FINAL REVIEW

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FINAL REVIEW

• BUSINESS 187

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FORMAT

• 40 Multiple choice (2 pts. Each)
• 10 True False (2 pts. Each)
• Bring
• Scantron (Form 882-E the small style)
• Pencils erasers
• Well rested mind

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Two Types of Studying

• For Content
• 1st go over all readings and powerpoints for Part
  II of class--micro section
• 2nd go over both midterm exams on-line
• Review vocabulary , margin comments and
  powerpoints for Parts I and II

• For ProcessModels
• Go over unifying conceptual models for the class
• Go over all cases--three coursepack cases and
  mini-cases covered in class in the textbook

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Conceptual Models

• Global Integration vs. Local Responsiveness
• Recontextualization
• Definition--what is it and how it happens.
• Understanding of when it occurs and to what
  degree depending on technology characteristics
• Porter Diamond/ Russian Stacking Dolls
• Country competitiveness
• Difference between Comparative, Competitive
  Advantage and Absolute
• Cultural Models
• Billiard Ball--Comparative H.E.L.P systems
• Negotiated Culture

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The multiple choice will cover

• Selected points from the first two-thirds of the
  course
• Go over first two midterm reviews
• More questions from the last part of the course
• To be reviewed in these slides

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Note Kinds of Regional Economic Integration
Agreements

• Free trade area Just eliminates tariffs reduces
  non-tariff barriers inside the group
• The original approach in Europe
• Now used in North American Free Trade Agreement
• Customs union Members set common tariffs to be
  charged to outsiders
• Common market Includes all elements of customs
  union and free mobility of factors of production
• The European Community

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• Distribution is the course physical path or
  legal title that goods take between production
  and consumption.
• Includes both shipping and the process by which
  the product is sold
• Intermediaries in distribution
• Sales representatives (reps) do not take title
• Distributors actually buy your goods from you
• Export management companies
• handle everything, but rare in U.S.

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• Famous kinds of Asian intermediaries
• /Interfirm Networks
• Sogo shosha - Japanese general trading company
• Keiretsu-Vertical networks
• Chaebol - Big Korean group with trading company
• Other intermediaries in U.S.
• Freight forwarder (exporting)
• Customs broker (for importing)

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Key points from Chap. 21 Human Resource
Management

• International HR Managerial Terms
• Locals citizens of the countries in which they
  are work in
• Least expensive
• Expatriates non-citizens
• Home-country national
• Third-country national

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• Selecting the right expatriate
• Focus on technical competence first
• Then
• adaptiveness
• flexibility, tolerance
• Cost of living adjustments
• Difficulties of returning
• Reverse culture shock
• Former expatriate suddenly has less status
• Home folks have different interests

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Key points from Chap. 15 Control Strategies

• What is control?
• planning, evaluation, and correction to ensure
  the organization meets its objectives
• Why is control important?
• Control difficulties abroad
• Distance
• Diversity
• Uncontrollables
• Extra uncertainties (government instabilities,
  etc.)

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• Kinds of structures
• International division All international units
  report to one place at headquarters
• Functional structure Units performing
  particular functions all over world report to
  central groups
• Product division structure People working on
  same products all over world report to central
  groups

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• Geographic division structure Units for
  different countries, regions report to same top
  executive
• Matrix structure
• International units have more than one boss
• Mixed structures

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Location of decision-making

• Globally integrated strategy more centralized
• Multidomestic strategy - decentralized
• Control mechanisms dont memorize, but know
  that corporate culture is shared values that
  produce similar behavior in different countries

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Chapter 18 Objectives

• Describe different dimensions of global
  manufacturing strategy
• Examine elements of global supply chain
  management
• Show how quality effects global supply chain
• Illustrate how supplier networks function
• Explain how inventory management is a key
  dimension of the global supply chain
• Present different alternatives for transporting
  products along the supply chain from suppliers to
  customers

18-2
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Advantages of Global Sourcing

• Reduce costs due to less expensive labor
• Improve quality
• Increase exposure to worldwide technology
• Strengthen reliability of supply by supplementing
  domestic with foreign suppliers
• Gain access to materials available only abroad
• Establish presence in a foreign market
• Satisfy offset requirements

18-16
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Studying Supply Chain Alternatives

• Customer requirements
• Plant and distribution center network design
• Inventory management
• Outsourcing and 3rd-party logistics relationships
• Key customer and supplier relationships
• Business processes
• Information systems
• Organizational design and training requirements
• Performance metrics
• Performance goals

18-8
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Good Luck

• Make sure you take advantage of the extra credit
  built into the exam.