International Management Exam 1 (Ch
1-5) questions with correct answers
Management - correct answer ✔✔ The process of completing work through other people
International Management - correct answer ✔✔ The process of applying management concepts
and techniques in a multinational environment and adapting management practices to different
economic, political, and cultural contexts
MNC - correct answer ✔✔ (Multinational Corporation)- A firm having operations in more than
one country, international sales, and a nationality mix among managers and owners
Globalization - correct answer ✔✔ The process of social, political, economic, cultural, and
technological intergration among countries around the world
Offshoring - correct answer ✔✔ Process by which companies undertake some activities at
offshore locations instead of in their country of origin
Internationalization - correct answer ✔✔ The process of a business crossing national and
cultural borders
Outsourcing - correct answer ✔✔ The subcontracting or contracting out activities to external
organizations that had previously been preformed by the firm
Benefits of Globalization - correct answer ✔✔ Wealth, jobs, technology, lower prices,
availability of goods
, Citicisms of Globalization - correct answer ✔✔ Off-shoring of business service jobs to lower-
wage countries, growing trade deficits, slow wage growth, environmental and social impacts
FDI (Foreign Direct Investment) - correct answer ✔✔ Investment in property, plant, or
equipment in another country
Market Economy - correct answer ✔✔ Private enterprise reserves the right to own property and
monitor the production and distribution of g/s while the state supports competition and
efficient practices (Supply and demand)
Command Economy - correct answer ✔✔ Government determines the cost of goods and
services, supply and demnand
Mixed Economy - correct answer ✔✔ Combination of market and command econonmy
Maquiladora Sysyem - correct answer ✔✔ Factories that are built right over border where a lot
of cost are lower, and the transportation cost is not that much more
Chaebols - correct answer ✔✔ Very large, family-held Korean conglomerates that have
considerable political power and economic power
Marshal Plan - correct answer ✔✔ Named for George C. Marshal, plan to rebuild Japan and
Europe after WWII
Ideologies - correct answer ✔✔ The mindset that drives peoples behavior
Individualism - correct answer ✔✔ Political philosophy that people should be free to pursue
economic and political endeavors without constraint
1-5) questions with correct answers
Management - correct answer ✔✔ The process of completing work through other people
International Management - correct answer ✔✔ The process of applying management concepts
and techniques in a multinational environment and adapting management practices to different
economic, political, and cultural contexts
MNC - correct answer ✔✔ (Multinational Corporation)- A firm having operations in more than
one country, international sales, and a nationality mix among managers and owners
Globalization - correct answer ✔✔ The process of social, political, economic, cultural, and
technological intergration among countries around the world
Offshoring - correct answer ✔✔ Process by which companies undertake some activities at
offshore locations instead of in their country of origin
Internationalization - correct answer ✔✔ The process of a business crossing national and
cultural borders
Outsourcing - correct answer ✔✔ The subcontracting or contracting out activities to external
organizations that had previously been preformed by the firm
Benefits of Globalization - correct answer ✔✔ Wealth, jobs, technology, lower prices,
availability of goods
, Citicisms of Globalization - correct answer ✔✔ Off-shoring of business service jobs to lower-
wage countries, growing trade deficits, slow wage growth, environmental and social impacts
FDI (Foreign Direct Investment) - correct answer ✔✔ Investment in property, plant, or
equipment in another country
Market Economy - correct answer ✔✔ Private enterprise reserves the right to own property and
monitor the production and distribution of g/s while the state supports competition and
efficient practices (Supply and demand)
Command Economy - correct answer ✔✔ Government determines the cost of goods and
services, supply and demnand
Mixed Economy - correct answer ✔✔ Combination of market and command econonmy
Maquiladora Sysyem - correct answer ✔✔ Factories that are built right over border where a lot
of cost are lower, and the transportation cost is not that much more
Chaebols - correct answer ✔✔ Very large, family-held Korean conglomerates that have
considerable political power and economic power
Marshal Plan - correct answer ✔✔ Named for George C. Marshal, plan to rebuild Japan and
Europe after WWII
Ideologies - correct answer ✔✔ The mindset that drives peoples behavior
Individualism - correct answer ✔✔ Political philosophy that people should be free to pursue
economic and political endeavors without constraint