test 3 chapter 17

Question 1

Leadership and Core Competence

Answer 1

Executives were judged on their ability to identify, nurture, and exploit the organization’s core competencies

Core competencies must:
Provide potential access to a wide variety of markets
Make a significant contribution to the perceived customer benefits
Be difficult to imitate

Question 2

Organization

Answer 2

The goal is to find a structure that:
Enables the company to respond to relevant market environment differences
Ensures the diffusion of corporate knowledge and experience throughout the entire system
Organizations must balance:
The value of centralized knowledge and control
The need for individualized response to local markets

Question 3

Organtization-2

Answer 3

In global marketing there is not a single best structure
Leading-edge global competitors share one key organizational design characteristic:
Structure is flat and simple
In the 21st century corporations will have to find new, more creative ways to organize
Must be flexible, efficient, and responsive to meet the demands of globalizing markets

Question 4

Patterns of International Organizational Development

Answer 4

Organizations vary in:
Size
Potential of targeted global markets
Local management competence
Conflicting pressures may arise
For product and technical knowledge
Functional area expertise
Area and country knowledge

Question 5

International Division Structure

Answer 5

Four factors that lead to this structure
Top management’s commitment to global operations has increased enough to justify the position
Complexity of international operations requires a single organizational unity
The firm has recognized the need for internal specialists to deal with the demands of global operations
Management recognizes the importance of proactively scanning the global horizon for opportunities and threats

Question 6

The Matrix Design

Answer 6

Product or business, function, area, and customer know-how are simultaneously focused on the organization’s worldwide marketing objectives
Management must achieve organizational balance that brings together different perspectives and skills to accomplish organizational objectives

Question 7

The Matrix Design-2

Answer 7

Geographic knowledge–understanding of economic, social, political, and governmental market and competitive dimensions
Product knowledge and know-how–product managers that have a worldwide responsibility can achieve new levels of product competency

Question 8

The Matrix Design-3

Answer 8

Functional competence – corporate staff with worldwide responsibility contributes toward the development of functional competence on a global basis
Knowledge of customer or industry and its needs – staff with responsibility for serving industries on a global basis assist organizations in their efforts to penetrate specific customer markets

Question 9

Lean Production: Organizing the Japanese Way

Answer 9

Compares craft production, mass production, and lean production
Craft production meant one worker created one product
R&R
Mass production gained advantages because one worker could do far more specialized work due to the moving assembly line
Ford
Lean production uses less factory space, smaller inventories, and quality control methods; increased efficiency by 50% over typical mass production