Question 1

When an organization assigns regional or worldwide product responsibility to its product divisions, there are several advantages except:

Accepted Answer

When an organization assigns regional or worldwide product responsibility to its product divisions, the focus is typically on standardization and economies of scale, which can lead to manufacturing standardization (A), significant economies (C), saving development costs (D), and integrating operations (E). Tailoring products to local market needs (B) is less emphasized in this model, as the primary goal is often to leverage global efficiencies rather than customize products for local markets.

Question 2

In today's dynamic global competitive environment, organizations need to develop new forms of:

Accepted Answer

In a global competitive environment, organizations need to be flexible, efficient, and responsive to be able to adapt to changing market conditions and customer needs. This allows them to remain competitive and ensure their success in the long run. The other options, such as ethnocentrism, export department structure, self-reference criterion, and geographic structure, may not be effective in helping organizations compete in a dynamic global environment.

Question 3

Management experts often use terms like ________ to describe an organization in which autonomous business units operate with their own agendas and a minimum of horizontal interdependence.

Accepted Answer

The term "chimneys" is commonly used in management literature to refer to an organization in which individual business units operate independently with little coordination or collaboration. This metaphor implies that each unit functions as a separate chimney, with its own smokestack releasing its own emissions, rather than as part of a larger interconnected system.

Question 4

Which of the following does not contribute to the establishment of an international division?

Accepted Answer

The establishment of an international division requires a management team that is actively seeking global opportunities and prepared to address the complexities of international operations. A lack of desire by management to scan the globe for opportunities and threats would not contribute to the establishment of an international division.

Question 5

In the fast changing, competitive environment, new global realities are emerging, which include all of the following needs except:

Accepted Answer

All of the other options listed (cost effectiveness, customer focus, quality, speed) are important needs in the fast changing, competitive environment. However, the need to deliver success is somewhat vague and can be interpreted in a variety of ways, making it an insufficient option for this question.

Question 6

Which global marketing expert recommends an organization design based on a "global superstructure" that views the world in terms of 30 regions?

Accepted Answer

Kenichi Ohmae recommends an organization design based on a "global superstructure" that views the world in terms of 30 regions.

Question 7

Which one of the following statements is incorrect regarding matrix organizational structure?

Accepted Answer

In a matrix organization, managers have decision-making authority within their designated areas of responsibility, and decisions are often made through negotiation and collaboration between managers rather than relying on higher authorities.

Question 8

A company with headquarters in Europe and operational units in Canada, the United States, and Mexico would be well advised to consider establishing a(n):

Accepted Answer

The answer of A company with headquarters in Europe and...

Question 9

Which of the following is the best organization structure for global marketing?

Accepted Answer

There is no one-size-fits-all structure for global marketing as it depends on various factors such as the company's size, product offerings, market approach, and cultural differences. Therefore, companies need to carefully evaluate their unique situation and choose a structure that aligns with their strategic objectives and allows for efficient coordination and communication across global markets.

Question 10

As a company's initial international business involvement becomes too much for a single manager or export department to handle, the next step is typically to establish a(n):

Accepted Answer

When a company's international business involvement becomes too much for a single manager or export department to handle, the next step is typically to establish an international division structure. This structure involves creating a separate division within the company that is responsible for all international business operations, including export/import activities, foreign market research, and global strategy development. This structure allows for more centralized management of international activities and better coordination between different functional areas involved in international business.

Question 11

Sony's Blu-ray DVD format has gained widespread acceptance. Sony, Sharp, Panasonic, and other Japanese manufacturers are all experiencing ________ sales of traditional electronics products.

Accepted Answer

The sentence indicates that while the Blu-ray DVD format is successful, the traditional electronics products sold by Japanese manufacturers (including Sony, Sharp, and Panasonic) are experiencing a decline in sales. Therefore, the best choice is B, declining.

Question 12

Organizations vary in terms of the size and potential of targeted global markets and local management competence in different country markets. Considering different factors and facts related to the constellation of pressures, which of the following statements is not accurate?

Accepted Answer

The answer of Organizations vary in terms of the size...

Question 13

Organizations, in order to be globally successful, must be viewed as a portfolio of:

Accepted Answer

The answer of Organizations, in order to be globally successful,...

Question 14

How important is the nationality of the top management position holder in global businesses?

Accepted Answer

The answer of How important is the nationality of the...

Question 15

According to David Whitwam, former CEO of Whirlpool, one must create an organization whose people are:

Accepted Answer

David Whitwam emphasizes the importance of an organization whose people are adept at exchanging ideas, processes, and symptoms. This suggests that the organization must have effective communication and collaboration skills among its employees, in order to identify and solve problems efficiently.

Question 16

A company with headquarters in the United States and operational units in the Netherlands, France, Italy, and Spain would be well advised to consider establishing a(n):

Accepted Answer

The answer of A company with headquarters in the United...

Question 17

The advantages that a regional management center can offer include all of the following except:

Accepted Answer

Considerable cost saving is not necessarily an advantage of a regional management center because establishing and maintaining such centers can involve significant costs. The primary benefits are related to improved decision-making, planning, and control on a regional scale, rather than direct cost savings.

Question 18

One of the potential drawbacks of a regional management center is that:

Accepted Answer

The cost of setting up and maintaining a regional management center can be prohibitive for some companies, making it difficult to justify the investment.

Question 19

Hershey rolled out a new line of condensed-milk candies, named Yo-man, specifically targeting the premium candy segment in:

Accepted Answer

The answer of Hershey rolled out a new line of...

Question 20

Under the geographical and product division structures, for the company with French origins, France is:

Accepted Answer

The answer of Under the geographical and product division structures,...

Quiz 17: Leadership, Organization, and Corporate Social Responsibility