Question

true or false

1. To gain an understanding of international management and "intercultural effectiveness," it is

   important to be able to evaluate different world cultures using a model which includes the

   determinants of culture. T    F

2. At the center of the determinants of culture model, we refer to culture as consisting fundamentally

    of "Norms and Value Systems."   T   F

           

              3. Our approach to the study of international management includes analyzing culture and how

                  it is affected by globalization; we are then able to select strategy more accurately. T   F

4. Contemporary globalization's economic origins are in the post-World War II (Bretton Woods) period, beginning about 1944 with a global conference in New Hampshire. T   F

5. "NAFTA" is an acronym which stands for "Not Actually Free Trade Anywhere."  T  F

6. The capital city of Iran is Tehran. T  F

7. Iran practices the separation of Church and State just as in the U.S.   T  F

8. The "BRICS" countries (Brazil, Russia, India, China and South Africa) all have had

    negative economic growth rates historically.  T   F

9. China and the US have identical economic systems.  T  F

10. An average of ~ US$5 trillion in FOREX (foreign currency exchange) is traded globally

    each day by governments, MNCs, banks and other speculators.  T    F

Answer 1

1) TRUE :

• For any successful international management it is important to understand the different culture distinctions between the different cultures.
• The selling of same kinds of product in the markets that are entirely different in terms of their culture background has always proven the tough task.
• The goal of intercultural effectiveness is to minimize the risk of the failure and enhance organization's chances of success in international environment which creates the need to understand the different cultures of the world.
• Hence the above sentence is true.

2) TRUE:

• Culture includes the system of values, beliefs underlying norms present in the organization.
• There are various determinants of the organizational culture but the core of all this is Organizational values and norms which are also communicated through the vision, mission statement and from goals itself.
• Hence, above statement is correct.

3) TRUE:

• To select any strategy in international business it is necessary to understand various culture of the world, because we are trading internationally we have to select such strategy which suit the international enviornment.
• Globalization is also an very important element which must be consider before selecting any strategy, because globalization is integrated and associated with social and cultural aspect.
• Hence, above statement is correct.

4) TRUE:

• International regulation and organizations to support economic integration at the global level were created after world war II.
• Cooperation was based on the Bretton Woods Agreement of 1944
• This is the second wave of globalization, because in 1860-1914 Europe and North America were strongly affected by internationalization.
• Hence the statement is correct.