ANSWERS FOR CVV QUESTIONS:-

1. Define Multinational corporation:

An enterprise which own or control production or service facilities
outside the country in which they are based.”

2. Write some characteristics of MNC.

 MNC is reduction of unit costs through producing more units.
 MNC the parent company and its foreign affiliates act in close
alliance and co-operation with one another.

3. Write some advantages of MNC.

 MNC can promote Quality Product at lower cost.
 MNC loads to increase in production aggregate employment, exports
and imports of the required inputs.

4. Write some disadvantages of MNC.

 MNC Discourage competition among their subsidiaries.
 MNC involvement result in the lock of development of local RGD.

5. What are the attitudes need by MNC Manager?

 Ethonocentric attitude
 Ploycentric attitude
 Gencentric attitude

6. What is Ethonocentric attitude?

The manager orientation and managical activities, operations was based
on that of the parent company.
7. What is Polycentric attitude?
Polycentric attitude manager orientation was host country orientation.

8. What is Geocentric attitude?

This type of managers are trained to balance central, local and global
abjectives.

9. What are the factors influencing MNC?

 Political and legal factor
 Economic factors
 Sociol-Cultural factors.

10. What are global theory of management?

 Situational and contingency approach
 Motivation and leadership theory
 Organisational behaviour

11. Write some characteristics of Japanese Management.

 Japanese management prefer to human resources than it financial
resources.
 Japanese management favours job security.
 Japanese are more favour to Co-operation and team work.

12. Write some limitations of Japanese Management.

 Decision maping process is line Consuring process.
 Promotion policy is not encourage outstanding younger employee.
13. Write some characteristics of German Management.
 German Management is autocratic
 Labour suggestions also accepted
 Managerial decisions are taken by the executive committee
consultation with labour direction.

14. How the Entrepreneurs change in crucial situation?

The crucial word here is 'change'. Change carries the risk that your
second state will be worse than the first. That is, you launch a new,
innovative product: if it succeeds, all is well; if it fails, your job may fail,
too. The calculation is the same one that tilts the balance of executive
decisions towards 'No' rather than 'Go'. Approval commits the approver to a
new course of action. 'No' preserves the status quo. The obvious answer,
which is to create an atmosphere that encourages positive behaviour and
discourages the negative variety, is also supposed to be very difficult to
achieve. That, however, is a matter of perception.

15. How the Entrepreneurs are WISED UP AND WIRED UP?

The e-CEO, of course, is wised up as well as wired up and responds

to technological challenge with fanatical enthusiasm. But it's the non-IT
characteristics that define the difference between the old model and the
new. Answer yes or no to these questions:

1. Do you 'evangelise' about your company and its products and services -
both internally and externally?
 2. Are you aroused to the extent of competitive paranoia by threats and
actual challenges from rivals new and old?

3. Are you 'brutally frank' in your views and criticisms?

4. Are you intensely focused on the key business and strategy of the
organisation?

5. Do you take decisions and act at a speed that's near to instantaneous?

6. Do you like ambiguity and feel comfortable in unclear situations?

7. Is your judgment good?

16. What is Benchmarking ?

Benchmarking is the process of comparing the business processes

and performance metrics including cost, cycle time, productivity, or quality
to another that is widely considered to be an industry standard benchmark
or best practice. Essentially, benchmarking provides a snapshot of the
performance of your business and helps you understand where you are in
relation to a particular standard. The result is often a business case and
"Burning Platform" for making changes in order to make improvements.

17. What are all the Costs of benchmarking ?

Benchmarking is a moderately expensive process, but most

organizations find that it more than pays for itself. The three main types of
costs are:

 Visit Costs - This includes hotel rooms, travel costs, meals, a token
gift, and lost labor time.
  Time Costs - Members of the benchmarking team will be investing
time in researching problems, finding exceptional companies to
study, visits, and implementation. This will take them away from
their regular tasks for part of each day so additional staff might be
required.
 Benchmarking Database Costs - Organizations that institutionalize
benchmarking into their daily procedures find it is useful to create
and maintain a database of best practices and the companies
associated with each best practice now.

The cost of benchmarking can substantially be reduced through

utilizing the many internet resources that have sprung up over the
last few years. These aim to capture benchmarks and best practices
from organizations, business sectors and countries to make the
benchmarking process much quicker and cheaper.

18. What are the Types of benchmarking?

 Process benchmarking - the initiating firm focuses its observation

and investigation of business processes with a goal of identifying
and observing the best practices from one or more benchmark firms.
Activity analysis will be required where the objective is to
benchmark cost and efficiency; increasingly applied to back-office
processes where outsourcing may be a consideration.
 Financial benchmarking - performing a financial analysis and
comparing the results in an effort to assess your overall
competitiveness and productivity.
 Benchmarking from an investor perspective- extending the
benchmarking universe to also compare to peer companies that can
 be considered alternative investment opportunities from the
perspective of an investor.
 Performance benchmarking - allows the initiator firm to assess their
competitive position by comparing products and services with those
of target firms.
 Product benchmarking - the process of designing new products or
upgrades to current ones. This process can sometimes involve
reverse engineering which is taking apart competitors products to
find strengths and weaknesses.
 Strategic benchmarking - involves observing how others compete.
This type is usually not industry specific, meaning it is best to look
at other industries.
 Functional benchmarking - a company will focus its benchmarking
on a single function in order to improve the operation of that
particular function. Complex functions such as Human Resources,
Finance and Accounting and Information and Communication
Technology are unlikely to be directly comparable in cost and
efficiency terms and may need to be disaggregated into processes to
make valid comparison.
 Best-in-class benchmarking - involves studying the leading
competitor or the company that best carries out a specific function.
 Operational benchmarking - embraces everything from staffing and
productivity to office flow and analysis of procedures performed.

19. How the US Govt. can imply best management practices in their own
country (Agriculture)?

THE FEDERAL GOVERNMENT POSITION Even though the U.S.

Department of Agriculture (USDA) does not have an offi cial policy on this
 issue, it has indicated that it may be prepared to support allowing a farmer
to sell 100 percent of the nutrient/sediment reductions from a BMP that the
USDA has partially funded through cost-share programs.1 The U.S.
Environmental Protection Agency (USEPA), another federal agency
interested in this issue, also does not have an official policy on the issue at
this time.

20. What are the POTENTIAL OUTCOMES in Best Management Practices

across the world?

The repercussions of allowing farmers to sell nutrient and sediment

reductions paid for with federal or state cost-share funds in a water quality
trading market include:

 Distorting price signals, leading to less cost-effective reductions in

nutrients and sediment, and increasing the true cost to taxpayers.
 Giving farmers who receive cost-share funds an unfair advantage
over other farmers in the market because they break even at a lower
price.
 Lowering the number of farmers potentially undertaking
conservation BMPs and therefore decreasing nutrient and/or
sediment reductions in a watershed.
 Undermining the purpose of conservation programs by failing to
achieve a net water quality benefit with cost share funds.

21. What are the Importance of Diversity?

Diversity was selected as a best practice area since changing

demographics make it more important to select, retain and manage a
diverse workforce. According to the IPMA/NASPE Benchmarking
Committee, “diversity efforts in the workplace facilitate the exchange of
new perspectives, improve problem solving by inviting different ideas, and
create a respectful, accepting work environment, all of which make good
business sense.” In the book Beyond Race and Gender, R. Roosevelt
Thomas defined managing diversity as “a comprehensive managerial
process for developing an environment that works for all employees.” The
key for employers is to make diversity an asset within the organization.
Diversity is different from affirmative action since affirmative action is the
framework for a diversity management program. Diversity management has
been described as looking at: 1) the mind set of an organization; 2) the
climate of an organization; and 3) the different perspectives people bring to
an organization due to race, workplace styles, disabilities, and other
differences.