1.

Global/multi-local mapping is presented in the chapter as a tool to position:

a. industries

b. companies

c. businesses

d. all of the above

2. The ‘lingua franca’ of global business is now:

a. Chinese

b. English

c. Spanish

3. Is there a single well-established definition of globalization?

a. yes

b. no

4. Which of the industries below is NOT one which needs to operate globally to sustain
competitive advantage?

a. power generation

b. telecoms equipment

c. baked goods
d. insurance and re-insurance

5. Which of the following industries is in the process of globalization?

a. personal care

b. retail

c. processed food

d. none of the above

e. all of the above

6. Which of the following is NOT an example of a macro theory of globalization

a. Marxism

b. Theory of comparative advantage

c. Transaction cost theory

7. The definition of globalization posited in this chapter is:

a. the process by which money and products can move freely across borders

b. the process by which money, products and information can move freely across borders

c. the process by which money, people, products and information can move freely across
some but not all borders

d. the process by which money, people, products and information can move freely across
borders

8. A global company is one which operates in an integrated and coordinated way in:

a. the markets in developed countries

b. Asian, European and American markets

c. the main markets of the world

9. A global industry: (select all that apply)

a. benefits by competing and operating in the key world markets

b. benefits by integrating operations to be cost/time effective

c. benefits by competing and operating in mainly domestic markets

10. Global integration and coordination is:

a. the way the organization links all its employees by email

b. when activities across the world remain strictly independent in each region, but all are
equally valued by HQ

c. an international web of organizational structures and management processes

11. Effects of technological progress have been: (select all that apply)

a. to lower the cost of wages in the developed world

b. to deliver benefits in the economies of scale in production

c. to raise the overall cost of packaging in many languages

d. to reduce the cost of information exchange

12. Convergence of customer behaviour - a ‘push factor’ in globalization - is facilitated by:

a. the product being more cultural

b. the product being less technical

c. the society becoming more industrialized

13. In the 1960s Sony developed as a global brand because:

a. their international expansion happened at the same time that trade barriers opening up

b. they didn’t have many national subsidiaries

c. they excelled in reverse engineering Western products

d. they wanted to grow to match the USA in space engineering

14. The business and competitive benefits of globalization fall into the 4 categories of:
a. Cost, Learning, Economies, Timing

b. Cost, Learning, Arbitrage, Timing

c. Cost, Economies, Arbitrage, Timing

d. Cost, Economies, Strategy, Timing

e. Cost, Economies, Strategy, Arbitrage

15. Bargaining power over suppliers is an example of:

a. cost benefits

b. timing

c. strategy

16. The 3 steps in the globalization of an enterprise are:

a. international trade, multinational investments, integration and coordination of activities

b. strong domestic base, integration and coordination of activities, capital for R&D

c. international trade, multinational investments, capital for R&D

d. strong domestic base, capital for R&D, integration and coordination of activities

17. The kinds of factors that work against globalization are:

a. social, technical, legal, financial

b. cultural, commercial, technical and legal

c. social, commercial, technical and financial

d. cultural, commercial, financial and legal

18. TWO factors that encourage the localization of a product would be:

a. it is customer oriented

b. it is perishable

c. it is not easily replicable

d. it is cheap to produce

19. Global/multi-local mapping is useful to: (select all that apply)

a. assess a situation at a given point in time or possible evolution over time

b. help plot where goods/services can be sold at premium prices

c. help in the formulation of business strategies

d. assess the positioning of an industry

20. One argument in favour of globalization would be:

a. it reduces inflation due to cost efficiencies

b. it standardizes customer tastes

c. it concentrates power in a few global corporations

21. Arguments against globalization include: (select all that apply)

a. it harms the environment because of unrestrained exploitation of natural resources

b. the prices for technological products are too high for many customers

c. it reduces capacity for nations to protect their national interests, cultures and values

d. local people cannot buy local goods as easily

22. When tariff barriers came down in Europe it meant that Otis could: (select all that apply)

a. produce components in one country and export them

b. have a network of specialised factories across Europe

c. end competition between each European country

d. design many different lifts to each country’s specification

e. produce slightly more expensive but faster lifts

23. What are the cultural factors that work against globalization?
a. attitudes, culture, tastes, behaviour

b. morality, attitudes, tastes, behaviour

c. attitudes, tastes, behaviour, social codes

d. attitudes, culture, tastes, social codes

24. What are the commercial factors that work against globalization?

a. specialization, responsibility, distribution

b. distribution, customization, responsiveness

c. customization, responsiveness, cost

d. customization, distribution, cost

25. What are the technical factors that work against globalization?

a. standards, availability of raw materials, spatial presence, transportation

b. standards, availability of raw materials, spatial presence, language

c. standards, spatial presence, transportation, language

d. standards, skills of the workforce, spatial presence, transportation