FREE AND STUDY GAMES ABOUT STRATEGIC EXAM 2-2

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FREE AND STUDY GAMES ABOUT STRATEGIC EXAM 2-2

EXAM QUESTIONS

Actual Qs and Ans Expert-Verified Explanation

This Exam contains:

-Guarantee passing score -63 Questions and Answers -format set of multiple-choice -Expert-Verified Explanation Question 1: In addition to the four basic dimensions of Porter's "diamond" model, ____ may also contribute to the success or failure of firms.

• national work ethic

• educational requirements

• government policy

• national pride

Answer:

• government policy

Question 2: Firms with core competencies that can be exploited across international markets

are able to:

• achieve synergies and produce high-quality goods

• enter new markets more quickly.

• enhance their market image and brand loyalty

Answer:

• achieve synergies and produce high-quality goods at lower costs.

Question 3: All of the following complicate the implementation of an international diversification

strategy EXCEPT:

• widespread multilingualism.

• increased costs of coordination between business units.

• cultural diversity.

• logistical costs.

Answer:

• widespread multilingualism.

Question 4: U.S. cola companies entered the global market because of:

• limited growth opportunities in their domestic market.

• lower labor costs in the emerging markets.

• economies of scale that offset research and development costs.

Answer:

• limited growth opportunities in their domestic market.

Question 5: Which of the following is NOT a typical disadvantage of licensing?

• Little control over the marketing of the products

• Licensees may develop a competitive product after the license expires

• Incompatibility of the licensing partners

Answer:

• Incompatibility of the licensing partners

Question 6: If conflict in a strategic alliance or joint venture is not manageable, a(n) _______may be a better option.

• licensing strategy

• exporting strategy

• acquisition

• new wholly owned subsidiary

Answer:

• acquisition

Question 7: Which of the following is NOT a disadvantage of international acquisitions?

• They

• The acquiring firm has to deal

• Merging the acquired and acquiring firm is difficult.

• It is the slowest way to enter a new market.

Answer:

• It is the slowest way to enter a new market.

Question 8: A global corporate-level strategy differs from a multi-domestic corporate-level

strategy in that in a global strategy:

• competitive strategy is dictated by the home office.

• competitive strategy is decentralized and controlled

Answer:

• competitive strategy is dictated by the home office.

Question 9: Which pair of industries would NOT be considered as "related and supporting" under Porter's diamond model?

• Japanese cameras and copiers

• Italian leather-processing

• U.S. computers

• highway systems and the supply of debt capital

Answer:

• highway systems and the supply of debt capital

Question 10: A multi-domestic corporate-level strategy has ____ need for global integration and ____ need for local market responsiveness.

• low; low

• low; high

• high; low

• high; high

Answer:

• low; high

Question 11: Japan, due to a lack of undeveloped land, would be an unusual choice of location for a U.S. cattle company

• Factors of production

• Demand conditions

• Related and supporting industries

• Firm strategy, structure, and rivalry

Answer:

• Factors of production

Question 12: A licensing agreement:

• is best way to protect proprietary technology from future competitors.

• allows a foreign firm to purchase the rights to manufacture and sell a firm's products within

a host country.

Answer:

• allows a foreign firm to purchase the rights to manufacture and sell a firm's products within a host

country.Question 13: Which of the following is NOT an incentive for firms to become multinational?

• To gain access to consumers in emerging markets

• To gain easier access to raw materials