ULUSLARARASI İŞLETME - Deneme Sınavı - 4

In the IP model, there are two types of variables: state and change. The change variables are the crucial ones since these processes change the characteristics of the focal firm and its environment and then trigger further changes. They involve knowledge development processes, including learning, creating and trust-building; and commitment processes, including reconfiguring resources and coordinating. The state variables include both operational (resources, skills, relationships, and organizational culture) and dynamic (integrating, building and reconfiguring competencies) capabilities, commitments (the distribution of resources over the firm’s functions, its product lines, the countries where it is active, and the networks in which it has invested), and the performance of the firm. The correct answer is E.

In the IP model, there are two types of variables: state and change. The change variables are the crucial ones since these processes change the characteristics of the focal firm and its environment and then trigger further changes. They involve knowledge development processes, including learning, creating and trust-building; and commitment processes, including reconfiguring resources and coordinating. The state variables include both operational (resources, skills, relationships, and organizational culture) and dynamic (integrating, building and reconfiguring competencies) capabilities, commitments (the distribution of resources over the firm’s functions, its product lines, the countries where it is active, and the networks in which it has invested), and the performance of the firm. The correct answer is E.

Exporting refers to selling products which have been produced in one country to customers in the other country or countries. The correct answer is B.

Contractual alliances are based on contractual provisions. They include contract manufacturing, licensing, franchising, research and development contracts, joint marketing, consortia, turnkey projects, build-operate-transfer arrangements, and management contracts. The correct answer is B.

Equity alliances are built based on equity ownership. Minority equity alliances and joint ventures are the most common types of equity alliances in international business. The correct answer is D.

Licensing is a particular form of contract manufacturing that allows firms to commercialize intellectual property, such as patents, copyrights, and trade secrets (Rothaermel, 2017: 262). The correct answer is C.

A turnkey project refers to the export of technology, management expertise, and, in some cases, capital equipment. The correct answer is D.

There are many advantages of M&As (Peng, 2014:325-326): 1. M&As give a firm complete equity and management control, thus eliminating the problems associated with joint ventures. 2. This full control leads to better protection of proprietary technology. 3. M&As allow for centrally coordinated global actions. 4. M&As do not add new capacity. 5. M&As enable faster entry speed. The correct answer is C.

Contract manufacturing involves contracting for the production of finished goods or parts. These goods or components are then imported to the home country or other countries for assembly or sale. The correct answer is A.

A greenfield investment refers to an entry mode through which a firm invests directly in another country by establishing a new wholly-owned subsidiary. The correct answer is A.