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business
international business
Questions and Answers of
International business
What is international human resource management(IHRM)? Why is it important to internationalize firms? What is the role of IHRM in company strategy? LO.1
What is your view of Sony’s efforts at corporate social responsibility(CSR) in international operations? What steps can Sony take to improve CSR in organizing and managing its operations around the
Sony has experienced labor relations problems in Indonesia and elsewhere. What strategies should management follow to improve labor relations? What can it do to reduce the number and severity of
What is your view of Sony’s training efforts? What steps could Sony take to improve its training in light of its multicountry operations? LO.1
Sony faces challenges in finding suitable talent for its operations in China and Europe. What steps should it take to ensure that it has an adequate pool of international managers and other talent
Traditionally, Japanese MNEs followed an ethnocentric orientation in international staffing, in which managers from headquarters held key subsidiary positions. Sony is shifting away from this model.
Suggest how a corporation like Etisalat could create an comprehensive training program. LO.1
How does Etisalat ensure that their employees have access to quality career development programs? LO.1
Emaar’s slogan for their HR is “Satisfied Employees Create Satisfied Customers”. What does this mean? LO.1
William Corporation is a manufacturer of high-quality men’s and women’s fashions.What steps should you take to transform William into a well-recognized global brand? LO.1
Firms frequently adapt their products to suit conditions abroad. What other marketing program elements do firms adapt for international markets? LO.1
A third-party logistics provider (3PL) provides outsourced or third-party logistics services to companies for part or all of their distribution activities. Examples include C.H. Robinson Worldwide,
Procter and Gamble (P&G) and Unilever are the two leading firms in the consumer products industry for offerings such as soap, shampoo, and laundry detergent. P&G(www.pg.com) is based in the United
Global branding is key to international marketing success.Each year Interbrand (www.interbrand.com) publishes a ranking of the top 100 global brands. The ranking can be accessed by searching at the
Ethical Dilemma: You just assumed a senior management position with Philip Morris (PM), a major manufacturer of cigarettes. As cigarette sales have declined in the advanced economies, PM has
Office Depot (www.officedepot.com) is a North America-based supplier of office equipment and supplies. It has stores in Japan, Mexico, and Poland. Suppose Office Depot decides to launch a line of
Products must be adapted to accommodate national differences arising from customer preferences and each market’s economic conditions, climate, culture, and language. Think about the following
What does a global account manager do? LO.1
Suppose export customers of a consumer product are highly sensitive to price. However, the firm is experiencing substantial price escalation in the market. What factors may be causing this
What are the most important factors to consider when formulating international pricing strategies?What steps would you follow in arriving at international prices? LO.1
What is the role of market segmentation and positioning in international marketing? What is a global market segment? LO.1
Consider Toshiba’s laptop computer division. In terms of the marketing program elements, what attributes of laptop computers does the firm need to adapt and which attributes can it standardize for
How does a positioning strategy help an organization differentiate itself from competitors? LO.1
Toledo Glass Sociedad Anónima operates successfully in the Spanish domestic market and across many countries in Latin America. The company struggles to compete elsewhere. What might be the
Outline the environment for international business.What dimensions need to be considered by organizations that operate internationally? LO.1
Given Uber’s business model and strategy, what are the challenges and risks it needs to address to maintain success? LO.1
Describe the role of strategic partnerships in app-based ride sharing technology business. LO.1
Which international marketing strategies have been crucial for Uber’s global success? LO.1
Distinguish between licensing and franchising. What are the main types of franchises? LO.1
What are the advantages and disadvantages of licensing? LO.1
The International Licensing Industry Merchandisers’Association (LIMA; www.licensing.org) is an organization with offices worldwide. It supports merchandise licensing through education, networking,
Suppose you are an international entrepreneur and want to open your own franchise somewhere in Europe. You decide to conduct research to identify the most promising franchise and learn how to become
Suppose you get a job at the office of the International Intellectual Property Alliance (IIPA; www.iipa.com). You learn that worldwide piracy of products is rampant. Your boss assigns you to draft a
Ethical Dilemma: You are the president of Dynamic Publishing, a firm that publishes textbooks. During an overseas trip, you assess the prospects for marketing Dynamic’s textbooks abroad. Upon
Suppose upon graduation you get a job with Hitachi America, Ltd. (www.hitachi.us), the U.S. subsidiary of the giant Japanese firm. Hitachi uses various contractual entry strategies in its
Warner Brothers is doing a thriving business by licensing images of Harry Potter characters. Firms that manufacture software, games, clothing, and other products enter into licensing agreements with
What are the best practices in managing international contractual relationships? LO.1
Define and distinguish the following contractual entry strategies: build-operate-transfer, turnkey projects, management contracts, and leasing. LO.1
Name the industries that rely the most on franchising to tap foreign markets. LO.1
What are the advantages and disadvantages of franchising from the perspective of franchisors and franchisees? LO.1
Outline the challenges facing professional service firms when they internationalize. LO.1
In a build operate transfer agreement how does the business that built the facility ensure that they profit from the agreement? LO.1
What is a master franchise and why might it be more valuable? LO.1
What are the advantages and disadvantages of franchising in China from Jim Bryant’s perspective? What can Bryant do to overcome the disadvantages? From Subway’s perspective, is franchising the
What do you think about Subway’s method and level of compensating its master franchisee and regular franchisees in China?Is the method satisfactory? Is there room for improvement? LO.1
Why might an organization enter into a know-how agreement rather than another form of entry strategy? LO.1
What risk(s) does LEGO face from licensing its brand, logo, toy patents, and LEGO Movie? LO.1
What are the advantages of licensing as described in the case? LO.1
How does LEGO generate royalties by using contractual entry strategies? LO.1
MyManagementLab Only—comprehensive writing assignment for this chapter. LO.1
Explain what steps a firm should take to launch a collaborative venture with a foreign partner successfully. LO.1
Governments often provide incentives to encourage foreign firms to invest within their national borders. Why do governments encourage inward FDI? LO.1
Suppose your company wants to establish a factory in Latin America to make and sell products in the region. It has narrowed the pool of candidate countries to Argentina, Brazil, and Chile. Your task
How can a global retailer seek to ensure that they adapt to conditions in an overseas market whilst retaining their unique features and value proposition? LO.1
Delineate the types of firms involved in FDI. Are there any types of companies that can internationalize only by FDI? Elaborate. LO.1
Over the last decade Chinese investments in the EU have been welcomed. How would you assess the EU’s likely attitude to Chinese investment in the longer term? LO.1
Now look at the latest trends as analyzed in the last section.Why, in your opinion, are Greenfield investments are on the rise? Which other novelties can be expected in the coming years regarding
What are the main countries and sectors where Chinese FDIs have been concentrated in the last five years? What are the reasons behind these choices? LO.1
Take into considerations Chinese FDIs in Europe: what are the motivating factors of Chinese presence in Europe? How does it compare to the FDI doctrine studied in the rest of the chapters? LO.1
Analyze Chinese FDIs overall trend, and compare the case of USA and the EU. How do the two trends relate one to another, if any? LO.1
Describe diversity in the international workforce. LO.1
Understand international labor relations. LO.1
Discuss performance appraisal and compensation of international employees. LO.1
Know about preparation and training of international employees. LO.1
Explain international staffing policy. LO.1
Understand the strategic role of human resources in international business. LO.1
Describe international distribution. LO.1
Understand international marketing communications. LO.1
Explain international pricing. LO.1
Describe global branding and product development. LO.1
Understand standardization and adaptation of international marketing. LO.1
Explain global market segmentation. LO.1
Understand infringement of intellectual property, a global problem. LO.1
Understand other contractual entry strategies. LO.1
Explain the advantages and disadvantages of franchising. LO.1
Understand franchising as an entry strategy. LO.1
Describe the advantages and disadvantages of licensing. LO.1
Understand licensing as an entry strategy. LO.1
Explain contractual entry strategies. LO.1
MyManagementLab Only—comprehensive writing assignment for this chapter. LO.1
Summarize the international product life cycle theory. Use the theory to explain the international evolution of automobiles and laptop computers. LO.1
Why do nations engage in international business? That is, what are the benefits of international trade and investment? LO.1
The World Bank works to alleviate world poverty and provides information about conditions in developing countries, which it uses to measure progress in economic and social development.World
Volvo (www.volvo.com) and Pilkington (www.pilkington.com)are major multinational firms with operations that span the globe. Investigate these firms by visiting their websites as well as
Suppose your company is interested in importing wines from Argentina. In analyzing this opportunity, you want to identify the strengths and weaknesses of the Argentine wine industry. What are the
Ethical Dilemma: To reduce poverty in Africa, government officials want to increase African exports to Europe. Africa’s top exports include agricultural products, such as meat, coffee, peanuts, and
Economist Lester Thurow once posed the question,“If you were the president of your own country and could specialize in one of two industries, computer chips or potato chips, which would you
South Africa is home to huge reserves of coal, gold, diamonds, and natural gas. In addition to their intrinsic value, gold and diamonds have many industrial uses, and precious-mineral mining has
Are collaborative ventures the best option when a business has little knowledge of the market? LO.1
Industrial clusters can be valuable tools for a country’s economy. Identify three global examples and describe their development. Do not choose your own country. LO.1
There is a tendency for organizations to move from simple exporting operations to FDI over a period of time. Why is this often the case? What might slow or stop the process? LO.1
Do you believe your country should adopt a national industrial policy? Why or why not? LO.1
What are the main sources of national competitive advantage? Think about a successful product in your country; what are the sources of competitive advantage that explain its success? LO.1
Summarize factor proportions theory. What factors are most abundant in China, Japan, Germany, Saudi Arabia, and the United States? Visit globalEDGE™for helpful information. LO.1
How does factor proportions theory compare to international product life cycle theory? LO.1
Describe the classic theories of international trade.Which theories do you believe are relevant today? LO.1
Consistent with Dunning’s eclectic paradigm, describe the ownership-specific advantages, location-specific advantages, and internalization advantages Hyundai holds. Which of these advantages do you
The Korean government has been instrumental to Hyundai’s success. In terms of national industrial policy, what has the government done to support Hyundai? What can the government do to encourage
Discuss Hyundai and its position in the global car industry in terms of the determinants of national competitiveness. What are the relationships of the roles of demand conditions; factor conditions;
In terms of factor proportions theory, what abundant factors does Hyundai leverage in its worldwide operations? Provide examples and explain how Hyundai exemplifies the theory.In what ways does
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