MGMT 80 Midterm 1
Cross cultural risk
Cultural differences, decision making styles, ethical practices
Country Risk
Harmful or unstable political system, laws and regulations unfavorable to
foreign firms
Currency Risk
Currency exposure, foreign taxation, inflationary and transfer pricing
Commercial Risk
weak partner, operational problems, timing of entry, competitive intensity,
poor execution of strategy
Value chain
the sequence of value-adding activies the firm performs in the course of
developing, producing, marketing, and servicing a product
Phase 1
1830's-late 1800s. Railroads and ocean transport. Manufacturing and
trading companies
Phase 2
1900-1930. Electricity and Steel. Early MNE
, Phase 3
1948-1970. GATT=General Agreement on Tariffs and Trade. Post war,
reduction of trade barriers.
Phase 4
1980-2006. Privatization of state companies. Information technologies,
rapid liberalization in makets. China moved to communism.
Phase 5
2007-present. Rise of digital technologies and other technologies
Ethnocentric
Using one's own culutre as a standard for judging other cultures
Polycentric
A host-country mindset where the manager develops a strong affinity for
the country in which they conduct business
Geocentric
A global mindset that allows the manager to understand a business market
without regard to country boundaries
Self-reference criterion
The tendency to view other cultures through the lens of ones own culture
Critical incident analysis
A method for analyzing awkard situations in cross-cultural encounters by
developing objectivitiy and empathy for other points of view
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller lydiaomutho. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for £6.57. You're not tied to anything after your purchase.