Transnational Management Final Exam
Course Introduction
Transnational Management explores the complexities and strategic challenges organizations face when operating across national borders. This course emphasizes the development and implementation of effective business strategies in the global arena, focusing on the management of multinational enterprises, cross-cultural leadership, and the adaptation of products, processes, and structures for diverse international markets. Topics include global organizational design, coordination and control of international operations, risk management, and the ethical considerations of managing in different cultural and regulatory contexts. Through case studies and practical applications, students gain the analytical tools and frameworks necessary to navigate the evolving landscape of international business.
Recommended Textbook
Transnational Management Text Cases and Readings in Cross Border Management 7th Edition
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8 Chapters
245 Verified Questions
245 Flashcards
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Chapter 1: Expanding Abroad: Motivations, Means, and Mentalities
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30 Verified Questions
30 Flashcards
Source URL: https://quizplus.com/quiz/4793
Sample Questions
Q1) What is an MNE? Give examples to explain the difference between companies that are considered MNEs and those that are not.
Answer: An MNE is a company that engages in the active management of substantial direct investment in one or more foreign countries and that considers those investments/operations as integral parts of the company, both strategically and organizationally. Thus, companies that solely rely on import-export business are not considered MNEs. They may be considered international companies but not multi-national enterprises (MNEs). Moreover, companies that passively manage an investment portfolio (as opposed to those that actively manage foreign assets) are not considered MNEs.
Q2) An MNE with an 'international mentality' will typically be managed as a coordinated federation.
A)True
B)False
Answer: True
Q3) An MNE with a 'global mentality' will typically manage its operations centrally.
A)True
B)False
Answer: True
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Chapter 2: Understanding the International Context:
Responding to Conflicting Environmental Forces
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31 Verified Questions
31 Flashcards
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Sample Questions
Q1) What are the main forces that motivate MNEs such as Dell Computers to disaggregate their operations and activities to respond to national, regional and local needs and demands?
A) Social and economic forces.
B) Social and political forces.
C) Political and economic forces.
D) Economic and psychological forces.
Answer: B
Q2) In a transnational industry, MNEs are expected to
A) collaborate with their competitors to increase the prices of their products.
B) build the capability to learn from the many environments in which they operate.
C) acquire their competitors to increase their pool of resources.
D) decentralize decisions to better respond to local demands.
Answer: B
Q3) An international industry is characterized by low national responsiveness and moderate global integration.
A)True
B)False
Answer: False
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Chapter 3: Developing Transnational Strategies: Building
Layers of Competitive Advantage
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29 Verified Questions
29 Flashcards
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Sample Questions
Q1) According to an article in McKinsey Quarterly on June 2012 , about 40 percent of the growth of the global economy over the next 15 years will be generated in 400 midsized emerging-market cities. What are implications of this statement for MNEs in advanced and emerging economies?
Answer: The statement implies the increasing importance of cities especially in the emerging economies. This is the result both of the increase in the rate of urbanization in the world and the rise of some very large scale cities in the emerging economies. The size of the economy of some of these cities is larger than the whole economy of many countries. The implication for businesses is that they should go beyond having a country-level strategy, to a city level strategy (or a sub-national regional strategy).
Q2) Which of the following best describes a transnational company's asset and capability configuration?
A) assets and capabilities are centralized and globally scaled.
B) core competences are centralized, while other assets and capabilities are decentralized.
C) assets and capabilities are dispersed, interdependent and specialized.
D) assets and capabilities are decentralized and nationally self-sufficient.
Answer: C
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Chapter 4: Developing a Transnational Organization:
Managing Integration, Responsiveness, and Flexibility
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27 Verified Questions
27 Flashcards
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Sample Questions
Q1) The key strategic capability associated with the coordinated federation organizational model is global-scale efficiency.
A)True
B)False
Q2) Installing a matrix structure is the most effective way to transition from an organization based on multiple regional divisions to one able to manage both geographic and product diversity.
A)True
B)False
Q3) Isatis Co. has successfully transitioned from a global strategy to a transnational strategy. Which of the following describes the likely configuration of assets and capabilities that now most likely prevails at Isatis?
A) Decentralized and nationally self-sufficient.
B) Centralized and globally scaled.
C) Dispersed, specialized, and interdependent.
D) Core competencies are centralized; other assets and capabilities are decentralized.
Q4) Briefly discuss the characteristics of the decentralized federation organizational model.
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Chapter 5: Creating Worldwide Innovation and Learning:
Exploiting Cross Border Knowledge Management
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30 Verified Questions
30 Flashcards
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Sample Questions
Q1) Which of the following management assumptions is most likely to support transnational innovation in MNEs?
A) The roles of different organizational units should be uniform and symmetrical.
B) The headquarter-subsidiary relationship should be based on clear and unambiguous patterns of dependence or independence.
C) Career paths should be structured to give managers cross-border and cross-functional experience.
D) Headquarters should be responsible for exercising decision-making and control uniformly.
Q2) Frank is director of technology in an MNE in which most of the R&D activities are performed in the parent company's home country, but then, foreign subsidiaries are responsible for introducing the resulting innovations to their local customers. The innovation process adopted by Frank's MNE is:
A) globally linked.
B) local-for-local.
C) center-for-global.
D) locally leveraged.
Q3) There is no one best way to manage innovation in MNEs. Please comment.
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Chapter 6: Engaging in Cross-Border Collaboration:
Managing across Corporate
Boundaries
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34 Verified Questions
34 Flashcards
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Sample Questions
Q1) Flexibility is often the key in a strategic alliance. Please comment.
Q2) Which of the following can inhibit a firm's ability to learn from the alliance?
A) The interface manager is not the target user of the knowledge.
B) The firm does not have an information system to diffuse the knowledge acquired.
C) The firm does not share its knowledge with the other partner.
D) The alliance knowledge is not codified.
Q3) Pre-alliance analysis is sufficient to ensure the success of a collaborative agreement.
A)True
B)False
Q4) Entering collaborative relationships with other firms is one way for firms to meet the needs of an increasingly complex environment.
A)True
B)False
Q5) Alliances are the only feasible way to develop a position in multiple countries and regions.
A)True
B)False
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Chapter 7: Implementing the Strategy: Building
Multidimensional Capabilities
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34 Verified Questions
34 Flashcards
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Sample Questions
Q1) The role of the geographic (country) subsidiary manager has become more difficult in an era of global business units and global customers due to the fact that the manager is accountable for results, but exercises limited authority over the employees and assets situated within the country.
A)True
B)False
Q2) In the transnational, worldwide functional managers are often linked most effectively through informal networks that are nurtured and maintained through frequent meetings, visits and transfers.
A)True
B)False
Q3) When commodity-like products are transferred internally between an MNE's business units, global business managers will principally develop internal quasi-markets to coordinate cross-border flows of materials, components and finished products.
A)True
B)False
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Chapter 8: The Future of the Transnational: An Evolving Global Role
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30 Verified Questions
30 Flashcards
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Sample Questions
Q1) The exploitive approach to managing MNEs is now considered to be a relic from the past and has been essentially non-existent since the late 1980s.
A)True
B)False
Q2) Which of the following principles are not consistent with the behavioral standards advocated by the United Nations' Global Compact
A) businesses should uphold the freedom of association and the legal right of collective bargaining.
B) businesses should support a precautionary approach to environmental challenges. C) businesses should work against all forms of corruption, including bribery and extortion.
D) businesses should comply with their legal duty to act in the best interests of their shareholders and maximize profitability.
Q3) The World Bank estimates that approximately one-third of the world's population subsists on less than $2 per day.
A)True
B)False
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