M.B.A. II (Semester III) Examination, 2016
Group G INTERNATIONAL BUSINESS (Paper
International Business Environment (Paper XIX)
Day and Date Friday, 23-12-2016 Total Marks 70
Time 10.30 a.m. to 1.30 p.m.
Instructions • Question No. 1 is compulsory.
• Attempt any two questions from Q. Q. 3 and Q. 4.
• Attempt any two questions from Q. Q. 6 and Q. 7.
• All questions carry equal marks.
1. Analyze the following case
Mr. Pradeep Kumar, Chairman and Managing Director of 'Kumar Polyester
Limited' is seriously thinking to step down from the CMD's chair and enjoy his
retirement days. His wife Mrs. Meera has been a very active social worker and
running the well-known 'Kumar Charitable Trust'. Mr. Kumar wants to join her
and participate in the noble task.
Kumar's three daughters Preeti, Dipti and Kirti are already working with him.
Preeti, who is handling production logistics, is a mechanical engineer. Dipti who
looks after domestic sales did her B.A. in Economics. Kirti has returned from
US, after doing her M.B.A. in finance and has now undertaken the responsibility
of 'New Project Management'. Preeti and Dipti are in business for the last four
years and have comfortably settled in their jobs. Preeti may get married next
year. Dipti has an inclination for social work and therefore, is not very ambitious.
Kirti is ambitious and aggressive. Her problem is immaturity and the American
style of functioning. She would take considerable time to understand business in
India.
Kumar's Deputy Managing Director Mr. Sharad Mehta is a very capable
executive. Practically, Sharad has been looking after the company for the last
two years. Sharad has already spent twenty years in this organisation. He is an
engineer in Polymer Technology and an M.B.A. from a reputed Indian business
school. Somehow, Kirti does not like him and therefore, their relationship is not
very smooth. Sharad is only forty-four and is obviously anticipating the MD's
chair. Mr. Kumar too finds him a suitable successor. But, he is not very sure
about Kirti's approval for this choice. He also wants that Kirti should ultimately
head the organisation and grow his empire.
SLR-T 50
The Company's Managers and workers would definitely support Mr. Sharad as
the new leader. His recent moves to improve the company's market share and
product image have been well received by all the employees. Unfortunately, Kirti
rejected his latest proposal. Kumar tried to convince Kirti about the usefulness of
the new product but could not succeed.
Market for polyester and plastic products is becoming more and more competitive.
New foreign players have already entered the Indian market. Kumar's company
will have to put in extra efforts to retain the market share. It needs a stable and
mature leadership, to go through the vibrant phase of globalisation. A few foreign
companies have shown interest in collaborating with Kumar Polyester Limited.
Mrs. Meera is of the opinion Mr. Kumar should continue as CMD for a few more
years while Kirti gathers experience. Later on, Kirti may come on the Board while
Sharad gets promoted as MD. Mr. Kumar is thinking to get a brilliant bridegroom
for Preeti, who may also join his organisation eventually. This newcomer may
take care of marketing and replace Preeti. Of course, Kumar is yet to understand
Preeti's mind.
During last month, Mr. and Mrs. Kumar went on vacation to Europe Mr. Sharad
was 'acting' MD. There were a few instances of unwarranted arguments between
him and Ms. Kirti. The members of the top team carry a feeling that Ms. Kirti may
not really respect the organisation's structure and try to disturb the overall
atmosphere. Before any major damaging event could takes place, Kirti would
have to be convinced about the organisation's performance and reputation.
Mr. Kumar is really worried and confused now. He does not have any clear
solution in sight. He is not very confident that Mr. Sharad and the top team would
solve the problem amicably. He does not even know, if his consultants would
resolve this issue and end the dilemma. Whether he retries or not, some change
is certain. This change is to be channeled into a proper direction.
Answer the following questions
Analyze the case study.
Identify the problem.
Generate possible alternatives.
Choose the best alternative.
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2. Write short note (any two)
Describe the scope and context of corporate social responsibility.
Special considerations involved in managing a cross-cultural workforce.
Examine the implications of globalization for developing countries.
3. Write short note (any two)
Major characteristics of MNEs in terms of home country and host country.
NAFTA.
The pros and cons of turnkey arrangements.
4. Write short note (any two)
Describe the major cultural clusters and their use to international business
people.
Critically examine main drivers of globalization.
The process of internationalization.
5. Examine the global demographic trends and their implications for business.
6. How does international competition differ from domestic competition Critically
examine role of FDI in building export competitiveness.
7. Describe and explain the operation of World Bank. Discuss how it can be used
by multinational companies seeking overseas business opportunities.