Question 1

The five major families of law include all but which of the following?

Accepted Answer

A)  common 
B)  Romano-Germanic 
C)  Islamic 
D)  Asian-Pacific 
A)  common 
B)  Romano-Germanic 
C)  Islamic 
D)  Asian-Pacific D

Question 2

Which of the following statements is true of the World Trade Organization?

Accepted Answer

A)  Member states have a common tariff barrier against nonmembers. 
B)  It is intended to create a common market. 
C)  All members are obligated to harmonize their trade laws or face sanctions. 
D)  It establishes guidelines for multinational corporations when operating in developed and developing countries. 
A)  Member states have a common tariff barrier against nonmembers. 
B)  It is intended to create a common market. 
C)  All members are obligated to harmonize their trade laws or face sanctions. 
D)  It establishes guidelines for multinational corporations when operating in developed and developing countries. C

Question 3

Which of the following allows a government expropriating foreign-owned private property to claim that the jurisdiction of courts in the owner's country do not apply to it because it is a government rather than a private-sector entity?

Accepted Answer

A)  bilateral investment treaty 
B)  act-of-state doctrine 
C)  sovereign immunity doctrine 
D)  joint venture 
A)  bilateral investment treaty 
B)  act-of-state doctrine 
C)  sovereign immunity doctrine 
D)  joint venture C

Question 4

Countries that follow law organize their legal systems around legal codes rather than around cases, regulations, and precedents.

Accepted Answer

A)  Romano-Germanic 
B)  common 
C)  civil 
D)  criminal 
A)  Romano-Germanic 
B)  common 
C)  civil 
D)  criminal

Question 5

What impact has the World Trade Organization (WTO) had on corporate investment decision making?

Accepted Answer

The WTO pact makes it less risky for mul

Question 6

Which of the following statements is true about Hindu law?

Accepted Answer

A)  It is based on writings of the Positivist School that date from the Thirteenth Century. 
B)  It is based on a belief in the collectivization of agricultural property. 
C)  It is linked to the revelation of the Vedas, a collection of religious songs and prayers. 
D)  It is essentially nonreligious and impersonal, basing its fundamental teaching on objective reasoning and logic. 
A)  It is based on writings of the Positivist School that date from the Thirteenth Century. 
B)  It is based on a belief in the collectivization of agricultural property. 
C)  It is linked to the revelation of the Vedas, a collection of religious songs and prayers. 
D)  It is essentially nonreligious and impersonal, basing its fundamental teaching on objective reasoning and logic.

Question 7

In many countries, Islamic law, as encoded in the Shari'a, exists alongside the secular law.

Accepted Answer

A) True 
 B)False

Question 8

refers to contractual agreement by which a company makes its trade secrets, trademarks, patents, or copyrights available to a foreign individual or company in return either for royalties or for other compensation based on the volume of goods sold or a lump sum.

Accepted Answer

A)  International licensing 
B)  Expropriation 
C)  International franchising 
D)  Foreign direct investment 
A)  International licensing 
B)  Expropriation 
C)  International franchising 
D)  Foreign direct investment

Question 9

Gender- and family-based affiliations are examples of acquired group membership.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is subject to export controls?

Accepted Answer

A)  goods related to a licensing agreement 
B)  militarily sensitive goods 
C)  goods related to a franchising agreement 
D)  intellectual property 
A)  goods related to a licensing agreement 
B)  militarily sensitive goods 
C)  goods related to a franchising agreement 
D)  intellectual property

Question 11

Culture may be defined as learned norms of a society that are based on values, beliefs, and attitudes.

Accepted Answer

A) True 
 B)False

Question 12

is a dispute resolution process whereby parties submit their disagreements to a private individual decision maker they have agreed on or to a panel of decision makers whose selection has been provided for in the contract the parties signed.

Accepted Answer

A)  Prosecution 
B)  Mediation 
C)  Litigation 
D)  Arbitration 
A)  Prosecution 
B)  Mediation 
C)  Litigation 
D)  Arbitration

Question 13

The planned to create a "common market" of 400 million people and $4 trillion worth of goods.

Accepted Answer

A)  World Trade Organization 
B)  North American Free Trade Agreement 
C)  European Union 
D)  Mercado Commun del Ser Mercosul 
A)  World Trade Organization 
B)  North American Free Trade Agreement 
C)  European Union 
D)  Mercado Commun del Ser Mercosul

Question 14

Discuss the five major "families" of law.

Accepted Answer

The five major families of law are: a) c

Question 15

The holds that each nation is bound to respect the independence of every other sovereign state and that the courts of one nation will not sit in judgment on the acts of the courts of another nation.

Accepted Answer

A)  Single European Act 
B)  sovereign immunity doctrine 
C)  act-of-state doctrine 
D)  Maastricht Treaty 
A)  Single European Act 
B)  sovereign immunity doctrine 
C)  act-of-state doctrine 
D)  Maastricht Treaty

Question 16

Arbitration clauses in contracts involving international business transactions should include all but which of the following?

Accepted Answer

A)  what law will govern the arbitration 
B)  where and when the arbitration will take place 
C)  how the expenses of arbitration will be shared 
D)  whether a judge or jury will render a verdict in the arbitration 
A)  what law will govern the arbitration 
B)  where and when the arbitration will take place 
C)  how the expenses of arbitration will be shared 
D)  whether a judge or jury will render a verdict in the arbitration

Question 17

Which of the following scenarios best illustrates a franchise?

Accepted Answer

A)  The owner of a coffee plantation agrees to export coffee beans to stores in Italy. 
B)  An automobile manufacturer imports materials required for car manufacture from a distributor in Canada. 
C)  An online merchandising company builds a warehouse in Great Britain. 
D)  A fast food restaurant permits a business owner in Belgium to operate a restaurant that uses its trademark. 
A)  The owner of a coffee plantation agrees to export coffee beans to stores in Italy. 
B)  An automobile manufacturer imports materials required for car manufacture from a distributor in Canada. 
C)  An online merchandising company builds a warehouse in Great Britain. 
D)  A fast food restaurant permits a business owner in Belgium to operate a restaurant that uses its trademark.

Question 18

The theory of comparative advantage states that an individual nation should concentrate on exporting the goods that it can produce most efficiently.

Accepted Answer

A) True 
 B)False

Question 19

There exists a single international court and legal system capable of resolving all commercial disputes between private parties.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is true of the cultural dimensions in different countries?

Accepted Answer

A)  Gender- and family-based affiliations are important in Saudi Arabia, where a strict interpretation of Islam prevents women from playing a major role in business. 
B)  The hourly wage is higher in the United States than it is in Germany, meaning that the workforce is able to acquire more consumer goods in Germany. 
C)  The Iranian government supports the selling of satellite communications in Iran, even though they present decadent Western values. 
D)  Spanish is the national language of Brazil, but is not widely spoken in the rest of Latin America. 
A)  Gender- and family-based affiliations are important in Saudi Arabia, where a strict interpretation of Islam prevents women from playing a major role in business. 
B)  The hourly wage is higher in the United States than it is in Germany, meaning that the workforce is able to acquire more consumer goods in Germany. 
C)  The Iranian government supports the selling of satellite communications in Iran, even though they present decadent Western values. 
D)  Spanish is the national language of Brazil, but is not widely spoken in the rest of Latin America.

Exam 8: The International Legal Environment of Business

The five major families of law include all but which of the following?

Which of the following statements is true of the World Trade Organization?

Which of the following allows a government expropriating foreign-owned private property to claim that the jurisdiction of courts in the owner's country do not apply to it because it is a government rather than a private-sector entity?

Countries that follow law organize their legal systems around legal codes rather than around cases, regulations, and precedents.

What impact has the World Trade Organization (WTO) had on corporate investment decision making?

Which of the following statements is true about Hindu law?

In many countries, Islamic law, as encoded in the Shari'a, exists alongside the secular law.

refers to contractual agreement by which a company makes its trade secrets, trademarks, patents, or copyrights available to a foreign individual or company in return either for royalties or for other compensation based on the volume of goods sold or a lump sum.

Gender- and family-based affiliations are examples of acquired group membership.

Which of the following is subject to export controls?

Culture may be defined as learned norms of a society that are based on values, beliefs, and attitudes.

is a dispute resolution process whereby parties submit their disagreements to a private individual decision maker they have agreed on or to a panel of decision makers whose selection has been provided for in the contract the parties signed.

The planned to create a "common market" of 400 million people and $4 trillion worth of goods.

Discuss the five major "families" of law.

The holds that each nation is bound to respect the independence of every other sovereign state and that the courts of one nation will not sit in judgment on the acts of the courts of another nation.

Arbitration clauses in contracts involving international business transactions should include all but which of the following?

Which of the following scenarios best illustrates a franchise?

The theory of comparative advantage states that an individual nation should concentrate on exporting the goods that it can produce most efficiently.

There exists a single international court and legal system capable of resolving all commercial disputes between private parties.

Which of the following is true of the cultural dimensions in different countries?

Critical Thinking and Legal Reasoning

Introduction to Law and the Legal Environment of Business

The American Legal System

Alternative Tools of Dispute Resolution

Constitutional Principles

White-Collar Crime and the Business Community

Ethics, Social Responsibility, and the Business Manager

The Law of Contracts and Sales I

The Law of Contracts and Sales Ii

The Law of Torts

Product and Service Liability Law

Law of Property: Real and Personal

Intellectual Property

Agency Law

Law and Business Associations I

Law and Business Associations II

The Law of Administrative Agencies

The Employment Relationship and Immigration Laws

Laws Governing Labor-Management Relations

Employment Discrimination

Environmental Law

Rules Governing the Issuance and Trading of Securities

Antitrust Laws

Laws of Debtor-Creditor Relations and Consumer Protection

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