Management Chapter 3 Test Bank Exam
Questions with 100% Correct Answers |
Graded A+
1. Every manager today needs to think globally because the whole world is a
source of business threats and opportunities.
a. True
b. False - ✔✔True
2. When Harbor Trades, a Korean-based company, makes resources including
technology, managerial skills, and patent and trademark rights available to
Nano Technologies, a Russian company, thereby allowing Nano to make
products similar to Harbor's, it is engaging in exporting.
a. True
b. False - ✔✔False
3. Large international firms typically are called multinational corporations.
a. True
b. False - ✔✔True
1|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
,4. An example of global outsourcing is seen when Gap, Inc. uses low-cost
Caribbean labor to cheaply produce its clothing, and then finishes off and sells
its clothing in the United States.
a. True
b. False - ✔✔True
5. The least costly and least risky direct investment is called a greenfield
venture.
a. True
b. False - ✔✔False
6. Licensing means engaging in the international division of labor so that work
activities can be done in countries with the cheapest sources of labor and
supplies.
a. True
b. False - ✔✔False
7. The goal of the European Union is to create a powerful single-market system
for Europe's millions of consumers.
a. True
b. False - ✔✔True
2|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
, 8. Different laws and regulations make doing business a challenge for
international firms.
a. True
b. False - ✔✔True
9. Hofstede's value dimensions sprang from research conducted on more than
100,000 IMB employees in 40 countries.
a. True
b. False - ✔✔True
10. A multinational corporation (MNC) is managed as an integrated worldwide
business system.
a. True
b. False - ✔✔True
11. The primary emphasis of polycentric companies is on their home countries.
a. True
b. False - ✔✔False
12. Ethnocentrism makes managers downgrade or dismiss their home cultures.
a. True
b. False - ✔✔False
3|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
Questions with 100% Correct Answers |
Graded A+
1. Every manager today needs to think globally because the whole world is a
source of business threats and opportunities.
a. True
b. False - ✔✔True
2. When Harbor Trades, a Korean-based company, makes resources including
technology, managerial skills, and patent and trademark rights available to
Nano Technologies, a Russian company, thereby allowing Nano to make
products similar to Harbor's, it is engaging in exporting.
a. True
b. False - ✔✔False
3. Large international firms typically are called multinational corporations.
a. True
b. False - ✔✔True
1|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
,4. An example of global outsourcing is seen when Gap, Inc. uses low-cost
Caribbean labor to cheaply produce its clothing, and then finishes off and sells
its clothing in the United States.
a. True
b. False - ✔✔True
5. The least costly and least risky direct investment is called a greenfield
venture.
a. True
b. False - ✔✔False
6. Licensing means engaging in the international division of labor so that work
activities can be done in countries with the cheapest sources of labor and
supplies.
a. True
b. False - ✔✔False
7. The goal of the European Union is to create a powerful single-market system
for Europe's millions of consumers.
a. True
b. False - ✔✔True
2|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
, 8. Different laws and regulations make doing business a challenge for
international firms.
a. True
b. False - ✔✔True
9. Hofstede's value dimensions sprang from research conducted on more than
100,000 IMB employees in 40 countries.
a. True
b. False - ✔✔True
10. A multinational corporation (MNC) is managed as an integrated worldwide
business system.
a. True
b. False - ✔✔True
11. The primary emphasis of polycentric companies is on their home countries.
a. True
b. False - ✔✔False
12. Ethnocentrism makes managers downgrade or dismiss their home cultures.
a. True
b. False - ✔✔False
3|Page
©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025.
