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15- PAGE 95
Copyright ? 2017 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
Chapter 15
Entry Strategy and Strategic Alliances
?
True / False Questions?
1.
The choice of which markets to enter should be driven by an assessment of relative long-run growth and profit potential.??True????False
?
2.
The attractiveness of a country as a potential market for an international business depends on balancing the benefits, costs, and risks associated with doing business in that country.??True????False
?
3.
The value an international business creates in a foreign market depends on the suitability of its product offering to that market and the nature of indigenous competition.??True????False
?
4.
Educating customers is a part of pioneering costs.??True????False
?
5.
A strategic commitment can be reversed by the top management according to their convenience.??True????False
?
6.
Small-scale entry allows a firm to learn about a foreign market while limiting the firms exposure to that market.??True????False
?
7.
Exporting is most appropriate when lower-cost locations for manufacturing the product can be found abroad.??True????False
?
8.
Tangible property includes patents, designs, copyrights, and trademarks.??True????False
?
9.
Licensing limits the firms ability to realize experience curve and location economies by producing its product in a centralized location.??True????False
?
10.
Franchising enables a firm to quickly build a global presence.??True????False
?
11.
The most typical joint venture is a 25/75 venture.??True????False
?
12.
A wholly owned subsidiary limits a firms control over operations in different countries.??True????False
?
13.
Brand names are generally well-protected by international laws pertaining to trademarks.??True????False
?
14.
A joint venture is often politically more acceptable than a wholly owned subsidiary and brings a degree of local know
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