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Businessesofallsizesareincreasinglylookingforglobalopportunitiesbecause
a. Tradebarriersarefalling.
b. Moneyisflowingmorefreelyacrosscountries.
c. Theworldisbecomingoneinterconnectedeconomy.
*d. Alloftheabove.
2. Globalizationis
*a. Thetrendofbusinessesexpandingbeyondtheirdomesticboundaries.
b. Increasingaveragetemperatureovertheglobe.
c. Theincreaseduseofglobalsatellitecommunicationsystems.
d. Astrategyofdevelopinguniqueproductsforeachnationintheworld.
3. Whichofthefollowingwouldnotbeconsideredabasicsourceofglobalization?
a. Similarcustomerneeds
b. Fallingoftradebarriers
c. Advancesincommunicationtechnology
*d. Differentiationamongcountries
4. Multinationalmanagementis
a. Astrategyofdevelopingsimilarstrategiesfordifferentcountries.
b. Thetrendofbusinessexpandingbeyondlocalboundaries.
*c. Theformulationanddesignofmanagementsystemstosuccessfullytakeadvantage
ofinternationalopportunitiesandrespondtointernationalthreats.
d. Noneoftheabove
5. Accordingtothetext,themultinationalcompany
a. Isrequiredtobeapubliccorporation.
*b. Isanycompanythatengagesinanybusinessfunctionacrossborders.
c. Mustselloverseastobeatruemultinational.
d. Mustbelarge.
6. Whichofthefollowingisnotaclassificationofeconomicsystemsnotedinthetext?
*a. Domesticeconomies
b. Transitioneconomies
c. LDCs
d. Emergingmarkets
7. Transitioneconomiesare
a. MatureeconomieswithsubstantialpercapitaGDPandinternationaltrade.
b. LedbyHongKong,Singapore,SouthKorea,andTaiwan.
*c. Countrieschangingfromgovernmentcontrolledorcommunisticeconomiestoam
orefreemarketcapitalism.
d. Noneoftheabove
8. Emergingmarketsinclude
a. OECDcountries.
*b. Brazil,China,Russia,India.
c. Korea,JapanandUSA.
d. Hungary,Poland,Slovakia.
9. Developingeconomiesare
a. MatureeconomieswithsubstantialpercapitaGDPandinternationaltrade.
*b. HongKong,Singapore,andTaiwan.
c. Countriesintheprocessofchangingtheireconomiesfromgovernmentcontrolledto
amorefreemarketcapitalism.
d. Noneoftheabove
10. Emergingmarketsaredefinedasthosethatare:
*a. Growingrapidly.
b. Transitioningfromacommunistcontrolledeconomytocapitalism.
c. Seentohaveimpactonlysporadically.
d. Enjoyingamatureeconomy.
11. MajorregionaltradeagreementsincludeallofthefollowingEXCEPT
a. EU.
b. NAFTA.
c. APEC.
*d. PROTEC.
12. TheeconomicagreementthatlinkstheUS,Canada,andMexicoinaneconomicblocthatal
lowsfreerexchangeofgoodsandservicesisknownasthe
a. EU.
b. OPEC.
c. APEC.
*d. Noneoftheabove
13. TheWorldTradeOrganization:
a. Isamajortradingcompany.
*b. SucceededtheGATTagreements.
c. Collectsdutiesformembercountries.
d. Isaconsultinggroupforcompanieswhowishtoengageininternationaltrade.
14. Examplesofdevelopedeconomieswouldinclude:
*a. TheU.S.andJapan.
b. HungaryandPoland.
c. ArgentinaandBrazil.
d. HongKongandSingapore.
15. Accordingtoyourtext,FDImeans
a. Foreigndevelopmentinitiatives.
b. VariousinvestmentpoliciesoftheU.S.government.
*c. Aforeigncompanyhasanownershippositioninacompanyinanothercountry.
d. Atypeofinternationalnegotiationstrategy.
16. Thetwoformsofriskdiscussedinthetextinclude
a. Exchangerateriskandcorruptionrisk.
b. Businessriskandsocialrisk.
c. Salesriskandemploymentrisk.
*d. Economicandpoliticalrisk.
17. Economicrisksdiscussedinthetextinclude
a. Anythingagovernmentmightdoornotdothatmightadverselyaffectacompany.
b. Thelikelihoodoflosingmoneyifoneinvestsinstocks.
*c. Exchangeandinterestrates.
d. Expropriatingofforeignfirmsbythelocalgovernmentwithoutanycompensation.
18. Anythingthatagovernmentmightdotoaffectamultinationaladverselyisknownas
a. Exchangeraterisk.
b. Businessrisk.
c. Salesrisk.
*d. Politicalrisk.
19. .Aglobalproductorserviceis
a. Adaptedforeachcountry'suniqueneeds.
*b. Asimilarproductorserviceforallcustomersthroughouttheworld.
c. Aproductorservicethatrequiresbilingualcustomers.
d. Productsdevelopedforuseoutsidethecountry.
20. WhichofthefollowingstatementsabouttheInternetandInformationTechnologyistrue?
*a. TheInternetisbenefitingcompaniesworldwide.
b. Electroniccommunicationsdoesnotallowcompaniestocommunicatewithlocations
aroundtheworld.
c. Informationtechnologyisnotencouragingaborderlessfinancialmarket.
d. Informationtechnologydoesnotallowthesharingofinformationaroundtheworld.
21. Thefreemarketreformsinemergingcountriesarecreatingapotentialgroupof
*a. newcompetitors.
b. oldcompetitors.
c. subsidizedfirms.
d. governmentcompanies.
22. Whichofthefollowingstatementsistrueaboutprivatization?
*a. Developingnationshavethehighestrateofprivatization.
b. Theleadingprivatizersintheworlddonotfacecompetition.
c. Privatizationisthesaleofprivatebusinesstogovernmentinvestors.
d. Privatizationisabsentintransitioneconomies.
23. Globalcustomers:
a. Searchforgovernmentcontrolledenterprises.
b. Providereducedgovernmenttradeprotection.
*c. Searchtheworldfortheirsupplieswithoutregardtonationalboundaries.
d. Encouragelargefirmstoselltothem.
24. Globaltradehasthisimportanteffectondevelopingnewcompetitors.
*a. Itfacilitatesthetransferoftechnology,allowingformerassemblerstobecomecreat
ors.
b. Itfacilitatesthetransferofknowledge,allowingformerbuilderstobecomeassemble
rs.
c. Itreducescompetition.
d. Itreducesrivalry.
25. Globalstandardsforproducts
a. Arevirtuallyimpossibleintechnicalindustries.
*b. Refertohavingoneproductstandardforallcountries.
c. Putscompaniesatastrategicdisadvantage.
d. Alloftheabove
26. Accordingtotheexpertscitedinyourtext,thenextgenerationofglobalmanagerswillneed
allofthefollowing,EXCEPT:
a. Emotionalintelligence
b. Theabilitytoworkwithpeoplefromdifferentculturalbackgrounds
*c. Poornegotiationskills
d. Alocalmindset
27. Aglobalmindsetrequiresmanagerstothinkgloballybut
*a. actlocally.
b. haveemotionalintelligence.
c. understandnationalcultures.
d. needaccomplishednegotiationskills.
28. Thestrategicapproachtomultinationalmanagement
a. Involvesthedevelopmentofonestrategyforallcountries.
b. Focusesontheskillsandaptitudesthatthenextgenerationofglobalmanagerswilln
eed.
*c. Isconcernedwithdevelopingstrategiesthatdealwithoperatinginmorethanoneco
untryandculture.
d. Noneoftheabove
29. Whichofthefollowingstatementsaboutglobalizationisfalse?
*a. Globalizationisasimpleevolutionaryprocess.
b. Notalleconomiesoftheworldarebenefitingequallyfromglobalization.
c. Terrorism,warsandSARShaslimitedandevenreversedtheeffectsofglobalization.
d. Alloftheabovestatementsarefalse.
30. Aggressivemultinationalcompaniesfromemergingmarketsare
*a. expandingbeyondtheirownborders.
b. stayingwithintheirownnationalborders.
c. helptransitionfromacommunisttoacapitalistsystem.
d. unabletocompetewithwesterncompanies.
31. ThesetoftechnicalstandardsdevelopedbytheInternationalOrganizationforStandardizati
onareknownas
a. ISO92.
b. ISO14000.
*c. ISO9001:2000.
d. Noneoftheabove
32. Oneofthemajorreasonswhyglobalcompaniesseektodevelopstandardproductsisbecaus
e
*a. Astandardproductallowsthecompanytosavemoneybecausethesameproductca
nbesoldanywhere.
b. Acompanycanbemoreresponsivetolocalculturalconditions.
c. Itallowsthecompanytoinvestmoreinresearchanddevelopment.
d. Alloftheabove
33. Emergingmarketsare
a. LocatedmostlyinAfricaandSouthAmerica.
b. Similartodevelopedeconomies.
*c. Thosecountriesbetweendevelopedanddevelopingcountriesthatpresenttremendo
usopportunities.
d. havefreetradeareas.
34. WhichofthefollowingstatementsregardingtheEuropeanUnionistrue?
a. TheEuropeanUnionnolongerexists.
b. TheEuropeanUnionincludesVenezuela.
*c. TheEuropeanUnionhasacommoncurrency.
d. Alloftheabovearetrue.
35. Futuretrendsindicatethat_____mattersmorethansizeofthecompany.
a. location
b. price
*c. flexibility
d. ahighstandard
36. Accordingtothetext,allofthefollowingincludesfactorsthatwillshapethefuturebusines
senvironmentEXCEPT
a. Blurringofindustrybarriers.
b. Findingyourniche.
*c. Abilitytofindcheaplabor.
d. Emphasisoninnovationandthelearningorganization.
37. Thebestdefinitionofmultinationalmanagementincludeswhichofthesefactors:
a. Theformulationofstrategiesandmanagementsystems.
b. Designedtotakeadvantageofinternationalopportunities.
c. Andtorespondtointernationalthreats.
*d. Alloftheabove.
38. MultinationalcompaniesaredefinedbyallofthesefactorsEXCEPT:
a. Engaginginbusinessbeyonditsdomesticborders.
b. Theymaybeofanysize.
c. Theymaybecorporations.
*d. Theymustbepubliccorporations.
39. Thelargestcompanyintheworldis:
a. WalMartStores.
b. BP.
*c. RoyalDutchShell.
d. Chevron.
41. Thebestexampleofaregionaltradeagreementthatincludesdevelopedcountriesis
a. CARICOM
b. ECO
*c. EU
d. UMA
42. Environmentalistsareconcernedthatfreetradeencourageslargemultinationalcorporations
to
a. overlookpoorcountriesintheirexpansionofproduction.
b. concentrateenvironmentaldamageintheirhomecountrywheretheyhaveinfluence.
c. becometooconcernedabouttheenvironmentandoverlooktheneedsoftheglobalec
onomy.
*d. moveenvironmentallydamagingproductiontopoorcountries.
43. Whichofthefollowingwasfirsttobeginnegotiationstolimitlimitworldwidetariffs?
*a. GATT
b. WTO
c. EU
d. NAFTA
44. IssuesthathavecreatedproblemsforsomeoftheBRICcountriesinclude
a. economicdownturnsorareductionintheironcerapidrateofgrowth.
b. corruption
*c. bothaandbabove.
d. anethicalpoliticalandeconomicenvironmentwithgrowthsorapidthatothercountri
esmayinvadethem.
45. The_________haspositivelycontributedtoglobalization.
a. factthatallmultinationalcorporationshavetheirhomebaseinthemostdevelopedna
tionsofEuropeandNorthAmerica.
*b. internationaldispersalofspecializedhumanandnaturalresourcesneededforvariou
sstagesofproduction
c. effortstoachievenationalselfsufficiency
d. AandCabove
46. Discusshowanycompanycanbecomeamultinationalcompany.Whataresomeoftheopti
onsavailabletocompaniesthatallowthemtouseinternationalmarketsandlocationscompetitive
ly?
47. Discusssomereasonswhyreductionsinworldtradebarriersaredrivingtheworldtowarda
globaleconomy.
48. Discussatleasttwomajorforcesthataredrivingtheworldtowardaglobaleconomy.
49. HowistheInternetandInformationtechnologyhelpingcompaniesdealwithaglobalecono
my?HowistheInternetandInformationtechnologyhelpingsmallcompaniesandevencompani
esfrompoorernations?
50. Whatiscorporatesocialresponsibility?Whyarefirmstryingtobecomesociallyresponsibl
e?
51. Discussthedifferencesbetweenforeigntradeandforeigndirectinvestment.
52. Whataresomeofthereasonswhyglobalizationandfreetradearebeingcriticized?Doyou
thinkthatfreetradeishelpingallcountries?Whyorwhynot?
53. Lookattheinformationontheworldsleadingexportersdiscussedinthetext.Doyouthink
thesetrendswillcontinueinthefuture?Why?
54. Discussthecharacteristicsofanextgenerationofmultinationalmanagers.Howcanyoude
velopthosecharacteristicsthrougheducationandexperience?
55. Whyshouldmultinationalmanagementbestudied?Whataresomeoftheelementsofastrat
egicapproachtomultinationalmanagement?
1. AllthefollowingistrueaboutcultureEXCEPT
a. Cultureisthesharedbelief,norms,andvaluesthatguideeverydaylifeofagroup.
b. Cultureispassedfromgenerationtogenerationthroughnorms,values,andbeliefs.
*c. Cultureisalwaysdirectlyobservable.
d. Cultureisverypervasiveinsocieties.
2. ThecorrectdefinitionsofthelevelsofcultureincludealloftheseEXCEPT:
a. Thenationalculture,dominantwithinthepoliticalboundariesofanationstate.
*b. Thebusinessculture,uniquetoeachbusiness.
c. Theorganizationalculture,sharedbymembersofanorganization.
d. Theoccupationalculture,sharedbythoseinthesameoccupation.
4. AllofthefollowingaredimensionsofHofstedesModelofNationalCultureEXCEPT:
*a. Poweravoidance.
b. Uncertaintyavoidance.
c. Masculinity.
d. Longtermorientation.
5. Internationalmanagementmaybeinfluencedbywhichofthefollowinglevelsofculture?
a. National
b. Business
c. Organization
*d. Alloftheabove
6. AspectsofthebusinesscultureinChinaincludealloftheseEXCEPT:
a. Businessmovesmoreslowly.
b. OneshouldrespectChinesebusinessetiquette.
*c. Itisimportanttopraiseindividualswhoexcelled.
d. TheChinesevalueharmonyandorder.
7. Organizationalculturereferstothe
*a. Setofimportantunderstandingsthatmembersofanorganizationshare.
b. Expectedwaysofbehavingforpeopleinthesameoccupationalgroup.
c. Valuesandbeliefspertainingtodoingbusinesswithaspecificcompany.
d. Noneoftheabove
8. Occupationalcultures
*a. Arethenorms,values,beliefs,andexpectedwaysofbehavingforpeopleinthesam
eoccupationalgroup.
b. Arethesetofimportantunderstandingsthatmembersofanorganizationshare.
c. Arenorms,values,andbeliefsthatpertaintoallaspectsofdoingbusinessinacountr
y.
d. Arethedominantcultureswithinacountry.
9. Somepeoplebelievethatthenorms,values,andbeliefsoftheirownculturerepresenttheonl
ycorrectwaysofdealingwiththeworld.Thisiscalled
a. Highpowerdistance.
b. Stereotyping.
c. Androgyny.
*d. Ethnocentrism.
10. Culturalrelativismrepresents
*a. Thebeliefthatallculturesarevalidandethicalresponsestotheproblemsofliving.
b. Thebeliefthatsomeculturesarerelativelybetterthanothers.
c. Thebeliefthatyourowncultureisthebest.
d. Thedegreeofsimilaritybetweenbusinessandnationalcultures.
11. AnewexpatriatemanagerlocatedinIndiareportstoyouthatallofhersubordinatelocalm
anagerslackinitiativeandwillonlydowhatshetellsthemtodo.YourealizethatmostIndianma
nagersexpectsuperiorstotellthemwhattodo.Youadviseherofthis,butalsocautionthenew
managertoavoid:
a. Rationalization.
*b. Stereotyping.
c. Uncertaintyavoidance.
d. Ethnocentrism.
12. OnwhichofHofstede'svaluedimensionsdoestheU.S.rankhighest?
a. Masculinity
*b. Individualism
c. Patriotism
d. Powerdistance
13. Highpowerdistancecountrieshavenorms,values,andbeliefssuchas
a. Itisbesttoexercisepowerprivately.
*b. Everyonehasaplace,somearehighandsomearelow.
c. Aleadershoulddevelophisorhersubordinates.
d. Leadersaremadeandnotborn.
14. Countrieshighonuncertaintyavoidancehavenorms,values,andbeliefssuchas
a. Debateshelpyoufindthetruth.
b. Deviantpeopleshouldbetolerated.
c. Lackofrulesintheworkplaceisgood.
*d. Expertsandauthoritiesareusuallycorrect.
15. WhichofthefollowingbestdescribesU.S.culturewithregardtoindividualism?
a. LowerthanmanyEuropeannations
*b. Highestobservedsofar
c. AboutthesameasJapan
d. Slightlyaboveaverage
16. Anemphasisonleadershipstylesthatappealtodutyandcommitmenttogroupgoalsarefou
ndprimarilyincountrieswith
a. Lowmasculinity.
b. Lowuncertaintyavoidance.
c. Shorttermorientations.
*d. Highcollectivisim(lowindividualism).
17. Trainingforconformityandobedience,withvaluationsbasedoncomplianceandtrustworth
inesscharacterizecountrieswith
a. Lowpowerdistance.
*b. Highpowerdistance.
c. Highindividualism.
d. Shorttermorientations.
18. Cultureswithhighpowerdistancevaluesprobablyhave
a. Participativeleadership.
b. Decentralizeddecisionmaking.
*c. Largewagedifferencesbetweenmanagementandworkers.
d. Managersselectedbyeducationalachievement.
19. Senioritytendstodominateevaluationandpromotionin
a. Shorttermorientedcultures.
*b. Cultureshighonuncertaintyavoidanceandlowonindividualism.
c. Ethnocentriccultures.
d. Doingratherthanbeingcultures.
20. Peoplefrom________countrieswouldprobablyfeelmostcomfortablewithanautocratic(t
heoryX)taskdirectedstyleofleadership.
a. Highmasculinity
b. Highpowerdistance
c. Highuncertaintyavoidance
*d. Alloftheabove
21. Aculturewhichhasdominantvaluesofsuccess,money,andmaterialthingsisprobably
a. Lowonpowerdistance.
b. Lowonindividualism.
*c. Highonmasculinity.
d. Highonlongtermorientation.
22. IncountriesthatrankhighonHofstede'smasculinityindex
a. Peoplepreferashortworkingdaytogethometotheirfamilies.
b. Peoplefeelmorecomfortableinsmallorganizations.
c. TheoryXmanagementisrejectedstrongly.
*d. Workiscentraltolifeandjobrecognitionisveryimportant.
23. Inauniversalisticculture,therightwaytotreatpeopleisbasedon
a. Personalrelationships.
b. Principlesofharmonywithinthegroup.
*c. Abstractprinciplessuchasrulesoflawandreligion.
d. Acceptingtheuseofemotions.
24. Whichofthe7dculturaldimensionsrepresentstheextenttowhichanindividual'spersonal
lifeisinvolvedinhis/herworkrelationships?
a. Neutralversusaffective
b. Achievementversusascription
c. Timeorientation
*d. Specificversusdiffuse
25. Theachievementversusascriptiondimensionaddresses
a. Theextenttowhichanindividual'slifeisinvolvedwithwork.
*b. Themannerbywhichasocietygivesstatus.
c. Thewayaculturedealswiththepast,present,andfuture.
d. Thebeliefpeoplehaveincontrollingtheirfate.
26. Expressionsofanger,laughter,gesturing,andemotionaloutburstsareconsideredacceptable
in
a. Specificcultures.
b. Diffusecultures.
c. Neutralcultures.
*d. Affectivecultures.
27. Whichofthefollowingstatementsistrueregardingafutureorientedsociety?
a. Managersandworkersdonotnecessarilybelievethathardworkcanleadtofuturesu
ccess.
b. Peoplebelievetheycancontrolnature.
*c. Organizationalchangeisconsiderednecessaryandbeneficial.
d. Individualscannotinfluencethefuture.
28. Incountrieswhereitisbelievedthatnaturedominatespeople,
a. Managersarelesslikelytobefatalistic.
b. Managersemphasizeplanningandscheduling.
c. Managersactivelytrytochangesituations.
*d. Managersbelievethattheymustacceptsituationsratherthanchangingthem.
29. Theabilitytointeracteffectivelyinmultipleculturesisknownas
a. Trustworthiness.
*b. Culturalintelligence.
c. Culturalrelativism.
d. Noneoftheabove
30. Discussingculturalparadoxes,thetextindicatesthatalthoughtheUSscoresveryhighonin
dividualism,italsohasthehighestpercentageof
a. unmotivatedpopulation.
b. uncaringseniors.
c. homelesspeople.
*d. charitygivingintheworld.
31. Aculturalparadoxisdefinedas:
a. Groupsituationsdefineculturalprescriptions.
b. Individualsituationsdefineculturalprescriptions.
c. Groupsituationscontradictculturalprescriptions.
*d. Individualsituationscontradictculturalprescriptions.
32. Whenhiringformanagerialjobsinhighpowerdistancecountries,preferenceisgenerallygi
ventoindividuals
*a. havingahighsocialclassoradegreefromaneliteuniversity.
b. fromallsocialclasses.
c. basedontheirqualificationsandskills.
d. Alloftheabove
33. Therangeoffeelingsoutwardlyexpressedinsocietyreferstotheculturaldimensionof___
_____.
a. Uncertaintyavoidance
b. Universalismvs.particularism
*c. Neutralvs.affective
d. Diffusevs.specific
34. Preferenceforinvolvementinmultipleareasofpersonalandworklifesimultaneouslyare
morelikelyin
a. Specificcultures.
*b. Diffusecultures.
c. Neutralcultures.
d. Affectivecultures.
35. WhichofthefollowingculturaldimensionsisNOTincludedinHofstede'smodelofnationa
lculture?
a. Powerdistance
b. Individualism
c. Masculinity
*d. Neutrality
36. USfirmsoftenoutsourcecustomerservicetoworkersinaforeigncountry.Tominimizedif
ficulties,suchworkersreceivecrossculturaltrainingwhichmayinclude:
a. Trainingworkerstoreduceoreliminateanaccent.
b. EducatingworkersregardingUSculture.
c. RequiringworkerstospeakonlyEnglishwhileonduty.
*d. Alloftheabove
37. Whichofthefollowingculturaldimensionrepresentstheextenttowhichindividualsareex
pectedtobefair,altruistic,caringandgenerous?
a. Performanceorientation
b. Individualism
*c. Humaneorientation
d. Powerdistance
38. Accordingtothetext,whichofthefollowingtwodimensionsarenotconsideredbyHofsted
eandisuniquetotheGLOBEculturaldimensionsframework?
a. Powerdistanceandhumaneorientation
b. Longtermorientationanduncertaintyavoidance
c. MasculinityandIndividualism
*d. Humaneorientationandperformanceorientation
39. Culturalparadoxesrepresent
*a. Caseswheresituationsinrealityseemtocontradictculturalprescriptions.
b. Theassumptionthatallpeoplewithinaculturebehave,feelandactthesame.
c. Thebeliefthatapersonscultureissuperior.
d. Thebeliefthatonescultureisinferior.
40. Accordingtoresearchdiscussedinthetext,whichofthefollowingmayhelpmanagersbeco
memoreculturallyintelligent?
*a. Exposuretonewculturalexperiencesinothercountries
b. Learningtotrusteachpeoplefromindividualisticcultures
c. Havingashorttermorientation
d. Alloftheabovearetrue
41. Amultinationaloperationsmanagermaynotethat_____mayprescribeorproscribebehavi
or.
a. beliefs
b. values
*c. norms
d. nothing
42. Abusinesscultureis
a. notaproductofthenationalculture.
*b. aformofbusinessetiquetteforthemultinationalmanager
c. thesamethingasoccupationalculture
d. somethingthatrarelyexists.
43. "Particularism"involves
*a. dealingwithpeoplebasedonpersonalrelationships.
b. dealingwithpeoplebasedonrules.
c. dealingwithpeoplewhoareveryparticularanddemanding.
d. dealingwithparticularissuesofglobalsignficance.
44. Whenaculturebasesstatuson________,onesinherentcharacteristicsorassociati
onsdefinestatus.
a. achievement
b. religion
*c. ascription
d. democracy
45. Hofstede'sconceptofmasculinityrefersto
*a. genderroles.
b. themalepercentageofpopulation.
c. malebonding.
d. strengthbuilding.
46. Definenationalculture,businessculture,occupational,andorganizationalculture.
47. Describethreemanagementimplicationsofhighindividualismversuscollectivism(lowind
ividualism).
48. Whatarecountryclusters?Explainwithanexample.
49. Whatareculturalparadoxes?Giveoneexample.
50. Describesomecharacteristicsofcultureshighonpowerdistance.Comparethemanagement
implicationswithcultureslowonpowerdistance.
51. Describesomecharacteristicsofcultureshighoncollectivism.Comparethemanagementi
mplicationswithcultureslowoncollectivism.
52. Describesomecharacteristicsofcultureshighonmasculinity.Comparethemanagementim
plicationswithcultureslowonmasculinity.
53. Discussfourofthe7dculturaldimensions.Whataresomeimplicationsofthesedimensions
forinternationalmanagement?
54. Whydotherankingsonsomeculturaldimensionssuchasindividualismdifferbetweenthe
7dandHofstedemodels?
55. DiscusstheGLOBEculturalframework.HowisthisculturalframeworkdifferentfromHof
stedesframework?
1. Thenationalcontextofasocietyismadeupof
a. Thenationalandbusinessculturesofthatsociety.
b. Thesocialinstitutionsofthatsociety.
*c. Thenationalculturesandsocialinstitutionsofthatsociety.
d. Thenationalculturesofthatsociety.
2. Acomplexofpositions,roles,norms,andvaluesorganizingrelativelystablepatternsofhum
anresourcestosustainviablesocialstructuresreferstowhichofthefollowing?
a. Entrepreneurship
*b. Socialinstitutions
c. Comparativeadvantage
d. Strategyofthemultinationalcompany
3. Accordingtothemodeldiscussedinthetext,thenationalcontextdoeswhichofthefollowin
g?
a. Createsaresourcepool
*b. Influencesthebusinessenvironmentandhelpscreateinducedfactorconditions
c. Doesnotinfluencethebusinessenvironment
d. Doesnothelpcreateinducedfactorconditions
4. Aneconomicsystemwhereproductionactivitiesaredecentralizedtoprivateownerswhocarr
youttheseactivitiestomakeaprofitisknownasa
*a. Capitalisteconomy.
b. Commandeconomy.
c. Socialisteconomy.
d. Mixedeconomy.
5. WhichofthefollowingstatementsisNOTTRUEregardingtheexperiencescountriesgothro
ughastheyundertakemarkettransitionsfromsocialismtoamoremarketbasedeconomy?
a. Drasticmeasureshavetobetakentoturnaroundformerlyinefficientcompanies.
b. Managers'thinkinghavetobechangedsothattheycanunderstandmanagementfunc
tions.
c. Financialsystemshavetobeleftunregulatedtoaccuratelyreflectmarketprices.
*d. Moreworkershavetobehiredascompaniesfindthattheyareunderstaffed.
6. Asocietythatischaracterizedbydominanceofthemanufacturingorsecondarysectorsisa/a
n
*a. Industrialsociety.
b. Preindustrialsociety.
c. Postindustrialsociety.
d. Marketsociety.
7. WhichofthefollowingstatementsisTRUEregardingpostindustrialsocieties?
a. Postindustrialsocietiesarecharacterizedbythedominanceofmanufacturingsectors.
b. Postindustrialsocietiestendtofavoreconomicachievement.
*c. Postindustrialsocietiestendtoemphasizequalityoflifeovereconomicachieveme
nt.
d. Alloftheabovearetrue.
8. Whichofthefollowingarekeysocialinstitutionsthatarethemostlikelytoinfluencethebus
inessenvironmentofacountry?
a. Economicsystem
b. Levelofindustrialization
c. Religion
*d. Alloftheabove
9. Whichofthefollowingsystemsencouragethepursuitofcollectivegoalssuchassocialequal
ityandsolidarity?
a. Economicsystem
b. Marketeconomy
*c. Commandeconomy
d. Capitalisteconomy
10. Accordingtothetext,whichofthefollowingstatementsregardingworkersinformerlysoci
alisteconomiesisNOTTRUE?
*a. Workersinformerlysocialisteconomiesareverytrustingofeachother
b. Workersinformerlysocialisteconomiesaregenerallyreluctanttocooperateandwor
kwitheachother
c. Workersinformerlysocialisteconomiestendtofavorpersonalrelationshipsaskeyt
osuccessasopposedtotheirworkperformance
d. Alloftheabovearetrue
11. Whichofthefollowingsocietiestendtodetermineoccupationsbasedonascription(family
background)andsocialstatus?
a. Industrialsocieties
b. Postindustrialsocieties
c. Socialistsocieties
*d. Preindustrialsocieties
12. Whichofthefollowingfourreligionsarepracticedby71%oftheworld'spopulation?
a. Jainism,Hinduism,IslamandChristianity
b. Hinduism,Christianity,Islam,andSikhism
*c. Christianity,Hinduism,IslamandBuddhism
d. Judaism,Christianity,Buddhism,andIslam
13. Whichofthefollowingreligionsismostpracticedaroundtheworld?
*a. Christianity
b. Buddhism
c. Hinduism
d. Islam
14. Whichofthefollowingreligionshasstrictgenderrolesandalsoprohibitsmultinationalsfro
mpayingorreceivinginterestontransactions?
*a. Islam
b. Buddhism
c. Christianity
d. Jainism
15. Whichreligionisconsideredtobetimelessandeternalasitnotbasedonasinglefounderor
event?
a. Jainism
b. Christianity
*c. Hinduism
d. Noneoftheabove
16. Whichofthefollowingreligionsisbasedontheideathatcravinganddesiresproducesuffer
ingbutthatitalsopossibletoreachastagewherethereisnolongeranysuffering?
a. Christianity
b. Judaism
c. Hinduism
*d. Buddhism
17. Theculturalandeconomicchangesthatoccurbecauseofhowproductionisorganizedandd
istributedinsocietyreferstowhichconcept?
a. religion
b. education
*c. industrialization
d. dominanteconomictype
18. Inindustrialsocieties,occupationalplacementisbasedonuniversalisticcriteriasuchas
a. Age.
b. Religion.
c. Ascription.
*d. Achievement.
19. Amultinationalmanagercarefullyconsidersthelistoffestivalsthatarecelebratedinacoun
tryinordertoallowforholidaysforhis/heremployees.Whichsocialinstitutionismostlikelybei
ngconsideredhere?
a. Industrialization
b. Markettransition
c. Education
*d. Religion
20. Preindustrialsocietiestendtohave
*a. Poorinfrastructureandsupport.
b. Adequateinfrastructure.
c. Favorablebusinessconditions.
d. Governmentsupport.
21. Anincreasedemphasisonqualityoflifeoverachievementorientednormsistypicalof
a. Preindustrialsocieties.
b. Industrialsocieties.
*c. Postindustrialsocieties.
d. Noneoftheabove
22. AmultinationalHumanResourceManager'sdecisiontopromoteanindividualresultsinwi
dediscontentintheforeignsubsidiary.Themanagerfindsthatalthoughthepromotedindividua
l'sperformanceisexemplary,mostemployeesfeelthatthepromotionshouldhavegonetoanothe
rindividualwhocomesfromanimportantfamily.Theforeignsubsidiaryismostlikelylocatedin
a/an
a. Industrialsociety.
*b. Preindustrialsociety.
c. Capitalistsociety.
d. Postindustrialsociety.
23. Inwhichofthefollowingsocietieswouldpeoplemostlikelyprefernonmonetaryincentive
s?
a. Industrialsociety
b. Preindustrialsociety
*c. Postindustrialsociety
d. Noneoftheabove
24. Highrankingsonthematerialistindexofsomecountries(e.g.,Hungary,India,Brazil)sugg
estthatindividualsinthesecountriesare
a. Favornonmaterialincentives.
*b. Achievementoriented.
c. Motivatedbynonmonetaryrewards.
d. Hinduism.
25. Whenindustrializationisinwardlyoriented,localindustriesarepromotedtosatisfythe
a. Needtoexport.
b. Localpopulation.
c. Requirementsofmultinationalcompanies.
*d. Domesticmarketandpreserveforeignexchange.
26. Whenindustrializationisoutwardoriented,foreignexchangeis
*a. Encouragedandexportingispromoted.
b. Discouragedandexportingisnotfavored.
c. Notwelcomed.
d. Usedtofundgovernmentsinpower.
27. ThefamousGermanSociologist,MaxWeber,arguedthattheProtestantworkethic
*a. LedtotheemergenceofcapitalisminWesternEurope.
b. LedtothedeclineofcapitalisminWesternEurope.
c. Ledtoanacutedistastefortheaccumulationofwealth.
d. LedtotheriseofsocialisminEasternEurope.
28. Oneimportantissuerelevanttomultinationals,istheextenttowhicheducationalsystemse
ncouragestudentsto
a. Beinnovativeandcreative.
b. Toexpectamoreethicalatmosphere.
*c. Passivelyacceptwhatistaught.
d. Noneoftheabove
29. Whenmultinationalspaylowwagesorusechildlabor,theyoftenreceive
a. Supportandpraise.
b. Imprisonment.
*c. Negativepublicity.
d. Socialresponsibility.
30. Accordingtothetext,allofthefollowingstatementsregardingeducationandeducationals
ystemsaroundtheworldareTRUEexcept
a. Universaleducationenrolmentisagoalofmostcountries.
b. Educationallevelsgiveanindicationoftheskillandproductivityinanysociety.
*c. Thefocusofeducationalsystemsaroundtheworldarefairlysimilarintermsofwh
etherthesesystemsemphasizeacademicorvocationalaspects.
d. Alloftheabovestatementsaretrue.
31. Theeducationalattainmentscores
a. Arefairlysimilarformostcountries.
b. Giveanideaoftheabundanceofengineersforresearchanddevelopmentpurposes.
*c. Reflectthemeanyearsofschoolingofpeopleinanysociety.
d. Alloftheabovearetrueofeducationalattainmentscores.
32. Whichofthefollowingisnotanimplicationofeducationalsystemsastheyapplytomultina
tionals?
a. Educationallevelgivesanindicationoftheskillandproductivityofworkersinanys
ociety.
b. Educationalsystemshaveimplicationsforhowlaborforceissuesareapproachedand
policiesimplemented.
c. Educationallevelscanbegaugedtogiveanideaofwhatmultinationalscanexpect.
*d. Alloftheabovearetrue
33. Insocietieswithhighsocialinequality,resourcesarecontrolledby
a. Amajorityofpeople.
*b. Veryfewpeople.
c. TheGovernment.
d. Religiousinstitutions.
34. Whenasocietyexpectsthatwhilemenshouldworkoutside,andwomenideallystayathom
e,thisexhibitswhichofthefollowingfeatures?
a. Needfordomesticproducts
b. Opensocieties
c. Growinglevelsofindustrializationandeconomicdevelopment
*d. Strictdivisionofsocietybygender
35. Postindustrialsocietiesaretypicallycharacterizedbythedominanceof
a. Serviceandmanufacturingsectors.
*b. Servicesectors.
c. Manufacturingsectors.
d. Agriculturalsectors.
36. Thedegreetowhichpeoplehaveprivilegedaccesstoresourcesandpositionswithinsocieti
esis
*a. Anindicationofsocialinequality.
b. Thesamearoundtheworld.
c. Hasnoimplicationsformultinationals.
d. Alloftheabove
37. WhichofthefollowingstatementsabouttheGINIindexisFALSE?
a. TheGINIindexrepresentstheextentofinequalityinpeoplesincomewithinasociet
y
b. Rangesfrom0to100
c. Isscaledsothat0representsnoinequalitywhile100representsperfectinequality
*d. Isscaledsothat100representsnoinequalitywhile0representsperfectinequality
38. Themovementfromasocialisteconomytoafreemarketeconomyisalsoknownaswhich
ofthefollowing?
*a. Markettransition
b. Dominanteconomictype
c. Rapidindustrialization
d. Governmentregulation
39. Theindexofeconomicfreedommaybeusedbymultinationalstounderstandthenatureof
a. markettransitions
b. nationalculture
c. nationalcontext
*d. governmentalintervention
40. Whichofthefollowinghasimportantimplicationsformultinationals?
a. Religion
b. Educationandeconomicsystems
c. Industrializationandinequality
*d. Alloftheabove
41. Anexampleofcrossnationaldistanceinvolves
a. differencesintransportationsystemsusedaroundtheworld.
b. anopportunityforGooglemaps.
*c. differencesinimportanceofthefinancialsector.
d. thegeographicsizeofvariouscountries.
42. Commonmeansclassifyingeconomicsystemsinvolvetheextentorabsenceofgovernment
______productioncapabilities.
a. ownershipof
b. influenceandcontrolof
*c. bothAandB
d. noneoftheabove
43. Markettransitionsduringandsincethe1980's
*a. providedopportunitiesformultinationals.
b. resultedinlessrelianceonmarketsandmoreongovernmentcontrols.
c. wereaboutthesameaspriortothe1980's.
d. involvedtechnicalratherthanpoliticaloreconomicchange.
44. Overtimetheaffectsofindustrializationhaveincludedallofthefollowingexcept
*a. culturalandeconomicstability
b. changesinstagesofindustrialization
c. differentorganizationanddistributionofproduction.
d. theconceptofproductionhascometoincludeservicesaswellasmanufacturing.
45. Theroleofeducation
a. isnolongerrelevanttoeconomicdevelopmentduetotheuseofcorporatetraining.
b. ishelpfulinreducingcompetitionfromyoungpeopleforfulltimejobs.
c. isprimarilyofphilosophicalvalue.
*d. includesorganizingnetworksofsociety'sexperiencesforprogress.
46. Definesocialinstitutions.Howdosocialinstitutionsaffectindividualsandorganizations?
47. Definenationalcontext.Explainhownationalcontextinfluencesorganizations.
48. Whatarethethreemajortypesofeconomicsystems?Whataretheeffectsofeconomicsyst
emsonhoworganizationsarestructuredinsocieties?
49. Whataresomeimplicationsofthemarkettransitionsthatmanyformerlycommunistsocieti
esareexperiencing?Whataresomemajorchallengesfacingmultinationalsastheytrytomotivat
eworkersinthesetransitioneconomies?
50. Compareandcontrastpreindustrial,industrialandpostindustrialsocieties.Discusstheimp
licationsformultinationalsofanyoneofthesethreetypesofeconomies.
51. Whataresomemajorphilosophiesofeachoftheworld'smajorreligions?Picktworeligion
sanddiscusshowtheyaffectthebusinessenvironment.
52. Howdoestheeducationalsysteminfluencethebusinessenvironmentinanycountry?
53. Whatissocialinequality?Whatimplicationsdoessocialinequalityhaveformultinationals?
a1. Internationalbusinessethics
a. Presentproblemssimilartodomesticbusinessethics.
b. Pertaintotherulesandvaluesthatdetermineactionsthatcompaniesshouldfolloww
hendealingwithothercompanies.
*c. Pertaintothoseuniqueethicalproblemsfacedbymanagersconductingbusinessacr
osscountries.
d. Noneoftheabove
2. WhichofthefollowingstatementsisNOTTRUEregardingsocialresponsibility?
*a. Socialresponsibilityisnotlinkedwithbusinessethics.
b. Referstotheideathatbusinesseshavecertainresponsibilitiestosocietybeyondmaki
ngprofits.
c. Meansthatacompanyhastotakeintoconsiderationvariousstakeholderswhenmaki
ngdecisions.
d. Isconcernedwiththeethicalconsequencesofpoliciesandproceduresofthecompan
yasanorganization.
3. Theethicalphilosophiesthatconsideractionsasgoodorbadregardlessoftheiroutcomesare
a. Theteleologicalethicaltheories.
b. Utilitarianism.
*c. Deontologicaltheoriesofethics.
d. Noneoftheabove
4. Utilitarianism,asaformofethicalphilosophy,
*a. Arguesthatwhatisgoodormoralcomesfromactsthatproducethegreatestgoodf
orthegreatestnumberofpeople.
b. Arguesthatactionsbythemselveshaveagoodorbadmoralityregardlessoftheirco
nsequences.
c. Isoneformofdeontologicalethicaltheory.
d. IsamorallanguageproposedbyDonaldson.
5. Whichofthefollowingstatementsaretrueaboutteleologicalethicaltheories?
a. Themoralityofanactcomesfromitsconsequences.
b. Utilitarianismisoneofthemostpopularteleologicaltheory.
c. Actionsbythemselveshaveagoodorbadmoralityregardlessoftheirconsequences.
*d. Alloftheabovearetrue.
6. Stealingaloafofbreadtofeedahungryfamilycanbejustifiedbywhichethicaltheory?
a. Socialresponsibilityethicaltheory
b. Deontologicalethicaltheory
c. Morallanguages
*d. Utilitarianism
7. Morallanguages
a. Areaformofdeontologicalethicaltheory.
b. Focusontheconsequencesofactionsratherthantheirworth.
c. Describethewayspeoplethinkaboutgeneralissues.
*d. Areusedtoexplainethicalchoices.
8. MorallanguagesincludeallofthefollowingEXCEPT
a. Virtueandvice.
b. Selfcontrol.
c. Avoidingharm.
*d. Beingethical.
9. Multinationalsthatprovidefairwagestotheirlocalemployeesarefollowingwhichtypeofm
orallanguage?
a. Avoidingharm
b. Ethicalbehavior
*c. Rightsandduties
d. Socialcontract
10. Accordingtothetext,theUnitedNationsDeclarationofHumanRightsisanexampleofwh
ichofthefollowing?
a. Convenientimperialism
*b. Transnationalethics
c. Europeancodes
d. Morallanguage
11. Writtenethicalcodesmayincludewhichofthefollowing?
a. Contracts
*b. Internationallaws
c. Lawsofacountry
d. Alloftheabove
12. Whichofthefollowingstatementsaboutbribesorquestionablepaymentsaretrue?
a. Bribestoexpeditegovernmentactionsortogainbusinessadvantagesarecommonin
internationalbusiness.
b. Mostcountrieshaveformallawsforbiddingbribesorquestionablepayments.
c. Enforceabilityofethicsvariesindifferentcountries.
*d. Alloftheabove
13. ThereasontoknowprovisionsoftheFCPAisthatit
a. Istheeasiesttoenforceandobserve.
b. Probablyencouragesforeignbribery.
*c. IsatrickycomponentforUScompanies.
d. Emphasizesthereasonablepersonconcept.
14. AccordingtotheFCPA,U.S.managersarecriminallyliable
a. Onlyforbribesthattheypaydirectlytoaforeignofficial.
b. OnlyforbribespaidintheU.S.andnotinothercountrieswhereitiscommonpractic
einbusinessdealings.
*c. ForallbribesbyemployeesoragentsoftheU.S.companyeveniftheU.S.manager
sdonotknowaboutthem.
d. Forbribespaidbyforeignagents,ifmanagersknowaboutthem.
15. WhichofthefollowingpaymentswouldtheForeignCorruptPracticesActallow?
a. Paymentsmadeunderduresstoavoidinjuryorviolence
b. Smallpaymentstoencourageofficialstodotheirlegitimateandroutinejobs
c. Paymentsthatareconsideredlawfulinthecountry
*d. Alloftheaboveareallowed
16. Ethicaldilemmasareusually
a. Easytoresolve.
b. Clearandunambiguous.
*c. Unclearandambiguous.
d. Removedwithaformalcodeofethics.
17. Proscriptiverulesincodesofconduct:
a. Tellmultinationalcompaniesormanagerswhattheyshoulddo.
b. Areformsofmorallanguage.
*c. Tellmultinationalcompaniesormanagerswhattheycannotdo.
d. Alloftheabove
18. Ethicalconvergence
a. Issimilartoethicalrelativism.
b. Referstobasicuniversalmoralprinciples.
c. Isaformofethicaluniversalism.
*d. Referstothegrowingpressuresformultinationalcompaniestofollowthesamerule
sinmanagingethicalbehaviorandsocialresponsibility.
19. PressuresforethicalconvergenceincludeallofthefollowingEXCEPT
a. Thegrowthofinternationaltradeandtradingblocs.
b. Increasedinteractionbetweenforeigntradingpartners.
*c. Theneedtohaveuniquenormsandvaluestomanagetheiremployeesdifferently.
d. Alloftheabovearetrue
20. Prescriptiverulesincodesofconduct
*a. Tellmultinationalcompaniesormanagerswhattheyshoulddo.
b. Areformsofmorallanguage.
c. Tellmultinationalcompaniesormanagerswhattheycannotdo.
d. Alloftheabove
21. Ethicalrelativism
a. Arguesthatoneshouldimposethehomecountry'sethicalsystemeverywhere.
b. Impliesthatethicsarerelativetothetypeofphilosophyused.
*c. Meansthateachsociety'sviewofethicsmustbeconsideredlegitimate.
d. Meansthatthesameethicalprinciplesareuniversal.
22. Theargumentthattherearebasicmoralprinciplesthattranscendculturalandnationalboun
dariesissupportedby
a. Ethicalrelativism.
b. Morallanguages.
*c. Ethicaluniversalism.
d. Noneoftheabove
23. Whencompaniesusethelogicofethicalrelativismtobehaveanywaytheyplease,thisiskn
ownas
a. Prescriptiveethicalmanagement.
b. Proscriptiveethicalmanagement.
*c. Convenientrelativism.
d. Universalethicsapplications.
24. Whencompaniesusethelogicofmoraluniversalismandimposetheirviewsontherestoft
heworld,________________occurs.
a. Ethicaldivergence
b. Ethicalconvenience
*c. Culturalimperialism
d. Noneoftheabove
25. Theformofanalysiswheretheprimeinterestiswhatisthebestdecisionforacompany'spr
ofitis
a. Legalanalysis.
b. Ethicalanalysis.
c. Socialresponsibilityanalysis.
*d. Noneoftheabove
26. Inaneconomicanalysis
*a. Themanagerconsidersthebestdecisionforacompany'sprofits.
b. Themanagerfocusesonmeetingthelawsofacountry.
c. Themanagergoesbeyondprofitsandanalyzestheethicalconsequencesofdecisions.
d. Noneoftheabove
27. Whenfacinganethicalquestion,themanagerwhouseslegalanalysiscriteria
a. Isprimarilyinterestedinthedecisionthatisbestforthecompany'sprofits.
*b. Focusesononlymeetingthelawsofthecountryinwhichthecompanyisoperating.
c. Focusesonmeetingtheneedsofotherconstituentsbeyondstakeholders.
d. Focusesondoingtherightthings.
28. Inanethicalanalysisofaproblem,amanagermust
a. Focusonmeetingthelawsofthecountryinwhichthecompanyisoperating.
b. Focusonwhatisthebestdecisionforacompany'sprofits.
c. Focusonthedecisionswiththebestconsequences.
*d. Noneoftheabove
29. Thefirstdutyofamultinationalmanagerfacedwithadecisionis
*a. Toconsiderwhetherthedecisionmakesbusinesssense.
b. Toconsiderwhetherthedecisionmeetsthelegalstandardinthecountry.
c. Toconsiderwhetherthedecisionisethical.
d. Torefertothewrittencodesofethics.
30. Ethicaldecisionmakingofmultinationalmanagerspreferablyshould
a. Bebasedsolelyonhomecountryethicalprinciples.
*b. Gobeyondlegalconstraintsandrespectthelocalculturalnorms.
c. Beprimarilyprofitableforthemultinational.
d. Noneoftheabove
31. Amultinationalmanagerdecidesthatitwouldbeunethicaltocloseaforeignplantasemplo
yeesinthatplantarenotbeingtreatedwithdignity.Whichethicaltheoryisthemanagerusingto
reachthatconclusion?
a. Teleologicalethicaltheory
b. Utilitarianethicaltheory
*c. Deontologicalethicaltheory
d. Noneoftheabove
32. Amultinationalmanagerdecidestoallowhiringofchildrenforaforeignplantassuchpract
icesareacceptedinthecountry.Whichethicalprincipleisshebasingherdecisionon?
a. Ethicaluniversalism
b. Convenientethicaluniversalism
*c. Ethicalrelativism
d. Noneoftheabove
33. AmultinationalmanagerisconsideringclosingaplantinChinaaswageshaveincreasedco
nsiderablyinChina.Themanagerconsiderstheimplicationsoflayingoffpeopleandclosingthe
plantontheprofitsofthecompany.Whichformofanalysisisthemanagerdoing?
a. Legalanalysis
b. Profitmakinganalysis
c. Ethicalanalysis
*d. Noneoftheabove
34. WhichactwasproposedbytheSecuritiesExchangeCommissioninreactiontotheaccounti
ngscandalsatcompanieslikeEnronandWorldcom?
*a. SarbanesOxley
b. WTO
c. CorruptionPerceptionIndex
d. TheEthisphereInstitute
35. WhichofthefollowingstatementsregardingtheForeignCorruptPracticesAct(FCPA)isN
OTTRUE?
a. Bribesorpaymentsmadeunderduresstoavoidinjuryorviolenceareacceptable.
b. Smallpaymentstoencourageofficialstodotheirlegitimateandroutinejobsareacce
ptable.
*c. Paymentsorgiftstoforeigngovernmentofficialsforthesakeofgainingorretainin
gbusinessareacceptable.
d. Inanunstablepoliticalenvironment,paymentsmadetolocalofficialstoavoidharass
mentofemployeesareacceptable.
36. WhichofthefollowingstatementsisTRUEregardingculturalrelativismasanapproachini
nternationalbusinessethics?
a. Whatisrightorwrongdependsontheculture.
b. Aguideforwhatislegalandappropriateisthelocalculture.
c. Companiesshouldfollowthemoralnormsofthelocalculture.
*d. Alloftheabovestatementsaretrue.
37. Deontologicalethicaltheories
a. Arguethatthemoralityofanactcomesfromthisconsequences.
b. Wouldprovidejustificationforclosingaplantandlayingoffworkerstoreducecosts.
c. Ismosttypicallyrepresentedbycostandbenefitanalyses.
*d. Arguethatactionsbythemselveshaveagoodorbadmoralityirrespectiveoftheco
nsequences.
38. Accordingtothetext,whichofthefollowingisNOTaconsequenceofcorruption?
a. Companiestypicallymakeupthebribebyincreasingthecontractprice.
b. Companiesusepoorerqualitymaterialstomakeupforthebribe.
*c. Companiesdevotesomeofthebribetosociallyresponsiblecauses.
d. Corruptioncanalsoresultincollusionsamongfirms.
39. Theworldseemstobemovingtowardstransnationalethicsbecause:
a. Globalizationdramaticallyincreasescontactamongpeoplefromdifferentethicaland
culturalsystems.
b. Thiscontactcreatespressureforthedevelopmentofnewtransnationalagreementsre
gardingbusinesspractices.
c. InternationaltradeandtradingblocssuchastheEUandNAFTAaregrowing.
*d. Allofthesereasons.
40. WhichofthefollowingethicaldilemmasisaddressedbytheSarbanesOxleyAct?
a. Competition
*b. Auditorresponsibilityandindependence
c. Sourcingofcheaplabor
d. Companystrategy
41. Anexampleofasecondarystakeholderwouldbea
a. stockholder.
*b. mediaperson.
c. customer.
d. AandCabove.
42. Thefollowingareexamplesofdeontologicalissuesexceptfor
a. viceandvirtue.
*b. thegreatestgoodforthegreatestnumber.
c. goodandbad.
d. socialcontract.
43. ThefollowingsituationsthatcanleadtoviolationsoftheFCPAexceptforpaymentstogov
ernmentofficialsthatinvolve
*a. greasepayments.
b. countriesinwhichtraditionsrequirebribes.
c. culturesthatdonotconsiderpaymentsforspecialfavorstobebribes.
d. situationsinwhichforeigncompetitorswhoarewillingtogivebribeswouldmakess
alesthatmightotherwisegotoU.S.companiesandthusprovidejobsforAmericans.
44. Whichofthefollowingwouldmostlikelycontributetoethicalconvergence?
a. Conductingallaspectsofabusinesswithinonecountry.
b. "WheninRome,doastheRomansdo."
*c. Internationalagreements.
d. Utilitarianism.
45. Relativismisbestexemplifiedby
a. culturalimperialism.
*b. "wheninRome,doastheRomansdo."
c. ethicalconvergance
d. thetheoryofrelativity.
46. Discusssomeoftheissuesthatmakeinternationalbusinessethicsmorecomplexthandome
sticbusinessethics.
47. Dolawsalwaysreflectacommunitysethics?Giveanexampletoexplainyouranswer.
48. Discussthedifferencebetweenteleologicalanddeontologicaltheoriesofethics.Giveexam
plesofhowaninternationalmanagermightappealtoeithertypeoftheorywhenfacedwiththeo
pportunitytoofferabribe.
49. Howdosocialinstitutionsandcultureaffectthepracticeofbusinessethicsindifferentcoun
tries?
50. Compareandcontrastethicalrelativismandethicaluniversalism.Whataresomeofthedan
gersofadoptingeitherethicalrelativismorethicaluniversalismwhenmakingdecisions?
51. DescribetheU.S.FCPA,whatmakesitchallengingforU.S.firms,andhowtheydealwitht
hatchallenge.
52. Whataremorallanguages?Howcanmorallanguageshelpmultinationalbecomemoreethic
al?
53. Discusssomeofthepressuresforethicalconvergence.Whataresomeimplicationsformult
inationalmanagement?
54. Compareandcontrastprescriptivecodesofethicswithproscriptivecodes.