The Cell Phone Division of Toshiba Prospered by Doing Business

question 87

Multiple Choice

The cell phone division of Toshiba prospered by doing business in the domestic market. When handset sales slowed, Atsutoshi Nishida, president of Toshiba noted, "We were thinking only about Japan. We really missed our chance." This statement is indicative of ________ orientation.

• A)polycentric
• B)ethnocentric
• C)geocentric
• D)technocentric.
• E)regiocentric

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Definitions:

Law Of Demand

The economic principle stating that, all else being equal, as the price of a good or service increases, consumer demand for the good or service will decrease, and vice versa.

Quantity Demanded

The total amount of goods or services that consumers are willing and able to purchase at a specific price level.

Capital Market

The input/factor market in which households supply their savings, for interest or for claims to future profits, to firms that demand funds to buy capital goods.

Investment

New capital additions to a firm’s capital stock. Although capital is measured at a given point in time (a stock), investment is measured over a period of time (a flow). The flow of investment increases the capital stock.