Managing a Global Workforce Flashcards
(405 cards)
T/F
Push factors for globalization are typically driven by external pressures or challenges in the domestic market.
TRUE
T/F
Trade agreements are only considered pull factors, not push factors.
False — Trade agreements can serve as both push and pull factors depending on the context.
Cost pressures and competition can push organizations to globalize in order to cut costs or maintain profitability.
TRUE
T/F
Natural resources and talent supply can be pull factors that attract organizations to specific locations.
False — They are considered push factors, as companies may relocate due to lack of resources at home.
T/F
Strategic control is a pull factor that encourages companies to globalize for better control over branding and production.
TRUE
T/F
Globalized supply chains are irrelevant to globalization decisions.
False — They are a push factor that can influence global expansion decisions.
Which of the following is a push factor for globalization?
A) Strategic control
B) Government tax incentives
C) Cost pressures and competition
C) Cost pressures and competitio
What is an example of a pull factor for globalization?
A) Trade agreements that open markets
B) Exhausted domestic markets
C) Shortage of raw materials locally
A) Trade agreements that open markets
A company moving production closer to overseas customers to reduce costs is an example of:
A) A pull factor
B) A marketing strategy
C) A push factor
C) A push factor
Which of the following would be considered both a push and a pull factor depending on the situation?
A) Government policies
B) Strategic control
C) Global branding
A) Government policies
Why might a company pursue globalization for strategic control?
A) To avoid domestic regulations
B) To follow a client abroad
C) To have more control over branding and production
C) To have more control over branding and production
T/F
A greenfield operation refers to building a new facility from the ground up in a new market.
TRUE
T/F
Offshoring and outsourcing are the same strategies in globalization.
False — Offshoring refers to relocating existing capabilities; outsourcing refers to contracting tasks out to another party.
T/F
A polycentric orientation allows subsidiaries a high degree of independence as long as they are profitable
TRUE
T/F
An ethnocentric orientation promotes local decision-making and cultural adaptation at the subsidiary level.
An ethnocentric orientation promotes local decision-making and cultural adaptation at the subsidiary level.
A regiocentric approach groups subsidiaries into regional clusters to enhance strategic coordination.
TRUE
T/F
A geocentric orientation promotes global collaboration and shared decision-making between headquarters and subsidiaries.
TRUE
Which of the following is an example of a greenfield operation?
A) Acquiring an existing foreign brand
B) Relocating headquarters
C) Building a brand-new facility from scratch
D) Partnering with a local distributor
C) Building a brand-new facility from scratch
What is the defining characteristic of an ethnocentric multinational orientation?
A) Regional decision-making power
B) Equal collaboration between subsidiaries and HQ
C) Centralized control from headquarters
D) Profit-based autonomy for subsidiaries
C) Centralized control from headquarters
In a polycentric orientation, how are subsidiaries managed?
A) They operate as regional clusters
B) They follow strict orders from headquarters
C) They are treated as independent entities within their cultural context
D) They are managed jointly by HQ and a local board
C) They are treated as independent entities within their cultural context
hich strategic approach involves relocating a company’s existing operations to a new country?
A) Turnkey operation
B) Offshoring
C) Alliance partnership
D) Brownfield development
B) Offshoring
Which factor is not typically used to evaluate the attractiveness of a globalization strategy?
A) Organizational values
B) Strategic goals
C) Physical and cultural distances
D) Economic and resource capabilities
A) Organizational values
What does a geocentric orientation emphasize in multinational operations?
A) Local independence of each subsidiary
B) Headquarters dominance
C) Collaborative global network decision-making
D) Regional policy standardization
Back:
C) Collaborative global network decision-making
T/F
Global integration emphasizes standardization and consistency across global operations.
TRUE