61. (p. 290) Which of the following is not an advantage of first-mover strategies? 

A. Capturing learning effects important for increasing market share

B. Achieving scale economies

C. Development of alliances with the most attractive local partners

D. Capitalizing on well-established legal, institutional and political frameworks

62. (p. 291) Within the context of international management, the “base of the pyramid” refers to: 

A. Front-line employees at the bottom of the organizational hierarchy

B. Younger generations of the population pyramid

C. Understanding the foundational issues in international management

D. Potential low-income customers at the bottom of the economic pyramid

63. (p. 291) Which of the following is likely to be the most effective strategic approach for the “base of the pyramid”? 

A. Incremental adaptation of existing technologies and products

B. Establishing partnerships with central governments of emerging economies

C. Leapfrog technologies including disruptive technologies

D. Large-scale strategies

64. (p. 292) Which of the following findings regarding BOP strategy has significant implications for the globalization-national responsiveness framework? 

A. Building relationships directly and at the local level contributes to the reputation and fosters the trust necessary to overcome the lack of formal institutions such as the rule of law

B. The BOP may be an ideal environment for incubating new, leapfrog technologies

C. These business models may travel profitably to higher-income markets because adding features to a low-cost model may be easier than removing features from high-cost models

D. It brings focus to those who are too poor to be viable customers for multinational companies

65. (p. 292) All of the following are challenges firms could face in the implementation of a BOP strategy except: 

A. Offering affordable goods

B. Generating awareness regarding the product

C. Nonexistent distribution channels

D. Coordinating administrative functions

66. (p. 295) International management activities of entrepreneurial and new-venture firms have been made possible by all of the following except: 

A. Customized, old access channels

B. Advances in telecommunication

C. Greater efficiencies and lower costs in shipping

D. Allowing firms to access international customers

67. (p. 296) Firms that internationalize after being domestically established have to overcome all of the following barriers except: 

A. Their domestic orientation

B. Their internal domestic political ties

C. Their domestic decision-making inertia

D. Their anti-risk seeking behavior

68. (p. 296) The technological learning gained from varied international environments: 

A. Enhances efforts to integrate knowledge throughout a firm

B. Shows a fall in venture performance

C. Leads to minimal diversity of national environments

D. Has no effect on cross-functional teams

69. (p. 296) Firms that engage in significant international activity a short time after being established are called: 

A. Greenfield ventures

B. Born globals

C. Brownfield firms

D. Traditional exporters

70. (p. 296) All of the following are features of a “born-global” firm except: 

A. They export products to close markets

B. They employ strategies like unique-products development

C. They indulge in significant international activity a short time after being established

D. They seek joint ventures or acquisitions as a method to expand internationally