How can we help?

You can also find more resources in our Help Center.

100 terms

IB Chapter 2

International Business 6/e Wild
STUDY
PLAY
Nokia Corporation uses its knowledge of cultures to adapt its mobile handsets to suit local markets.
True
The First step in analyzing a nation's potential for international business activity is to examine its customs
False
Ethnocentricity improves the ability to manage new business practices abroad.
False
Democratic nations that value freedom of speech do not regulate economic sectors such as broadcasting
False
Subcultures seldom exist in democratic countries with large populations.
False
Subcultures share the same language, lifestyle, values, and attitudes as the dominant culture.
False
Mexican immigrants living in the united states comprise a subculture.
true
All Chinese citizens are fluent in the official Mandarin dialect
False
A nation's cultural boundaries do not always correspond to its political boundaries
TRUE
) Some subcultures exist across national borders.
True
The cultural component of aesthetics deals with elements such as imagery, symbolism, and the arts
Ture
Black is the universal color that symbolizes death and mourning
false
When choosing web site addresses or telephone numbers for businesses that serve Chinese customers, entrepreneurs should attempt to include the number four (4), which is considered to be particularly lucky in China.
False
In today's global business world, the use of a 12-hour clock (as opposed to the 24-hour clock) is universally appropriate.
false
When going global with an internet presence, it is highly beneficial for a business to localize its website
TRUE
U.S. Employees place value on achieving individual results.
TRUE
A culture's values tend to be rigid over time.
TRUE
Many folk customs that have spread by cultural diffusion to other regions have developed into popular customs
TRUE
The concept of nuclear family that prevails in much of europe includes grandparents, uncles, aunts, and cousins.
False
Status refers to the way a culture divides its population according to positions within its social structure
True
Religion strongly affects the kinds of goods and services acceptable to Muslim consumers.
True
Hindus and Buddhist both seek "Nirvana," a state of eternal happiness.
TRUE
French is the most widely used "lingua franca" in international business.
False
Literacy tests offer a reliable basis on which to compare one nation's education level to another's.
False
Nations that invest in worker training are usually rewarded with productivity increases and rising incomes.
TRUE
Hong Kong, South Korea, Singapore, and Taiwan have experienced rapid economic development despite their poor education systems.
FALSE
Material culture often displays uneven development across a nation's industries.
TRUE
Group-oriented cultures are typically found in Europe and North America.
FALSE
In cultures with large power distance, prestige and rewards tend to be equally shared between superiors and rank-and-file employees.
FALSE
Cultures that score low on uncertainty avoidance tend to be more open to change and new ideas.
TRUE
Typically, the first step in the process of analyzing a nation's potential as a host for international business activity is to ________.
Assess its overall business climate
Which of the following terms is defined as the set of values, beliefs, rules, and institutions held by a specific group of people?
Culture
The belief that one's own ethnic group or culture is superior to that of others is referred to as ________.
Ethnocentricity
Which of the following is the best example of a case in which ethnocentricity undermines an international business project?
Production falls at a U.S.-owned factory in Japan because workers react negatively to American management techniques.
Detailed knowledge about a culture that enables people to live and work within that culture is called ________.
cultural literacy
Which one of the following best supports the argument that ethnocentricity should be avoided in business relationships with other countries?
Managers from other cultures understand best how to motivate their own employees.
A critic argues that the French government is too restrictive regarding its limitations on English language usage in product packaging. Which of the following would most likely reflect the French government's response to the critic?
The limitations are necessary to preserve unique elements of French national culture.
Which of the following is best defined as a group of people who share a unique way of life within a larger dominant culture?
Subculture
Which of the following terms is used to refer to that which a culture considers to be in "good taste" in the arts?
Aesthetics
An electronics manufacturer is designing a product to be marketed to consumers in Islamic countries. Which of the following colors should the company use most prominently in its packaging to make a favorable impression on buyers?
Green
Which color is primarily associated with funerals in Japan?
White
Which of the following terms is used to refer to the ideas, beliefs, and customs to which people are emotionally attached?
Values
The United Kingdom and the United States value ________, whereas Japan and South Korea value ________.
individual freedom; group consensus
Which of the following terms is used to refer to the positive or negative evaluations, feelings, and tendencies that individuals harbor toward objects or concepts?
Attitudes
Which of the following statements is true regarding attitudes?
They are learned from role models.
Which of the following terms is used to refer to any element that represents a culture's way of life, including gestures, material objects, traditions, and concepts?
Cultural trait
Which of the following statements regarding cultural change is NOT true?
Cultural diffusion occurs quickly in almost every culture.
Which of the following refers to the process whereby cultural traits spread from one culture to another?
Cultural diffusion
________ refers to the replacement of one culture's traditions, folk heroes, and artifacts with substitutes from another.
Cultural imperialism
Companies that wish to avoid the charge of cultural imperialism should do which of the following?
Be sensitive to how their activities and products affect people's traditional ways and habits
When Russian politicians complain about the Snickerization of their culture, they are complaining about which of the following?
Cultural imperialism
When a manager walks employees through every step of an assignment and monitors the results at each stage, this process is called ________.
situational management
Which of the following terms is used to refer to appropriate ways of behaving, speaking, and dressing in a culture?
Manners
A group of senior managers decides to require members of their new Mexican office to take a course in business etiquette. Several employees speak out against the idea, arguing that the course is a waste of time. Which of the following would be the most effective response to the employees?
It is important for business success to display culturally appropriate behavior in social settings.
Arab culture considers the left hand the "________" hand.
personal hygiene
Which of the following terms is used to refer to habits or ways of behaving in specific circumstances that are passed down through generations?
Customs
Sharing food gifts during the Islamic holy month of Ramadan is an example of a(n) ________.
custom
Which of the following terms is used to refer to behavior that is shared by a heterogeneous group or by several groups?
Popular custom
________ are behaviors, often dating back several generations, that are practiced by a homogeneous group of people.
Folk customs
The wearing of turbans by Muslims in Asia is an example of which of the following?
Folk custom
The practice whereby managers and other employees often try to find jobs inside their own companies for relatives is known as ________.
nepotism
Which of the following terms is used to refer to a collection of two or more people who identify and interact with each another?
Social group
Which of the following is NOT an important element of social structure?
Social aesthetics
Which of the following terms is used to refer to the process of ranking people into social layers or classes?
Social stratification
A ________ is a system of social stratification in which people are born into a social ranking, with no opportunity for social mobility.
caste system
A ________ is a system of social stratification in which personal ability and actions determine an individual's social status and mobility.
class system
Which of the following is the most common form of social stratification in the world today?
Class system
Which of the following is the world's single largest religion?
Christianity
A publisher based in Kazakhstan specializes in books for Islamic readers. The publisher is considering opening sales offices in Saudi Arabia and Ethiopia. Which country would be the better choice?
Saudi Arabia, because its population is predominantly Islamic
Which of the following believes that salvation comes from faith in God and that hard work gives glory to God?
Protestants
The world's second largest religion is ________.
Islam
Nations governed by which religion segregate the sexes at certain activities and locations such as in school?
Islam
For Hindus, the highest goal of life is ________.
moksha
A company that sells products designed for Buddhist and Confucian temples would be most likely to find customers in which of the following countries?
Thailand and Mongolia
Which of the following statements about China is NOT true?
The Chinese are outspoken and tend to express what they think.
When translated, the term Shinto means ________.
way of the gods
A Chinese business establishes an office in Hong Kong. It conducts business locally with vendors and customers who live in Hong Kong. Which of the following would be most effective as the company's main business dialect?
Cantonese
Body language includes all of the following EXCEPT ________.
unarticulated thoughts
Which of the following terms is used to refer to the departure of highly educated people from one profession, geographic region, or nation to another?
Brain drain
Which of the following represent aspects of the physical environment that heavily influence a people's culture?
Topography and climate
Which of the following would likely experience the LEAST amount of cultural diffusion?
Two subcultures separated by an impassable mountain range
Which of the following terms is used to refer to all the technology used in a culture to manufacture goods and provide services?
Material culture
The Kluckhohn-Strodtbeck framework compares cultures along all of the following dimensions EXCEPT ________.
Do people embrace or avoid uncertainty and ambiguity?
According to Hofstede's framework, which of the following describes the degree of inequality between people in different occupations?
Power distance
According to Hofstede's framework, which of the following is LEAST likely to be valued in a group-oriented culture?
Entrepreneurial risk taking
All of the following are dimensions developed by Hofstede for examining cultures EXCEPT ________.
caste system versus class system
Which of the following countries would most likely be the slowest to implement cultural change, based on Hofstede's framework?
Japan
Scenario: BetsyPurses.com
Betsy Franklin, a young entrepreneur from Philadelphia, started her hand-crocheted purse business seven years ago. Betsy's business has since thrived and employs 150 people. Most of Betsy's business is within the United States with an occasional international order. But Betsy now wants to make a concerted effort to grow international sales and is designing her Web site to attract more customers located abroad. Betsy is meeting with Bob Rufus, a Web site designer, for help with the project.

In choosing colors that comprise the background of the Web site, Betsy should ________.
pick a pastel color scheme for Japan
Betsy believes her success rests on her careful listening and responding to customers' needs. To ensure that her customers abroad can provide feedback easily, Betsy should ________.
learn what prospective customers seek to accomplish on her Web site
Scenario: HR Experts, Inc.
You were just hired at HR Experts, Inc., a diverse and global human resources consulting company. On your first day at work, you are assigned to a trouble-shooting group comprised of individuals from different cultures. Your team members are Tom, Ketan, Yoshi, Hung Shin, and Nazam. During the course of the day working in the group, you try to put people's names and faces with their cultures and beliefs.

90) You overheard Ketan making a remark, "I do not want to come back in the next life as an insect. I want to do right and achieve moksha." Based on this comment, which religion does Ketan most likely practice?
Hinduism
Hearing Ketan's comment, Tom responded, "I believe that salvation comes from faith in God and that hard work gives glory to God. So my friend, work hard and have faith in God." Based on this comment, which religion does Tom most likely practice?
Protestantism
To celebrate you joining the group, everyone goes to a local restaurant for dinner after work. When ordering drinks, Nazam says he cannot drink alcoholic beverages because his religion forbids it, and that he must eat quickly so he can attend evening prayers. Based on these statements, which religion is Nazam most likely practicing?
Islam
Scenario: Ian Richards, International Executive
Ian Richards is vice president of new business development for a British-based Internet company. He will soon attend an international symposium on global Internet marketing in Brazil where he will meet people from around the world.

93) When Ian attends a luncheon with several Arab delegates he does not know, he should ________.
not use his left hand to pour drinks for his Arab associates
After the symposium, Ian meets several company vice-presidents from the Japan office. When meeting with the Japanese associates, Ian should ________.
bow around 15 degrees
In attendance with the Japanese vice-presidents is a regional manager, Hideki Yoshimura, who recently made some business errors that were costly for the company. If Mr. Yoshimura bows at 45 degrees, Ian should interpret this to mean that ________.
Mr. Yoshimura has apologized
Ian ends most of his meetings with the thumbs up signal indicating that all is good. When meeting symposium representatives from Italy, he should ________.
avoid making the gesture
Scenario: Global Trading, Inc.
Global Trading, Inc. (GTI) is a company that manufactures and markets in over 40 countries and has 75,000 employees. GTI is concerned about understanding and managing not only its employees abroad, but also its suppliers and customers. Jamie, a consultant with Diversity Training International, is supervising a cross-cultural project for GTI and proposes using the Hofstede framework for analyzing cultures. Executives with GTI are interested in the framework, but they have many questions.

97) Jamie presents GTI managers with the following list of Hofstede dimensions to test their understanding of the framework. Which dimension would the managers most likely identify as the one that does not belong?
Public versus private orientation
Which of the following dimensions would most likely help executives understand the degree to which employees accept social inequality in different countries?
Power distance
One manager indicates that her subsidiary experiences high turnover, that there are few formal rules for regulating individual behavior, and that these qualities seems to be characteristic of the national culture. Which one of Hofstede's dimensions would most likely measure these qualities?
Uncertainty avoidance
Which of the following dimensions would most likely help a manager understand whether the lifestyle in her host country is more oriented toward accumulating wealth or maintaining a balanced life?
Achievement versus nurturing