16-20 QUIZ ITB

What is performance ambiguity?

• Clear causes of performance issues

• Difficulty in identifying causes of good or bad performance

• Low decision-making complexity

• Well-defined organizational outcomes

Which strategy has the highest performance ambiguity?

• Localization strategy

• International strategy

• Global standardization strategy

• Transnational strategy

What increases the costs of control in multinational firms?

• Decentralized decision-making

• Low performance ambiguity

• High performance ambiguity

• Centralized authority

Scenario: A company operating under a transnational strategy faces delays due to joint decision-making. What is the likely cause?

• Low interdependence

• High performance ambiguity

• Simplified incentive systems

• Decentralized control

How does organizational culture impact performance?

• Encourages uniform processes

• Shapes shared norms and values

• Reduces incentive costs

• Eliminates the need for strategy formulation

What is a characteristic of strong organizational cultures?

• Shared norms among managers

• Lack of adaptability

• Low value for customer input

• Minimal focus on stockholder interests

Scenario: A firm transitions from an international to a transnational strategy. What is a major challenge?

• Reducing local responsiveness

• Managing higher complexity

• Eliminating shared learning mechanisms

• Abandoning global goals

What does organizational inertia refer to?

• Quick decision-making processes

• Resistance to change within a firm

• Fast adaptation to new strategies

• Weak integration of processes

What is a common source of organizational inertia?

• Institutional constraints

• Highly flexible business models

• Low decision-making costs

• Lack of organizational culture

What is the role of unfreezing in organizational change?

• Stabilizing new systems

• Introducing bold actions to initiate change

• Eliminating senior management involvement

• Reducing organizational complexity