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Chapter:

60+ Unit 2 Solved MCQs

in Management of International Business

These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Master of Business Administration (MBA) .

Chapters

Chapter: Unit 2
51.

The generic competitive strategies are

A. Overall Cost Leadership
B. Cost Focus
C. Differentiation and Focused Differentiation
D. All the above
Answer» D. All the above
52.

What are core competences?

A. Resources which critically underpin competitive advantage and that others cannot obtain.
B. Activities and processes needed to meet customers' minimum requirements and therefore to continue to exist.
C. Key skills required for success in a particular business.
D. Activities that underpin competitive advantage and are difficult for competitors to imitate or obtain.
Answer» D. Activities that underpin competitive advantage and are difficult for competitors to imitate or obtain.
53.

Synergy' can best be explained by which of the sums below?

A. 2+2=5.
B. 2+2=4.
C. 2-2=1.
D. 2-2=0.
Answer» A. 2+2=5.
54.

What do you mean by the term “holding company” is:

A. organization with a balanced portfolio of individual businesses
B. decentralized organization with a small head office that organizes finance for the subsidiaries
C. centralized organization with a small head office that helps subsidiaries develop and finance their strategies
D. decentralized organization with a large head office that offers a broad range of advice and services to subsidiaries
Answer» B. decentralized organization with a small head office that organizes finance for the subsidiaries
55.

A firm with a functional director for 6 areas with an area director for 3 functions. There, staff at each area will be reporting to 2 bosses. This firm has which type of structure?

A. Project structure
B. Matrix structure
C. Divisionalized structure
D. Front-back structure
Answer» B. Matrix structure
56.

Organization structure that is a functional or divisional structure but at the same time also includes project teams for dealing with specific issues is called:

A. An M-form structure
B. A front-back structure
C. A networked structure
D. A hybrid structure
Answer» D. A hybrid structure
57.

Organization whose structure is divided into two main parts - one dealing with product groups and one dealing with customer segments is called:

A. A front-back structure
B. A product-customer structure
C. A back to back structure
D. A matrix structure
Answer» A. A front-back structure
58.

Choose the right sentence

A. Organization's structure would be expected to evolve as it grew larger and more diverse
B. Every organization starts out with a simple structure, then moves to a functional structure before becoming divisionalized
C. Network structures are superior to functional ones
D. Organizational performance will suffer if the structure is not stable
Answer» A. Organization's structure would be expected to evolve as it grew larger and more diverse
59.

Format of reporting and for decision making relationships can be defined as the organizational:

A. Span of control
B. Architecture
C. Hierarchy
D. Chain of command
Answer» C. Hierarchy
60.

Main component of Organization's architecture are structural hierarchy, values and belief systems, contracts and relationships and (two more):

A. Control systems and ways of working
B. Information infrastructure and power structures
C. Control systems and power structures
D. Control systems and information infrastructure
Answer» D. Control systems and information infrastructure
61.

‘Vertical architecture' is the one which has:

A. Has a tall hierarchy
B. Has many layers of management
C. Extends beyond the boundaries of legal ownership
D. Is very bureaucratic
Answer» C. Extends beyond the boundaries of legal ownership
62.

Five dimensions are used to judge Organizational structures and systems (ABCDE) to assess whether they are achieving an appropriate balance. These five dimensions are Autonomy, Bureaucracy, Cultural Control, Decentralization and:

A. Equal Opportunities
B. Economic Incentives
C. Equality and Diversity
D. Evidence of Learning
Answer» B. Economic Incentives
63.

Those Organizations that are relatively good at developing some relevant capabilities to respond to a changing context are known as:

A. Knowing organizations
B. Stretch organizations
C. Learning organizations
D. Absorptive organizations
Answer» C. Learning organizations

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