1. Companies are no longer limited by their domestic boundaries and may conduct any business activity anywhere in the world; these companies are more likely to compete anywhere because of
Technology
Globalization
Free trade system
Business strategy

2. What key trends drive the globalization phenomenon?
Population rate, environmental pollution, climate change
National taxes, literacy rates, technology, international trade
Falling borders, rise of global products and global customers, growing use of Internet
People's attitudes, international relationships, people's role in environment

3. When a company in one country moves a business function such as manufacturing to another country, usually to take advantage of lower costs, it is commonly referred to as
Outsourcing
Offshoring
Insourcing
None of the above

4. Which of the following three statements about global customers is NOT true?
Global customers are looking for products and services and ignore national boundaries
Companies making industrial purchases are less likely to be global customers compared to individuals
Information technology is making it easier to become global customers
All of the above statements are true

5. When a company decides to de-emphasize local differences and locate their operations anywhere in the world where it is advantageous, they adopt what is known as
A local responsiveness strategy
IB strategic insights
Small business insights
A global integration strategy

6. Which of the following three statements is NOT TRUE about a local responsiveness strategy?
A company pursuing a local responsiveness strategy de-emphasizes local and regional differences to locate around the world
A company focusing on satisfying local customer needs is pursuing a local responsiveness strategy
A company that focuses on local customer tastes because of cultural differences is using a local responsiveness strategy
All of the above are true

7. To de-emphasize local differences and locate operations anywhere in the world where it is advantageous
To gain some of the economic efficiency and location advantages of the more global strategies combined with some of the local adaptation advantages of the multidomestic strategy
To focus on meeting customer needs based on national and regional differences they adopt
None of the above

8. Conditions in an industry that favor the more globally oriented transnational or international strategies over the more locally oriented multidomestic or regional strategies are called
Globalization
Global-local dilemma
Multinational strategy
Globalization drivers

9. If the multinational manager believes that the benefits of dispersing value-chain activities worldwide offset the costs of coordinating a more complex organization, then which of the following strategies is most appropriate
An international strategy
A transnational strategy
A global strategy
All of the above

10. When a company decides to focus on meeting customer needs based on national and regional differences, they adopt a
Global integration strategy
Local responsiveness strategy
Differentiation strategy
Multidomestic strategy

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