Exam 3: Exploring Global Business

An international organization that includes the United States and several other countries and whose goal is to reduce or eliminate tariffs and other barriers to world trade is commonly referred to as GATT.

Political considerations usually are involved in a country's decision to impose a trade embargo.

An unfavorable trade balance is called a(n) _____.

____ is a contractual agreement where one firm gives another permission to produce and market its product and brand name in exchange for a fee.

The United States wishes to import no more than 100 million tons of sugar from India in any given year.The type of import restriction it should impose is a(n) _____.

At present, the United States has an embargo against North Korea because

If Procter & Gamble and Reckitt & Colman, makers of Lysol, form a partnership to develop and distribute a disinfectant line of laundry detergent, the partnership would be a(n) _____.

Which of the following provides assistance and information to exporters through its domestic and overseas commercial officers?

The United States is a member of the ____, which is the successor to GATT.

What are different methods of entering international markets? Which methods require the least and the most degree of involvement in international business?

Landing Service Landing Service is a lawn furniture company that has been around for many years.It is known for its ability to produce furniture more efficiently than any other company in the nation.In truth, no other companies in any other nation come close.Landing Service has shipped many of its products internationally.In fact, 80 percent of its profits come from international sales.However, the Italian government has imposed a tax on imported furniture items to protect local companies.The Brazilian government, on the other hand, has imposed taxes on Landing Service products due to the government wanting a piece of the pie. Landing Service initially thought that these taxes were unfair because it was being singled out.However, after Landing Service contacted the organization that had the power to mediate this situation, the furniture company realized that the taxation it was subjected to was legal and that there was nothing it could do about it. -Refer to Landing Service.The Landing Service is mostly engaged in _____.

Strategic alliances are partnerships formed to create competitive advantage on a worldwide basis.

How was the World Trade Organization (WTO) created? Why was it established?

The United States bans Cuban cigars and other Cuban products from entering the United States due to political difficulties.This action is called a(n) _____.

An international bank that makes short-term loans to countries experiencing balance-of-payment deficits is called a multilateral development bank.

Which of the following scenarios would not be considered international business?

Suppose France imposes a tax on agricultural products from the United States to help its own farmers.This describes a(n) _____.

Most trading companies are involved in manufacturing or owning assets related to manufacturing.

The four largest gold-producing countries in the world want to form a collective- bargaining unit to provide gold-producing nations with some control of gold prices.These nations will most likely model the unit along the _____.

In addition to political considerations, which of the following are reasons for trade restrictions?