These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Globalization is a social process in which the constraints of geography have receded.
Globalization is a social process built around the increased capacity for electronic information.
Globalization is a social process resulting from a dramatic increase in world trade since 1970.
Globalization is not so much a social process as a business phenomenon and the result of cross-border business links.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Globalization is linked to the liberalization of economic systems.
Globalization has only been possible via the growing importance of supranational organizations such as the United Nations.
Globalization has resulted in significant cultural convergence.
Globalization is based on the increased trade of manufactured goods.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
WAP systems and the consumer sales expansion of large 4-wheel drive vehicles in urban areas are examples of commodification.
All firms must expand beyond their national borders in order to survive.
The development of fibre optic technology has been the main driver of globalization by enabling more information to be sent via smaller wires.
As a result of globalization, manufactured products now conform to global standards.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
The global economy can be explained by the speed and coverage of technology transfer.
Globalization has led to the creation of mutually dependent networks of firms.
The impact of globalization has been almost exclusively upon the large corporation.
As a result of globalization, all firms have shifted their emphasis from a local/national to a global orientation.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
As a result of globalization the different cultures of the world are converging on a single global culture.
As a result of the complex nature of many global business transactions, contracts and regulations are replacing personal relationships as a way of doing business.
Globalization means that we all enjoy the same products.
Globalization means that we all have access to the same information via a global media and entertainment industry.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
As a result of globalization labour mobility has increased and between 15-20% of the world’s population work outside their country of origin.
As a result of globalization labour mobility has increased and between 10-15% of the world’s population work outside their country of origin.
As a result of globalization labour mobility has increased and between 7-10% of the world’s population work outside their country of origin.
As a result of globalization labour mobility has increased and between 3-6% of the world’s population work outside their country of origin.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
A globally organized production system is one where organizations in different countries work together to produce goods and services.
A globally organized production system involves subsidiaries around the world producing goods for local markets.
A globally organized production system involves the use of the same manufacturing technology the world over.
A globally organized production system is essential to meet the increased volume demand of the global market.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Off-shoring and outsourcing are essentially the same activity.
Outsourcing takes place as a result of international expansion to a different country.
Off-shoring is the establishment of operations in a different country.
Offshore outsourcing occurs mainly in manufacturing.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Offshore-outsourcing generally creates jobs at much higher wages for workers in developing countries.
Those unemployed as a result of jobs moving to low wage economies overseas generally move to jobs of higher value in their own country.
Offshore-outsourcing enables premium clothing brands to be produced at low cost.
Offshore-outsourcing benefits small firms in the host country.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Supranational organizations are concerned with either trade or defence.
Supranational organizations now deal with social as well as economic issues.
Supranational organizations are all affiliated to the United Nations.
The UK Motor Manufacturer’s Association is an example of a supranational organization.
Globalists believe that we are moving towards a borderless world but that firms still identify strongly with their country of origin.
Globalists believe that globalization is not always a force for good in developing countries.
Globalists believe that cultures are converging and in the growth of global products and services.
Globalists believe that the world economy is dominated by big business.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Globalists see the main benefit of globalization as the unified, concerted action on poverty.
Globalists believe that countries, in which MacDonalds operates have less chance of going to war with each other than with those countries without a MacDonalds.
Globalists believe that it is important for firms to work together, while still retaining their national identity.
Globalists believe that the globalization of products, markets and distribution has improved efficiency and we all benefit via increased availability and lower costs.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Globalization has caused costs to rise, especially in R&D and through increased technology transfer.
Globalization has been driven mainly by the need for all firms to reduce costs.
Globalization has been driven mainly by the need for firms to come together and share costs.
Globalization has resulted partly from increased competition, driving firms to pay increased attention to ways of reducing costs.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
The anti-globalization lobby believes that the USA has benefited fro globalization more than any other country.
The anti-globalization lobby believes that economic issues and economic problems can be contained within a single country.
The anti-globalization lobby believes there are no such things as global products and global markets.
The anti-globalization lobby believes that international agencies such as the World Bank and International Monetary Fund have not always operated in the best interests of developing countries.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Many nations still protect their own markets.
As a result of globalization many countries such as UK and USA have relaxed their immigration laws.
Nation states now have less power than global firms like General Motors and Mitsubishi.
Cultural convergence imposes limits on globalization.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Multinational firms are those that specialize in international trade and export activity.
Multinational firms have grown as national economies have grown.
Multinational firms operate most effectively when the organization structure and practices in overseas locations mirror those in the home country.
Much multinational expansion has been influenced partly by the saturation of home markets and the need to recoup a growing financial investment in product and process technologies.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Theories of economies of scope argue that the bigger an international firm becomes the more successful it will be.
Theories of internalization argue that multinational expansion offers firms both cost and control advantages.
Theories of economies of scale argue that the bigger an international firm becomes the more successful it will be.
The main driving force for multinational expansion has been the search for cheap labour.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
A transnational corporation is simply another name for an international business.
A transnational corporation mixes global and local strategies to achieve the maximum effectiveness for the company.
A transnational corporation operates multi-domestically with products focused on local markets.
A transnational corporation has a centralized global strategy to achieve cost reductions wherever it operates.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Joint ventures are a means whereby companies can survive and grow in an increasingly competitive global economy.
A joint venture will always achieve more than two or more firms can achieve if they operate alone. The outcomes will be synergy and reduced costs.
Core competencies of competitor firms can only be accessed effectively through joint ventures.
The main reason for the growth of joint ventures is political, to achieve market entry into emerging economies.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
The main reason for the failure of joint ventures is the personal incompatibility between the senior executives in the respective firms.
Joint ventures will inevitably fail if one of the parties wishes to assume dominant control.
Common reasons for the failure of joint ventures in manufacturing in emerging markets are the difficulties with the political system and the capabilities of the supply chain.
Joint ventures are bound to fail if the goals of the respective members are different.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
The traditional rationale for a successful international joint venture between a firm in an advanced economy and one in a developing economy is a strategic fit between market entry and technology transfer.
The traditional rationale for a successful international joint venture between a firm in an advanced economy and one in a developing economy is market exploitation in the developing economy.
The traditional rationale for a successful international joint venture between a firm in an advanced economy and one in a developing economy is the exploitation of technology transfer by the company in the developing economy.
The traditional rationale for a successful international joint venture between a firm in an advanced economy and one in a developing economy is the control of assets by the governments of emerging market economies.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
A joint venture occurs when a firm from one country merges with a firm from another country.
A joint venture occurs when a firm from one country takes over a firm from another country.
A joint venture occurs when firms from one or more countries establish a third company in one or more countries.
A joint venture is specific to emerging economies such as China to access advanced technologies and management know-how.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
International joint ventures are cheaper to run because resources are pooled.
Studies of international joint ventures show that the careful selection of partners is the most likely predictor of success.
International joint ventures work best when one partner has a dominant shareholding.
International joint ventures work best when one partner is vastly superior in terms of operating know-how and efficiency.
These questions are designed to test your understanding of the material contained within each chapter. For each question you are given a choice of 4 statements. Only one of these statements is correct.
Globally organized production systems are not possible without mergers or joint ventures.
Globally organized production systems offer a number of advantages, including cost reduction and building upon different core competencies in different countries.
Globally organized production systems have developed almost exclusively to take advantage of cheap labour in poorer countries.
Globally organized production systems operate best in large high-tech corporations.