Question:11. Ranga Ramasesh is the operations manager for a firm that is trying to decide which one of four countries it should research for possible outsourcing providers. The first step is to select a country based on cultural risk factors, which are critical to eventual business success with the provider. Ranga has reviewed outsourcing provider directories and found that the four countries in the table below have an ample number of providers from which they can choose. To aid in the country selection step, he has enlisted the aid of a cultural expert, John Wang, who has provided ratings of the various criteria in the table below. The resulting ratings are on a 1 to 10 scale, where 1 is a low risk and 10 is a high risk. Further, John Wang has determined six criteria weightings. Trust, with a weight of 0.400.40; Quality, with 0.200.20; Religious, with0.100.10; Individualism, with 0.100.10; Time, with 0.100.10; and Uncertainty, with 0.100.10. Using the weighted factor-rating method, which country should Ranga select? In the following table, compute the total weighted score for each candidate (enter each response as a decimal rounded to one place). Selection Criterion Weight Mexico Panama Costa Rica Peru Trust 0.400.40 11 22 22 11 Society value of quality work 0.200.20 77 1010 99 1010 Religious attitudes 0.100.10 33 33 33 55 Individualism attitudes 0.100.10 55 22 44 88 Time orientation attitudes 0.100.10 44 66 77 33 Uncertainity avoidance attitude 0.100.10 33 22 44 22 Total Weighted Score: FILL IN THE BLANK
13. Which of these is NOT an advantage of outsourcing? A. cost savings B. gaining outside expertise C. potential creation of future competition D. accessing outside technology
14. An international business is a firm that A. is not from the United States. B. hires non-U.S. citizens. C. produces a wide range of products. D. engages in international trade or investment
15. Which of the following international operations strategies uses decentralized authority with substantial autonomy at each business? A. international B. multidomestic C. transnational D. global
