Final Exam Review Questions
Instructions
A. Please be concise and precise in your answers.
B. Practice answers for closed book, class room setting.
C. Suggested length: minimum one page [1.5 spacing]; maximum two pages per question.
D. You would answer 3 questions and 2 Problems in two hours in final exam.
Questions
1. Ethical Standards
a. Can a multinational firm adopt varying ethical standards [such as with regard to product safety (Pinto), employee benefits (Nike) and “kickbacks” to win business (HP)] in its global operations? Why or Why Not? Discuss in depth based on the goals of multinational corporations?
Based on country, culture, and standard….and why? Benefits, safety standards, etc
b. How do corporate governance and financial management differ for US based corporations and global multinational corporations?
(Read: Class notes and discussions)
2. Global Pricing Strategy
With the emergence of the Internet as a dominant influence in global markets, many anticipated that the “Law of One Price” for all products would evolve. However that did not materialize.
A. What is “Law of One Price”?. When would that exist globally? B. Identify the major pricing strategies/ methodologies of corporations in pricing products and services.
Gulf Bank lecture: cost pricing, profit based pricing C. Discuss the impact of the Internet on “Global Pricing Strategies” of firms with specific reference to ‘Internet Pricing’ and ‘Brick and Mortar pricing’.
Pricing of commodities should be uniform requirements, govt regulations, etc
Cost-based, competition-based, market based (6 different things /lectures)
Internet vs. brick and mortar, orientation ( cost oriented (brick n mortar) vs. competition and