GB exam 3 Flashcards
Which of the following is a non-equity mode of entry?
Turnkey projects
Which of the following characterizes an MNE from a non-MNE?
It enjoys OLI advantages.
The difference between two cultures along identifiable dimensions is known as _____.
cultural distance
Which of the following is a benefit of large-scale entries?
They demonstrate strategic commitment to certain markets.
In which of the following strategies do clients pay contractors to design and construct new facilities and train personnel?
Turnkey projects
Which of the following is true of indirect exports?
They export through domestically based export intermediaries.
Which of the following conforms to the notion put forward by the school of thought associated with stage models?
Firms enter culturally distant countries in later stages when they may gain more confidence.
Efficiency-seeking firms go to countries that have _____.
economies of scale and abundance of low-cost factors
Co-marketing refers to _____.
efforts among a number of firms to jointly market their products and services
Which of the following is true of licensing/franchising?
The licensor/franchisor does not have tight control over technology and marketing.
Which of the following is defined as the extent to which a given competitor possesses strategic endowment comparable, in terms of both type and amount, to those of the focal firm?
Resource similarity
A thrust on rivals’ core markets likely to result in a bloody price war is referred to as _____.
a red ocean
Which combination of resource similarity and market commonality results in the most intense competition?
High resource similarity, low market commonality
The American antitrust policy is considered to be _____.
proconsumer
What type of antirust policy would protect established firms that have already invested and nurtured an industry from new entrants?
Proincumbent
