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WorksheetsLevel of Involvement in Trade
Total questions: 10
Worksheet time: 20mins
The pressure for global integration for company global strategy below are true, except:
Global strategic coordination
Universal needs
Pressure to reduce costs
Economic demands
The pressure for global integration for company local strategy below are true, except:
Preferences differ significantly
Consumer tastes
Pressure to reduce costs
Economic and political demands
There are disadvantages of choosing Multinational Model in global strategy, which are:
Difficult to launch coordinated global attacks against competitors
Higher manufacturing costs
Duplication of effort
All answers are true
There are disadvantages of choosing Transnational Model in global strategy, except:
Cannot realize scale economies
Requires elaborate formal mechanisms to achieve appropriate communications
Requires transfers of managers among subsidiaries
Headquarters must play a proactive role in coordinating activities
Companies first entry for global expansions are as exporters, which are advantages for exporting?
Manufacturing costs in home country may exceed those in higher-cost locations
Consistent with pure global strategy
Tariff barriers
Low transportations costs
Below are the obligation of Franchisor, except:
Following procedures
Management training
Financial Help
Low transportations costs
Below are the obligation of Franchisee, except:
Maintaining business relationships
Meeting quality standards
Wholesale prices on purchase
Making minimum investment
Joint venture have many advantages, except:
Shared ownership
Local partner’s knowledge of local business condition
Sharing of development costs and risks
Local laws may make this the only feasible entry mode
Disadvantages for wholly owned subsidiaries are:
Maintain control
Retain tight control over foreign operations
High risk
All answer are true
Strategic in which two or more organizations collaborate on a project for mutual gain are definition of:
Joint venture
Mergers
Acquisitions
Strategic Alliances
