International Organizational Behavior
Chapter Exam Questions
Course Introduction
International Organizational Behavior examines how individuals and groups interact within organizations operating across national boundaries. This course explores the influence of diverse cultural, social, and economic environments on workplace behavior, communication, leadership styles, decision-making, and conflict resolution. Students will analyze key theoretical frameworks and case studies to understand cultural dimensions, ethical challenges, and strategies for effective cross-cultural management. Emphasis is placed on developing the skills necessary to navigate and lead in a globalized work environment, fostering inclusivity, adaptability, and collaboration in multinational organizations.
Recommended Textbook
International Management Managing Text and Cases 8th Edition by Helen Deresky
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Page 2
Chapter 1: Assessing the Environment: Political, Economic, Legal,
Technological
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Q1) Zagreb Inc.,a transnational energy company,negotiates a multimillion dollar contract with the government to provide electricity to Pilladia.The government is voted out of power shortly after.The new government cancels all contracts it has with all oil companies but not contracts with firms in other industries.This is an example of
A) barriers to repatriation
B) protectionism
C) confiscation
D) micropolitical risk
Answer: D
Q2) What is SAARC?
Answer: SAARC stands for South Asia Association of Regional Cooperation-an association of seven developing South Asian nations.According to the Agreement that was effective January 1,2006,the countries will lower tariffs by 25% within three to five years and eliminate them within seven years.Trade in South Asia is estimated at $14 billion,although the majority of that trade will take place between India and Pakistan,the two largest members.
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Chapter 2: Managing Interdependence, Social Responsibility, and Ethics
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Q1) In recent years,which of the following has lessened the criticisms of MNCs?
A) increasing economic differences among countries
B) greater emphasis on social responsibility by MNCs
C) limited emphasis on social responsibility and ethical behavior
D) dissolution of MNCs in developing countries
Answer: B
Q2) Which of the following is a potential benefit to the host country of MNC operation?
A) increased competition for local scarce capital
B) competition for scarce skills
C) increased interest rates as supply of local capital decreases
D) infrastructure development and support
Answer: D
Q3) Under governmentalism,the government uses its policy-setting role to favor national interests,rather than relying on market forces.
A)True
B)False
Answer: True
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Chapter 3: Understanding the Role of Culture
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Q1) Which of the following is true of a future-oriented country?
A) It focuses on short-term planning.
B) It emphasizes solidarity.
C) It focuses on longer time horizon for decisions.
D) It emphasizes instant gratification.
Answer: C
Q2) ________ is an outsider's seemingly natural ability to interpret someone's unfamiliar and ambiguous gestures in just the way that person's compatriots and colleagues would.
A) Multicultural sensitivity
B) Cultural accommodation
C) Multicultural transfer
D) Cultural intelligence
Answer: D
Q3) Social loafing is common in a collectivistic society.
A)True
B)False
Answer: False
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Chapter 4: Communicating Across Cultures
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Q1) List the cultural variables in the communication process and explain the different types of nonverbal communication.
Q2) According to the GLOBE project,a coworker or subordinate from Sweden,a country ranking low on assertiveness,would most likely prefer ________.
A) explicitness in communication
B) a two-way dialogue
C) a gift exchange before talking business
D) a direct approach along with facts and figures
Q3) Jerry,representing a U.S firm,is sent to Saudi Arabia to negotiate his company's contracts.Which of the following should Jerry keep in mind when negotiating with the Arabs?
A) Business should be conducted personally and not via telephone or email.
B) Arabs value time, and deadlines are to be kept at all costs.
C) Be explicit and express doubts wherever the subject's feasibility comes into question.
D) Get to the point when presenting and negotiating.
Q4) What is object language? Provide an example of how object language might affect business communication.
Q5) How do cultural differences affect the way firms conduct e-commerce?
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Chapter 5: Cross-Cultural Negotiation and Decision Making
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Q1) Yu Fei,a negotiator for Tama Inc.,has a conference with an American competitor's officials.Her seniors advise her to completely understand the Americans' viewpoint during the conference.Which of the following benefits will be most likely achieved by Yu Fei if she listens to her seniors' advice?
A) It will help Yu Fei fine tune her listening skills and help point out loopholes.
B) It will encourage Yu Fei to assess a wide range of alternatives for a resolution.
C) It will motivate Yu Fei to adapt to the negotiation style of the Americans.
D) It will help Yu Fei to delve specifically and repeatedly into the details at hand.
Q2) Which of the following statements is true regarding a negotiation process?
A) The negotiation process consists of six different stages.
B) The stages of the negotiation process are distinctly separate.
C) The concession and agreement stage typically occurs before the preparation stage.
D) The cultural norms of the place determine the order of the negotiation process stages.
Q3) How does nonverbal communication affect the negotiation process?
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Chapter 6: Formulating Strategy
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Q1) Which of the following is the primary advantage of using e-business as a local-level entry strategy?
A) shared costs and risks
B) access to highly skilled workers
C) rapid entry and exit from markets
D) avoidance of tariffs and regulations
Q2) Which of the following is the most critical aspect of a franchising strategy?
A) customer base
B) distribution
C) quality control
D) local marketing
Q3) A company designs and constructs a facility abroad,trains local personnel,and then transfers the facility to local management for a fee.Which of the following entry strategies is being implemented by the company?
A) franchising
B) offshoring
C) turnkey operation
D) contract manufacturing
Q4) List the reasons a company would have if it wants to operate internationally.
Q5) Compare and contrast globalization and regionalization.
Page 8
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Chapter 7: Global Alliances and Strategy Implementation
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Q1) Which of the following is NOT a typical reason for forming cross-border alliances?
A) to avoid import barriers
B) to share R&D costs and risks
C) to gain access to specific markets
D) to test marketing campaigns overseas
Q2) NextLinx Corporation provides a wide range of strategic implementation services for small- and medium-sized organizations.It allows all trading partners to collaborate in a single online location,using the same information and processes.Therefore,NextLinx is an example of a(n)________.
A) e-commerce enabler
B) knowledge management firm
C) IJV controller
D) outsourcing company
Q3) The initial challenge in implementing strategies in emerging markets is likely to be the navigation of poor infrastructures,supply chains,and distribution networks.
A)True
B)False
Q4) What is the "dual nature" of strategic alliances?
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Chapter 8: Organization Structure and Control Systems
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Q1) Small firms typically start their international involvement by establishing international divisions.
A)True
B)False
Q2) The focus of Selina Inc.,an MNC producing a range of products that can be marketed through common channels to similar customers worldwide,is marketing.Its aim is to become an insider in every country it operates.Which of the following organizational forms is most likely to be favored by Selina's management?
A) a global geographic structure
B) a global functional structure
C) a domestic structure plus export department
D) a domestic structure plus foreign subsidiary
Q3) In general,decentralized decision making is common for functions such as finance,and research and development that are organized for the entire corporation,whereas other functions such as production,marketing,and sales are more appropriately centralized.
A)True
B)False
Q4) What are the changes necessitating new structural designs for organizations?
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Chapter 9: Staffing,Training,and Compensation for Global Operations
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Q1) ________ is increasingly being recognized as a major determinant of success or failure in international business.
A) International human resource management
B) Procurement of raw materials from abroad
C) Outsourcing
D) Insourcing
Q2) ________ staffing approach usually results in a higher level of authority and decision making at headquarters compared to the polycentric approach.
A) Ethnocentric
B) Global
C) Geocentric
D) Regiocentric
Q3) Which of the following factors will hinder the integration of expatriate staff with local staff?
A) knowledge sharing
B) headquarters mentality
C) overseas experience
D) cultural flexibility
Q4) What is the difference between culture shock and subculture shock?
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Chapter 10: Developing a Global Management Cadre
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Q1) ________ are all about learning how to deal with a wide range of people,to adapt to their cultures through compromise,and not to be a dictator.
A) Multiple perspectives
B) Tolerance levels
C) Technical skills
D) Managerial skills
Q2) Effective human resource management of a company's global cadre ends with the successful repatriation of the executive into company headquarters.
A)True
B)False
Q3) Which of the following is NOT a recommendation made by Govindarajan and Gupta for improving global teamwork?
A) minimize global exposure for all team members
B) cultivating a culture of trust
C) linking rewards to team performance
D) building social networks among managers from different countries
Q4) Task facilitation is the ability to build teams and resolve conflicts.
A)True
B)False
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Chapter 11: Motivating and Leading
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Q1) According to the GLOBE Project,being a participative leader is regarded as more important in ________.
A) Canada
B) Egypt
C) Indonesia
D) Mexico
Q2) Which of the following is true about collectivist cultures?
A) People place high emphasis on autonomy, opportunities for personal achievements, and a work-life balance.
B) People are motivated when they feel that the company is providing them with good working conditions, fringe benefits, and training.
C) People typically opt for high pay, personal accomplishment, and job advancement.
D) People typically opt for risky opportunities for variety and fast-track advancement.
Q3) High power distance implies that people would be more motivated by teamwork and relations with peers.
A)True
B)False
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