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WorksheetsCHAPTER 9 : Strategy Implementation: Global Strategy
Total questions: 20
Worksheet time: 7mins
Which entry method involves shipping goods produced in the company’s home country to other countries for marketing?
Licensing
Franchising
Exporting
Joint Venture
In licensing, what does the licensee pay to the licensing firm?
Sales royalties
Compensation for technical expertise
Percentage of sales
Manufacturing fees
What is a quick method of obtaining local management and reducing risks of expropriation in a foreign country?
Exporting
Licensing
Joint Venture
Acquisition
what must key stakeholders do to ensure the success of an alliance?
Reject the alliance
Accept the alliance
Ignore the alliance
Compete with the alliance
What is a unique issue with measuring performance in international expansion?
Return of Investment (ROI)
Cultural adaptation
Lack of resources
Domestic focus
What is the primary characteristic of turnkey operations in international entry?
Facility transfer to the host country
Fee for construction of operating facilities
Rapid market entry
Manufacturing plant development
In which stage of international development does a primarily domestic company export some of its products through local dealers and distributors in foreign countries?
Stage 1
Stage 2
Stage 3
Stage 4
What does the "Build, Operate, Transfer (B O T) concept" involve in international entry?
Turning facility over to the host country immediately
Operating facility for a fixed time, then turning it over to the government
Joint management with the host country
Licensing to the host country
What is a means through which a corporation can use its personnel to assist a firm in a host country for a specified fee and time?
Franchising
Exporting
Joint Venture
Management contracts
What characterizes Stage 3 (Primarily domestic company with international division) in the stages of International Development?
Multinational corporation with global emphasis
Local operating division in host country
Establishing manufacturing facilities in key countries
Exporting through local dealers
What is a key requirement for strategic fit in international strategic alliances?
Competitive rivalry
Independent objectives
Market expansion
Fundamental values and shared vision
In achieving strategic fit, partners in an alliance must be mutually dependent for what purpose?
Gaining competitive advantage
Reducing competition
Achieving clear and realistic objectives
Independent decision-making
Stage 3 of international development, what does a primarily domestic company establish in addition to sales and service offices in key countries?
Manufacturing facilities
Joint ventures
Licensing agreements
Export divisions
At which stage does a company eliminate middlemen and better control marketing by establishing its own sales company with offices in other countries?
Stage 1
Stage 2
Stage 3
Stage 4
What is the primary characteristic of Stage 2 for a domestic company with an export division?
Exporting through local dealers
Licensing agreements
Establishing own sales company
Setting up manufacturing facilities
In Stage 4 of international development, a multinational corporation with a multidomestic emphasis organizes managerial functions centrally.
True
False
In Stage 1 of international development, a primarily domestic company establishes manufacturing facilities in foreign countries.
True
False
Franchising involves the franchiser granting rights to another company to open a retail store, and in exchange, the franchisee pays a percentage of its sales as a royalty.
True
False
In Stage 5 of international development, a multinational corporation with a global emphasis plans its product design, manufacturing, and marketing around worldwide considerations.
True
False
In international strategic alliances, joint activities must have added value for customers and the partners.
True
False
