(1) Explain the terms "organization" and "organization structure ."
(2) Compare and contrast the main purposes of organization advanced by Ve rnon with those proposed by Brooke. Do you see any particular national biases in the American view (Vernon ) and the
British view (Brooke)?
(3) Study the annual reports of a large u.s. MNC to determine whether the company fo llowed the evolutionary stages depicted in Figure 11.1 and Figure 11.8 . If you have access to the
necessary annual reports, do the same for a large fo reign MNC.
(4) Using annual reports or other documents on a company of your choice, determine whether the company's organization structure seems to fit its main strategies. Write a report describing and
explaining your conclusions.
(5) RDS, Inc., a medium-size computer accessories and software company in your area, started its overseas business five years ago with a small export order. Now the money coming in fr om
international transactions represents some 45 to 55% of the company's income. In addition to a large number of distributors overseas, the company has recently acquired a small manufacturer of
diskette cases in Mexico and a manufacturer of IBM clones in Taiwan. Thus far the company 's CEO has been taking care of the international business, with the help of an assistant with an
undergraduate degree in journalism and a minor in business. The CEO believes that the time has come to set up a fo rmal organization structure to handle the international business activity. You
have been chosen to give the staff a 45-minute presentation on "Organizing for International Business." Yo ur presentation should end with a specific recommendation for organizing RDS,
Inc.
(6) A few days after your presentation, the CEO calls you up and says, "Hey,nI think I've fo und the answe r. We're going to go matrix. I think matrix organization is for us-it's the latest
word in organizational design." Develop a proposal for or against matrix organization for RDS, Inc.
(7) Some members of the local chamber of commerce read the London Financial Times series cited at the beginning of this chapter and were impressed with what is going on in Europe. They have
invited you to give a 45-minute presentation on "The Product Race." Include in your speech examples of US. and Japanese MNCs that seem to be following the European lead.
(8) Explain the concept of "rationalization." Give some examples of US. MNCs that seem to be pursuing this goal.
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