Susan is the CEO of a large corporation and she has decided to grow her company and start selling her products and services globally. Her plan is to establish offices in Spain, Italy, and Germany and relocate her senior executives to each of those markets so that they can run the business from there. What type of corporation is Susan establishing?

a. Global
b. Multinational
c. Transnational
d. International


d. International

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Which of the following is a criticism of authentic leadership?

A. Authentic leadership implies that leaders are motivated by justice and community. B. Authentic leadership provides broad guidelines for individuals who want to become authentic leaders. C. Everyone can develop authenticity and learn to be more authentic. D. The concepts presented in the practical approaches are not fully substantiated.

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Answer the following statements true (T) or false (F)

1. From the union perspective, the bureaucratic system of collective bargaining contracts may achieve stability at the expense of rank and file involvement and activism. 2. Workers seeking the protection of a union contract generally prefer workplace decisions that are guided by impartial rules such as seniority-based pay increases or promotions. 3. U.S. Labor relations are set primarily by strike power, court orders, and public decision-making than by private administrations of contract terms. 4. Nearly every U.S. union contract contains a just cause clause protecting workers from arbitrary dismissal or discipline. 5. Employers in the U.S. are generally required by contract to give union workers a valid, job- related reason for dismissal, just like they must for nonunion workers.

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Feasible foresight means that parties to a contract have the capacity to:

a. Think about the potential future conduct of the other party and integrate those insights into the ex-ante design of governance b. Generate a list of feasible and unfeasible futures c. Use strategic models to gain foresight about the future conduct of the other party d. Generate governance models that work for both parties

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Scenario B. Three students-Bernardo, Astrid, and Rajiv-are discussing how to improve efficiency in a manufacturing context. Bernardo says that the company must work toward achieving lower costs per unit of production. Rajiv believes that the company should use the same resources to make more related products. Astrid holds that avoiding the costs of growing too large and creating waste will improve efficiency.When he says that the company should use the same resources to make more related products, Rajiv is calling for

A. diseconomies of scale. B. economies of scale. C. economies of size. D. diseconomies of scope. E. economies of scope.

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