MULTIPLE CHOICE
1.Which of the following is true about the early stages of international involvement in firms with little or no formal organization?
a.All transactions are subject to a single standardized procedure.
b.Domestic operations assume responsibility for international marketing activities.
c.Consolidation of information and authority over international sales is undertaken.
d.The share of international operations in the sales of the corporation is initially high.
2.The _____ centralizes in one entity, with or without separate incorporation, and accepts all of the responsibility for worldwide activities.
a.export department structure
b.global division
c.international division
d.hybrid structure
3.Which of the following is true about international divisions?
a.The international division centralizes in several entities, without separate incorporation, and accepts all of the responsibility for international activities.
b.To avoid situations in which the international division is at a disadvantage in competing for production and related services, corporations need to coordinate between domestic and international operations.
c.The international division best serves firms with several products that vary significantly in terms of their environmental sensitivity, and when international sales and profits are quite significant compared with those of the domestic divisions.
d.The international division concentrates solely on manufacturing functions in order to take advantage of the economies of scale.
4.Which of the following global structures improves cost efficiency through centralization of manufacturing facilities?
a.Global functional structure
b.Global customer structure
c.Global product structure
d.Global mixed structure
5.Which of the following is an approach to organizational structure that gives worldwide responsibility to strategic business units for marketing their product lines?
a.Area structure
b.Functional structure
c.Mixed structure
d.Product structure
6.All-Techno Inc., a leading Florida-based software firm, has branches all over the world. Its operations are mainly divided into three regions comprising Europe, Asia, and the U.S. These divisions are responsible for all the manufacturing and marketing activities in their respective areas. What kind of organizational structure is being adopted by All-Techno?
a.Product structure
b.Functional structure
c.Area structure
d.Customer structure
7.If market conditions with respect to product acceptance and operating conditions vary dramatically, the _____ approach is the one to choose.
a.functional
b.customer
c.product
d.area
8.An approach to organizational structure that is based on which consumer groups are served is referred to as a(n) _____.
a.functional structure
b.area structure
c.customer structure
d.product structure
9.A(n) _____ structure combines two or more organizational dimensions simultaneously.
a.matrix
b.functional
c.area
d.mixed
10.Which approach to organizational structure refers to a business driven by a worldwide business unit and implemented by a geographic unit?
a.Mixed structure
b.Matrix structure
c.Functional structure
d.Shell structure
