Grading Summary
These are the automatically
computed results of your exam.
Grades for essay questions, and
comments from your instructor, are
in the "Details" section below.
Date Taken:
Time Spent:
Points Received:
Question Type:
Multiple Choice
Essay
11/20/2011
1 h , 48 min , 33 secs
37 / 40 (92.5%)
# Of Questions:
10
1
# Correct:
9
N/A
Grade Details
Page:
1 2
1. Question :
Student Answer:
(TCOs 4 & 5) A major trend in international developments
includes:
Greater international trade and operations
A growing recognition of an international managerial
perspective
A large increase in international investment
Instructor
Explanation:
Points Received:
All of the above
Pages 234-235
0 of 3
Comments:
2. Question :
Student Answer:
(TCOs 4 & 5) It can be said that the reasons that explain why
some governments make better use of the inflows from foreign
investment and know-how than others include all of the
following except:
Sound management of broader economic factors such as
interest rates and inflation
Governmental practices that are business-friendly
Local entrepreneurs that can train workers and invest in
modern technology
Instructor
Explanation:
Points Received:
Comments:
High tariffs and taxes on foreign investors and multinational
corporations provide income to improve living conditions
Page 235
3 of 3
3. Question :
Student Answer:
(TCOs 4 & 5) The framework that Porter devised considers all of
the following factors that affect a nation's competitiveness
except:
Policies that protect the nation's domestic competitors.
Factor conditions
Demand characteristics
Instructor
Explanation:
Points Received:
Related and supported industries
Page 236
3 of 3
Comments:
4. Question :
Student Answer:
(TCOs 4 & 5) When conditions of __________ consumer
demand, __________ supplier bases, and __________ new
entrant potential from related industries are evident, rivalry is
intense in nations.
strong; strong; high
weak; weak; low
weak; weak; high
Instructor
Explanation:
Points Received:
strong; strong; low
Page 238
3 of 3
Comments:
5. Question :
Student Answer:
(TCOs 4 & 5) According to Michael Porter, firms that have
experienced intense domestic competition are ____________.
unlikely to have the time or resources to compete abroad.
most likely to design strategies aimed primarily at the
domestic market.
more likely to design strategies and structures that allow
them to successfully compete abroad.
Instructor
Explanation:
Points Received:
more likely to demand protection from their governments.
Page 238
3 of 3
Comments:
6. Question :
(TCOs 4 & 5) It is true that there is a tremendous allure to
__________. This is because it is considered the big play, the
dramatic gesture, since with one stroke of the pen you can add
billions to size, get a front page story, and create excitement in
markets.
Student Answer:
differentiation strategies
strategic alliances and joint ventures
mergers and acquisitions
Instructor
Explanation:
Points Received:
internal development
Page 223
3 of 3
Comments:
7. Question :
Student Answer:
(TCOs 4 & 5) When a firm offers to buy shares of their stock
from a company (or individual) planning to acquire their firm at
a higher price than the unfriendly company paid for it, this
antitakeover tactic is called (a) __________ .
greenmail
poison pill
golden parachute
Instructor
Explanation:
Points Received:
scorched earth
Page 225
3 of 3
Comments:
8. Question :
Student Answer:
(TCOs 4 & 5) An antitakeover tactic in which existing
shareholders have the option to buy additional shares of stock
at a discount to the current market price is
called____________.
greenmail
a poison pill
a golden parachute
Instructor
Explanation:
Points Received:
Comments:
scorched earth
Page 225
3 of 3
9. Question :
Student Answer:
(TCOs 4 & 5) The term "golden parachutes" refers to:
A clause requiring that huge dividend payments be made
upon takeover
Financial inducements offered by a threatened firm to stop a
hostile suitor from acquiring it
Managers of a firm involved in a hostile takeover
approaching a third party about making the acquisition
Instructor
Explanation:
Points Received:
Pay given to executives fired because of a takeover
Page 225
3 of 3
Comments:
10. Question :
Student Answer:
(TCOs 4 & 5) Which one of the following is not considered an
antitakeover tactic?
Poison pills
Greenmail
Golden parachutes
Instructor
Explanation:
Points Received:
Golden handcuffs
Page 225
3 of 3
Comments:
Grade Details
Page:
1 2
1. Question :
Student Answer:
(TCOs 4 & 5) Related diversification has what primary benefits
and risks associated with it?
1.(TCOs 4 & 5) Related diversification has what primary benefits
and risks associated with it? We addressed two major types of
corporate-level strategy: related and unrelated diversification. With
related diversification the corporation strives to enter into areas in
which key resources and capabilities of the corporation can be
shared or leveraged. Synergies come from horizontal relationships
between business units. Cost savings and enhanced revenues can be
derived from two major sources. First, economies of scope can be
achieved from the leveraging of core competencies and the sharing
of activities. Second, market power can be attained from greater, or
pooled, negotiating power and from vertical integration( Gregory
G. Dess, G. T. Lumpkin, & Alan B. Eisner 2010, p227) First, a firm
may diversify into related businesses. Here, the primary potential
benefits to be derived come from horizontal relationships; that is,
businesses sharing intangible resources (e.g., core competencies
such as marketing) and tangible resources (e.g., production
facilities, distribution channels). Firms can also enhance their
market power via pooled negotiating power and vertical
integration( Gregory G. Dess, G. T. Lumpkin, & Alan B. Eisner
2010, p199) The risks of vertical integration include (1) the costs
and expenses associated with increased overhead and capital
expenditures to provide facilities, raw material inputs, and
distribution channels inside the organization; (2) a loss of flexibility
resulting from the inability to respond quickly to changes in the
external environment because of the huge investments in vertical
integration activities that generally cannot be easily deployed
elsewhere; (3) problems associated with unbalanced capacities or
unfilled demand along the value chain; and (4) additional
administrative costs associated with managing a more complex set
of activities( Gregory G. Dess, G. T. Lumpkin, & Alan B. Eisner
2010, p207). Gregory G. Dess, G. T. Lumpkin, & Alan B. Eisner,
Strategic Management: text and cases, Published by McGrawHill/Irwin, a business unit of The McGraw-Hill Companies, Inc.,
1221 Avenue of the Americas, New York, NY, 10020. Copyright ©
2010, 2008, 2007, 2006, 2004 by The McGraw-Hill Companies,
Inc, p p 199, 207, 227.
Instructor
Explanation:
Points Received:
Comments:
Page:
1 2
Pages 199-209
Answers will vary. Enables a firm to benefit from horizontal
relationships across different business in the diversified corporation
by leveraging core competencies and sharing activities (i.e.
production and distribution facilities). This enables corporations to
benefit from economies of scope.
10 of 10