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DRIVE
SUMMER 2014
PROGRAM
MBADS (SEM 3/SEM
5)
MBAFLEX/ MBA
(SEM 3)
PGDIB (SEM 1)
IB0012 –
Management of Multinational Corporations
Q1 Macro environmental
forces are uncontrollable as compared to micro forces.
(Discuss how they
impact international business? Different environments and their impact)
Macro Environment
Macro forces are, more
uncontrollable as compared to micro forces, they impact international business
are discussed below:
i) Economic
Environment: It consists of the nature of the economy, the stage of
development of the
Q2 Discuss the
following theories of international trade:
a) Huckster- Ohlin
theory
b) Porter’s theory
ANS:
Huckster- Ohlin
theory:
Factor Endowment theory
also known as Factors Proportions theory was founded by Huckster and Ohlin.
This theory states that a country will specialize in those goods and export
those products that require a large amount of abundant and less costly factor
which has lower production costs. It will import those
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Q3 Discuss the
challenges and opportunities of International management.
(Challenges and
opportunities)
ANS:
International
Management – Challenges and Opportunities
In international
management of business, trends are constantly changing which provide
opportunities and throw challenges. International firms should have the ability
to harness the waves of change and use them to achieve high performance.
Accenture, a global consultancy firm, identified following challenges and
Q4 Compare the
management styles in India and Japan.
(Management styles in
India, Management styles in Japan)
ANS:
Management styles in
India:
Despite introduction
of economic reforms since 1991 and impact of globalization, Indian companies
have not completely discarded Indian managerial philosophy. India is moving
towards hybrid form of
Q5 Explain the scope of
comparative management
(Comparative
management’s scope)
Comparative management’s scope:
Many business
organizations all over the world are becoming multinational companies. Since,
they have to confront various environments; they have to innovate management
techniques suitable to that country.
Q6 Write short notes
on:
A) International advertising
B) Transfer pricing
ANS:
Meaning and role of international advertising:
International
advertising has to function under several constraints such as –language
barriers, government controls, and non-availability of advertising agencies,
economic and cultural differences. An MNC has to decide whether to standardize
the international advertising or adapt the same to meet the requirements of
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