Reference no: EM131482444

Assignment

Part 1

1. What is innovation? What innovation advantages do all multinational firms have? What disadvantages to SMEs have relative to large multinational enterprises for innovation?

2. As a form of country-specific advantage (CSA), how might a strong national system of innovation (NSI) support the development of innovation-related firm-specific advantages (FSAs) for an internationalizing firm?

3. List some examples of innovation FSAs for market-seeking internationalization and for resource-seeking internationalization.

4. Give one example of "local-for-global" innovation (from one of the case studies in this chapter if you can find it).

5. Why do national governments need specific criteria for defining an SME? Why might different governments use different definitions?

6. Explain, with an example, why an international new venture for SME might combine both trading activity (imports and exports) with FDI to maintain an international business.

7. What are the key debates around the definition of the born global firm and why do these make a difference in terms of our measurement and understanding of them?

8. Why are dynamic capabilities particularly for small and internationalizing firms?

9. Why might the importance of physical co-location in industrial clusters diminish relative to online networks or virtual hubs of specialists?

10. How do mental maps help us better understand market selection decision making in small firms?

Part 2

1. Why are MNEs so interested in new product development? Why do they not simply focus on improving their current offerings?

2. Why is speed-to-market such an important production strategy? Explain.

3. What are time-to-market accelerators? In what way is concurrent engineering one of these accelerators?

4. Why do many MNEs use global sourcing? Why do they not produce all the parts and materials in-house? Be complete in your answer.

5. Why are world-class suppliers often located next to world-class manufacturers? What forms of synergy often exist between the two groups?

6. How do MNEs try to cut production costs? Identify and describe three steps.

7. In what way is the continuous reduction cost method used by Japanese manufacturers different from the periodic cost reduction method employed by many US firms? Compare and contrast the two.

8. Some MNEs use a production strategy that involves costing a portfolio of related goods rather than just costing each individually. What is the logic behind this strategy?

9. How does kaizen help to bring about increased quality? Is this approach limited to Japanese firms or are other MNEs using it as well?

10. What types of issues does an MNE confront when it seeks to improve its production system? Identify and describe three.

11. How does JIT help an MNE control its inventory? Give two examples.

12. How is employee training an important factor in implementing JIT and DFT production processes?

13. Why would an MNE want to determine the degree to which its primary business was product dominated and service dominated? Explain.

14. Why are MNEs concerned with international logistics? How does this help the companies increase their competitiveness?

15. In recent years, MNEs have been focusing on a number of areas in improving their production strategies. What are two of these? Identify and describe each.

Part 3

1. How does initial screening help an MNE evaluate those goods and services that might be sold in the international market? What are some ways in which this screening is carried out?

2. After an MNE has completed an initial screening of its goods and services, what other steps can it take in further refining the choice of those products to sell internationally? Briefly describe the remainder of the process.

3. Why can some goods and services be sold internationally without having to undergo much, if any, modification? Explain.

4. What factors influence the need for moderate to high modification of goods and services that have sold well in the home country and will now be marketed overseas? Identify and describe three of the most influential factors.

5. When should an MNE use the same promotion strategy overseas that it uses at home? When should it modify the approach?

6. Many MNEs find that their advertising messages can be used in overseas markets without much, if any, modification. Why is this so?

7. Why do MNEs sometimes have to modify their personal selling strategies when marketing their goods in international markets?

8. What kinds of factors influence the pricing of goods and services in the international marketplace? Identify and describe three.

9. Why do many MNEs find that they cannot use the same distribution strategy overseas that they have used at home?

10. In choosing the best distribution system, what types of criteria do MNEs use? Identify and discuss three.

11. In what ways are multinationals using the following concepts to help them gain greater international market share: ongoing market assessment, effective pricing, Internet marketing and "open innovation"? In each case, offer an example.

12. Explain how open innovation networks using the Internet can help firms decide on whether to customize or standardize product features.

Part 4

1. Many US MNEs are accused of not focusing their efforts sufficiently on internationalization. How can they develop an international perspective among their managers? Offer three suggestions.

2. What are some of the most common screening criteria for individuals being chosen for international assignments? Identify and discuss four of them.

3. Why do MNEs tend to prefer interviews to testing when selecting people for international assignments?

4. In what way is repatriation proving to be a major problem for MNEs? How can they deal with this issue? Offer two substantive recommendations.

5. What are some of the most common forms of training and development offered to people going international or already operating abroad? Identify and describe three of them.

6. What are the most important parts of an international compensation package? Identify and describe three of them.

7. Why do some compensation packages have a hardship allowance?

8. In terms of compensation, why do many MNEs prefer to use a local manager rather than bring in an expatriate?

9. What are some of the primary differences in labor relations practices between Germany and Japan? Identify and discuss two of them.

10. How does industrial democracy work? Compare and contrast its use in Denmark, Germany and Japan.

11. How are MNEs attempting to improve the language training given to their personnel being posted overseas?

12. How would an MNE use a cultural assimilator to prepare people for overseas assignments?

13. What are some of the latest trends in competitive compensation in the international arena? Identify and describe two of them.

Part 5

1. How can a country risk analysis help an international manager making decisions about which countries to invest in?

2. How can we make a simple PEST analysis more robust, accurate and useful?

3. What is meant by the term political risk? Is there political risk in every country of the world? Explain.

4. Show, with an example, how the process of deregulation and liberalization is opening up opportunities for foreign investment in emerging markets.

5. How does macro political risk differ from micro political risk? Compare and contrast the two.

6. What are some factors that help to determine the degree of micro political risk? Identify and describe three of them.

7. What resources are available online for comparing political risk in two or more countries? Give two examples and say how their measures and rankings differ.

8. What difficulties would a manager face compiling an accurate Weighted Risk Assessment Model for two emerging market countries?

9. What is an adjusted present value calculation? Give examples of the kinds of country risks that could be incorporated into an APV calculated for a manufacturing investment in a less developed country.

10. When predicting political risk, why will an MNE be interested in examining the economic development agenda and policies of the government?

11. Choose a well-known MNE and describe the kinds of power resources or bargaining chips it could use in FDI negotiations with a country government.

12. Why does corruption tend to be more prevalent in poorer countries?

13. Describe one method for comparing the levels of corruption to be expected in two different countries.

14. Why is improving transparency important for investors and for local populations in less developed countries?

15. Why will an MNE be interested in the behavioral characteristics of the participants in a negotiation? How can such information help to improve its negotiating position?

16. In a negotiation, why would an MNE be interested in the acceptance zone of the other party?

17. What are some bargaining tactics that are used in international negotiating? Identify and describe three of them.

18. How do MNEs use integrative techniques in order to reduce their political risk? Describe an example.

19. How do MNEs use protective/defensive techniques in order to reduce their political risk? Describe an example.