ch 4

Question 1

define parochialism

Answer 1

view world only through their own eyes

Question 2

define ethnocentric attitude

Answer 2

belief that best work approaches and practices are from my home country

Question 3

define poly centric attitude

Answer 3

subsidiaries in different countries have autonomy to operate how they see fit

Question 4

define geocentric attitude

Answer 4

cherry pick best practices from around the world
view whole world as one market

Question 5

define populism

Answer 5

promote (or claim to) idea of putting normal ppl in power

Question 6

define xenophobia

Answer 6

fear of new or foreign

Question 7

three most prominent regional trading alliances

Answer 7

EU (27 countries)
USMCA (USA Mex Can)
ASEAN (assoc. of southeast asian nations)

Question 8

define multinational corporations

Answer 8

operates in multiple countries

Question 9

define multi domestic corp

Answer 9

an MNC that decentralized management locally

Question 10

define global company

Answer 10

MNC with centralized management and other choices in home country

Question 11

define transnational/borderless org

Answer 11

MNC with no geographical barriers

Question 12

define born globals

Answer 12

international company that is global from inception

Question 13

define global sourcing

Answer 13

purchase from whichever country is cheaper

Question 14

define exporting

Answer 14

produce at home and sell abroad

Question 15

define importing

Answer 15

getting products from abroad and selling at home

Question 16

define liscensing

Answer 16

org gives another right to make/sell their products using their tech

Question 17

define franchising

Answer 17

org gives other org right to use name and operating methods

Question 18

define strategic alliance

Answer 18

partnership between domestic and foreign company sharing resources

Question 19

define joint venture

Answer 19

type of strategic alliance in which to partners agree to form a third separate org

Question 20

define foreign subsidiaries

Answer 20

direct investment in foreign country by setting up separate facility

Question 21

parts of economic environment

Answer 21

currency exchange rate, inflation, diverse tax policy

Question 22

what is the challenge of openness when managing globally

Answer 22

terrorism, interdependence,

Question 23

workforce challenges when managing globally

Answer 23

work experience
pay levels
communication
multiculturalism

Question 24

pros and cons of ethnocentrism

Answer 24

simple and tightly controlled

social backlash
ineffective
not flexible

Question 25

pros and cons of polycentrism

Answer 25

support from host govt knowledge of foreign market reduced efficiency and duplication intense focus on locale

Question 26

pros and cons of geocentrism

Answer 26

understand global issues balance of local and global goals best of everything hard to achieve managers need global and local knowledge

Question 27

define individualism vs collectivism

Answer 27

independence vs group harmony Hofstedes

Question 28

define power distance

Answer 28

Hofstede how much employees expect/accept power imbalance

Question 29

define uncertainty avoidance

Answer 29

how comfortable employees are with uncertainty hofstede

Question 30

define achievement vs nurturing

Answer 30

pressure to meet goals vs cultivation and support hofstede

Question 31

define long term vs short term orientation

Answer 31

business runs in short term (bad) hofstede