Chapters
| 1. |
Computer programs are protected as : |
| A. | Copyrights |
| B. | Trade marks |
| C. | Patents. |
| D. | none |
| Answer» A. Copyrights | |
| 2. |
Geographical indication specifies: |
| A. | Place of origin of goods only |
| B. | Special characteristics of product associated with place of origin. |
| C. | Both (a) and (b) |
| D. | none |
| Answer» C. Both (a) and (b) | |
| 3. |
Strategic alliance cannot be between: |
| A. | Manufacturer and supplier |
| B. | Competitors |
| C. | Non- competitors |
| D. | None of the above |
| Answer» D. None of the above | |
| 4. |
The mode of entry into international business with least risk to the firm is : |
| A. | Indirect exports |
| B. | Direct exports |
| C. | Management contract |
| D. | Contract Manufacturing |
| Answer» A. Indirect exports | |
| 5. |
The following is an export intermediary: |
| A. | Export house |
| B. | Trading house |
| C. | A manufacturing exporter |
| D. | Merchant exporter. |
| Answer» C. A manufacturing exporter | |
| 6. |
A global company can----------- its experience to expand its global operations |
| A. | Contract |
| B. | Expand |
| C. | Minimize |
| D. | Leverage |
| Answer» D. Leverage | |
| 7. |
Governmental regulations can affect the viability & ----------- of a company using the internet as a foreign market entry mode. |
| A. | effectiveness |
| B. | association |
| C. | performance |
| D. | None of the above |
| Answer» A. effectiveness | |
| 8. |
______ typically offer more flexibility in international markets |
| A. | SMEs |
| B. | LSEs |
| C. | MNEs |
| D. | None of the above |
| Answer» A. SMEs | |
| 9. |
From the point of view of marketing, an organization that enjoys competitive advantage in an industry has done so by: |
| A. | Focusing on long-term profit. |
| B. | Charging lower prices than competition. |
| C. | Creating superior value for customers. |
| D. | Constantly enlarging its marketing activities. |
| Answer» C. Creating superior value for customers. | |
| 10. |
Regionalism is: |
| A. | An international management orientation and a protectionist policy created to exclude third world countries from certain forms of international trade. |
| B. | The grouping of countries into regional clusters based on geographic proximity. |
| C. | A protectionist policy created to exclude third world countries from certain forms of international trade. |
| D. | An international management orientation. |
| Answer» B. The grouping of countries into regional clusters based on geographic proximity. | |
| 11. |
Within an international context, what are 'economies of scope' synonymous with? |
| A. | Reusing a resource from one business/country in additional businesses/countries. |
| B. | Decreased cost per unit of output. |
| C. | Buying components in a bulk. |
| D. | Any of the above. |
| Answer» A. Reusing a resource from one business/country in additional businesses/countries. | |
| 12. |
Globalization refers to: |
| A. | A more integrated and interdependent world |
| B. | Less foreign trade and investment |
| C. | Global warming |
| D. | Lower incomes worldwide |
| Answer» A. A more integrated and interdependent world | |
| 13. |
Which one of the following is a pull factor in emigration? |
| A. | Political oppression |
| B. | Job opportunities |
| C. | Food shortages |
| D. | War |
| Answer» B. Job opportunities | |
| 14. |
Which of the following do NOT facilitate globalization? |
| A. | Improvements in communications |
| B. | Barriers to trade and investment |
| C. | Immigration controls |
| D. | Removal of controls on movement of capital across borders |
| Answer» B. Barriers to trade and investment | |
| 15. |
Which of the following could be defined as a multinational company? |
| A. | A firm that owns shares in a foreign company but does not participate in the company's decision making. |
| B. | A UK based internet package holiday firm specializing in selling tours to Turkey to German customers. |
| C. | A firm owning a chain of supermarket outlets outside its country of origin. |
| D. | A finance company transferring its HQ and all its activities from the UK to the US. |
| Answer» C. A firm owning a chain of supermarket outlets outside its country of origin. | |
| 16. |
Which of the following is not a driver of globalization? |
| A. | The fragmentation of consumer tastes between countries. |
| B. | The competitive process. |
| C. | Multinational companies successfully persuading governments to lower trading barriers. |
| D. | The need to gain economies of scale. |
| Answer» A. The fragmentation of consumer tastes between countries. | |
| 17. |
Globalization is beneficial for firms because: |
| A. | It protects them against foreign competition. |
| B. | It cushions them from the effects of events in other countries. |
| C. | It opens up new market opportunities. |
| D. | It increases the risk and uncertainty of operating in a globalizing world economy. |
| Answer» C. It opens up new market opportunities. | |
| 18. |
The internet facilitates globalization by: |
| A. | Making it more difficult to contact potential customers abroad. |
| B. | Cutting the cost for firms of communicating across borders. |
| C. | Making it harder to send money from one country to another. |
| D. | Making it easier for governments to censor the information received by their citizens from abroad. |
| Answer» B. Cutting the cost for firms of communicating across borders. | |
| 19. |
Why might MNCs in the past have focused their marketing activities on the triad? |
| A. | That is where the most lucrative markets were located. |
| B. | Income per head in developing countries was relatively low. |
| C. | Transport and communication links were improving outside the tri |
| Answer» A. That is where the most lucrative markets were located. | |
| 20. |
Globalization can create problems for business because: |
| A. | It can result in more competition. |
| B. | It increases vulnerability to political risk and uncertainty when operating abroad. |
| C. | It means that they can increase prices. |
| D. | All of the options given are correct. |
| Answer» A. It can result in more competition. | |
| 21. |
Which of the following statements on civil law systems would be seen as an advantage by business? |
| A. | Civil law systems operate in very few countries. |
| B. | Relevant areas of law are much easier to find than in common law systems. |
| C. | Relevant areas of law are more difficult to find than in common law systems. |
| D. | Lawyers act as oral advocates for their clients. |
| Answer» B. Relevant areas of law are much easier to find than in common law systems. | |
| 22. |
How does international law facilitate international trade and investment? |
| A. | It makes it easier to resolve contract disputes for firms involved in international trade and investment. |
| B. | It allows business to choose the most favorable national legal system to institute proceedings. |
| C. | The terms used in international conventions are open to differing interpretations. |
| D. | The Uniform Commercial Code favors big US multinationals. |
| Answer» A. It makes it easier to resolve contract disputes for firms involved in international trade and investment. | |
| 23. |
Laws relating to The Single Market Program allow EU-based companies to: |
| A. | Move goods and services from any member state to another. |
| B. | Transfer managers to any member state. |
| C. | Invest anywhere in the EU. |
| D. | All of the options given. |
| Answer» D. All of the options given. | |
| 24. |
Competition Law in the EU means that firms: |
| A. | Are free to set up international cartels. |
| B. | May be refused permission to take over a US competitor. |
| C. | Can not be made to repay government financial assistance. |
| D. | Can cross-subsidise loss-making services from profitable activities. |
| Answer» B. May be refused permission to take over a US competitor. | |
| 25. |
The law relating to E-Commerce fits which of the following descriptions: |
| A. | It comprises a single set of laws. |
| B. | The law lacks clarity. |
| C. | There is no problem applying contract law to the internet. |
| D. | The law makes it easy to deal with foreign computer hackers. |
| Answer» B. The law lacks clarity. | |
| 26. |
The existence of different currencies is beneficial to private financial institutions because: |
| A. | Each country has its own currency. |
| B. | The exchange rate of each currency is fixed by the International Monetary Fund. |
| C. | A collapse in the exchange rate of a currency can cause economic disruption. |
| D. | Profits can be made from arbitrage. |
| Answer» D. Profits can be made from arbitrage. | |
| 27. |
The International Monetary Fund is important because: |
| A. | It has sufficient financial resources to deal with a major global financial crisis. |
| B. | It has sufficient financial resources to help individual countries facing balance of payments problems. |
| C. | Emerging economies can exercise significant influence on it. |
| D. | It fixes exchange rates. |
| Answer» B. It has sufficient financial resources to help individual countries facing balance of payments problems. | |
| 28. |
Which of the following are characteristic of the period when financial bubbles burst? |
| A. | Excessive optimism about future asset prices. |
| B. | Excessive pessimism about future asset prices. |
| C. | Rising house prices. |
| D. | Rising share prices. |
| Answer» B. Excessive pessimism about future asset prices. | |
| 29. |
What functions do financial institutions traditionally perform? |
| A. | They immobilise savings. |
| B. | They concentrate risk. |
| C. | They spread risk. |
| D. | They offer only short-term finance. |
| Answer» B. They concentrate risk. | |
| 30. |
The balance of payments includes which of the following? |
| A. | a country's balance of trade |
| B. | foreign investments |
| C. | foreign aid |
| D. | all of the above |
| Answer» D. all of the above | |
| 31. |
Which one of the following is a pull factor in emigration? |
| A. | Political oppression |
| B. | Job opportunities |
| C. | Food shortages |
| D. | War |
| Answer» D. War | |
| 32. |
Which of the following do NOT facilitate globalization? |
| A. | Improvements in communications |
| B. | Barriers to trade and investment |
| C. | Immigration controls |
| D. | Removal of controls on movement of capital across borders |
| Answer» C. Immigration controls | |
| 33. |
Which of the following constitutes Foreign Direct Investment? |
| A. | A speculator trying to make a profit by buying company shares on a foreign stock exchange. |
| B. | A UK energy company buying territory abroad where it expects to find oil reserves. |
| C. | A tourist purchasing foreign currency to spend on a holiday abro |
| Answer» B. A UK energy company buying territory abroad where it expects to find oil reserves. | |
| 34. |
Which of the following is a driver of globalization? |
| A. | Trade barriers and controls on inflows of foreign direct investment. |
| B. | Weak competition. |
| C. | Technological advance. |
| D. | Economies of scale are being exploited to the maximum. |
| Answer» B. Weak competition. | |
| 35. |
Globalization is beneficial for firms because: |
| A. | It protects them against foreign competition. |
| B. | It cushions them from the effects of events in other countries. |
| C. | It opens up new market opportunities. |
| D. | It increases the risk and uncertainty of operating in a globalizing world economy. |
| Answer» A. It protects them against foreign competition. | |
| 36. |
The internet facilitates globalization by: |
| A. | Making it more difficult to contact potential customers abroad. |
| B. | Cutting the cost for firms of communicating across borders. |
| C. | Making it harder to send money from one country to another. |
| D. | Making it easier for governments to censor the information received by their citizens from abroad. |
| Answer» D. Making it easier for governments to censor the information received by their citizens from abroad. | |
| 37. |
Globalization can create problems for business because: |
| A. | It can result in more competition. |
| B. | It reduced vulnerability to political risk and uncertainty when operating abroad. |
| C. | It means that they can increase prices. |
| D. | All of the options given are correct. |
| Answer» D. All of the options given are correct. | |
| 38. |
Ethnocentric views concentrate on their |
| A. | home country |
| B. | host country |
| C. | world orientation |
| D. | Racial orientation |
| Answer» A. home country | |
| 39. |
In a global market place |
| A. | the entire world is a market place |
| B. | national borders are irrelevant |
| C. | the potential for organizations to grow expands dramatically |
| D. | All of the above |
| Answer» D. All of the above | |
| 40. |
In a global market place Managers must |
| A. | deals with economic, political and cultural differences |
| B. | expect competitors to suddenly appear at any time from any place |
| C. | not to take specific differences of local environment into consideration |
| D. | A and B |
| Answer» D. A and B | |
| 41. |
Trade Related Investment Measures (TRIMS) doesn’t apply for |
| A. | Measures that affect trade in goods. |
| B. | Measures that lead to restrictions in quantities. |
| C. | Discouraging measures that limit a company’s imports. |
| D. | Discouraging measures that limit a company’s exports. |
| Answer» B. Measures that lead to restrictions in quantities. | |
| 42. |
. General Agreement on Trade in Services will not be applicable to |
| A. | Services supplied from one country to another – cross border supply |
| B. | Transaction of goods across the border – Export Import |
| C. | Individuals traveling from own country to supply services in another – presence of natural persons. |
| D. | Consumers/firms making use of a service in another country – consumption abroad. |
| Answer» B. Transaction of goods across the border – Export Import | |
| 43. |
As a part of WTO guidelines, Agreement on Agriculture (AOA) doesn’t consider |
| A. | Direct payments to farmers are permitted. |
| B. | Indirect assistance and support to farmers including R & D support by govt. are not permitted. |
| C. | Domestic policies which directly effect on production and trade have to be cut back. |
| D. | Least developed countries do not need to make any cuts. |
| Answer» B. Indirect assistance and support to farmers including R & D support by govt. are not permitted. | |
| 44. |
Quantitative restrictions refer to limit set by countries to curb |
| A. | Measures that affect trade in goods. |
| B. | Measures that lead to restrictions in quantities. |
| C. | Discouraging measures that limit a company’s imports. |
| D. | Discouraging measures that limit a company’s exports. |
| Answer» C. Discouraging measures that limit a company’s imports. | |
| 45. |
A Most Favored nation status doesn’t necessarily refers to |
| A. | Same and equal economic treatment |
| B. | Non-discriminatory treatment |
| C. | Same tariff rates applicable |
| D. | Uniform civil code |
| Answer» D. Uniform civil code | |
| 46. |
The world trade organization was formed in the year _________ with GATT as it basis. |
| A. | 1993 |
| B. | 1994 |
| C. | 1995 |
| D. | 1996 |
| Answer» C. 1995 | |
| 47. |
Specific cultural dimensions that does not have a significant impact on cross national business interactions is |
| A. | Hofstede’s five cultural dimensions |
| B. | Monochromatic vs polychromatic tune |
| C. | Communication |
| D. | Geography |
| Answer» D. Geography | |
| 48. |
NAFTA is an example of |
| A. | Common Market |
| B. | Customers Union |
| C. | Economic Community |
| D. | Free Trade Area |
| Answer» D. Free Trade Area | |
| 49. |
Which one is not an international organization |
| A. | SAARC |
| B. | ASEM |
| C. | ASEAN |
| D. | CBDT |
| Answer» D. CBDT | |
| 50. |
Which of the following is not an International Financial Institution |
| A. | ICICI |
| B. | IMF |
| C. | IDA |
| D. | World Bank |
| Answer» A. ICICI | |
| 51. |
What one of the following is not the advantage of MNCs to the host country |
| A. | Increase in social activities |
| B. | increase in economic activities |
| C. | Utilisation of natural resource |
| D. | R&D efforts enhanced. |
| Answer» A. Increase in social activities | |
| 52. |
In terms of the PESTLE analysis, the liberalizing of international trade and tariff regimes could go in which section or sections? |
| A. | Political |
| B. | Legal |
| C. | Political and economic and legal |
| D. | Political and environmental |
| Answer» D. Political and environmental | |
| 53. |
An 'industry recipe' can be defined as: |
| A. | An accepted pattern of operating and competing |
| B. | A tactic for anticipating a competitor's next move |
| C. | The hidden competences that are difficult to imitate |
| D. | A strategic group |
| Answer» C. The hidden competences that are difficult to imitate | |
| 54. |
Typically, profits are highest in which stage of the industry life-cycle? |
| A. | Introduction |
| B. | Growth |
| C. | Maturity |
| D. | Decline |
| Answer» B. Growth | |
| 55. |
The corporate culture of a firm is more effectively carried to the managers who are |
| A. | Host country nationals |
| B. | Home country nationals |
| C. | Third country nationals |
| D. | none |
| Answer» B. Home country nationals | |
| 56. |
Posting of home country nationals for all key management positions throughout the globe is supported by: |
| A. | Geocentric staffing model. |
| B. | Polycentric staffing model. |
| C. | Ethnocentric staffing model. |
| D. | none |
| Answer» C. Ethnocentric staffing model. | |
| 57. |
Which of the following is NOT a business opportunity generated by globalization? |
| A. | Access to low cost labour. |
| B. | Cheap International transport. |
| C. | Currency crises. |
| D. | Less stringent regulation of the business environment. |
| Answer» C. Currency crises. | |
| 58. |
The interpersonal norms of a country may necessitate a company’s alteration of __? |
| A. | Child Labor |
| B. | Operations |
| C. | Accounting |
| D. | None of the above |
| Answer» B. Operations | |
| 59. |
Which of the following terms are not synonymous with the others? |
| A. | MNE |
| B. | MNC |
| C. | MNM |
| D. | TNC |
| Answer» C. MNM | |
| 60. |
Foreign sources may give companies? |
| A. | Higher costs |
| B. | New and/or better products |
| C. | Conflicting operating knowledge |
| D. | Legal problems |
| Answer» B. New and/or better products | |
| 61. |
A major operating objective that may induce companies to engage in international business is _____? |
| A. | To expand sales |
| B. | To maximize risk |
| C. | To acquire competitors |
| D. | None of the above |
| Answer» A. To expand sales | |
| 62. |
Critics of globalization claim _______? |
| A. | Countries lose sovereignty |
| B. | The resultant growth hurts the environment |
| C. | Some people lose in both aspects |
| D. | All of the above |
| Answer» D. All of the above | |
| 63. |
All of the following are objectives of international business operations except for: |
| A. | sales expansion |
| B. | resource acquisition |
| C. | locally expanding |
| D. | risk minimization |
| Answer» C. locally expanding | |
| 64. |
Globalization consists of the following processes except: |
| A. | political process |
| B. | environmental process |
| C. | social process |
| D. | economic process |
| Answer» B. environmental process | |
| 65. |
Which of the following is a criticism of globalization? |
| A. | going into someone’s country uninvited |
| B. | different climates in other countries get in the way |
| C. | terrorist opportunities |
| D. | threat to national sovereignty |
| Answer» D. threat to national sovereignty | |
| 66. |
To minimize your risk you can: |
| A. | diversify suppliers across countries |
| B. | take advantage of business cycle differences amongst countries |
| C. | a & b |
| D. | none of the above |
| Answer» C. a & b | |
| 67. |
Which of the following does not support globalization? |
| A. | Improvements in communications |
| B. | Barriers to trade and investment |
| C. | Immigration controls |
| D. | Removal of controls on movement of capital across borders |
| Answer» C. Immigration controls | |
| 68. |
The gains from two nations depend on |
| A. | Domestic barter rates |
| B. | Different in the domestic barter rates of the two countries |
| C. | Terms of trade |
| D. | Degree of absolute advantage. |
| Answer» C. Terms of trade | |
| 69. |
Which of the following statements is not true when describing a successful strategy? |
| A. | It provides some property that is unique or distinctive |
| B. | It provides the means for renewing competitive advantage |
| C. | It addresses changes in the external environment |
| D. | It guarantees long term survival |
| Answer» B. It provides the means for renewing competitive advantage | |
| 70. |
In the context of strategic management resources can be defined as: |
| A. | The knowledge and skills within the organization |
| B. | Something that an organization owns or controls that cannot be copied |
| C. | Something that an organization owns, controls or has access to on a semipermanent basis |
| D. | The physical assets of the organization |
| Answer» D. The physical assets of the organization | |
| 71. |
In the context of strategic management, stakeholders can be defined as: |
| A. | An individual or group with a financial stake in the organization |
| B. | An external individual or group that is able to impose constraints on the organization |
| C. | Internal groups or individuals that are able to influence strategic direction of the organization |
| D. | An individual or group with an interest in the organization's activities and who seeks to influence them |
| Answer» C. Internal groups or individuals that are able to influence strategic direction of the organization | |
| 72. |
In the case where an organization acquires its supplier, this is an example of: |
| A. | Horizontal integration |
| B. | Forwards vertical integration |
| C. | Backwards vertical integration |
| D. | Downstream vertical integration |
| Answer» D. Downstream vertical integration | |
| 73. |
When a firm seeks the benefits of global integration and local adaptation, it is best described as which type of strategy? |
| A. | Transnational |
| B. | Global |
| C. | Multi-national |
| D. | Global-local |
| Answer» C. Multi-national | |
| 74. |
Knowledge which is difficult to define and codify is known as: |
| A. | Explicit |
| B. | Tangible |
| C. | Tacit |
| D. | Random |
| Answer» A. Explicit | |
| 75. |
Competitive advantage based on the creation of opportunities using internal resources is characterized by which approach/view? |
| A. | The positioning approach |
| B. | The outside-in approach |
| C. | The resource-based view |
| D. | The knowledge-management approach |
| Answer» C. The resource-based view | |
| 76. |
'Reputation' in the context of an organization's resources can provide competitive advantage because: |
| A. | It is difficult to copy |
| B. | It is based on word-of-mouth |
| C. | It is a threshold resource |
| D. | It is explicit |
| Answer» A. It is difficult to copy | |
| 77. |
A strategic manager that seeks to reach acceptable profit targets as opposed to making as much profit as possible is making decisions of which type? |
| A. | Satisfactory |
| B. | Satisficing |
| C. | Irrational |
| D. | Optimal |
| Answer» A. Satisfactory | |
| 78. |
A strategic decision can be distinguished from other types of decisions by three factors, these are magnitude, time-scale and: |
| A. | Commitment |
| B. | Riskiness |
| C. | Impact |
| D. | Longevity |
| Answer» B. Riskiness | |
| 79. |
'Logical incrementalism' can be described as: |
| A. | Careful design and planning |
| B. | Emergent |
| C. | Cautious resource allocation |
| D. | Top management rational analysis |
| Answer» D. Top management rational analysis | |
| 80. |
An organization in which strategy development is characterized by internal political negotiation and self-interest is operating in which strategy-making mode? |
| A. | The transactive mode |
| B. | The muddling through mode |
| C. | The command mode |
| D. | The emotional mode |
| Answer» C. The command mode | |
| 81. |
'Influence' is defined as the ability to ____________ someone to something they would not otherwise have done. |
| A. | Intimidate |
| B. | Force |
| C. | Order |
| D. | Persuade |
| Answer» A. Intimidate | |
| 82. |
McDonalds is deciding whether to expand into manufacturing kitchen equipment in China. At what level is this decision likely to be made? |
| A. | Business |
| B. | Corporate |
| C. | Functional |
| D. | International |
| Answer» A. Business | |
| 83. |
The authors believe there are three tests that can be applied to judge whether a strategy is 'good'. These are: |
| A. | Fit, distinctiveness, sustainability |
| B. | Fit, internal resources, external environment |
| C. | Distinctiveness, internal resources, fit |
| D. | Sustainability, distinctiveness, external environment |
| Answer» B. Fit, internal resources, external environment | |
| 84. |
Diversification into many unrelated areas is an example of: |
| A. | Risk management |
| B. | Good management |
| C. | Uncertainty reduction |
| D. | Sustainability |
| Answer» C. Uncertainty reduction | |
| 85. |
According to Porter, dealing with the paradox of premature commitment versus not enough commitment involves some kind of: |
| A. | Trade-off |
| B. | Lock-in |
| C. | Lock-out |
| D. | Diversification |
| Answer» C. Lock-out | |
| 86. |
Corporate governance is concerned with: |
| A. | Executive remuneration, disclosure of information, auditing and accounting procedures, and organizations' management structures |
| B. | Elections to the board of directors |
| C. | Relationships with national governments |
| D. | Corporate-level strategy |
| Answer» C. Relationships with national governments | |
| 87. |
The principal-agent problem is concerned with: |
| A. | Procurement |
| B. | Appropriation of shareholders' investment by a firm's managers |
| C. | How to control a firm's distributors and dealers |
| D. | Corporate social responsibility |
| Answer» D. Corporate social responsibility | |
| 88. |
Which of the following industries is least likely to follow the conventional life-cycle model? |
| A. | Software development |
| B. | Coal mining |
| C. | Insurance broking |
| D. | Hairdressing |
| Answer» A. Software development | |
| 89. |
Brandenburger and Nalebuff added a sixth force to Porter's Five Forces. It is known as: |
| A. | The threat of substitutes |
| B. | The power of complementors |
| C. | Seller power |
| D. | Government regulation |
| Answer» A. The threat of substitutes | |
| 90. |
The Six Forces framework is based on the principle of: |
| A. | Resource-based view |
| B. | Conduct - structure - performance |
| C. | Econometrics |
| D. | Structure - conduct – performance |
| Answer» A. Resource-based view | |
| 91. |
In the Six Forces, the 'threat of new entrants' relates to: |
| A. | Barriers to entry |
| B. | Substitutes |
| C. | Switching costs |
| D. | Buyer power |
| Answer» D. Buyer power | |
| 92. |
An industry characterized by irregular patterns of stability, rapid technological change, high uncertainty and global competition can be described as: |
| A. | Hypercompetitive |
| B. | Hyperactive |
| C. | Atypical |
| D. | Co-optive |
| Answer» D. Co-optive | |
| 93. |
A situation in which the joint moves of two firms can determine how much money each firm can make or lose can be explained using the story of: |
| A. | The Trojan Horse |
| B. | The Icarus Paradox |
| C. | The Prisoner's Dilemma |
| D. | The Icarus Dilemma |
| Answer» D. The Icarus Dilemma | |
| 94. |
In the context of environmental analysis, 'munificence' means: |
| A. | The extent to which resources are freely available to support firms in an industry and enable them to grow |
| B. | The extent to which it is diverse |
| C. | The extent to which it is stable or turbulent |
| D. | The extent to which the industry follows the conventional life-cycle stages |
| Answer» C. The extent to which it is stable or turbulent | |
| 95. |
A 'market driven' firm will typically: |
| A. | Develop new products and then find someone to sell them to |
| B. | Define the target market and produce products that will satisfy those customers' needs |
| C. | Operate in a product-oriented fashion |
| D. | Suffer from market-myopia |
| Answer» B. Define the target market and produce products that will satisfy those customers' needs | |
| 96. |
Segmentation is a way of: |
| A. | Subdividing markets |
| B. | Subdividing industries |
| C. | Differentiating products |
| D. | Subdividing organizations into departments |
| Answer» A. Subdividing markets | |
| 97. |
A B2C market is: |
| A. | Business to commercial |
| B. | Business to consumer |
| C. | Business to contract |
| D. | Business to corporate |
| Answer» D. Business to corporate | |
| 98. |
Segmentation is a compromise between two ideals: mass marketing and: |
| A. | Customization |
| B. | Uniformity |
| C. | Innovation |
| D. | Convergence of tastes |
| Answer» B. Uniformity | |
| 99. |
Porter's generic strategies are: |
| A. | Low price, differentiation, focus |
| B. | Cost leadership, differentiation, cost focus, focus differentiation |
| C. | Price leadership, differentiation, focus |
| D. | Low cost, differentiation, focus differentiation |
| Answer» B. Cost leadership, differentiation, cost focus, focus differentiation | |
| 100. |
According to Porter, if an organization does not follow either a cost leadership strategy or a differentiation strategy they are: |
| A. | Hybrid |
| B. | Stuck in the middle |
| C. | Typical |
| D. | No frills |
| Answer» C. Typical | |