MGT 6670 Final Exam Question AND Correct answers
Exporting and importing -✔✔often are the only available choices for small and new firms
wanting to go international
wholly owned subsidiaries -✔✔is a foreign subsidiary that is totally owned and controlled by
an organization
mergers/acquisitions -✔✔The cross-border purchase or exchange of equity involving two or
more companies
alliance -✔✔any type of cooperative relationship among two or more different firm
Joint venture (JV) -✔✔an agreement under which two or more partners own or control a
business
license -✔✔an agreement that allows one party to use an industrial property right in
exchange for payment to the owning party
franchise -✔✔a business arrangement under which one party (the franchisor) allows
another (the franchisee) to operate an enterprise using its trademark, logo, product line,
and methods of operation in return for a fee.
international division structure -✔✔a structural arrangement that handles all international
operations out of a division created for this purpose
global product division -✔✔structural arrangement in which domestic divisions are given
worldwide responsibility for product groups
global area division -✔✔a structure under which global operations are organized on a
geographic rather than a product basis
, global functional division -✔✔a structure that organizes worldwide operations primarily
based on function and secondarily on product.
transnational network structure -✔✔a multinational structural arrangement that combines
elements of function, product, and geographic designs, while relying on a network
arrangement to link worldwide subsidiaries
Integrative techniques -✔✔techniques that help the overseas operation become a part of
the host country's infrastructure
-Developing good relations with the host government and other local political groups
-Producing as much of the product locally as possible with the use of in-country suppliers
and subcontractors, thus making it a "domestic" product
-Creating joint ventures and hiring local people to manage and run the operation
-Doing as much local research and development as possible
-Developing effective labor-management relations -✔✔Some of the most integrative
techniques include the following:
Economic imperative -✔✔A worldwide strategy based on cost leadership, differentiation,
and segmentation
quality imperative -✔✔Takes two interdependent paths:
1. A change in attitudes and a raising of expectations for service quality
2. The implementation of management practices designed to make quality improvement an
ongoing process.
-TQM Total Quality Management
administrative coordination -✔✔MNC makes strategic decisions based on the merits of the
individual situation rather than a predetermined economic or political strategy
opening new branches, expanding employee base, and increasing stakes in local companies
-✔✔How has Citibank increased its presence in China?
Exporting and importing -✔✔often are the only available choices for small and new firms
wanting to go international
wholly owned subsidiaries -✔✔is a foreign subsidiary that is totally owned and controlled by
an organization
mergers/acquisitions -✔✔The cross-border purchase or exchange of equity involving two or
more companies
alliance -✔✔any type of cooperative relationship among two or more different firm
Joint venture (JV) -✔✔an agreement under which two or more partners own or control a
business
license -✔✔an agreement that allows one party to use an industrial property right in
exchange for payment to the owning party
franchise -✔✔a business arrangement under which one party (the franchisor) allows
another (the franchisee) to operate an enterprise using its trademark, logo, product line,
and methods of operation in return for a fee.
international division structure -✔✔a structural arrangement that handles all international
operations out of a division created for this purpose
global product division -✔✔structural arrangement in which domestic divisions are given
worldwide responsibility for product groups
global area division -✔✔a structure under which global operations are organized on a
geographic rather than a product basis
, global functional division -✔✔a structure that organizes worldwide operations primarily
based on function and secondarily on product.
transnational network structure -✔✔a multinational structural arrangement that combines
elements of function, product, and geographic designs, while relying on a network
arrangement to link worldwide subsidiaries
Integrative techniques -✔✔techniques that help the overseas operation become a part of
the host country's infrastructure
-Developing good relations with the host government and other local political groups
-Producing as much of the product locally as possible with the use of in-country suppliers
and subcontractors, thus making it a "domestic" product
-Creating joint ventures and hiring local people to manage and run the operation
-Doing as much local research and development as possible
-Developing effective labor-management relations -✔✔Some of the most integrative
techniques include the following:
Economic imperative -✔✔A worldwide strategy based on cost leadership, differentiation,
and segmentation
quality imperative -✔✔Takes two interdependent paths:
1. A change in attitudes and a raising of expectations for service quality
2. The implementation of management practices designed to make quality improvement an
ongoing process.
-TQM Total Quality Management
administrative coordination -✔✔MNC makes strategic decisions based on the merits of the
individual situation rather than a predetermined economic or political strategy
opening new branches, expanding employee base, and increasing stakes in local companies
-✔✔How has Citibank increased its presence in China?
