Exam 1: An Overview of International Business

Which of the following is a primary reason that firms acquire resources and supplies from other countries?

Selling products made in one's own country for use or resale in other countries is known as importing.

The International Olympic Committee is a multinational enterprise.

Individuals should most likely study international business to ________.

What is a core competency? How do firms benefit from their core competencies?

Emerging markets include countries such as the United States and Britain that are leading the globalization charge.

Kraft purchased all of the common stock of Cadbury PLC. This is an example of ________.

Walt Disney permits a German clothing manufacturer to market children's pajamas embroidered with Mickey Mouse in return for a percentage of company sales. This is an example of ________.

International nonprofit organizations are called ________.

International licensing occurs when a firm in one country authorizes a firm in another country to use its operating systems, brand name, trademark, and logo in return for a royalty payment.

Just-in-time systems were created in ________.

The primary benefit of worldwide partnership is the right to use the Olympic logo on all advertising by the sponsor.

Trade between nations can be traced back as far as ________.

What types of business activities are undertaken by MNCs?

International business is more complex than domestic business.

Globalization has allowed firms to expand into markets that, until recently, were insulated from the international marketplace.

Which of the following is the most likely reason that firms globalize?

Since World War II changes in two key areas have facilitated significant international expansion by firms. What are the two key areas of change?

The World Trade Organization is the successor to the General Agreement on Tariffs and Trade.

The ratio of international trade to economic activity has ________ since 1950.