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Chapter 12 Multiple choice questions
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Chapter 12 Multiple choice questions
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International production and logistics strategies allow for:
Management and coordination of internationally disaggregate value chains.
correct
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Reduced liability of foreignness
correct
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Flow of tangible assets
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Upgrade all production units
correct
incorrect
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A major push factor to seek business opportunities in international markets is:
Rising cost of production
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Economies of scale
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Diversifying risk
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Access to knowledge resources
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Location decisions by the MNE takes into consideration:
Existing portfolio of international operations
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Location advantages of particular countries
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Production costs
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Transportation costs
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What function does a supply chain perform in addition to a physical function?
Market-mediation function
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Innovation function
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Reduces lead time
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Maximize performance
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Which is not one of the product lifecycle stages?
Design
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Launch
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Maturation
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Standardization
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The most strategically important production unit within a firm's international production network is known as?
Lead factory
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Offshore factory
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Outpost factory
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Server factory
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Which factor is a stronger determinant of the location choice than the industry in which the firm operates?
Business activity the MNE is investing in
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Product to be produced
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Input costs
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Closeness to market
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A FDI strategy in which the firm seeks to benefit from the knowledge that is created by its foreign affiliates is known as?
Knowledge-sourcing strategy
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Knowledge-exploitation strategy
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Knowledge-transfer strategy
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Knowledge-seeking strategy
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What is an important factor in determining knowledge transfers within the MNE?
Degree of ownership
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Degree of internationalisation
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Institutional distance
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Intellectual Property Rights
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What type of cost associated with international production and logistics do international managers often fail to recognize?
Hidden costs
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Cost of human resources
correct
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Cost of transport
correct
incorrect
Currency costs
correct
incorrect
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