If it is impractical for a company to adapt to the situation in a developing-country market, the company should _____.

Answer: avoid the market

A domestic company can defeat against expanding international companies through which methods?

1. pursuing mergers and acquisitions

2. employing a rapid-growth strategy

True or false: One way a domestic company can successfully compete against a global business giant is by exploiting shortcomings in the global company's local distribution networks.

Answer: true

Which of the following is a way by which a company can successfully compete in a developing country market as shown y Japan's Suzuki when it entered India?

Answer: change the local market to match the company's core operations

One of the ways companies can compete profitably in a developing country market is to ____.

Answer: tailor the packaging and product quantity to local preferences

By transferring company expertise to cross-border markets, a domestic company can successfully do what?

Answer: transform into a global company in its own right

_____, of the decision on the part of two companies to refrain from launching aggressive actions against each other, may occur when the companies compete against one another in multiple geographic markets.

Answer: mutual restraint

What are reasons why domestic companies often have an advantage over global companies?

1. domestic companies are familiar with the local labor force

2. domestic companies are familiar with local culture and consumer needs

______ subsidization refers to supporting competitive offensives in one market with resources and profits diverted from operations in another market.

Answer: cross-market

If it is impractical for a company to adapt to the situation in a developing country market, the company should _____.

Answer: avoid the market

What can help a company compete successfully in developing country markets?

1. customizing its business morel to suit local circumstances

2. offering lower-priced, better products

Companies that practice cross-border coordination often gain which benefits?

1. better workload distribution

2. coordinated production schedules

3. adaptation to tariff and quota changes

What is the term used to describe rivals competing against one another in many of the same markets?

Answer: multi market competition

A company may find cross-border resource sharing or transfers of capabilities fail to translate into a competitive advantage because _____.

Answer: a rival firm in a foreign country market has superior resources and technology

True or false: Cross-market subsidization can be a powerful competitive weapon for companies operation in numerous markets.

Answer: true

What are reasons a company would share a valuable competitive asset with its international locations?

1. to increase its global market share

2. to attract customers

One strategy associated with limiting the number of locations is to open a customer service center in a specific country in order to _____.

Answer: cultivate close relationships with important clients

A company trying to gain advantages over domestic rivals by shifting production from a plant in one county to a plant in another to profit from exchange rate flections is using cross-border ____.

Answer: coordination

A company's products may have little value in certain foreign market locations because _____.

1. buyer preference and lifestyles very from country to country

2. local brands may remain very popular no matter how well a competing brand is regarded internationally

To leverage its capabilities and increase its competitive advantage, an international company can _____.

1. share a brand name or other valuable competitive asset with all its stores

2. transfer technological know how to its international operations