| Term |
|
Brief Definition |
| Tacit collusion |
: |
Any method used by an oligopolist to set prices and outputs that does not involve outright (or overt) collusion. Price leadership is a frequent example. |
| Tacit knowledge |
: |
Knowledge embedded in our actions and ways of thinking, and transmitted only through observation and experience. |
| Tacit knowledge |
: |
Information gained through experience that is difficult to express and formalize. |
| Tailoring |
: |
A form of customization initiated by a website that enables the site to reconfigure itself based on past behavior by the user or by other users with similar profiles. These sites can make recommendations based on past purchases, filter marketing messages |
| Takeoff |
: |
A phase in the development of a developing country when its infrastructure has been sufficiently developed, enough interacting industries have been established, and domestic capital formation exceeds consumption so that the country’s own momentum carries |
| Target elements of change |
: |
Components of an organization that may be changed. |
| Tariff |
: |
A tax levied on imports. |
| Tariff |
: |
A tax imposed by a nation on an imported good. |
| Tariff quota |
: |
A tariff that has a lower rate until the end of a specified period or until a specified amount of the commodity has been imported. At that point, the rate increases. |
| Task identity |
: |
The degree to which a job requires completion of a whole or an identifiable piece of work. |
| Task interdependence |
: |
The degree to which a task requires employees to share common inputs or outcomes, or to interact in the process of executing their work. |
| Task performance |
: |
Goal-directed behaviors under the individual’s control that support organizational objectives. |
| Task roles |
: |
Task-oriented group behavior. |
| Task significance |
: |
The degree to which the job has a substantial impact on the organization and/or larger society. |
| Task structure |
: |
Amount of structure contained within work tasks. |
| Taste-for-discrimination model |
: |
A theory that views discrimination as a preference for which an employer is willing to pay. |
| Tatemae |
: |
A Japanese term which means “doing the right thing” according to normal models of decision making. |
| Tax |
: |
An involuntary payment of money (or goods and services) to a government by a household or firm for which the household or firm receives no good or service directly in return. |
| Tax credit |
: |
Allows a firm to reduce the taxes paid to the home government by the amount of taxes paid to the foreign government. |
| Tax haven |
: |
A country with exceptionally low, or even no, income taxes. |
| Tax haven |
: |
A country that has low or no taxes on income from foreign sources or capital gains. |
| Tax incentives |
: |
The tax holidays that developing countries sometimes give companies and their managements if they will invest in the country or that developed countries sometimes give them to induce investment in an area of high unemployment or to encourage exports. |
| Tax incidence |
: |
The person or group that ends up paying a tax. |
| Tax subsidy |
: |
A grant in the form of reduced taxes through favorable tax treatment. For example, employer-paid health insurance is exempt from Federal income and payroll taxes. |
| Tax treaty |
: |
Agreement between two countries specifying what items of income will be taxed by the authorities of the country where the income is earned. |
| Tax treaty |
: |
A treaty between two countries in which each country usually lowers certain taxes on residents who are nationals of the other and the countries agree to cooperate in tax matters such as enforcement. |
| Tax-transfer disincentives |
: |
Decreases in the incentives to work, save, invest, innovate, and take risks that allegedly result from high marginal tax rates and transfer payments. |
| Taylor rule |
: |
A modern monetary rule proposed by economist John Taylor that would stipulate exactly how much the Federal Reserve should change interest rates in response to divergences of real GDP from potential GDP and divergences of actual rates of inflation from a |
| Taylor’s scientific management system |
: |
A system based on scientific measurements that prescribes a division of work whereby planning is done by managers and plan execution is left to supervisors and workers. |
| Team |
: |
Small group with complementary skills who hold themselves mutually accountable for common purpose, goals, and approach. |
| Team building |
: |
Any formal activity intended to improve the development and functioning of a team. |
| Team building |
: |
Experiential learning aimed at better internal functioning of groups. |
| Team building |
: |
An extension of classic T-groups (training groups) and sensitivity training that is geared to enhancing organizational effectiveness through cooperation and a “team” effort of key personnel. |
| Team cohesiveness |
: |
The degree of attraction people feel toward the team and their motivation to remain members. |
| Team effectiveness |
: |
The extent to which a team achieves its objectives, achieves the needs and objectives of its members, and sustains itself over time. |
| Team viability |
: |
Team members satisfied and willing to contribute. |
| Team-based organization |
: |
A type of departmentalization with a flat hierarchy and relatively little formalization, consisting of selfdirected work teams responsible for various work processes. |
| Team-based pay |
: |
Linking pay to teamwork behavior and/or team results. |
| Teams |
: |
Groups of two or more people who interact and influence each other, are mutually accountable for achieving common objectives, and perceive themselves as a social entity within an organization. |
| Technical analysis |
: |
Uses price and volume data to determine past trends, which are expected to continue into the future. |
| Technical convergence |
: |
The evolution and migration of various media content (news, information, and entertainment) from traditional analog media platforms (print, audio, and video) to a digital platform or cross-platform where all content will be accessible through various dig |
| Technological advance |
: |
New and better goods and services and new and better ways of producing or distributing them. |
| Technological dualism |
: |
The presence in a country of industries using modern technology while others employ more primitive methods. |
| Technology |
: |
The body of knowledge and techniques that can be used to combine economic resources to produce goods and services. |
| Technology infrastructure |
: |
The foundations of an Internet system that enable the running of e-commerce enterprises. One-half of the technology equation is the hardware backbone such as the routers, servers, fiber optics, cables, and modems. The other half includes software and com |
| Technology paradox |
: |
That high-tech businesses can thrive at the very moment that their prices are falling the fastest. |
| Telecommunications Act of 1996 |
: |
The first major overhaul of federal laws regulating the communications industry since 1934. With the passing of this Act, emphasis was changed from a regulationbased industry to a market-based industry to allow for increased competition. |
| Telecommuting |
: |
Working from home, usually with a computer connection to the office; also called teleworking. |
| Telecommuting |
: |
Doing work that is generally performed in the office away from the office using different information technologies. |
| Telemarketing |
: |
Marketing by a salesforce over the telephone. |
| Template pages |
: |
A page that is repeated more than once, usually on a section of the site that has multiple pages of similar content. |
| Temporal method |
: |
Translating assets valued in a foreign currency into the home currency using the exchange rate that existed when the assets were originally purchased. |
| Temporary Assistance for Needy Families (TANF) |
: |
A state administered and partly federally funded program in the United States that provides financial aid to poor families; the basic welfare program for low-income families in the United States; contains time limits and work requirements. |
| Term sheet |
: |
A nonbinding description of the proposed deal between the financier and the entrepreneur. |
| Terminal values |
: |
Personally preferred end-states of existence. |
| Terms of sale |
: |
Conditions of a sale that stipulate the point where all costs and risks are borne by the buyer. |
| Terms of trade |
: |
The real quantities of exports that are required to pay for a given amount of imports. |
| Terms of trade |
: |
The rate at which units of one product can be exchanged for units of another product; the price of a good or service; the amount of one good or service that must be given up to obtain 1 unit of another good or service. |
| Territorial tax jurisdiction |
: |
The levying of tax on taxpayers while living and working in the territory of the taxing government. Income earned while living and working elsewhere is not taxed or is taxed at a lower rate. |
| Territoriality principle |
: |
A jurisdictional principle of international law which holds that every nation has the right of jurisdiction within its legal territory. |
| Terrorism |
: |
The use by non government (NGO) forces of murder, kidnapping, and destruction to publicize or gain political, religious, or social goals or money. The NGOs are sometimes sponsored or supported by government. |
| Theocratic law system |
: |
A system of law based on religious teachings. |
| Theocratic totalitarianism |
: |
A political system in which political power is monopolized by a party, group, or individual that governs according to religious principles. |
| Theoretical economics |
: |
The process of deriving and applying economic theories and principles. |
| Theory |
: |
A story defining key terms, providing a conceptual framework, and explaining why something occurs. |
| Theory of human capital |
: |
The generalization that wage differentials are the result of differences in the amount of human capital investment and that the incomes of lower-paid workers are raised by increasing the amount of such investment. |
| Theory X manager |
: |
A manager who believes that people are basically lazy and that coercion and threats of punishment often are necessary to get them to work. |
| Theory Y |
: |
McGregor’s modern and positive assumptions about employees being responsible and creative. |
| Theory Y manager |
: |
A manager who believes that under the right conditions people not only will work hard but will seek increased responsibility and challenge. |
| Third country nationals |
: |
Citizens of neither the home country nor the host country. |
| Third-country nationals |
: |
Managers who are citizens of countries other than the one in which the MNC is headquartered or the one in which the managers are assigned to work by the MNC. |
| Third-party conflict resolution |
: |
Any attempt by a relatively neutral person to help the parties resolve their differences. |
| Third-party peacemaking |
: |
The diagnosis of group conflict followed by the use of an outside party (usually the OD change agent) to facilitate a constructive resolution of a problem. |
| Thrift institution |
: |
A savings and loan association, mutual savings bank, or credit union. Tight money policy |
| Tied loans or grants |
: |
Loans or grants that the borrower or recipient must spend in the country that made them. |
| Time deposit |
: |
An interest-earning deposit in a commercial bank or thrift institution that the depositor can withdraw without penalty after the end of a specified period. |
| Time draft |
: |
A promise to pay by the accepting party at some future date. |
| Time draft |
: |
An unconditional order drawn by the seller on the buyer to pay the draft’s amount at an agreed future date. |
| Time-based competition |
: |
Competing on the basis of speed in responding to customer demands and developing new products. |
| Timing of entry |
: |
Entry is early when a firm enters a foreign market before other foreign firms and late when a firm enters after other international businesses have established themselves. |
| Token group |
: |
A group in which all members but one have the same background, such as a group of Japanese retailers and a British attorney. |
| Token money |
: |
Coins having a face value greater than their intrinsic value. |
| Top-down planning |
: |
Planning process that begins at the highest level in the organization and continues downward. |
| Topography |
: |
The surface features of a region, such as mountains, deserts, plains, and bodies of water. |
| Total cost |
: |
The sum of fixed cost and variable cost. |
| Total demand |
: |
The demand schedule or the demand curve of all buyers of a good or service; also called market demand. |
| Total demand for money |
: |
The sum of the transactions demand for money and the asset demand for money. |
| Total product |
: |
What the customer buys; it includes the physical product, brand name, after-sale service, warranty, instructions for use, the company image, and the package. |
| Total product |
: |
The total output of a particular good or service produced by a firm (or a group of firms or the entire economy). |
| Total quality management |
: |
An organizational culture dedicated to training, continuous improvement, and customer satisfaction. |
| Total quality management |
: |
Management philosophy that takes as its central focus the need to improve the quality of a company’s products and services. |
| Total quality management (TQM) |
: |
An organizational strategy and the accompanying techniques that result in the delivery of high-quality products and/or services to customers. |
| Total quality management (TQM) |
: |
A system that integrates the development, maintenance, and improvement of quality among all functional areas of the firm. |
| Total revenue |
: |
The total number of dollars received by a firm (or firms) from the sale of a product; equal to the total expenditures for the product produced by the firm (or firms); equal to the quantity sold (demanded) multiplied by the price at which it is sold. |
| Total spending |
: |
The total amount that buyers of goods and services spend or plan to spend; also called aggregate expenditures. |
| Total supply |
: |
The supply schedule or the supply curve of all sellers of a good or service; also called market supply. |
| Total utility |
: |
The total amount of satisfaction derived from the consumption of a single product or a combination of products. |
| Totalitarianism |
: |
Form of government in which one person or political party exercises absolute control over all spheres of human life and opposing political parties are prohibited. |
| Total-revenue test |
: |
A test to determine elasticity of demand between any two prices |
| Township and village enterprises |
: |
Privately owned rural manufacturing firms in China. |
| Trade acceptance |
: |
A draft similar to a banker’s acceptance, the difference being that no bank is involved. The exporter presents the draft to the importer for its acceptance to pay the amount stated at a fixed future date. |
| Trade balance |
: |
The export of goods (or goods and services) of a nation less its imports of goods (or goods and services). |
| Trade bloc |
: |
A group of countries with special trading rules among them, such as the EU. |
| Trade bloc |
: |
A group of nations that lower or abolish trade barriers among members. Examples include the European Union and the nations of the North American Free Trade Agreement. |
| Trade controls |
: |
Tariffs, export subsidies, import quotas, and other means a nation may employ to reduce imports and expand exports. |
| Trade creation |
: |
Trade created due to regional economic integration; occurs when high-cost domestic producers are replaced by low-cost foreign producers in a free trade area. |
| Trade credit |
: |
Credit extended to a business by its suppliers. |
| Trade deficit |
: |
The current account of the balance of payments is in deficit when a country imports more goods and services than it exports. |
| Trade deficit |
: |
The amount by which a nation’s imports of goods (or goods and services) exceed its exports of goods (or goods and services). |
| Trade deficit/surplus |
: |
A trade deficit is an excess of merchandise imports over exports. A trade surplus is the opposite. |
| Trade diversion |
: |
Trade diverted due to regional economic integration; occurs when low-cost foreign suppliers outside a free trade area are replaced by higher-cost foreign suppliers in a free trade area. |
| Trade fair |
: |
A large exhibition generally held periodically at the same place and time at which companies maintain booths to promote the sale of their products. |
| Trade mission |
: |
Group of businesspeople, government officials (state and federal), or both that visits a foreign market in search of business opportunities. |
| Trade promotion authority |
: |
Authority of the president to negotiate trade deals with other countries and present them to Congress for approval or rejection without amendment. |
| Trade Related Aspects of Intellectual Property Rights |
: |
WTO agreement overseeing stricter intellectual property regulations. |
| Trade surplus |
: |
The current account of the balance of payments is in surplus when a country exports more goods and services than it imports. |
| Trade surplus |
: |
The amount by which a nation’s exports of goods (or goods and services) exceed its imports of goods (or goods and services). |
| Trademark |
: |
Designs and names, often officially registered, by which merchants or manufacturers designate and differentiate their products. |
| Trademark |
: |
A legal protection that gives the originators of a product an exclusive right to use the brand name. |
| Trademark |
: |
A name or symbol that identifies a project and is officially registered, limiting the use of that name or symbol to the owner of the trademark. |
| Tradeoff |
: |
The sacrifice of some or all of one economic goal, good, or service to achieve some other goal, good, or service. |
| Trading at a discount |
: |
When a currency costs less in the forward market than the spot cost. |
| Trading at a premium |
: |
When a currency costs more in the forward market than the spot cost. |
| Trading companies |
: |
Firms that develop international trade and serve as intermediaries between foreign buyers and domestic sellers, and vice versa. |
| Trading possibilities line |
: |
A line that shows the different combinations of two products that an economy is able to obtain (consume) when it specializes in the production of one product and trades (exports) it to obtain the other product. |
| Traditional economy |
: |
An area in a most rudimentary state. In such an economy, the people are typically nomadic, agriculture is at a bare subsistence level, and industry is virtually nonexistent. |
| Traditional hostilities |
: |
When nations, races, or religions have been in conflict for long periods. |
| Traditional mass media communications |
: |
One of the categories of market communications. Consists of television (network, cable, and local), print media (including high circulation newspapers and magazines), and national and local radio. |
| Training |
: |
The process of altering employee behavior and attitudes in a way that increases the probability of goal attainment. |
| Transaction costs |
: |
The costs of exchange. |
| Transaction exposure |
: |
The extent to which income from individual transactions is affected by fluctuations in foreign exchange values. |
| Transaction risk |
: |
The risk run in international trade that changes in relative currency values will cause losses. |
| Transactional leaders |
: |
Individuals who exchange rewards for effort and performance and work on a “something for something” basis. |
| Transactional leadership |
: |
Leadership that helps organizations achieve their current objectives more efficiently, such as linking job performance to valued rewards and ensuring that employees have the resources needed to get the job done. |
| Transactional leadership |
: |
Focuses on interpersonal interactions between managers and employees. |
| Transactions demand for money |
: |
The amount of money people want to hold for use as a medium of exchange (to make payments); varies directly with the nominal GDP. |
| Transfer fee |
: |
A bank charge for moving cash from one location to another. |
| Transfer payment |
: |
A payment of money (or goods and services) by a government to a household or firm for which the payer receives no good or service directly in return. |
| Transfer price |
: |
The price at which goods and services are transferred between subsidiary companies of a corporation. |
| Transfer price |
: |
The price charged by one unit of an IC for goods or services that it sells to another unit of the same IC. |
| Transfer risks |
: |
Government policies that limit the transfer of capital, payments, production, people, and technology in and out of the country. |
| Transformational leaders |
: |
Leaders who are visionary agents with a sense of mission and who are capable of motivating their followers to accept new goals and new ways of doing things. |
| Transformational leadership |
: |
A leadership perspective that explains how leaders change teams or organizations by creating, communicating, and modeling a vision for the organization or work unit, and inspiring employees to strive for that vision. |
| Transition strategies |
: |
Strategies used to help smooth the adjustment from an overseas to a stateside assignment. |
| Translation exposure |
: |
The extent to which the reported consolidated results and balance sheets of a corporation are affected by fluctuations in foreign exchange values. |
| Translation risk |
: |
The apparent losses or gains that can result from the restatement of values from one currency into another, even if there are no transactions, when the currencies change in value relative to each other. Translation risks are common with long-term foreign |
| Transmission Control Protocol (TCP) |
: |
Software that ensures the safe and reliable transfer of data. |
| Transnational corporation |
: |
A firm that tries to simultaneously realize gains from experience curve economies, location economies, and global learning, while remaining locally responsive. |
| Transnational corporations (TNCs) |
: |
Multinational corporations that view the world as one giant market. |
| Transnational financial reporting |
: |
The need for a firm headquartered in one country to report its results to citizens of another country. |
| Transnational network structure |
: |
A multinational structural arrangement that combines elements of function, product, and geographic designs, while relying on a network arrangement to link worldwide subsidiaries. |
| Transnational strategy |
: |
Plan to exploit experience-based cost and location economies, transfer core competencies with the firm, and pay attention to local responsiveness. |
| Transnationals |
: |
Used by the UN and some others to connote organizations variously called global, multinational, worldwide companies, or ICs. |
| Trapped value |
: |
Untapped market potential that can be unlocked by creating more efficient markets or more efficient value systems, enabling easier access, or disrupting current pricing power. |
| Treaty of Rome |
: |
The 1957 treaty that established the European Community. |
| Treaty of Rome |
: |
Established the EU. |
| Trend analysis |
: |
Statistical technique by which successive observations of a variable at regular time intervals are analyzed for the purpose of establishing regular patterns used for establishing future values. |
| Tribal totalitarianism |
: |
A political system in which a party, group, or individual that represents the interests of a particular tribe (ethnic group) monopolizes political power. |
| Trust |
: |
A psychological state comprising the intention to accept vulnerability based upon positive expectations of the intent or behavior of another person. |
| Trust |
: |
A psychological state comprising the intention to accept vulnerability based upon positive expectations of the intent or behavior of another person. |
| Trust |
: |
Reciprocal faith in others’ intentions and behavior. |
| Trusting behavior |
: |
Activities that consumers pursue when they trust a website, such as purchasing or selling goods, banking, obtaining health information, using e-mail or instant messaging, and joining and participating in communities that include the exchange of personal |
| Turnkey project |
: |
A project in which a firm agrees to set up an operating plant for a foreign client and hand over the “key” when the plant is fully operational. |
| Twin plants |
: |
Along the Mexican–American border, the plant on the U.S. side does the high-tech, capital-intensive part of production, while the Mexican plant, also called a maquiladora, does the labor intensive part. |
| Two-factor theory of motivation |
: |
A theory that holds there are two sets of factors that influence job satisfaction |
| Tying contract |
: |
A requirement imposed by a seller that a buyer purchase another (or other) of its products as a condition for buying a desired product; a practice forbidden by the Clayton Act. |
| Type A behavior pattern |
: |
A behavior pattern associated with people having premature coronary heart disease; type As tend to be impatient, lose their temper, talk rapidly, and interrupt others. |
| Type A behavior pattern |
: |
Aggressively involved in a chronic, determined struggle to accomplish more in less time. |
| Type B behavior pattern |
: |
A behavior pattern associated with people having a low risk of coronary heart disease; type Bs tend to work steadily, take a relaxed approach to life, and be eventempered. |
