Roch to open the manufacturing unit in Spain?

• customer demands

• trade barriers

• globalization of competitors

• growth opportunities

One pressing reason for many large firms to expand overseas is to seek economies of scale.

• True

• False

________ are usually difficult for competitors to imitate and represent a major focus for strategic development at the corporate level.

• Break-even points

• Comparative advantages

• Absolute advantages

• Distinctive competencies

A ________ is an assessment of a firm's capabilities relative to those of its competitors as pertinent to the opportunities and threats in the environment for those firms.

• PEST analysis

• transactional analysis

• SWOT analysis

• break-even analysis

Which of the following is the first step in developing a successful export strategy?

• identification of a potential market

• match market needs to the company's abilities

• initiation of meetings

• commitment of resources

Core competencies are challenging and at times difficult for competitors to imitate.

• True

• False

Offshoring is when a company moves one or all of its factories from the host country to the home country.

• True

• False

________ is the process by which a firm gradually changes in response to global competition; domestic market saturation; and the desire for expansion, new markets, and diversification.

• Segmentation

• Integration

• Segregation

• Internationalization