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27/9/16, 3:47 PM

Frynas and Mellahi: Global Strategic Management 3e

Chapter 5: Multiple choice questions

Results

You have answered 9 out of 10 questions correctly.

Your percentage score is 90%.
Question 1
Internationalization stimuli refer to:
Your answer:
d) internal and external factors that influence a firm's decision to initiate, develop, and sustain international business activities.
Feedback:
Internationalization stimuli refer to internal and external factors that influence a firm's decision to initiate, develop, and sustain international
business activities.
Page reference: 151

Question 2
First mover advantage suggests that:
Your answer:
b) first mover firms expand more rapidly in international markets than late movers in international markets.
Correct answer:
a) pioneering businesses are able to obtain higher profits and other benefits as the consequence of early market entry.
Feedback:
First mover advantage suggests that pioneering businesses are able to obtain higher profits and other benefits as the consequence of early
market entry.
Page reference: 155

Question 3
The difficulties as a result of the different norms and rules that constrain human behaviour are called:
Your answer:
b) Liability of foreignness
Feedback:
The difficulties as a result of the different norms and rules that constrain human behaviour are called liability of foreignness.
Page reference: 156-157

Question 4
High psychic distance can:

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Oxford University Press | Online Resource Centre | Multiple choice questions

27/9/16, 3:47 PM

Your answer:
d) discourage the firm's international expansion into a given country.
Feedback:
High psychic distance can discourage the firm's use of strategic alliances.
Page reference: 157-158

Question 5
The Uppsala Model can help to understand:
Your answer:
a) a firm's initial choice of international location and its mode of entry into foreign markets.
Feedback:
The Uppsala Model can help to understand a firm's initial choice of international location and its mode of entry into foreign markets.
Page reference: 159-161

Question 6
A Born Global firm is a firm that:
Your answer:
d) from its birth seeks competitive advantage by using resources from different countries and by selling its products in multiple countries.
Feedback:
A Born Global firm is a firm that from its birth seeks competitive advantage by using resources from different countries and by selling its
products in multiple countries.
Page reference: 162-163

Question 7
Which of the following is NOT a mode of entry into foreign markets?
Your answer:
b) Internationalization
Feedback:
Internationalization is not a mode of entry into foreign markets.
Page reference: 166

Question 8
Franchising involves:
Your answer:
c) the transfer of a business concept, with corresponding operational guidelines, to non-domestic parties for a fee.
Feedback:
Franchising involves the transfer of a business concept, with corresponding operational guidelines, to non-domestic parties for a fee.
Page reference: 169-170

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Oxford University Press | Online Resource Centre | Multiple choice questions

27/9/16, 3:47 PM

Question 9
Horizontal and Vertical are types of:
Your answer:
c) Mergers and acquisitions
Feedback:
Horizontal and Vertical are types of mergers and acquisitions.
Page reference: 171

Question 10
De-internationalization can be the result of two different processes:
Your answer:
b) Company failure and strategic decision-making
Feedback:
Company failure and strategic decision-making can result in de-internationalization.
Page reference: 173-175

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