Caterpillar and Texas Instruments are two firms that have benefited from the use of:

Caterpillar and Texas Instruments are two firms that have benefited from the use of:

A) the multidomestic strategy option.
B) the international strategy option.
C) the transnational strategy option.
D) the maquiladora system in Europe.
E) the global strategy option.


Answer: E

The acronym MNC stands for

The acronym MNC stands for

A) Mexican National Committee (for international trade)
B) Maquiladora Negates Competition
C) Maytag-Nestlé Corporation
D) Multinational Corporation
E) Maritime Navigation Company


Answer: D

Which of the international operations strategies uses the existing domestic model globally?

Which of the international operations strategies uses the existing domestic model globally?

A) international strategy
B) global strategy
C) transnational strategy
D) multidomestic strategy
E) worldwide strategy


Answer: D

Which of the international operations strategies uses import/export or licensing of existing products?

Which of the international operations strategies uses import/export or licensing of existing products?

A) international strategy
B) global strategy
C) transnational strategy
D) multidomestic strategy
E) worldwide strategy


Answer: A

Which of the international operations strategies involves low cost reductions and low local responsiveness?

Which of the international operations strategies involves low cost reductions and low local responsiveness?

A) international strategy
B) global strategy
C) transnational strategy
D) multidomestic strategy
E) worldwide strategy


Answer: A

Which of the international operations strategies involves high cost reductions and high local responsiveness?

Which of the international operations strategies involves high cost reductions and high local responsiveness?

A) international strategy
B) global strategy
C) transnational strategy
D) multidomestic strategy
E) worldwide strategy


Answer: C

Advantages of outsourcing do NOT include:

Advantages of outsourcing do NOT include:

A) cost savings.
B) gaining outside expertise.
C) maintaining a focus on core competencies.
D) accessing outside technology.
E) potential creation of future competition.


Answer: E

Which of the following is not an advantage of outsourcing?

Which of the following is not an advantage of outsourcing?

A) cost savings
B) gaining outside expertise
C) improving operations and service
D) outsourcing core competencies
E) accessing outside technology


Answer: D

Which of the following statements is most accurate?

Which of the following statements is most accurate?

A) Nearly all outsourcing relationships do not last beyond two years.
B) Nearly all U.S. firms that outsourced processes to India have backsourced them.
C) Approximately half of all outsourcing agreements fail.
D) Outsourcing is a relatively risk-free activity.
E) More than 90% of outsourcing agreements succeed.


Answer: C

What theory implies that you should allow another firm to perform work activities for your company if that company can do it more productively than you can?

What theory implies that you should allow another firm to perform work activities for your company if that company can do it more productively than you can?

A) theory of competitive advantage
B) theory of core competencies
C) theory of comparative advantage
D) theory of outsourcing
E) theory of offshoring


Answer: C

Outsourcing manufacturing is also known as:

Outsourcing manufacturing is also known as:

A) license manufacturing.
B) sublease manufacturing.
C) concurrent manufacturing.
D) hollow manufacturing.
E) contract manufacturing.


Answer: E

Outsourcing is simply an extension of the long-standing practice of:

Outsourcing is simply an extension of the long-standing practice of:

A) subcontracting.
B) importing.
C) exporting.
D) postponement.
E) e-procurement.


Answer: A

What is the practice of transferring a firm's activities that have traditionally been internal to external suppliers?

What is the practice of transferring a firm's activities that have traditionally been internal to external suppliers?

A) nearshoring
B) farshoring
C) offshoring
D) outsourcing
E) backsourcing


Answer: D

Which of the following statements is most correct?

Which of the following statements is most correct?

A) KSFs are often necessary, but not sufficient for competitive advantage.
B) KSFs are often sufficient, but not necessary for competitive advantage.
C) KSFs are neither necessary nor sufficient for competitive advantage.
D) KSFs are both necessary and sufficient for competitive advantage.
E) None of the above statements is correct.


Answer: A

Which of the following has made the LEAST progress along its product life cycle?

Which of the following has made the LEAST progress along its product life cycle?

A) drive-through restaurants
B) Boeing 787
C) iPods
D) 3-D game players
E) Xbox 360


Answer: D

Which of the following has progressed the FURTHEST along its product life cycle?

Which of the following has progressed the FURTHEST along its product life cycle?

A) drive-through restaurants
B) Boeing 787
C) iPods
D) 3-D game players
E) Xbox 360


Answer: A

Given the position of the 3D printer in the growth stage of its life cycle, which of the following OM Strategy/Issues should the makers of 3D printers be least concerned with at the current time?

Given the position of the 3D printer in the growth stage of its life cycle, which of the following OM Strategy/Issues should the makers of 3D printers be least concerned with at the current time?

A) forecasting
B) cost cutting
C) increasing capacity
D) product and process reliability
E) enhancing distribution


Answer: B

Which of the following OM strategy/issues should a firm with a product in the maturity stage of its life cycle be LEAST concerned with at the present time?

Which of the following OM strategy/issues should a firm with a product in the maturity stage of its life cycle be LEAST concerned with at the present time?

A) increase capacity
B) long production runs
C) standardization
D) cost cutting
E) fewer rapid product changes


Answer: A

Cost minimization is an appropriate strategy in which stage of the product life cycle?

Cost minimization is an appropriate strategy in which stage of the product life cycle?

A) introduction
B) growth
C) adolescence
D) decline
E) retirement


Answer: D

Standardization is an appropriate strategy in which stage of the product life cycle?

Standardization is an appropriate strategy in which stage of the product life cycle?

A) introduction
B) growth
C) maturity
D) decline
E) retirement



Answer: C