Globalization and Business Ethics
Pre-Test Questions
Course Introduction
This course explores the complex interplay between globalization and business ethics, examining how the integration of global markets, cultures, and technologies influences ethical decision-making within organizations. Students will analyze ethical challenges faced by businesses operating in diverse cultural and regulatory environments, discuss frameworks for responsible corporate behavior, and assess the impact of global economic practices on society, the environment, and human rights. Through case studies and contemporary issues, the course provides tools for identifying ethical dilemmas and developing strategies to promote integrity and social responsibility in a globalized business context.
Recommended Textbook
International Management Culture Strategy and Behavior 8th Edition by Fred Luthans
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14 Chapters
1055 Verified Questions
1055 Flashcards
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Chapter 1: Globalization and International Linkages
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80 Flashcards
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Sample Questions
Q1) The following are characteristics of the BRIC economies except:
A)Demand for higher priced goods is expected to continue to be low in the future
B)The BRIC economies share of world growth is expected to rise to about 40 percent by 2025
C)Per capita income in the BRIC countries is rising
D)Demand for basic goods will be strong
Answer: A
Q2) A factory, located in a Mexican border town, that imports materials and equipment on a duty and tariff-free basis for assembly or manufacturing and re-exports is called a:
A)Vertically integrated corporation
B)Keiretsus
C)Maquiladora
D)Chaebols
Answer: C
Q3) The ultimate objective of the EU is to eliminate all trade barriers among member countries.
A)True
B)False
Answer: True
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Page 3
Chapter 2: The Political, Legal, and Technological Environment
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75 Verified Questions
75 Flashcards
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Sample Questions
Q1) Critics of the Foreign Corrupt Practices Act feared the loss of sales to foreign competitors, especially in those countries where:
A)Customs are adhered to
B)Political stability exists
C)Common law is applicable
D)Bribery is an accepted means
Answer: D
Q2) The domestic and international political environment has a major impact on multinational corporations.
A)True
B)False
Answer: True
Q3) Describe the Foreign Corrupt Practices Act.What were the objectives of the FCPA?
Answer: The Foreign Corrupt Practices Act (FCPA) makes it illegal to influence foreign officials through personal payments or political contributions.The objectives of the FCPA were to stop U.S.MNCs from initiating or perpetuating corruption in foreign governments and to upgrade the image of both the United States and its businesses abroad.
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Page 4
Chapter 3: Ethics and Social Responsibility
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75 Flashcards
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Sample Questions
Q1) Transparent Agents Against Contracting Entities:
A)Was created to prevent the shifting of corrupt practices to suppliers and intermediaries
B)Entered into force in March 1997 and has more than 25 Western Hemisphere countries as signatories
C)Outlaws most payments to political party leaders
D)Makes it illegal for U.S.companies and their managers to attempt to influence foreign officials through personal payments
Answer: A
Q2) John Stuart Mill and Jeremy Bentham are associated with which of the following?
A)Aristotelian virtue ethics
B)Kantian philosophical traditions
C)Utilitarianism
D)Eastern philosophy
Answer: C
Q3) NGOs are public organizations that monitor the practices of private corporations.
A)True
B)False
Answer: False
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Page 5
Chapter 4: The Meanings and Dimensions of Culture
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Sample Questions
Q1) What is GLOBE? Discuss its cultural dimensions.
Q2) A major dimension in the study of culture is values.
A)True
B)False
Q3) Which of the following would be considered a typical U.S.cultural value?
A)Competition leads to imbalances and disharmony
B)Withholding information to gain or maintain power is acceptable
C)Competition stimulates high performance
D)Symbols and the process are more important than the end points
Q4) George England found that personal value systems are relatively stable and do not change rapidly.
A)True
B)False
Q5) Nations that are collectivist in their approach tend to be characterized by:
A)Large power distance and low individualism
B)Low power distance and high individualism
C)Small power distance and weak uncertainty avoidance
D)Large power distance and weak uncertainty avoidance
Q6) Discuss Hofstede's Cultural Dimensions.
6
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Chapter 5: Managing Across Cultures
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Sample Questions
Q1) Advertising in the United States should be indirect and subtle, emphasizing group references, shared responsibility and interpersonal trust.
A)True
B)False
Q2) In America, authority is diffused throughout the bureaucratic system and personal responsibility is hard to pin down.
A)True
B)False
Q3) Which of the following selections accurately reflects labor relations in China?
A)Treat unions as partners; allow time for negotiations
B)Tap large pool of labor cities; lax labor laws may become more stringent
C)Understand changing Mexican labor law; prepare for increasing unionization of labor
D)Be prepared for high wages and short work week; expect high productivity from unionized workers
Q4) Simplification is the process of exhibiting the same orientation toward different cultural groups.
A)True
B)False
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Chapter 6: Organizational Cultures and Diversity
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Sample Questions
Q1) A widely held belief that has not been found to be accurate is that organizational culture:
A)Tends to erase the impact of national culture
B)Tends to be affected by national culture
C)Cannot easily change the cultural values employees bring to the workplace
D)Is different in different subsidiaries
Q2) In the _____ stage of group development, the focus should be on building trust and developing team cohesion.
A)Entry
B)Work
C)Action
D)Reflection
Q3) A _____ group is a group in which there are individuals from three or more different ethnic backgrounds, such as three U.S., three German, three Uruguayan and three Chinese managers who are looking into mining operations in South America.
A)Homogeneous
B)Token
C)Multicultural
D)Bicultural
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Page 8
Chapter 7: Cross-Cultural Communication and Negotiation
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75 Flashcards
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Sample Questions
Q1) In the context of negotiations, all of the following is true of a neutral third party except:
A)He/she can be bought in to assess the desires of each side
B)He/she can compose an initial proposal
C)He/she has the last word in what the true "final draft" is
D)He/she has the right to force the parties to the negotiation to accept its proposal
Q2) Negotiation often follows assessing political risk and can be used as an approach to conflict management.
A)True
B)False
Q3) The personal communication style is often associated with high power distance, collective, high-context cultures.
A)True
B)False
Q4) The information that surrounds a communication and helps convey the message is termed as context.
A)True
B)False
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Chapter 8: Strategy Formulation and Implementation
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Sample Questions
Q1) The technological learning gained from varied international environments:
A)Enhances efforts to integrate knowledge throughout a firm
B)Shows a fall in venture performance
C)Leads to minimal diversity of national environments
D)Has no effect on cross-functional teams
Q2) In selecting a geographic location to operate, Japanese firms favor heavily unionized areas.
A)True
B)False
Q3) Profitability and marketing goals almost always dominate the strategic plans of today's multinational corporations.
A)True
B)False
Q4) A key success factor is a factor that is necessary for a firm to compete effectively in a(n):
A)International market
B)Highly-restricted market
C)Market niche
D)Broad market domain
Q5) What is the "BOP" and why is this strategy challenging to implement?
Page 10
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Chapter 9: Entry Strategies and Organizational Structures
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Sample Questions
Q1) A joint venture is an agreement in which two or more partners own and control an overseas business.
A)True
B)False
Q2) Discuss the organizational characteristics of formalization, specialization and centralization.
Q3) The two types of joint ventures are:
A)Equity and non-equity ventures
B)Proprietary and public ventures
C)Statutory and unofficial ventures
D)External and internal ventures
Q4) A structure under which global operations are organized on a geographic rather than a product orientation is referred to as a global area structure.
A)True
B)False
Q5) A franchise is an agreement that allows one party to use an industrial property right in exchange for payment to the other party.
A)True
B)False
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Chapter 10: Managing Political Risk, Government Relations, and Alliances
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Sample Questions
Q1) China's decision regarding restrictions on foreign exchange transactions is a micro political risk because it affects all MNCs.
A)True
B)False
Q2) In recent years _____ risk analysis has become of increasing concern to MNCs because of the growing number of countries that are finding their economies in trouble as in Southeast Asia or even worse, unable to make the transition to a market-driven economy.
A)Micro
B)Basic
C)Macro
D)Complex
Q3) _____ risk is the likelihood that a multinational corporation's foreign investment will be constrained by a host government's policies.
A)Social
B)Development
C)Legal
D)Political
Q4) Explain the role of host governments in alliances.
Page 12
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Chapter 11: Management Decision and Control
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Sample Questions
Q1) Identify the statement which accurately depicts difference between French and Danish managers in their approach to the decision-making process.
A)French managers do not spend as much time analyzing alternatives to optimize production
B)Danes do not emphasize control in operations
C)French managers are less emotionally responsive and tend to take a straightforward approach
D)Danes present each opportunity with a sense of creativity and logic
Q2) Discuss the decision-making philosophies and practices of the French and Danish managers.
Q3) The process of evaluating results in relation to plans or objectives and deciding what action, if any, to take is referred to as:
A)Directing
B)Decision-making
C)Supervising
D)Controlling
Q4) Explain the relevance of TQM in decision making and controlling processes.
Q5) Discuss the relevance of the various performance measures that are used for control purposes.
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Chapter 12: Motivation Across Cultures
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Sample Questions
Q1) In an Israeli kibbutz, the following hygiene factor was regarded as a source of satisfaction rather than dissatisfaction:
A)Salary
B)Working conditions
C)Interpersonal relations
D)Technical supervision
Q2) Recent research reports that EU workers see a strong relationship between how well they do their jobs and the ability to get what they want out of life.
A)True
B)False
Q3) Maslow postulated that everyone has five basic needs, which constitute a need hierarchy.In ascending order, beginning with the most basic, they are physiological, safety, social, esteem and self-actualization needs.
A)True
B)False
Q4) What are sociotechnical job designs?
Q5) What are the differences between job context factors and job content factors?
Q6) What are the basic assumptions on which the hierarchy-of-needs theory rests?
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Chapter 13: Leadership Across Cultures
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Sample Questions
Q1) All of the following are accurate depictions of the Japanese approach to leadership except:
A)Management's concern for its employees extends to the whole life, business and social, of the worker
B)Decision-making is carried out via group decision-making techniques
C)Employment is often for life; layoffs are rare
D)Control mechanisms are very explicit; people know exactly what to control and how to do it
Q2) Bass found that the most effective leaders were _____ leaders.
A)Transformational
B)Transactional
C)Variable
D)Functional
Q3) This leadership style uses work-centered behavior coupled with a protective employee-centered concern.
A)Participative
B)Paternalistic
C)Authoritarian
D)Autocratic
Q4) Discuss the four other types of leaders discovered by Bass.
Page 15
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Chapter 14: Human Resource Selection and Development
Across Cultures
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Sample Questions
Q1) Headquarters nationals is another term used for:
A)Third-country nationals
B)Home-country nationals
C)Inpatriates
D)Host-country nationals
Q2) The organizational input into anticipatory adjustment is most directly related and concerned with the:
A)Motivation process
B)Selection process
C)Compensation plan
D)Quality of leadership
Q3) The primary reason for training overseas managers is to improve their ability to interact effectively with local people in general and their personnel in particular.
A)True
B)False
Q4) Repatriation agreements typically promise an expatriate a specific position and salary when he/she returns to the home office.
A)True
B)False
Page 16
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