GLOBAL MARKETING MANAGEMENT IIBM EXAM ANSWER SHEETS PROVIDED
CONTACT;DR. PRASANTH MBA PH.D. DME MOBILE / WHATSAPP: +91 9924764558 OR +91 9447965521 EMAIL: prasanththampi1975@gmail.com WEBSITE: www.casestudyandprojectreports.com
Global Marketing Management
Section A: Objective Type & Short Questions (30 Marks)
This section consists of Multi Choice & Short Note type questions.
Answer all the questions.
Part One carries 1 mark each & Part Two carries 5 marks each.
Part One:
1. All the ethnocentric orientations are collectively called______________
2. Which of the following comes under benefits of Global marketing?
a. Endurance
b. Sales Promotion
c. Diversification
d. All of the above
3. The Polycentric orientation is the opposite of ethnocentrism. (T/F)
4. NAFTA stands for____________
5. ______________refers to the ability of the product and the company from that of the competitors
a. Positioning
b. Differentiation
c. Customer value
d. None
6. CAT stands for _______________
7. Cave dwellers are______________
8. LIFO stands for life in fire option.(T/F)
9. Starbursts are _______________
10. _____________is an advantage over competitors gained by offering consumers greater value
Part Two:
1. What are the implications of tariffs in the Global Marketing?
2. Write a short note on “Diffusion Theory”.
3. Discuss the concept of competitive marketing strategies.
Examination Paper of International Business Management
6
IIBM Institute of Business Management
4. Discuss the importance of marketing mix.
END OF SECTION A
Section B: Caselets (40 marks)
This section consists of Caselets.
Answer all the questions.
Each caselet carries 20 marks.
Detailed information should form the part of your answer (Word limit 200 to 250 words).
Caselet 1
The competitive advantage of nations and the competitiveness of locations have become important
topics in economic policy. Competitiveness is productivity; competitiveness is what the world
economic forum defines as the set of institutions and policies that determine the level of
productivity. There is no single determinant of competitiveness, there‟s no single determinant of
productivity.
Things that matter for example are the macroeconomic stability of a country, the soundness of
institutions whether the judiciary for example is independent or favors particular sectors or
businesses, whether the government acts in efficient ways or in sectarian ways, other determinants of
competitiveness involve market efficiency, labour market flexibility, and financial market flexibility.
The whole growth competitiveness index that is the index that has been used over the least five or
six years by the world economic forum captures the three big concepts: macroeconomic stability,
government institutions and innovations.
1. What are the indicators of global competitiveness? Discuss the new tools to determine global
competitiveness.
Caselet 2
In this new millennium, few business houses can afford a turn a blind eye to global business
opportunities. According to the latest Mckinsey Global Survey, top global executives believe that the
growing number of consumers in emerging markets will be the most important trend for global
business during the next five years. On 15th April 1994, trade ministers of 123 countries signed the
final Act of the GATT Uruguay Round of negotiations at Marrakech, bringing the WTO into being
on 1st January 1995.
The object of the Act is the liberalization of world trade. By it member countries undertake to apply
fair trade rules covering commodities, services and intellectual property. It provides for the lowering
of tariffs on industrial goods and tropical products; the abolition of import duties on a variety of
items; the progressive abolition of quotas on garments and textiles; the gradual reduction of trade
distorting subsidies and import barriers, and agreements on intellectual property and trade in
services.
1. Discuss the provisions of world Trade Organization (WTO). What are implications of WTO,
agreements on international business?
Examination Paper of International Business Management
7
IIBM Institute of Business Management
END OF SECTION B
Section C: Applied Theory (30 marks)
This section consists of Long Questions.
Answer all the questions.
Each question carries 15 marks.
Detailed information should form the part of your answer (Word limit 150 to 200 words).
1. By marketing in a foreign country must a firm automatically utilize geographic segmentation or
some other segmentation basis discuss.
2. Distinguish between direct and indirect selling channels. What are the advantages and
disadvantages of each?
Examination Paper of Business Communication
1
IIBM Institute of Business Management
IIBM Institute of Business Management
Examination Paper MM.100
Subject Code-B-109 Business Communication
Section A: Objective Type & Short Questions (30 marks)
This section consists of multiple choices and Short Notes type questions.
Answer all the questions.
Part one questions carry 1 mark each & Part Two questions carry 4 marks each.
Part one:
Multiple choice:
1. __________is an essential function of Business Organizations:
a. Information
b. Communication
c. Power
d. None of the above
2. Physiological Barriers of listening are:
a. Hearing impairment
b. Physical conditions
c. Prejudices
d. All of the above
3. Which presentation tend to make you speak more quickly than usual:
a. Electronic
b. Oral
c. Both „a‟ and „b‟
d. None of the above
4. What is the main function of Business Communication:
a. Sincerity
b. Positive language
c. Persuasion
d. Ethical standard
5. The responsibilities of the office manager in a firm that produces electronics spares is:
a. Everything in the office runs efficiently
b. Furniture and other equipment in the office is adequate
c. Processing all the incoming official mail and responding to some
d. All of the above
Examination Paper of Business Communication
2
IIBM Institute of Business Management
6. Labov‟s Storytelling Model based on:
a. Communication through speech
b. Language learning
c. Group Discussions
d. None of the above
7. Diagonal Communication is basically the:
a. Communication across boundaries
b. Communication between the CEO and the managers
c. Communication through body language
d. Communication within a department
8. How to make Oral Communication Effective?
a. By Clarity
b. By Brevity
c. By Right words
d. All of the above
9. Direct Eye contact of more than 10 seconds can create:
a. Discomfort & Anxiety
b. Emotional relationship between listeners and speakers
c. Excitement
d. None of the above
10. Encoding means:
a. Transmission
b. Perception
c. Ideation
d. None of the above
Part Two:
1. Define 7C‟s of effective communication.
2. Explain „Space Language‟.
3. Differentiate between good listeners and bad listeners.
4. List the different types of business report.
5. Define „Kinesics‟.
END OF SECTION A
Examination Paper of Business Communication
3
IIBM Institute of Business Management
Section B: Caselets (40 marks)
This section consists of Caselets.
Answer all the questions.
Each Caselet carries 20 marks.
Detailed information should form the part of your answer (Word limit 150 to 200
words).
Caselet 1
Mr. and Mrs. Sharma went to Woodlands Apparel to buy a shirt. Mr. Sharma did not read the
price tag on the piece selected by him. At the counter, while making the payment he asked for
the price. Rs. 950 was the answer.
Meanwhile, Mrs. Sharma, who was still shopping came back and joined her husband. She was
glad that he had selected a nice black shirt for himself. She pointed out that there was a 25%
discount on that item. The counter person nodded in agreement.
Mr. Sharma was thrilled to hear that “It means the price of this shirt is just Rs. 712. That‟s
fantastic”, said Mr. Sharma.
He decided to buy one more shirt in blue color.
In no time, he returned with the second shirt and asked them to be packed. When he received the
cash memo for payment, he was astonished to find that he had to pay Rs. 1,900 and Rs. 1,424.
Mr. Sharma could hardly reconcile himself to the fact that the counter person had quoted the
discounted price which was Rs. 950. The original price printed on the price tag was Rs. 1,266.
Questions
1. What should Mr. Sharma have done to avoid the misunderstanding?
2. Discuss the main features involved in this case.
Caselet 2
I don‟t want to speak to you. Connect me to your boss in the US,” hissed the American on the
phone. The young girl at a Bangalore call centre tried to be as polite as she could. At another call
centre, another day, another young girl had a Londoner unleashing himself on her, “Young lady,
do you know that because of you Indians we are losing jobs?”
The outsourcing backlash is getting ugly. Handling irate callers is the new brief for the young
men and women taking calls at these outsourced job centres. Supervisors tell them to be „cool‟.
Avinash Vashistha, managing partner of NEOIT, a leading US-based consultancy firm says,
“Companies involved in outsourcing both in the US and India are already getting a lot of hate
mail against outsourcing and it is hardly surprising that some people should behave like this on
the telephone.” Vashistha says Indian call centre‟s should train their operators how to handle
such calls. Indeed, the furor raised by the Western media over job losses because of outsourcing
Examination Paper of Business Communication
4
IIBM Institute of Business Management
has made ordinary citizens there sensitive to the fact that their calls are being taken not from
their midst, but in countries such as India and the Philippines.
The angry outbursts the operators face border on the racist and sexist, says the manager of a call
centre in Hyderabad. But operators and senior executives of call centres refuse to go on record
for fear of kicking up a controversy that might result in their companies‟ losing clients overseas.
“It‟s happening often enough and so let‟s face it,” says a senior executive of a Gurgaon call
centre, adding, “This doesn‟t have any impact on business.”
Questions
1. Suppose you are working as an operator in a call centre in India and receiving calls
from Americans and Londoners. How would you handle such calls?
2. Do you agree with the view such abusive happenings on the telephone do not have any
impact on business?
END OF SECTION B
Section C: Applied Theory (30 marks)
This section consists of Applied Theory Questions.
Answer all the questions.
Each question carries 15 marks.
Detailed information should form the part of your answer (Word limit 200 to 250
words).
`
1. What do you by Communication Barriers? How and why do they occur? What can be
done to overcome the Barriers to Communication?
2. Define and explain the term Negotiation and also briefly explain the phases of
Negotiation.
END OF SECTION C
S-2-250613
Examination Paper of International Business Management
1
IIBM Institute of Business Management
IIBM Institute of Business Management
Examination Paper MM.100
International Business Management
Section A: Objective Type & Short Questions (30 Marks)
This section consists of Multiple choice and Short Note type questions
Answer all the questions.
Part One carries 1 mark each and Part Two carries 5 marks each.
Part One:
Multiple choices:
1. What is the series consideration for strategy implementation?
a. Strategic orientation
b. Location
c. Dimensions
d. Both (a) & (b)
2. The major activity in global marketing is:
a. Pricing policies
b. Product lines
c. Market assessment
d. All of the above
3. The third „P‟ in the international marketing mix is:
a. Product
b. Price
c. Promotion
d. Place
4. The European Economic Community was established in____________
a. 1958
b. 1975
c. 1967
d. 1957
5. Environment Protection Act on______________
a. 1986
b. 1967
c. 1990
d. None of the above
6. People‟s attitude toward time depend on:
a. Language
b. Relationship
c. Culture
Examination Paper of International Business Management
2
IIBM Institute of Business Management
d. All of the above
7. Culture necessitates adaption of :
a. Product
b. Price
c. Promotion
d. Place
8. The legal term for brand is:
a. Symbol
b. Name
c. Trade mark
d. All of the above
9. FDI flows are often a reflection of rivalry among firms in____________
a. Global market
b. Indian market
c. International market
d. None of the above
10. ISO certification is:
a. Expensive process
b. Elaborate process
c. Evaluative Process
d. Both (a) & (b)
Part Two:
1. What do understand by „Inward-oriented Policies‟?
2. What is „Factor Endowments Theory‟?
3. Explain the term „Totalitarianism‟.
4. Write about „Persistent Dumping‟.
END OF SECTION A
Section B: Caselets (40 marks)
This section consists of Caselets.
Answer all the questions.
Each caselet carries 20 marks.
Detailed information should form the part of your answer (Word limit 200 to 250 words).
Caselet 1
Examination Paper of International Business Management
3
IIBM Institute of Business Management
THE EU’S LAGGING COMPETITIVENESS
In a report produced for the European Commission, published in November 1998, it was argued that
the EU lags behind the USA and Japan on most measures of international competitiveness. Gross
domestic product per capita, sometimes used as an indicator of international competitiveness at the
country level, was 33 per cent lower in the EU as a whole than in the USA and 13 per cent lower
than in Japan. The EU‟s poor record in creating employment was singled out for particular criticism.
As this appeared to apply across the board in most industrial sectors, it suggested that the EU‟s poor
performance related to the business environment in general and, in particular, to the inflexibility of
Europe‟s labour markets for goods and services. A shortage of risk capital for advanced
technological development and high cost and inefficiency of Europe‟s financial services were also
highlighted by the report. For one reason or another, European industries generally lag behind in
technology industries. If measured by the number of inventions patented in at least two countries, the
USA is well ahead of most European countries, as well as Japan. Despite these shortcomings, the
report‟s authors focus attention on flexible markets, market liberalisation, and the creation of a
competitive business environment rather than on targeted intervention by the EU or national
authorities.
Questions:
1. Is gross domestic product per capita a useful indicator of International competitiveness in the EU?
2. Is it fair to point the blame for the EU‟s poor international competitiveness at inflexible labour
markets, regulated goods and services markets, and a general lack of competition? What
alternative explanations might be suggested?
Caselet 2
PERU
Peru is located on the west coast of South America. It is the third largest nation of the continent (after
Brazil and Argentina), and covers almost 500,000 square miles (about 14 per cent of the size of the
United States). The land has enormous contrasts, with a desert (drier than the Sahara), the towering
snow-capped Andes mountains, sparkling grass-covered plateaus, and thick rain forests. Peru has
approximately 27 million people, of which about 20 per cent live in Lima, the capital. More Indians
(one half of the population) live in Peru than in any other country in the western hemisphere. The
ancestors of Peru‟s Indians were the famous Incas, who built a great empire. The rest of the
population is mixed and a small percentage is white. The economy depends heavily on agriculture,
fishing, mining, and services. GDP is approximately $115 billion and per capita income in recent
years has been around $4,300. In recent years the economy has gained some relative strength and
multinationals are now beginning to consider investing in the country. One of these potential
investors is a large New York based that is considering a $25 million loan to the owner of a Peruvian
fishing fleet. The owner wants to refurbish the fleet and add one more ship. During the 1970s, the
Peruvian government nationalised a number of industries and factories and began running them for
the profit of the state. In most cases, these state-run ventures became disasters. In the late 1970s, the
fishing fleet owner was given back his ships and are getting old and he needs an influx of capital to
make repairs and add new technology. As he explained it to the NEW YORK banker: “fishing is no
longer just un art. There is a great deal of technology involved. And to keep costs low and be
competitive on the world market , you have to have the latest equipment for both locating as well
as catching and then loading and unloading the fish.”Having reviewed the fleet owner‟ operation, the
large multinational bank believes that the loan is justified. The financial institution is concerned ,
Examination Paper of International Business Management
4
IIBM Institute of Business Management
however , that the Peruvian government might step in during the next couple of years and again
take over the business . If this were to happen, it might take an additional decade, for the loan to be
repaid. If the government were to allow the fleet owner to operate the fleet the way he has over the
last decade, the loan could be rapid within seven years. Right now, the bank is deciding on the
specific terms of the agreement. Once these have been worked out , either a loan officer will fly
down to lima and close the deal or the owner will be asked to come to NEW YORK for the signing.
Whichever approach is used, the bank realize that final adjustments in the agreement will have
to be made on the spot. Therefore, if the bank sends a representative to Lima, the individual will have
to the authority to commit the bank to specific terms. These final matters should be worked out within
the next ten days.
Questions:
1. What are some current issues Facing Peru? What is the climate for doing business in Peru today?
2. Would the bank be better off negotiating the loan in New York or in Lima? Why?
END OF SECTION B
Section C: Applied Theory (30 marks)
This section consists of Long Questions.
Answer all the questions.
Each question carries 15 marks.
Detailed information should form the part of your answer (Word limit 150 to 200 words).
1. Imagine that you are the director of a major international lending institution supported by funds
from member countries. What one area in newly industrialized and developing economics would
be your priority for receiving development aid? Do you suspect that any member country will be
politically opposed to aid in this area? Why or Why not?
2. The principle problem in analysing different forms of export financing is the distribution of risks
between the exporter and the importer. Analyse the following export financing instruments in this
respect:
(a) Letter of Credit
(b) Cash in advance
(c) Draft
(d) Consignment
(e) Open Account
END OF SECTION C
CONTACT;DR. PRASANTH MBA PH.D. DME MOBILE / WHATSAPP: +91 9924764558 OR +91 9447965521 EMAIL: prasanththampi1975@gmail.com WEBSITE: www.casestudyandprojectreports.com
Global Marketing Management
Section A: Objective Type & Short Questions (30 Marks)
This section consists of Multi Choice & Short Note type questions.
Answer all the questions.
Part One carries 1 mark each & Part Two carries 5 marks each.
Part One:
1. All the ethnocentric orientations are collectively called______________
2. Which of the following comes under benefits of Global marketing?
a. Endurance
b. Sales Promotion
c. Diversification
d. All of the above
3. The Polycentric orientation is the opposite of ethnocentrism. (T/F)
4. NAFTA stands for____________
5. ______________refers to the ability of the product and the company from that of the competitors
a. Positioning
b. Differentiation
c. Customer value
d. None
6. CAT stands for _______________
7. Cave dwellers are______________
8. LIFO stands for life in fire option.(T/F)
9. Starbursts are _______________
10. _____________is an advantage over competitors gained by offering consumers greater value
Part Two:
1. What are the implications of tariffs in the Global Marketing?
2. Write a short note on “Diffusion Theory”.
3. Discuss the concept of competitive marketing strategies.
Examination Paper of International Business Management
6
IIBM Institute of Business Management
4. Discuss the importance of marketing mix.
END OF SECTION A
Section B: Caselets (40 marks)
This section consists of Caselets.
Answer all the questions.
Each caselet carries 20 marks.
Detailed information should form the part of your answer (Word limit 200 to 250 words).
Caselet 1
The competitive advantage of nations and the competitiveness of locations have become important
topics in economic policy. Competitiveness is productivity; competitiveness is what the world
economic forum defines as the set of institutions and policies that determine the level of
productivity. There is no single determinant of competitiveness, there‟s no single determinant of
productivity.
Things that matter for example are the macroeconomic stability of a country, the soundness of
institutions whether the judiciary for example is independent or favors particular sectors or
businesses, whether the government acts in efficient ways or in sectarian ways, other determinants of
competitiveness involve market efficiency, labour market flexibility, and financial market flexibility.
The whole growth competitiveness index that is the index that has been used over the least five or
six years by the world economic forum captures the three big concepts: macroeconomic stability,
government institutions and innovations.
1. What are the indicators of global competitiveness? Discuss the new tools to determine global
competitiveness.
Caselet 2
In this new millennium, few business houses can afford a turn a blind eye to global business
opportunities. According to the latest Mckinsey Global Survey, top global executives believe that the
growing number of consumers in emerging markets will be the most important trend for global
business during the next five years. On 15th April 1994, trade ministers of 123 countries signed the
final Act of the GATT Uruguay Round of negotiations at Marrakech, bringing the WTO into being
on 1st January 1995.
The object of the Act is the liberalization of world trade. By it member countries undertake to apply
fair trade rules covering commodities, services and intellectual property. It provides for the lowering
of tariffs on industrial goods and tropical products; the abolition of import duties on a variety of
items; the progressive abolition of quotas on garments and textiles; the gradual reduction of trade
distorting subsidies and import barriers, and agreements on intellectual property and trade in
services.
1. Discuss the provisions of world Trade Organization (WTO). What are implications of WTO,
agreements on international business?
Examination Paper of International Business Management
7
IIBM Institute of Business Management
END OF SECTION B
Section C: Applied Theory (30 marks)
This section consists of Long Questions.
Answer all the questions.
Each question carries 15 marks.
Detailed information should form the part of your answer (Word limit 150 to 200 words).
1. By marketing in a foreign country must a firm automatically utilize geographic segmentation or
some other segmentation basis discuss.
2. Distinguish between direct and indirect selling channels. What are the advantages and
disadvantages of each?
Examination Paper of Business Communication
1
IIBM Institute of Business Management
IIBM Institute of Business Management
Examination Paper MM.100
Subject Code-B-109 Business Communication
Section A: Objective Type & Short Questions (30 marks)
This section consists of multiple choices and Short Notes type questions.
Answer all the questions.
Part one questions carry 1 mark each & Part Two questions carry 4 marks each.
Part one:
Multiple choice:
1. __________is an essential function of Business Organizations:
a. Information
b. Communication
c. Power
d. None of the above
2. Physiological Barriers of listening are:
a. Hearing impairment
b. Physical conditions
c. Prejudices
d. All of the above
3. Which presentation tend to make you speak more quickly than usual:
a. Electronic
b. Oral
c. Both „a‟ and „b‟
d. None of the above
4. What is the main function of Business Communication:
a. Sincerity
b. Positive language
c. Persuasion
d. Ethical standard
5. The responsibilities of the office manager in a firm that produces electronics spares is:
a. Everything in the office runs efficiently
b. Furniture and other equipment in the office is adequate
c. Processing all the incoming official mail and responding to some
d. All of the above
Examination Paper of Business Communication
2
IIBM Institute of Business Management
6. Labov‟s Storytelling Model based on:
a. Communication through speech
b. Language learning
c. Group Discussions
d. None of the above
7. Diagonal Communication is basically the:
a. Communication across boundaries
b. Communication between the CEO and the managers
c. Communication through body language
d. Communication within a department
8. How to make Oral Communication Effective?
a. By Clarity
b. By Brevity
c. By Right words
d. All of the above
9. Direct Eye contact of more than 10 seconds can create:
a. Discomfort & Anxiety
b. Emotional relationship between listeners and speakers
c. Excitement
d. None of the above
10. Encoding means:
a. Transmission
b. Perception
c. Ideation
d. None of the above
Part Two:
1. Define 7C‟s of effective communication.
2. Explain „Space Language‟.
3. Differentiate between good listeners and bad listeners.
4. List the different types of business report.
5. Define „Kinesics‟.
END OF SECTION A
Examination Paper of Business Communication
3
IIBM Institute of Business Management
Section B: Caselets (40 marks)
This section consists of Caselets.
Answer all the questions.
Each Caselet carries 20 marks.
Detailed information should form the part of your answer (Word limit 150 to 200
words).
Caselet 1
Mr. and Mrs. Sharma went to Woodlands Apparel to buy a shirt. Mr. Sharma did not read the
price tag on the piece selected by him. At the counter, while making the payment he asked for
the price. Rs. 950 was the answer.
Meanwhile, Mrs. Sharma, who was still shopping came back and joined her husband. She was
glad that he had selected a nice black shirt for himself. She pointed out that there was a 25%
discount on that item. The counter person nodded in agreement.
Mr. Sharma was thrilled to hear that “It means the price of this shirt is just Rs. 712. That‟s
fantastic”, said Mr. Sharma.
He decided to buy one more shirt in blue color.
In no time, he returned with the second shirt and asked them to be packed. When he received the
cash memo for payment, he was astonished to find that he had to pay Rs. 1,900 and Rs. 1,424.
Mr. Sharma could hardly reconcile himself to the fact that the counter person had quoted the
discounted price which was Rs. 950. The original price printed on the price tag was Rs. 1,266.
Questions
1. What should Mr. Sharma have done to avoid the misunderstanding?
2. Discuss the main features involved in this case.
Caselet 2
I don‟t want to speak to you. Connect me to your boss in the US,” hissed the American on the
phone. The young girl at a Bangalore call centre tried to be as polite as she could. At another call
centre, another day, another young girl had a Londoner unleashing himself on her, “Young lady,
do you know that because of you Indians we are losing jobs?”
The outsourcing backlash is getting ugly. Handling irate callers is the new brief for the young
men and women taking calls at these outsourced job centres. Supervisors tell them to be „cool‟.
Avinash Vashistha, managing partner of NEOIT, a leading US-based consultancy firm says,
“Companies involved in outsourcing both in the US and India are already getting a lot of hate
mail against outsourcing and it is hardly surprising that some people should behave like this on
the telephone.” Vashistha says Indian call centre‟s should train their operators how to handle
such calls. Indeed, the furor raised by the Western media over job losses because of outsourcing
Examination Paper of Business Communication
4
IIBM Institute of Business Management
has made ordinary citizens there sensitive to the fact that their calls are being taken not from
their midst, but in countries such as India and the Philippines.
The angry outbursts the operators face border on the racist and sexist, says the manager of a call
centre in Hyderabad. But operators and senior executives of call centres refuse to go on record
for fear of kicking up a controversy that might result in their companies‟ losing clients overseas.
“It‟s happening often enough and so let‟s face it,” says a senior executive of a Gurgaon call
centre, adding, “This doesn‟t have any impact on business.”
Questions
1. Suppose you are working as an operator in a call centre in India and receiving calls
from Americans and Londoners. How would you handle such calls?
2. Do you agree with the view such abusive happenings on the telephone do not have any
impact on business?
END OF SECTION B
Section C: Applied Theory (30 marks)
This section consists of Applied Theory Questions.
Answer all the questions.
Each question carries 15 marks.
Detailed information should form the part of your answer (Word limit 200 to 250
words).
`
1. What do you by Communication Barriers? How and why do they occur? What can be
done to overcome the Barriers to Communication?
2. Define and explain the term Negotiation and also briefly explain the phases of
Negotiation.
END OF SECTION C
S-2-250613
Examination Paper of International Business Management
1
IIBM Institute of Business Management
IIBM Institute of Business Management
Examination Paper MM.100
International Business Management
Section A: Objective Type & Short Questions (30 Marks)
This section consists of Multiple choice and Short Note type questions
Answer all the questions.
Part One carries 1 mark each and Part Two carries 5 marks each.
Part One:
Multiple choices:
1. What is the series consideration for strategy implementation?
a. Strategic orientation
b. Location
c. Dimensions
d. Both (a) & (b)
2. The major activity in global marketing is:
a. Pricing policies
b. Product lines
c. Market assessment
d. All of the above
3. The third „P‟ in the international marketing mix is:
a. Product
b. Price
c. Promotion
d. Place
4. The European Economic Community was established in____________
a. 1958
b. 1975
c. 1967
d. 1957
5. Environment Protection Act on______________
a. 1986
b. 1967
c. 1990
d. None of the above
6. People‟s attitude toward time depend on:
a. Language
b. Relationship
c. Culture
Examination Paper of International Business Management
2
IIBM Institute of Business Management
d. All of the above
7. Culture necessitates adaption of :
a. Product
b. Price
c. Promotion
d. Place
8. The legal term for brand is:
a. Symbol
b. Name
c. Trade mark
d. All of the above
9. FDI flows are often a reflection of rivalry among firms in____________
a. Global market
b. Indian market
c. International market
d. None of the above
10. ISO certification is:
a. Expensive process
b. Elaborate process
c. Evaluative Process
d. Both (a) & (b)
Part Two:
1. What do understand by „Inward-oriented Policies‟?
2. What is „Factor Endowments Theory‟?
3. Explain the term „Totalitarianism‟.
4. Write about „Persistent Dumping‟.
END OF SECTION A
Section B: Caselets (40 marks)
This section consists of Caselets.
Answer all the questions.
Each caselet carries 20 marks.
Detailed information should form the part of your answer (Word limit 200 to 250 words).
Caselet 1
Examination Paper of International Business Management
3
IIBM Institute of Business Management
THE EU’S LAGGING COMPETITIVENESS
In a report produced for the European Commission, published in November 1998, it was argued that
the EU lags behind the USA and Japan on most measures of international competitiveness. Gross
domestic product per capita, sometimes used as an indicator of international competitiveness at the
country level, was 33 per cent lower in the EU as a whole than in the USA and 13 per cent lower
than in Japan. The EU‟s poor record in creating employment was singled out for particular criticism.
As this appeared to apply across the board in most industrial sectors, it suggested that the EU‟s poor
performance related to the business environment in general and, in particular, to the inflexibility of
Europe‟s labour markets for goods and services. A shortage of risk capital for advanced
technological development and high cost and inefficiency of Europe‟s financial services were also
highlighted by the report. For one reason or another, European industries generally lag behind in
technology industries. If measured by the number of inventions patented in at least two countries, the
USA is well ahead of most European countries, as well as Japan. Despite these shortcomings, the
report‟s authors focus attention on flexible markets, market liberalisation, and the creation of a
competitive business environment rather than on targeted intervention by the EU or national
authorities.
Questions:
1. Is gross domestic product per capita a useful indicator of International competitiveness in the EU?
2. Is it fair to point the blame for the EU‟s poor international competitiveness at inflexible labour
markets, regulated goods and services markets, and a general lack of competition? What
alternative explanations might be suggested?
Caselet 2
PERU
Peru is located on the west coast of South America. It is the third largest nation of the continent (after
Brazil and Argentina), and covers almost 500,000 square miles (about 14 per cent of the size of the
United States). The land has enormous contrasts, with a desert (drier than the Sahara), the towering
snow-capped Andes mountains, sparkling grass-covered plateaus, and thick rain forests. Peru has
approximately 27 million people, of which about 20 per cent live in Lima, the capital. More Indians
(one half of the population) live in Peru than in any other country in the western hemisphere. The
ancestors of Peru‟s Indians were the famous Incas, who built a great empire. The rest of the
population is mixed and a small percentage is white. The economy depends heavily on agriculture,
fishing, mining, and services. GDP is approximately $115 billion and per capita income in recent
years has been around $4,300. In recent years the economy has gained some relative strength and
multinationals are now beginning to consider investing in the country. One of these potential
investors is a large New York based that is considering a $25 million loan to the owner of a Peruvian
fishing fleet. The owner wants to refurbish the fleet and add one more ship. During the 1970s, the
Peruvian government nationalised a number of industries and factories and began running them for
the profit of the state. In most cases, these state-run ventures became disasters. In the late 1970s, the
fishing fleet owner was given back his ships and are getting old and he needs an influx of capital to
make repairs and add new technology. As he explained it to the NEW YORK banker: “fishing is no
longer just un art. There is a great deal of technology involved. And to keep costs low and be
competitive on the world market , you have to have the latest equipment for both locating as well
as catching and then loading and unloading the fish.”Having reviewed the fleet owner‟ operation, the
large multinational bank believes that the loan is justified. The financial institution is concerned ,
Examination Paper of International Business Management
4
IIBM Institute of Business Management
however , that the Peruvian government might step in during the next couple of years and again
take over the business . If this were to happen, it might take an additional decade, for the loan to be
repaid. If the government were to allow the fleet owner to operate the fleet the way he has over the
last decade, the loan could be rapid within seven years. Right now, the bank is deciding on the
specific terms of the agreement. Once these have been worked out , either a loan officer will fly
down to lima and close the deal or the owner will be asked to come to NEW YORK for the signing.
Whichever approach is used, the bank realize that final adjustments in the agreement will have
to be made on the spot. Therefore, if the bank sends a representative to Lima, the individual will have
to the authority to commit the bank to specific terms. These final matters should be worked out within
the next ten days.
Questions:
1. What are some current issues Facing Peru? What is the climate for doing business in Peru today?
2. Would the bank be better off negotiating the loan in New York or in Lima? Why?
END OF SECTION B
Section C: Applied Theory (30 marks)
This section consists of Long Questions.
Answer all the questions.
Each question carries 15 marks.
Detailed information should form the part of your answer (Word limit 150 to 200 words).
1. Imagine that you are the director of a major international lending institution supported by funds
from member countries. What one area in newly industrialized and developing economics would
be your priority for receiving development aid? Do you suspect that any member country will be
politically opposed to aid in this area? Why or Why not?
2. The principle problem in analysing different forms of export financing is the distribution of risks
between the exporter and the importer. Analyse the following export financing instruments in this
respect:
(a) Letter of Credit
(b) Cash in advance
(c) Draft
(d) Consignment
(e) Open Account
END OF SECTION C
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