Management 300: Exam 2 Review:- Can have 3 pages of notes, typed or hand written, front to back - Chapter 15/16; 16 questions- 8 true/false and 8 multiple choice - Chapter 17; 16 question- 8 true/false and 8 multiple choice - Chapter 4; 18 questions- 9 true/false and 9 multiple choice Chapter 15/16 True/ False - What is growing global interdependence called o globalization- growing interdependence among elements of the growing economy- What is the trend in global sourcing o materials or services are purchased around the world for local use. -- the process of purchasing materials, manufacturing components, or locating business services around the world. It is an international division of labor in which activities are performed in countries where they can be accomplished effectively at low cost- What is world 3.0? o a world where nations balance cooperation in the global economy with national identities and interests- What are the member nations in NAFTA? o NAFTA is the North American Free Trade Agreement linking Canada, the United States, and Mexico in an economic alliance. NAFTA created a trade zone that frees the flow of goods and services, workers, and investment among the three countries- What is a foreign subsidiary? o local operation completely owned by a foreign firm- What is the goal of tariffs? o are taxes governments levy on imports from abroad.One goal of most tariffs and protectionism is toprotect local firms from foreign competition and save local jobs- What is ethnocentrism? o the tendency to consider one’s culture superior to others. This displayed ethnocentrism, a tendency to view one’s culture as superior to that of others. Some might excuse him as suffering from cultureshock. Perhaps he was exhausted after a long international flight.Chapter 15/16 Multiple Choice: - What are the ways in which business can ‘go global’? o- What are some of the formal roadblocks to international trade? - What are some of the issues international managers have to contend with? - What is cultural intelligence? - What are some of the key differences between cultures? Chapter 17 True/False:- What are the characteristics of entrepreneurs? o Internal focus of control: Entrepreneurs believe that they are in control of their own destiny; they are self-directing and like autonomy.o High energy level: Entrepreneurs are persistent, hardworking, and willing to exert extraordinary efforts to succeedo Self-confidence: Entrepreneurs feel competent, believe in themselves, and are willing to make decisionso Tolerance for ambiguity:Entrepreneurs are risk takers; they tolerate situations with high degrees of uncertaintyo Self-reliance and desire for independence:Entrepreneurs want independence; they are self-reliant; they want to be their own bosses, not work for others.o High need for achievement:Entrepreneurs are motivated to accomplish challenging goals; they thrive on performance feedback.o Flexibility:Entrepreneurs are willing to admit problems and errors, and are willing to change a course of action when plans aren’t working.o Passion and action orientation:Entrepreneurs try to act ahead of problems; they want to get thingsdone and not waste valuable time- What are the characteristics of start-ups?o A startup is a new and temporary venture that is trying to discover a pro table business model for future success. A startup is just that—a “start”; it’s a new venture the entrepreneur is hoping will take shape and prove successful as the business develops and matureso Insufficient financing—not having enough money to maintain operations while still building the business and gaining access to customers and marketso Lack of experience—not having sufficient know-how to run a business in the chosen market or geographic area.o Lack of commitment—not devoting enough time to the requirements of running a competitive businesso Lack of strategy and strategic leadership—not taking the time to craft a vision and mission, or formulate and properly implement a strategyo Ethical failure—falling prey to the temptations of fraud, deception, and embezzlemento Lack of expertise—not having expertise in the essentials of business operations, including finance, purchasing, selling, and production. o Growing too fast—not taking the time to consolidate a position, ne-tune the organization, and systematically meet the challenges of growth.o Poor financial control—not keeping track of the numbers, and failure to control business finances and use money to best advantage- What are the stages in an entrepreneurial firms life cycle? o describes the stages common to the life cycles of entrepreneurial companies. It shows the relatively typical progression from birth to breakthrough to maturityo birth stage—where the entrepreneur struggles to get the new venture established and to survive long enough to test the viability of the underlying business model in the marketplace.o breakthrough stage— where the business model begins to work well, the firm grows, and the complexity of managing the business expands significantlyo maturity stage— where the entrepreneur experiences market success and financial stability, while also facing the continuing management challenges associated with remaining competitive in a changing environment- What is a social enterprise? o Social entrepreneurs take risks and create social enterprises with the mission to help make lives better for underserved populations. Social enterprises have a social mission to help make lives better for underserved populations- What is a startup? o A startup is a new and temporary venture that is trying to discover a pro table business model for future success- What are the elements of a business plan? o Executive summary—overview of the business purpose and the business model for making moneyo Industry analysis—nature of the industry, including economic trends, important legal or regulatory issues, and potential riskso Company description—mission, owners, and legal formo Products and services description—major goods or services, with competitive uniquenesso Market description—size of market, competitor strengths and weaknesses, five-year sales goalso Marketing strategy—product characteristics, distribution, promotion, pricing, and market researcho Operations description—manufacturing or service methods, supplies and suppliers, and control procedures. o Staffing description—management and staffing skills needed and