tif_ch07 - Chapter 7 Global Alliances and Strategy...

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Chapter 7 – Global Alliances and Strategy Implementation Multiple Choice Questions 1. ___________ are partnerships between two or more firms which decide they can better pursue their mutual goals by combining their resources as well as their existing distinctive competitive advantages. a. Strategic alliances (easy, page 261) b. Export management companies c. Company subsidiaries d. Turnkey operations 2. Alliances are often called ____________ and are transition mechanisms that propel the partners’ strategy forward in a turbulent environment faster than would be possible for each company alone. a. competitive strategies b. cooperative strategies (moderate, page 261) c. independent strategies d. virtual strategies 3. Which of the following is NOT one of the primary categories under which alliances typically fall? a. joint ventures b. equity strategic alliances c. nonequity strategic alliances d. transmodal strategic alliances (moderate, page 261) 4. Alliances in which two or more partners have different relative ownership shares in the new venture are called _____________. a. cultural strategic alliances b. equity strategic alliances (moderate, page 261) c. nonequity strategic alliances d. transmodal strategic alliances 5. Alliances that are carried out through contract rather than ownership sharing are called _____________. a. cultural strategic alliances b. equity strategic alliances c. nonequity strategic alliances (moderate, page 261) d. transmodal strategic alliances 6. _____________ are working partnerships between companies across national boundaries and increasingly across industries. a. Global strategic alliances (moderate, page 261) b. National strategic alliances c. Domestic strategic alliances d. Transitional strategic alliances 7. _____________ and _____________ are typical reasons for forming cross-border alliances. a. Avoiding import barriers; sharing R&D costs (difficult, page 263) b. Avoiding import barriers; increasing market share c. Sharing R&D costs; short-term profits d. Increasing market share; short-term profits 8
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8. All of the following are motives for forming cross-border alliances EXCEPT: a. gain access to specific markets. b. gain market share. (moderate, page 263) c. avoid protectionist legislation. d. reduce political risk. 9. Among the benefits of cross-border alliances are all of the following EXCEPT: a. gain entry into new markets. b. reduce costs. c. take advantage of synergies. d. all of the selections are correct. (moderate, page 263) 10. a. emerging markets b. markets that are currently blocked by tariffs c. new semiconductor technologies (difficult, page 264) d. all of the above 11. a.
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This note was uploaded on 06/29/2011 for the course BUS MAN 3611 taught by Professor Li during the Spring '11 term at FAU.

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tif_ch07 - Chapter 7 Global Alliances and Strategy...

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