BSG FINAL EXAM QUESTIONS WITH COMPLETE
SOLUTIONS 2025/2026
U.S. companies moving into the international market need to be
sensitive to the need for local country or regional responsiveness due
to
a. increasing rejection of American culture across much of the world.
b. the sophistication of the international consumer due to the Internet
c. customization required by cultural differences.
d. the increasing loss of economies of scale - correct answer c.
customization required by cultural differences.
Which of the following is NOT a motive for firms to become
multinational?
a. to take advantage of potential opportunities to expand the market
for the firm's products.
b. to secure needed resources.
c. to avoid high domestic taxation on corporate income. d. increasing
universal product demand - correct answer c. to avoid high domestic
taxation on corporate income.
Which of the following is NOT a factor pressuring companies for local
responsiveness?
a. the need for local repair and service to customers
,b. customization due to cultural differences
c. government pressure for firms to use local sources for procurement
d. availability of low labor costs - correct answer d. availability of low
labor costs
The choices that a firm has for entering the international market
include all of the following EXCEPT: a. exporting.
b. licensing.
c. leasing.
d. acquisition. - correct answer c. leasing.
Firms participate in strategic alliances for all the following reasons
EXCEPT to
a. enter markets more quickly.
b. acquire technology.
c. create values they could not develop acting independently.
d. retain tight control over intangible core competencies - correct
answer
d. retain tight control over intangible core competencies
When using business-level and corporate-level cooperative strategies, a
firm's primary intent is to develop strategic alliances that a. enhance
the firm's reputation in the marketplace.
, b. are long-lived.
c. will reduce the firm's political risk.
d. create a competitive advantage. - correct answer d. create a
competitive advantage.
In a(an) ____ the firms involved own equal shares of a newly-created
venture.
a. equality-based strategic alliance
b. non-equity strategic alliance
c. joint venture
d. equity strategic alliance - correct answer c. joint venture
A state-wide alliance of independent hospitals has formed in order to do
group purchasing of medical supplies. Group purchasing allows the
hospital alliance to negotiate lower prices with suppliers because of the
large quantity of materials ordered. This is an example of the advantage
of ____ resulting from an alliance. a. explicit collusion.
b. economies of scale.
c. opportunistic behavior.
d. distribution opportunities. - correct answer b. economies of scale.
Firms entering into synergistic strategic alliances expect to attain
a. technological complexity.
SOLUTIONS 2025/2026
U.S. companies moving into the international market need to be
sensitive to the need for local country or regional responsiveness due
to
a. increasing rejection of American culture across much of the world.
b. the sophistication of the international consumer due to the Internet
c. customization required by cultural differences.
d. the increasing loss of economies of scale - correct answer c.
customization required by cultural differences.
Which of the following is NOT a motive for firms to become
multinational?
a. to take advantage of potential opportunities to expand the market
for the firm's products.
b. to secure needed resources.
c. to avoid high domestic taxation on corporate income. d. increasing
universal product demand - correct answer c. to avoid high domestic
taxation on corporate income.
Which of the following is NOT a factor pressuring companies for local
responsiveness?
a. the need for local repair and service to customers
,b. customization due to cultural differences
c. government pressure for firms to use local sources for procurement
d. availability of low labor costs - correct answer d. availability of low
labor costs
The choices that a firm has for entering the international market
include all of the following EXCEPT: a. exporting.
b. licensing.
c. leasing.
d. acquisition. - correct answer c. leasing.
Firms participate in strategic alliances for all the following reasons
EXCEPT to
a. enter markets more quickly.
b. acquire technology.
c. create values they could not develop acting independently.
d. retain tight control over intangible core competencies - correct
answer
d. retain tight control over intangible core competencies
When using business-level and corporate-level cooperative strategies, a
firm's primary intent is to develop strategic alliances that a. enhance
the firm's reputation in the marketplace.
, b. are long-lived.
c. will reduce the firm's political risk.
d. create a competitive advantage. - correct answer d. create a
competitive advantage.
In a(an) ____ the firms involved own equal shares of a newly-created
venture.
a. equality-based strategic alliance
b. non-equity strategic alliance
c. joint venture
d. equity strategic alliance - correct answer c. joint venture
A state-wide alliance of independent hospitals has formed in order to do
group purchasing of medical supplies. Group purchasing allows the
hospital alliance to negotiate lower prices with suppliers because of the
large quantity of materials ordered. This is an example of the advantage
of ____ resulting from an alliance. a. explicit collusion.
b. economies of scale.
c. opportunistic behavior.
d. distribution opportunities. - correct answer b. economies of scale.
Firms entering into synergistic strategic alliances expect to attain
a. technological complexity.
