Introduction

Question 1

What is transnational business?

Answer 1

Business activities that cross national boundaries.

Question 2

True or False: Transnational businesses operate solely within their home country.

Answer 2

False

Question 3

Fill in the blank: Transnational businesses often seek to exploit _______ differences.

Answer 3

cost

Question 4

What is one primary motivation for a company to engage in transnational business?

Answer 4

To access new markets and increase profits.

Question 5

Which of the following is NOT a characteristic of transnational businesses? A) Global reach B) Cultural adaptation C) Isolation from local markets

Answer 5

C) Isolation from local markets

Question 6

What role does technology play in transnational business?

Answer 6

It facilitates communication and operations across borders.

Question 7

True or False: Cultural differences have no impact on transnational business strategies.

Answer 7

False

Question 8

Short answer: Name one challenge faced by transnational businesses.

Answer 8

Navigating different regulatory environments.

Question 9

What is meant by the term ‘global supply chain’?

Answer 9

A network of suppliers and manufacturers that spans multiple countries.

Question 10

Fill in the blank: Transnational businesses often adapt their products to meet _______ preferences.

Answer 10

local

Question 11

Which of the following is a strategy for entering a foreign market? A) Licensing B) Ignoring local regulations C) Reducing product quality

Answer 11

A) Licensing

Question 12

What is a key benefit of joint ventures in transnational business?

Answer 12

Shared risks and resources.

Question 13

True or False: All transnational businesses are multinational corporations.

Answer 13

True

Question 14

What is the primary goal of transnational marketing?

Answer 14

To effectively reach and engage customers in different countries.

Question 15

Fill in the blank: _______ is the process of managing a business’s operations across multiple countries.

Answer 15

Internationalization

Question 16

Short answer: What is one way businesses can mitigate risks in transnational operations?

Answer 16

Conducting thorough market research.

Question 17

What does the term ‘foreign direct investment’ (FDI) refer to?

Answer 17

Investment made by a company in one country in business interests in another country.

Question 18

Which of the following factors is crucial for successful transnational operations? A) Standardization B) Cultural awareness C) Ignoring local competition

Answer 18

B) Cultural awareness

Question 19

True or False: Transnational businesses can benefit from economies of scale.

Answer 19

True

Question 20

What is one significant risk associated with transnational business?

Answer 20

Political instability in host countries.

Question 21

Fill in the blank: Transnational businesses often utilize _______ to streamline operations across borders.

Answer 21

technology

Question 22

Short answer: How do transnational businesses typically respond to cultural differences?

Answer 22

By adapting their marketing and operational strategies.

Question 23

What is the impact of globalization on transnational business?

Answer 23

It increases competition and market opportunities.

Question 24

Which of the following is a common method for entering foreign markets? A) Exporting B) Ignoring local laws C) Reducing customer service

Answer 24

A) Exporting

Question 25

True or False: Transnational businesses must comply with both home and host country regulations.

Answer 25

True

Question 26

What is a transnational corporation (TNC)?

Answer 26

A company that operates in multiple countries, managing operations from a global perspective.

Question 27

Fill in the blank: A key factor in the success of transnational businesses is _______ management.

Answer 27

risk

Question 28

Short answer: What is one way transnational businesses can enhance their competitive advantage?

Answer 28

By leveraging local knowledge and resources.

Question 29

What does the term 'localization' mean in the context of transnational business?

Answer 29

Adapting products and marketing strategies to fit local cultures.

Question 30

Which of the following is a challenge unique to transnational businesses? A) Local competition B) Currency fluctuations C) Limited market access

Answer 30

B) Currency fluctuations

Question 31

True or False: Transnational businesses can ignore ethical considerations in different countries.

Answer 31

False

Question 32

What is one advantage of having a diverse workforce in transnational businesses?

Answer 32

It provides varied perspectives and ideas for problem solving.

Question 33

Fill in the blank: Successful transnational businesses often emphasize _______ and communication.

Answer 33

collaboration

Question 34

Short answer: Name a critical factor for the sustainability of transnational businesses.

Answer 34

Environmental responsibility.

Question 35

What is the relationship between transnational businesses and emerging markets?

Answer 35

Transnational businesses often seek to expand into emerging markets for growth.

Question 36

Which of the following is a regulatory challenge for transnational businesses? A) Tariffs B) Consumer preferences C) Market research methods

Answer 36

A) Tariffs

Question 37

True or False: Transnational businesses can standardize their products for all markets.

Answer 37

False

Question 38

What is one reason companies may choose to outsource operations in transnational business?

Answer 38

To reduce costs and improve efficiency.

Question 39

Fill in the blank: The _______ of a transnational business is often influenced by local laws and regulations.

Answer 39

structure

Question 40

Short answer: How does cultural awareness impact marketing strategies in transnational businesses?

Answer 40

It informs how products are presented and promoted in different markets.

Question 41

What is the significance of corporate social responsibility (CSR) in transnational business?

Answer 41

It enhances reputation and builds trust with stakeholders.

Question 42

Which of the following is a common reason for mergers and acquisitions in transnational business? A) To eliminate competition B) To increase market share C) To decrease innovation

Answer 42

B) To increase market share

Question 43

True or False: Transnational businesses often have a centralized decision-making process.

Answer 43

False

Question 44

What does 'market entry strategy' refer to in a transnational context?

Answer 44

The plan a business uses to begin operations in a foreign market.

Question 45

Fill in the blank: _______ is the practice of tailoring products to meet local needs and preferences.

Answer 45

Customization

Question 46

Short answer: How do trade agreements affect transnational businesses?

Answer 46

They can reduce barriers to entry and facilitate trade.

Question 47

What is a potential downside of globalization for transnational businesses?

Answer 47

Increased competition from local firms.

Question 48

Which of the following best describes the term 'glocalization'? A) Global standardization B) Local adaptation of global strategies C) Complete isolation from global markets

Answer 48

B) Local adaptation of global strategies

Question 49

True or False: Transnational businesses can only succeed in developed countries.

Answer 49

False

Question 50

What is the significance of understanding political risk in transnational business?

Answer 50

It helps businesses anticipate and mitigate potential disruptions.