1. Generic
organizational control is most commonly used by international firms that pursue
similar strategies in each market in which they compete.
True
|
False
|
2. Once it has
established itself as an international business, a company will evolve into an
MNC by using the corollary approach.
True
|
||||
False
|
||||
|
5. Exxon
uses the global matrix design so that the production oil drilling skills of its
workers can transfer to any of its drilling sites around the world.
True
|
False
|
6. In
the global product design, the M-form design is used when the products are
related.
True
|
False
|
7. The
global matrix design is the result of superimposing one form of organization
design on top of an existing one.
True
|
False
|
8. Organization
design is the overall pattern of structural components and configurations used
to manage the total firm.
True
|
False
|
9. When
a firm adopts a centralized form of organization design, strategic control is
facilitated as a logical and complementary extension of that design.
True
|
False
|
10. Organizational control plays a major
role in decision making, especially when there is a high level of risk.
True
|
False
|
11. The ethnocentric approach is used by
firms that customize their operations for each foreign market they enter.
True
|
False
|
12. An MNC usually incorporates its
subsidiaries in the country of operation to limit their liability.
True
|
False
|
13.
The global area design is useful for firms
that follow a polycentric or multidomestic corporate philosophy.
True
|
False
|
14. Active subsidiary boards are useful in
H-form organizations because a holding company's subsidiaries are NOT typically
run independently of one another.
True
|
False
|
15. U-form organizations come out of
companies that use the global functional design of global organization design.
True
|
False
|
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