Question 1. In international business, the trend to “go local” has led to local people and foreign experts performing as:
- A Team
- Workers and employers
- Trainee and trainer
- Hosts and guests
Question 2. Culture is embedded in our:
- Gestures
- Beliefs
- Expressions
- Minds
Question 3. Cultural intelligence helps us to know cultural:
- Rituals
- Differences
- Similarities
- Rules of behaviour
Question 4. An individual’s behaviour in a foreign society becomes noticeable when it ____________ in relation to the foreign culture.
- Overlaps
- Conforms
- Irritates
- Deviates
Question 5. Culture refers to:
- Behaviour
- Thinking
- Attitude
- Rules of Behaviour
Question 6. People in high-context cultures make business decisions on the basis of:
- Individual needs
- Reason
- Competition
- Interpersonal relations
Question 7. The exclusive center of interest in low-context communication is:
- Individual perceptions
- Emotional factors
- Information
- Context
Question 8. In monochronic cultures, the priority is:
- Multiple tasks
- The job
- Relationships
- Goal achievement
Question 9. The aim of cross-cultural communication training is to:
- Create strong cultural ties
- Improve behaviour
- Develop business etiquette
- Give social status
Question 10. An e-mail’s style is determined by a person’s:
- Status
- Culture
- English
- Communicative ability
- According to Schein’s (2004) model of culture, what is the manifestation and hence observable aspect of a group’s culture?
- Values
- Basic assumptions
- Beliefs
- Artefacts
Answer: d: artefacts
- A culture is usually recognized to be ______.
- Fixed
- Stable
- Evolving
- Stagnant
Answer: c: Evolving
- There are divergent views on whether a culture is manageable. Which of the following views of culture assumes that it is manageable?
- Culture as a variable
- Culture as a shared sense of belonging
- Culture as a root metaphor
- Culture as a rulebook
Answer: a: Culture as a variable
- Focusing on the symbolic nature of culture encourages us to see leadership as a symbolic activity. Seen through this lens, what is the key focus of leaders?
- Being role models
- Monitoring and rewarding
- Sense-making and meaning-making
- Creating and maintaining rituals
Answer: c: Sense-making and meaning-making
- Which other leadership theory has been drawn on to explain and explore the key role of leaders within a group’s culture and specifically in relation to the group’s shared sense of belonging?
- Implicit Leadership Theory
- Path-Goal Theory
- Leader-Member Exchange Theory
- Social Identity Theory
Answer: d: Social Identity Theory
- Which of the following is NOT a characteristic of etic cultural research?
- Studying cultural characteristics across cultures
- Studying culture and leadership through the lens of natives
- Find universal leadership behaviours
- Compare effectiveness of leadership styles across cultures
Answer: b: Studying culture and leadership through the lens of natives
- Which of the following research methods is one that is NOT usually employed as the main data collection method in emic cultural research?
- Questionnaires
- Ethnography
- Observations
- In-depth interviews
Answer: a: Questionnaires
- Which of the following is the correct sample information from the original GLOBE project (House et al., 2004)?
- 60 societies, 15,000 managers, 1,000 organisations, 2 industries
- 70 societies, 12,000 managers, 581 organisations, 4 industries
- 62 societies, 17,000 managers, 951 organisations, 3 industries
- 50 societies, 20,000 managers, 431 organisations, 1 industry
Answer: c: 62 societies, 17,000 managers, 951 organisations, 3 industries
- Which of the following leadership theories has been most frequently used as a theoretical framework in cross-cultural leadership research?
- Implicit Leadership Theory
- Path-Goal Theory
- Leader-Member Exchange Theory
- Social Identity Theory
Answer: d: Social Identity Theory
- Which of the following is NOT a critique of cross-cultural leadership research?
- Overly complex conceptualization of culture and leadership
- Misrepresentations of local cultures and perpetuation of stereotypes
- False assumption of representative sampling
- Treatment of language as a neutral tool
Answer: a: overly complex conceptualization of culture and leadership
Question 21. One of the key tasks of the corporate parent is:
a) Recruiting top management teams in different countries
b) Conducting market research on customers’ needs in different countries
c) Deciding on and enforcing the strategic direction of the multinational firm
d) Looking for ways to adapt subsidiaries to local conditions
Question 22. Corporate parent refers to:
a) The headquarters’ level within a multinational firm with different subsidiaries
b) The country level of a multinational firm
c) A regional level of a multinational firm
d) The name of the parent firm that owns the business
Question 23. Cultural control relies on:
a) Employing expatriate managers as top managers of subsidiaries
b) Using SMART objectives
c) Clear output indicators
d) Employing cross cultural teams
Question 24. Control of subsidiaries can be carried out in:
a) Three ways: electronic, mechanical and technical
b) Two ways: personal or mechanical
c) Three ways: personal, technical, or impersonal
d) Two ways: personal or impersonal
Question 25. What are the three main types of control?
a) Output control, behavioral control and cultural control
b) Coordination, harmonization and configuration
c) Integration control, mechanical control and cultural control
d) Input control, cultural control and configuration control
Question 26. Industrial diversification is justifiable if:
a) It reduces cost
b) If enhances shareholders’ value
c) It closes failing businesses
d) It increases firm’s size
Question 27. What are the two options of industrial diversification?
a) Global diversification and local diversification
b) Related diversification and unrelated diversification
c) Marketing diversification and production diversification
d) Vertical diversification and horizontal diversification
Question 28. What is NOT an advantage of vertical integration?
a) It helps the firm retain control over proprietary knowledge
b) It enables the firm cross-subsidize one stage of the value chain by another
c) It enables the firm to internationalize quickly
d) It reduces uncertainties in demand and price
Question 29. Offshoring generally refers to:
a) Reallocation of activities to subsidiaries of the multinational firms
b) Delegation of authority to subsidiary level managers
c) Reallocation of activities to emerging and developing countries
d) Reallocation of headquarter of the multinational firm to an emerging country
Question 30. What is NOT a cause of value destruction by corporate parents?
a) Incurring overhead costs
b) Seeking synergies between subsidiaries
c) Slowing down decisions
d) Making some ill-judged interventions
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