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45 Cards in this Set
- Front
- Back
Successful performance can be achieved in 3 ways:
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Effectiveness
Efficiency competitive strength |
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This is characterized by acquisition of market share abroad and by increased sales:
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Effectivesness
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___is manifest by rising profitability.
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Efficiency
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___is reflected by increased market share.
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Competitive strength
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If a unsolicited orders or other international market stimuli continue over time, a firm may gradually become a ___
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partially interested exporter
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what is the first obvious reason a firm's management decide to go international?
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- determination and commitment to succeed
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A good indication of the degree of corporate commitment is:
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the nature of organizational structure
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___ motivations represent stimuli to attempt strategic change.
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proactive
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___ motivations influence firms that are responsive to environmental changes and adjust to them by changing their activities over time.r
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reactive
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__ go international because they have to
____ go international because they want to. |
Reactive
Proactive |
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__ is the strongest motivator in proactive motivation
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profitablity
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The second major motivator results from___
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distinctiveness of the firm's products or from a unique technological advantage.
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_____ is another proactive stimulus of proactive motivation
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Exclusive market information
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___ have historically also played a major motivating role
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Tax benefits
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In the US, a tax mechanism called the Exterritorial Income (ETI)Tax Exlusion provides:
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exporting firms with certain tax deferrals making international marketing activities potentially more profitable.
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____ will play a decreasing role in future motivations to export. major proactive motivation
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tax benefits
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A final major proactive motivation is:
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economies of scale
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A prime form of reactive motivations is __
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the reaction to competitive pressures.
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___ can serve as a major reactive motivation.
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overproduction
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Like Overproduction, ___ can also be a powerful motivation in reactive.
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Excess capacity
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A final major reactive motivation is___
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proximity to customers and ports
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____ can often play a major role in the export activities of the firm.
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physical closeness to the international market
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Geographic closeness to foreign markets may not necessarily translate into real or perceived closeness to the foreign customer
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psychological proximity
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The clearest difference between proactive and reactive firms centers around:
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how they originally entered international markets.
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The most successful exporters tend to be:
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motivated by proactive factors in their general business operations as well as their international activities.
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Which of the two (proactive or reactive) are more likely to be more service oriented?
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proactive firms
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Which of the two (proactive or reactive) are more likely to be marketing and strategy-oriented?
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proactive firms
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For change to take place in a firm what must happen first?
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someone or something within the firm must initiate it and shepherd it through to implementation.
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3 internal change agents in the internationalization process:
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Enlightened management
new management significant internal event |
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7 external change agents in the internationalization process:
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demand
other firms domestic distributions banks chambers of commerce governmental activities export intermediaries |
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The individual that initiates the change in a firm is called the:
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change agent
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A primary change agent internal to the firm is:
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enlightened management
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The key factor leading to such performance-enhancing enlightenment is the:
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international experience and exposure of management
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A second set of major internal change agents consists of:
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new management or new employees
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An example of a new employee who firmly believes that the firm should undertake exporting may find ways to motivate management is what kind of internal change agent?
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significant internal event
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The primary outside influence on a firm's decision to become international is:
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foreign demand
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examples of foreign demand are:
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inquiries from abroad, unsolicited orders
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what can be valuable and worthwhile to develop easily that captures the attention of management?
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information that an executive in a competing firm considering international markets
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A third, quite influential, change agent consists of:
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domestic distributions
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How can banks and other service firms serve as a major change agent?
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by alerting domestic clients to international opportunities.
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How do Chambers of commerce and other business associations interact?
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they interact with firms locally and can frequently heighten exporting interests.
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How can governmental efforts serves a major change agent?
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they encourage exports..
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Proactive motivations are initiated by the firm's management and can consist of:
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- a profit advantage
- technological advantage - product advantage - exclusive market info - managerial urge |
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Reactive motivations are the response of:
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- managagement to environmental
- changes and pressures |
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New parameters for tools and techniques
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tariff
exchange rate transportation documentations |