MIB Master of International Business: Global Management of Innovation & Knowledge 2

Question 1

Which organizational structure best supports open innovation by allowing external ideas to flow in alongside internal R&D?

Accepted Answer

Permeable boundary model

Answer

A permeable boundary model deliberately opens the firm's borders so external knowledge, partners, and technologies can integrate with internal innovation processes.

Question 2

A multinational firm wants to leverage local market knowledge while maintaining global R&D coherence. Which knowledge management approach is most appropriate?

Accepted Answer

Transnational knowledge sharing

Answer

Transnational knowledge sharing combines local responsiveness with global integration, allowing subsidiaries to both contribute and access the global knowledge pool.

Question 3

What is 'absorptive capacity' in the context of international knowledge management?

Accepted Answer

The ability to recognize, assimilate, and apply external knowledge

Answer

Absorptive capacity, coined by Cohen and Levinthal, refers to a firm's ability to identify valuable external knowledge, assimilate it, and apply it commercially.

Question 4

In global innovation networks, what is the primary risk of relying heavily on a single 'center of excellence'?

Accepted Answer

Knowledge concentration creating a single point of failure

Answer

Over-reliance on one center of excellence creates vulnerability if that unit loses key talent, faces political disruption, or becomes misaligned with market needs.

Question 5

Which concept describes the geographic clustering of firms, suppliers, and institutions that accelerates innovation in a specific industry?

Accepted Answer

Innovation cluster

Answer

Innovation clusters (e.g., Silicon Valley, Cambridge biotech) concentrate related firms and institutions, enabling rapid knowledge spillovers and collaborative innovation.

MIB - Master of International Business Practice Test

MIB - Master of International Business Practice Test

MIB Master of International Business: Global Management of Innovation & Knowledge 2