Chapter 18 Global Operations and Supply Chain Management

40. When foreign subsidiaries are unable to purchase raw materials and machinery locally they generally give up on the purchase. True False 41. Generally it is easier for international firms to standardize the concepts of total quality control and synchronous production in their foreign plants than it is to standardize the actual production facilities. True False 42. Although engineers are required for the maintenance of specialized machinery only highly-skilled people are needed to attend the machines. True False 43. When a country needs new job creation it follows that government officials will insist on the use of labor-intensive processes. True False 44. Intermediate technology will create more jobs and require less capital than will capital-intensive processes. True False 45. A good technology for developing countries is intermediate technology. True False 46. The production organization in an overseas subsidiary is commonly a scaled down version of that found in the parent company. True False 47. Once the manufacturing system has been put into operation two general classes of activities manufacturing and inspection must be performed. True False 48. It is the responsibility of the marketers not the production managers to choose the price-quality combination that will satisfy the market. True False 49. Because of the importance of local conditions product quality is under exclusive control of the local subsidiary. True False 50. The finance department in the home office knows that in a country afflicted by hyperinflation good profits can be made by being short in cash and long in inventory. True False 51. Nearly every international firm follows the practice of bringing a person from the home office to be the purchasing agent. True False 52. International companies try to place people from the home office as technical managers in their overseas affiliates to help keep the affiliates as captive customers. True False 53. The function of the technical department is to provide operations management with manufacturing specifications. True False