STRATEGIC MANAGEMENT AND BUSINESS
POLICY GLOBALIZATION ACTUAL TEST
PAPER COMPLETE QUESTIONS AND
ANSWERS FULL SOLUTION
●● False
Answer: True or False: Offshoring takes place when a firm decides to
shift that they were previously performing in a foreign location to a
domestic location.
●● C) local adaptation; global integration
Answer: Multinational firms are constantly faced with the dilemma of
choosing between ____________ and _____________.
A) local adaptation; local integration
B) global adaptation; local integration
C) local adaptation; global integration
D) global adaptation; global integration
●● B) International Strategy
Answer: Which would be the appropriate strategy for companies to use
to compete in the global marketplace if the marketplace if the
,marketplace pressure is for lower costs with no pressure for local
adaptation?
A) Global Strategy
B) International Strategy
C) Multidomestic Strategy
D) Transnational Strategy
●● B) customer needs, interests, and tastes becoming increasingly
similar
Answer: Recent trends that might lead managers of multinational
corporations (MNCs) to adopt a more decentralized strategy for their
operations would include all of the following, except
A) fluctuating exchange rates
B) customer needs, interests, and tastes becoming increasingly similar
C) consumers around the world increasingly willing to trade off
idiosyncratic preferences in product features for lower prices
D) Manufacturing trends allowing a decline in the minimum volume
required to reach acceptable production level efficiency
●● D) intellectual property; international expansion
Answer: The Office of the United States Trade Representative placed
Canada on a priority watch list of countries that fail to effectively
, enforce _________________ rights due to counterfeiting. This is an
example of potential risks of ________________.
A) intellectual property; nationalism
B) national; international expansion
C) international; international expansion
D) intellectual property; international expansion
●● B) transnational strategy; global strategy
Answer: When firms expand into global markets, they are faced with the
choice of reducing costs and/or adapting to the local market. When high
pressures exist to lower costs, companies should choose a
________________ or __________________ in order to compete in the
global marketplace.
A) global strategy; multidomestic strategy
B) transnational strategy; global strategy
C) international strategy; multidomestic strategy
D) international strategy; transnational strategy
●● A) decrease in the number of trading blocs and free trade zones
Answer: Which of the following is NOT a reason for the rise in regional
expansion?
POLICY GLOBALIZATION ACTUAL TEST
PAPER COMPLETE QUESTIONS AND
ANSWERS FULL SOLUTION
●● False
Answer: True or False: Offshoring takes place when a firm decides to
shift that they were previously performing in a foreign location to a
domestic location.
●● C) local adaptation; global integration
Answer: Multinational firms are constantly faced with the dilemma of
choosing between ____________ and _____________.
A) local adaptation; local integration
B) global adaptation; local integration
C) local adaptation; global integration
D) global adaptation; global integration
●● B) International Strategy
Answer: Which would be the appropriate strategy for companies to use
to compete in the global marketplace if the marketplace if the
,marketplace pressure is for lower costs with no pressure for local
adaptation?
A) Global Strategy
B) International Strategy
C) Multidomestic Strategy
D) Transnational Strategy
●● B) customer needs, interests, and tastes becoming increasingly
similar
Answer: Recent trends that might lead managers of multinational
corporations (MNCs) to adopt a more decentralized strategy for their
operations would include all of the following, except
A) fluctuating exchange rates
B) customer needs, interests, and tastes becoming increasingly similar
C) consumers around the world increasingly willing to trade off
idiosyncratic preferences in product features for lower prices
D) Manufacturing trends allowing a decline in the minimum volume
required to reach acceptable production level efficiency
●● D) intellectual property; international expansion
Answer: The Office of the United States Trade Representative placed
Canada on a priority watch list of countries that fail to effectively
, enforce _________________ rights due to counterfeiting. This is an
example of potential risks of ________________.
A) intellectual property; nationalism
B) national; international expansion
C) international; international expansion
D) intellectual property; international expansion
●● B) transnational strategy; global strategy
Answer: When firms expand into global markets, they are faced with the
choice of reducing costs and/or adapting to the local market. When high
pressures exist to lower costs, companies should choose a
________________ or __________________ in order to compete in the
global marketplace.
A) global strategy; multidomestic strategy
B) transnational strategy; global strategy
C) international strategy; multidomestic strategy
D) international strategy; transnational strategy
●● A) decrease in the number of trading blocs and free trade zones
Answer: Which of the following is NOT a reason for the rise in regional
expansion?
