1 A mixed organization structure combines which elements into single organization design ?

Select one:

a. Global area & global functional structures

b. Global product & global area structures

c. Transnational & operational structures

d. Global product, global area, global functional structures

2 The production of raw materials or intermediate goods that are to be processed into final products is known as:

Select one:

a. Vertical investments

b. Horizontal investments

c. Specialization

d. Operational investment

3. MNC conglomerate investments are considered higher risk due to the fact that:

Select one:

a. Host country political instability can adversely impact these MNC investments.

b. Host governments view these investments as more beneficial to MNCs and unfavorable to host country.

c. Each country will be responsible for its risk taking, without benefit from headquarters.

d. Local tax laws and import duties increase risk

4 Licensing agreements are defined as:

Select one:

a. Legal authority acquired from owning party to use trademark, brands globally.

b. Agreement which allows one party to use an industrial property right in exchange for payment to the owning party

c. Arrangement under which one party allows another to operate an enterprise using its trademark, logo, product line, and methods of operation for a fee.

d. Permission granted to companies market-entry strategy

5 Developing good government relations with host governments, maximizing local production with local suppliers and doing as much local R&D as possible are examples of:

Select one:

a. Defensive techniques

b. Protective techniques

c. Integrative techniques

d. Adaptive techniques

6 One of the following is not characteristic of international alliances:

Select one:

a. Improvement of efficiency

b. Enhances competitiveness

c. Access to knowledge

d. Mitigating political factors

7 A centralized management system is characterized by which of the following:

Select one:

a. Consensus-based decisions from representatives from key functions

b. Important decisions are made at the top of the enterprise

c. A central team of middle level managers is responsible to propose corporate policy.

d. External agency serves as consultant to company leadership team

8 The use of force or violence against others to promote political or social views can be:

Select one:

a. Classic or religious terrorism

b. Militant terrorism

c. Classic, amateur or religious terrorism

d. Political terrorism

9 International division structure is defined as:

Select one:

a. The hybrid model combining traditional organization structure with international responsibilities.

b. The structural arrangement in which the division responsible for international operations replaces former organization design

c. A management model enabling greater control and CEO oversight of international operations

d. A structural arrangement that handles all international operations of a division created for this purpose

10 Mitsubishi recently implemented Quality Control Circles (QCC). The primary scope of QCCs is to

Select one:

a. Get production workers together on regular basis to explore ways to improve quality

b. Increase quality through performance management

c. Create linkage between quality and workers performance appraisal system

d. Meet quarterly to report manufacturing defects and solutions to management