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Question
Describe the two basic contractual agreements that most companies follow in their attempt to enter a foreign market: licensing and franchising. Illustrate a situation in which each type of agreement would be appropriate. Students' answers will vary.
Answer
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Related questions
Q:
Give a brief description of the styles of negotiation of the Japanese, the Koreans, and the French.
Q:
What is one of the two obstacles to inventive negotiation techniques for Japanese negotiators?
A) individualism
B) civility
C) frankness
D) hierarchy
E) relative integration
Q:
In business negotiations, the most powerful persuasive tactic is to
A) provide more promises and recommendations.
B) enforce more punishments and use more commands.
C) use more self-disclosures.
D) ask more questions.
E) offer more rewards and normative appeals.
Q:
Which method can be used to minimize the inevitable errors that crop up while exchanging information across language barriers?
A) using silent periods more frequently
B) prolonging the duration of nontask sounding
C) using more promises and recommendations instead of threats and warnings
D) agreeing to use a common language for communication
E) using multiple communication channels during presentations
Q:
Which method is the most efficient way to communicate with clients and partners in places like Mexico, Malaysia, and China?
A) conversation over a long dinner
B) negotiation through video-conferencing
C) conversation over a phone call
D) negotiation through e-mail
E) negotiation with lower- and mid-ranking executives
Q:
An international business negotiator's primary job is collecting information with the goal of enhancing creativity. Which step may be taken during a meeting to ensure that the negotiator is able to do his job well?
A) appointing different members of the team to provide self-disclosures and appropriate replies to queries
B) bringing along junior executives for the purpose of training through observation and participation
C) providing additional information to the other party when all the members fall silent during the meeting
D) assigning one team member the sole responsibility of taking careful notes and not worrying about speaking
E) including higher-rank executives and using informal channels of communication
Q:
The single most important activity of international business negotiations is
A) organization.
B) listening.
C) presentation.
D) etiquette.
E) self-disclosure.
Q:
What is the first step toward initiating efficient and effective international business negotiations?
A) managing preliminaries such as training and location of talks
B) preparing and manipulating negotiation settings
C) selecting an appropriate negotiation team
D) managing the process of negotiations
E) following up on procedures and practices
Q:
Which approach is usually adopted by Westerners when faced with a complex negotiation task?
A) dividing the large task into a series of smaller tasks
B) analyzing the task in a holistic manner with foreign and domestic experts
C) discussing all issues at once, in no apparent order
D) making larger than normal concessions in a bid to push the deal through
E) buying time by tackling peripheral issues first, and then tackling the main task
Q:
Spanish negotiators use a high percentage of commands, as demonstrated by which behavior?
A) extensive use of silent periods
B) highest incidence of touching another negotiator
C) greeting callers on the phone with "diga" (speak)
D) shunning eye contact with others
E) greeting others with a "hola" or "bueno"
Q:
Israeli negotiators are most likely to be blamed for the "pushy" stereotype often used by Americans to describe their Israeli counterparts because they
A) interrupt one another more frequently than any other group.
B) use the lowest percentage of self-disclosures.
C) use the highest percentage of promises and recommendations.
D) use the highest percentage of punishments than any other group.
E) use a higher percentage of commands than any other group.
Q:
Which statement is true about the negotiation behavior of Korean negotiators?
A) They use more silent periods than any other group.
B) They ask the greatest number of questions.
C) They are the most reticent about disclosing information.
D) They use the word no and interrupt more frequently than the Japanese.
E) They use the lowest percentage of aggressive persuasive tactics.
Q:
What is the most common complaint heard from American managers in terms of the negotiation behavior of foreign clients?
A) the insistence on exchanging business cards to establish the rank of the negotiators
B) the overt emphasis laid on punctuality and the tendency to waste time
C) the lack of feedback, positive as well as negative, regarding the negotiations
D) foreign clients and partners breaking into side conversations in their native languages
E) frequent instances of facial gazing and touching that distract their counterparts
Q:
On a tour to Australia in 1992, George Bush Sr. flashed the victory sign at the Australian public, with the palm facing inwards, which was considered a rude gesture. This is an example of cultural differences causing problems at the level of
A) thinking processes.
B) values.
C) language.
D) nonverbal behaviors.
E) decision-making processes.
Q:
The Japanese approach to international business negotiations tends to be innovative in spite of their collectivist tendencies.
Q:
Since formality is a way of life in the United States, even the smallest contracts between companies often involves a formal signing ceremony.
Q:
Due to the great differences in the roles played by women across cultures, gender should be used as a selection criterion for international negotiation teams.
Q:
American buyers achieve better results than Japanese buyers.
Q:
The British, German, and American businesspeople are found to fall in the middle of most scales for dimensions of negotiating behaviors.
Q:
Israeli business negotiators use the lowest percentage of self-disclosure, yet they also use, by far, the highest percentages of promises and recommendations.
Q:
The behavior of the businesspeople in Asian countries tends to be similar in style.
Q:
The Japanese business negotiation style comprises an infrequent use of no and you and facial gazing, as well as more frequent silent periods.
Q:
Verbal tactics used during negotiations differ vastly across diverse cultures.
Q:
Disagreements among foreign team members, in the form of side conversations, are often followed by concessions to the other negotiating party.
Q:
Individual personalities and backgrounds are of no relevance at the international negotiation table.
Q:
Lower prices to the buyer may also mean lower tariffs, because most tariffs are levied on a(n) ________ basis.
A) specific
B) alternative
C) accrual
D) shorter, lower
E) ad valorem
Q:
Sales on open accounts are recommended when shipping is hazardous.
Q:
In bills of exchange, the buyer assumes all the risk until the payment is made.
Q:
Barter houses help countries negotiate prices for imports and exports and also provide facilities for cash payments and receipts.
Q:
Longer channels of distribution are more useful for keeping prices under control than shorter channels of distribution.