HCBA 3221

W1-2-60-1-6

JOMO KENYATTA UNIVERSITY

OF
AGRICULTURE AND TECHNOLOGY

University Examinations 2014/2015

END OF SEMESTER EXAMINATION FOR THE DEGREE OF MASTER OF

BUSINESS ADMINISTRATION

HCBA 3221 : INTERNATIONAL BUSINESS MANAGEMENT

DATE: APRIL 2015 TIME: 3 HOURS

INSTRUCTIONS: ANSWER QUESTION ONE (COMPULSORY) AND

ANY OTHER THREE QUESTIONS.
______________________________________________________________________

QUESTION ONE (30 MARKS)

Toyota Motor Corporation is a Japanese automotive manufacture

headquartered in Toyota, Archi, Japan. In March 2014, the multinational
corporation consisted of 338,875 employees worldwide and as of November
2014, was the twelfth largest company in the world by revenue. Toyota was
the largest automobile in 2012 (by production) ahead of the Volkswagen
Group and General Motors. In July of that year, the company reported the
production of its 200 millionth vehicle. Toyota is the world’s first automobile
manufacturer to produce more than 10 million vehicles per year. It did so in
2012 according to OICA and in 2013 according to company data. As of July
2014, Toyota was the largest listed company in Japan by market
capitalization and revenue.

Required:

(a) What are the challenges that a company like Toyota is likely to
experience in the global market? [8 marks]
(b) In respect to Theories of International Business, which one applies best
to Toyota and why?

(c) Comment on marketing mix strategies for Toyota. [8 marks]

(d) What would motivate Toyota to apply transfer pricing? [6 marks]

(e) What are the elements of countries competitive index, should Toyota
consider before investing in Somalia? [8 marks]

QUESTION TWO (20 MARKS)

There are three major levels of international business management

environment and each has its own characteristics. Discuss. [20 marks]

QUESTION THREE (20 MARKS)

Articulate the key dimension of national culture and support your arguments
with examples. [20 marks]

QUESTION FOUR (20 MARKS)

According to Wall (2010) there are four main IHRM approaches namely
geocentric, polycentric, egocentric and ethnocentric. Discuss. [20 marks]

QUESTION FIVE (20 MARKS)

Write notes on the following:

(a) Foreign direct investments. [5 marks]

(b) Features of multinational conflicts. [5 marks]
(c) Role of theories in international business. [5 marks]
(d) Role of government in international business. [5 marks]