Notice that there is can be two or more correct answers

1. Which of the following are not true:

1. EPRG model was created by Prahalad & Doz.

2. In EPRG model, "E" stands for "economic".

3. In EPRG model, regiocentric strategy is a mix between global and polycentric strategy.

4. In EPRG model, global strategy is based on the idea that companies should repeat polices and approaches that are used in their global headquarters.

2. Which of the following are true of Prahalad & Doz approach to strategy creation:

1. Political imperatives as one of the determinants of dynamic context.

2. Existence of important multinational customers implying the need for lower degree of integration.

3. Low need to adjust to local markets as a result of significant differences in distribution channels across different countries and territories.

4. Compared with regional focus strategy, multifocal strategy requires lower degree of adjustment and higher degree of integration.

3. Which of the following belong among the typical characteristicsof a multi-domestic enterprise?

1. Competitive advantage due to economies of scope and scale.

2. Decentralization.

3. Operations in more locations worldwide.

4. National focus of subsidiaries.

4. Collective knowledge is:

1. Easily transferred.

2. Difficult to store.

3. Tacit.

4. Explicit.

5. Is the following statement true?

In order to pursue segmentation strategy, companies need detailed knowledge of customer's needs, rather than qualified staff which would be unnecessarily expensive.

YES/NO

6. Which of the following are true:

1. In highly particularistic societies, companies' promotion system is based on hard measurable criteria which are applied uniformly across all territories.

2. Multinational corporations often unintentionally use discriminatory practices due to hidden ethnocentrism.

3. The difference between societal values and practices is studied by Vons Trompenaars.

4. Agency problem in international management can be partially explained through the difference between societal and in-group collectivism.

7. Which of the following statements are true:

1. Behaviourist school of management considers political relationships in a company.

2. Rational school of management emphasizes the need to adjust strategy of companies to cultural differences.

3. US' multinationals often compete based on radical innovations.

4. Companies pursuing innovation strategy seek monopoly rent due to the first mover advantage.

8. Which of the following are true:

1. In the current business environment, companies need to react to changes in the market more quickly than in the past.

2.In the strategy of protected markets, the position of MNCs in the local market is protected by the government.

3. Administrative heritage boosts companies' flexibility in reaction to the evolution of business environment.

4. Food industry is an industry in which it is easy to pursue global strategy.

9. Which of the following do not belong among the features of hierarchical societies?:

1. Employees easily offering new ideas to their managers.

2. A relatively large difference between the salaries and benefits of employees at different levels of hierarchy in the company.

3. Efficient use of decision-making methods based on participation and initiative of employees at all levels of hierarchy.

4. Top-down structures and the use of push strategy.

10. Which of the following statements are wrong?:

1. The strategy of Global Cost Leadership is based on a strong brand and top quality of products and services.

2. In the strategy of National Responsiveness, companies tend to adjust to local markets.

3. Global Differentiation is often connected to a strong brand.

4. In Global Segmentation strategy, the company typically focuses on a number of different segments.

11. In Porter's Five Forces Model:

1. Higher bargaining power of suppliers means the industry is more competitive.

2. Oligopoly structure of the industry means there is little competition.

3. For an incumbent company, high entry barriers reduce the threat of new entrants.

4. Buyers' concentration translates into their increased bargaining power.

12. Give an example of a situation/industry with highly concentrated buyer/buyers:

Answer:

13. Which of the following statements arenot true?

1. In BCG model, "cash cows" need to be supported by high investment in marketing.

2. In OLI Framework, controlling supplies and conditions of sale is one of the sources of internalization advantage.

3. One of the defining features of the FDI is the aim to participate in long-term strategy creation.

4. A globally integrated enterprise tends to apply different approaches in different territories.

14. Choose thecorrect statements:

1. In high uncertainty/anxiety avoidant cultures, it is important to provide stability in the workplace.

2. If a company operates in affective culture, it needs to pay attention to developing close relationships with business partners.

3. In individualistic societies, rewards based on the results of the whole team rather than individuals are very common.

4. Positive discrimination practices in the workplace typically lead to higher loyalty and lower fluctuation rate of the minority group employees.