1. First Business Trip to Asia (Scenario) Jeff Elliott is on a flight across the Pacific and is excited about his first business trip to Asia. Born and raised in Alberta, Jeff is a manager for a rapidly growing Calgary-based company. His current mission is to scout out potential locations in Asia and develop an international expansion strategy for his company. There are many options, including maintaining the businesses head office in Canada and sending over company representatives when necessary, or developing a separate company in Asia and hiring locals to manage the business. Jeff's trip will take him to Japan, Korea, Hong Kong, Taiwan, and Thailand. He is looking forward to learning more about the business practices and customs of each country, and he is not too worried about the fact that he only speaks English. Jeff has heard that English is considered the main international business language and he anticipates that most Asians will be able to speak it. 1) If Jeff's company decided to open another company in Taiwan but manage it from its headquarters in Canada, it would be considered a ________. A) transnational corporation B) global business alliance C) regional trade alliance D) multinational corporation 2) If Jeff's company decides to open completely new operations in Thailand, Japan, and Korea, and decides to decentralize management and decision making to the local countries, it would be following a ________ approach. A) multidomestic B) global C) ethnocentric D) multinational 3) If Jeff's company eliminated country-designated locations and reorganized based on industry groups, it would best be described as a ________. A) transnational organization B) multidomestic organization C) global business alliance D) multinational corporation 2. International Entrepreneurs (Scenario) Jennifer and James have formed an entrepreneurial venture to develop software for banks and other financial institutions. Their company is growing, and in looking for opportunities in the future they decide to explore international operations. 4) As their international operations grew, Jennifer and James decided to decentralize management and hire foreign nationals to run the business in their local countries. Their firm has developed into a ________. A) multidomestic B) multinational corporation C) global organization D) global trade alliance 5) A new and exciting opportunity has appeared that enables Jennifer and James to form a joint venture with a bank in Japan. This partnership will involve less risk and commitment than ________. A) exporting B) foreign contracting C) setting up a foreign subsidiary D) licensing 6) Jennifer and James decide to allow a company in Hong Kong to use the rights to their software, brand name, and product specifications in return for a lump-sum payment. This agreement is known as a(n) ________. A) strategic alliance / joint venture B) export alliance C) franchise D) foreign subsidiary 3. The European Expansion (Scenario) As a mana.

1. 1. First Business Trip to Asia (Scenario)
Jeff Elliott is on a flight across the Pacific and is excited about his first business trip to Asia. Born
and raised in Alberta, Jeff is a manager for a rapidly growing Calgary-based company. His current
mission is to scout out potential locations in Asia and develop an international expansion strategy
for his company. There are many options, including maintaining the businesses head office in
Canada and sending over company representatives when necessary, or developing a separate
company in Asia and hiring locals to manage the business. Jeff's trip will take him to Japan,
Korea, Hong Kong, Taiwan, and Thailand. He is looking forward to learning more about the
business practices and customs of each country, and he is not too worried about the fact that he
only speaks English. Jeff has heard that English is considered the main international business
language and he anticipates that most Asians will be able to speak it.
1) If Jeff's company decided to open another company in Taiwan but manage it from its
headquarters in Canada, it would be considered a ________.
A) transnational corporation
B) global business alliance
C) regional trade alliance
D) multinational corporation
2) If Jeff's company decides to open completely new operations in Thailand, Japan, and Korea,
and decides to decentralize management and decision making to the local countries, it would be
following a ________ approach.
A) multidomestic
B) global
C) ethnocentric D) multinational
3) If Jeff's company eliminated country-designated locations and reorganized based on industry
groups, it would best be described as a ________.
A) transnational organization
B) multidomestic organization
C) global business alliance D) multinational corporation
2. International Entrepreneurs (Scenario)
Jennifer and James have formed an entrepreneurial venture to develop software for banks and
other financial institutions. Their company is growing, and in looking for opportunities in the future
they decide to explore international operations.
4) As their international operations grew, Jennifer and James decided to decentralize
management and hire foreign nationals to run the business in their local countries. Their firm has
developed into a ________.
A) multidomestic
B) multinational corporation
C) global organization D) global trade alliance
5) A new and exciting opportunity has appeared that enables Jennifer and James to form a joint
venture with a bank in Japan. This partnership will involve less risk and commitment than
________.

2. A) exporting
B) foreign contracting
C) setting up a foreign subsidiary D) licensing
6) Jennifer and James decide to allow a company in Hong Kong to use the rights to their software,
brand name, and product specifications in return for a lump-sum payment. This agreement is
known as a(n) ________.
A) strategic alliance / joint venture
B) export alliance
C) franchise
D) foreign subsidiary
3. The European Expansion (Scenario)
As a manager at a growing Canadian company, Samantha has been asked to develop a strategy
to expand the company's operations into the European market. Although the company president
has provided some basic guidelines about acceptable levels of risk and investment, there are still
many factors in the legal/political, economic, and cultural environments that Samantha must take
into consideration in her proposal.
7) Samantha is considering whether her company should open a subsidiary in Germany or Italy.
She is wondering which country's culture would be better suited to her company, since research
indicates that ________.
A) organizational culture has a greater effect on employees than national culture
B) national culture has a greater effect on employees than organizational culture
C) national culture and organizational culture have roughly the same effect on employees D)
organizational culture has a greater effect on employees than employment laws
8) Samantha will recommend forming a strategic alliance with a French-based company that
promises to market her company's products in several EU countries in exchange for access to her
company's distribution network in Canada and the United States. This strategy will require less
investment than ________.
A) exporting
B) licensing
C) franchising
D) establishing a subsidiary
4. Business Expansion Plan (Scenario)
As a business expansion director, Shana's goal is to scout potential locations for her company's
planned expansion to other countries. There are many options, some of which include maintaining
the business's head office in Canada. Other options include sending company representatives to
foreign operations when necessary, or establishing separate operation facilities abroad and hiring
locals as managers.
9) If Shana's company decides to open operations in France but maintains company management
in Canada, it would be considered a ________.
A) transnational corporation
B) multinational corporation

3. C) multidomestic corporation D) joint venture
10) If Shana's company decides to open a new operation in Germany that has local managers and
is run locally but still exists under the umbrella of the home company, it would be considered a
________. A) national corporation
B) borderless organization
C) trade alliance
D) multidomestic corporation
11) If Shana's company reorganizes based on industry groups with no designated home country,
the entire organization would be considered a ________.
A) transnational organization
B) strategic alliance
C) multidomestic corporation D) multinational corporation
5. The Big Project (Scenario)
The School of Business has developed a new strategic plan. As part of the plan, a major capital
project will refurbish the building and classrooms, including a new corporate branding initiative
thanks to a generous donation from a local business. Faculty offices will be grouped by functional
area instead of by seniority, so that students have convenient access to the faculty of their
discipline, such as HR, accounting, or marketing. The project will take three months to complete
and is being done over the summer to inconvenience as few students as possible. A wide
consultation process was conducted to ensure feedback was obtained from various stakeholders.
12) The grouping of the offices by functional area is an example of a(n) ________. A) good
B) service
C) input
D) transformation process
13) Value chain management is ________ oriented and ________ oriented. A) internally;
effectiveness
B) externally; effectiveness
C) internally; efficiency
D) externally; efficiency
14) ________ is focused on incoming materials and outgoing products. A) Operations
management
B) Value chain management
C) Supply chain management
D) Logistics management
6. Starbucks Scheduling Challenges (Scenario)
Starbucks' CEO Howard Schultz has vowed to provide store employees with more consistent
weekly schedules and longer notice of upcoming shifts. Starbucks is eliminating the practice
dubbed "clopening," which requires employees to shut down a store at night only to return early
the next morning to help open it.
Over the last two years, labour costs have been increasing for employers of low-skill workers. This
leads managers to tend toward understaffing than overstaffing. Also, many stores require

4. employees to find their own replacements when they are sick.
To assist with scheduling, Starbucks uses Kronos state-of-the-art software that forecasts store
traffic and helps managers set staff levels accordingly. However, the software doesn't make
scheduling workers four weeks in advance instead of the common practice of one week in
advance. According to a Kronos executive, the best predictor of store demand is the sales data
from one year ago that day.
15) The managerial practice of understaffing will impact which service quality dimension the most?
A) Production and consumption happen at the same time.
B) Quality is based on customer perceptions.
C) Ownership of the service is not transferred to the customer.
D) Time is more important and delays are more challenging.
16) The Kronos software is aimed at improving which supply chain management element? A)
customers
B) production
C) inventory
D) information
17) Forecasting demand with state-of-the-art software tracking a combination of the previous
month's and previous year's sales is an example of which requirement for successful value chain
management?
A) coordination and collaboration
B) organizational processes
C) leadership
D) human resources
7. Shrinking the Supercentre (Scenario)
Walmart is making some major changes to their average store, dropping as many as 2500 items.
These changes have concerned some suppliers who worry about lost sales. As Walmart has
grown, managing inventory has become unruly and stores are not always neat and well stocked.
Walmart is leveraging technology to provide on-time data to help decide which products stay on
shelves and where to remove clutter.
Part of the change means less inventory in backrooms and dropping some products altogether.
Walmart is also more than doubling the width of aisles, making it more navigable for multiple carts.
Employees are starting to restock during the day, when customers are most likely to complain
about missing items. They are experimenting with lowering shelves by about a foot to make it
easier for shoppers to see around the store. That minor change could eliminate hundreds of
millions of dollars in annual sales of gum, candy, and magazines. To counteract that, Walmart is
also negotiating with suppliers to spend more money to earn a spot on shelves, pay additional
fees to store their products in warehouses, and give Walmart more time to pay for the goods.
18) Walmart's collaboration with suppliers is meant to provide improved procurement as well as
________.
A) enhanced customer order management
B) improved product development

5. C) improved logistics
D) improved transportation
19) Walmart will have to balance ________ with lowering inventory with their changes to the
stores. A) monitoring supplier quality
B) meeting customer demand
C) product design
D) capacity
20) Walmart using sales data from point-of-sale terminals to trigger reordering stock
instantaneously is an example of which value chain management strategy?
A) organizational processes
B) technology investment
C) coordination and collaboration D) leadersh
1. First Business Trip to Asia (Scenario)
Jeff Elliott is on a flight across the Pacific and is excited about his first business trip to Asia. Born
and raised in Alberta, Jeff is a manager for a rapidly growing Calgary-based company. His current
mission is to scout out potential locations in Asia and develop an international expansion strategy
for his company. There are many options, including maintaining the businesses head office in
Canada and sending over company representatives when necessary, or developing a separate
company in Asia and hiring locals to manage the business. Jeff's trip will take him to Japan,
Korea, Hong Kong, Taiwan, and Thailand. He is looking forward to learning more about the
business practices and customs of each country, and he is not too worried about the fact that he
only speaks English. Jeff has heard that English is considered the main international business
language and he anticipates that most Asians will be able to speak it.
1) If Jeff's company decided to open another company in Taiwan but manage it from its
headquarters in Canada, it would be considered a ________.
A) transnational corporation
B) global business alliance
C) regional trade alliance
D) multinational corporation
2) If Jeff's company decides to open completely new operations in Thailand, Japan, and Korea,
and decides to decentralize management and decision making to the local countries, it would be
following a ________ approach.
A) multidomestic

6. B) global
C) ethnocentric D) multinational
3) If Jeff's company eliminated country-designated locations and reorganized based on industry
groups, it would best be described as a ________.
A) transnational organization
B) multidomestic organization
C) global business alliance D) multinational corporation
2. International Entrepreneurs (Scenario)
Jennifer and James have formed an entrepreneurial venture to develop software for banks and
other financial institutions. Their company is growing, and in looking for opportunities in the future
they decide to explore international operations.
4) As their international operations grew, Jennifer and James decided to decentralize
management and hire foreign nationals to run the business in their local countries. Their firm has
developed into a ________.
A) multidomestic
B) multinational corporation
C) global organization D) global trade alliance
5) A new and exciting opportunity has appeared that enables Jennifer and James to form a joint
venture with a bank in Japan. This partnership will involve less risk and commitment than
________.
A) exporting
B) foreign contracting
C) setting up a foreign subsidiary D) licensing
6) Jennifer and James decide to allow a company in Hong Kong to use the rights to their software,
brand name, and product specifications in return for a lump-sum payment. This agreement is

7. known as a(n) ________.
A) strategic alliance / joint venture
B) export alliance
C) franchise
D) foreign subsidiary
3. The European Expansion (Scenario)
As a manager at a growing Canadian company, Samantha has been asked to develop a strategy
to expand the company's operations into the European market. Although the company president
has provided some basic guidelines about acceptable levels of risk and investment, there are still
many factors in the legal/political, economic, and cultural environments that Samantha must take
into consideration in her proposal.
7) Samantha is considering whether her company should open a subsidiary in Germany or Italy.
She is wondering which country's culture would be better suited to her company, since research
indicates that ________.
A) organizational culture has a greater effect on employees than national culture
B) national culture has a greater effect on employees than organizational culture
C) national culture and organizational culture have roughly the same effect on employees D)
organizational culture has a greater effect on employees than employment laws
8) Samantha will recommend forming a strategic alliance with a French-based company that
promises to market her company's products in several EU countries in exchange for access to her
company's distribution network in Canada and the United States. This strategy will require less
investment than ________.
A) exporting
B) licensing
C) franchising
D) establishing a subsidiary

8. 4. Business Expansion Plan (Scenario)
As a business expansion director, Shana's goal is to scout potential locations for her company's
planned expansion to other countries. There are many options, some of which include maintaining
the business's head office in Canada. Other options include sending company representatives to
foreign operations when necessary, or establishing separate operation facilities abroad and hiring
locals as managers.
9) If Shana's company decides to open operations in France but maintains company management
in Canada, it would be considered a ________.
A) transnational corporation
B) multinational corporation
C) multidomestic corporation D) joint venture
10) If Shana's company decides to open a new operation in Germany that has local managers and
is run locally but still exists under the umbrella of the home company, it would be considered a
________. A) national corporation
B) borderless organization
C) trade alliance
D) multidomestic corporation
11) If Shana's company reorganizes based on industry groups with no designated home country,
the entire organization would be considered a ________.
A) transnational organization
B) strategic alliance
C) multidomestic corporation D) multinational corporation
5. The Big Project (Scenario)
The School of Business has developed a new strategic plan. As part of the plan, a major capital
project will refurbish the building and classrooms, including a new corporate branding initiative
thanks to a generous donation from a local business. Faculty offices will be grouped by functional
area instead of by seniority, so that students have convenient access to the faculty of their

9. discipline, such as HR, accounting, or marketing. The project will take three months to complete
and is being done over the summer to inconvenience as few students as possible. A wide
consultation process was conducted to ensure feedback was obtained from various stakeholders.
12) The grouping of the offices by functional area is an example of a(n) ________. A) good
B) service
C) input
D) transformation process
13) Value chain management is ________ oriented and ________ oriented. A) internally;
effectiveness
B) externally; effectiveness
C) internally; efficiency
D) externally; efficiency
14) ________ is focused on incoming materials and outgoing products. A) Operations
management
B) Value chain management
C) Supply chain management
D) Logistics management
6. Starbucks Scheduling Challenges (Scenario)
Starbucks' CEO Howard Schultz has vowed to provide store employees with more consistent
weekly schedules and longer notice of upcoming shifts. Starbucks is eliminating the practice
dubbed "clopening," which requires employees to shut down a store at night only to return early
the next morning to help open it.
Over the last two years, labour costs have been increasing for employers of low-skill workers. This
leads managers to tend toward understaffing than overstaffing. Also, many stores require
employees to find their own replacements when they are sick.
To assist with scheduling, Starbucks uses Kronos state-of-the-art software that forecasts store

10. traffic and helps managers set staff levels accordingly. However, the software doesn't make
scheduling workers four weeks in advance instead of the common practice of one week in
advance. According to a Kronos executive, the best predictor of store demand is the sales data
from one year ago that day.
15) The managerial practice of understaffing will impact which service quality dimension the most?
A) Production and consumption happen at the same time.
B) Quality is based on customer perceptions.
C) Ownership of the service is not transferred to the customer.
D) Time is more important and delays are more challenging.
16) The Kronos software is aimed at improving which supply chain management element? A)
customers
B) production
C) inventory
D) information
17) Forecasting demand with state-of-the-art software tracking a combination of the previous
month's and previous year's sales is an example of which requirement for successful value chain
management?
A) coordination and collaboration
B) organizational processes
C) leadership
D) human resources
7. Shrinking the Supercentre (Scenario)
Walmart is making some major changes to their average store, dropping as many as 2500 items.
These changes have concerned some suppliers who worry about lost sales. As Walmart has
grown, managing inventory has become unruly and stores are not always neat and well stocked.
Walmart is leveraging technology to provide on-time data to help decide which products stay on
shelves and where to remove clutter.

11. Part of the change means less inventory in backrooms and dropping some products altogether.
Walmart is also more than doubling the width of aisles, making it more navigable for multiple carts.
Employees are starting to restock during the day, when customers are most likely to complain
about missing items. They are experimenting with lowering shelves by about a foot to make it
easier for shoppers to see around the store. That minor change could eliminate hundreds of
millions of dollars in annual sales of gum, candy, and magazines. To counteract that, Walmart is
also negotiating with suppliers to spend more money to earn a spot on shelves, pay additional
fees to store their products in warehouses, and give Walmart more time to pay for the goods.
18) Walmart's collaboration with suppliers is meant to provide improved procurement as well as
________.
A) enhanced customer order management
B) improved product development
C) improved logistics
D) improved transportation
19) Walmart will have to balance ________ with lowering inventory with their changes to the
stores. A) monitoring supplier quality
B) meeting customer demand
C) product design
D) capacity
20) Walmart using sales data from point-of-sale terminals to trigger reordering stock
instantaneously is an example of which value chain management strategy?
A) organizational processes
B) technology investment
C) coordination and collaboration D) leadersh