Question 1

Exporting is an entry strategy involving the sale of products or services to customers located abroad.

Accepted Answer

A) True 
 B)False

Question 2

Each of the following has contributed to the rapid integration of world economies EXCEPT ________.

Accepted Answer

A)  the growth of emerging market countries 
B)  the increase in trade barriers 
C)  advances in information technology 
D)  the liberalization of markets 
A)  the growth of emerging market countries 
B)  the increase in trade barriers 
C)  advances in information technology 
D)  the liberalization of markets

Question 3

International Trade Summit (Scenario)
An international trade summit is held in Geneva, Switzerland. The purpose of the summit is to cooperatively develop policies that promote international trade. Representatives from 50 different countries attend the summit.
-One of the attendees represents a leading nation in the international merchandise trade. This attendee is most likely from which of the following countries?

Accepted Answer

A)  New Zealand 
B)  Germany 
C)  Kenya 
D)  Saudi Arabia 
A)  New Zealand 
B)  Germany 
C)  Kenya 
D)  Saudi Arabia

Question 4

Which of the following is another term for importing?

Accepted Answer

A)  capital investment 
B)  supply side development 
C)  global sourcing 
D)  unilateral procurement 
A)  capital investment 
B)  supply side development 
C)  global sourcing 
D)  unilateral procurement

Question 5

What is international business, and how has it transformed the world economy?

Accepted Answer

International business refers to the per

Question 6

Which of the following, if true, would most strongly support the claim that national prosperity is increased by participation in international business?

Accepted Answer

A)  Countries that participate in international trade have higher GDPs than non-participating countries. 
B)  Individuals in advanced economies tend to set purchasing trends for consumers worldwide. 
C)  For most countries, levels of international trade have increased significantly in recent decades. 
D)  National literacy levels are strongly correlated with a country's degree of political freedom. 
A)  Countries that participate in international trade have higher GDPs than non-participating countries. 
B)  Individuals in advanced economies tend to set purchasing trends for consumers worldwide. 
C)  For most countries, levels of international trade have increased significantly in recent decades. 
D)  National literacy levels are strongly correlated with a country's degree of political freedom.

Question 7

In a short essay, discuss how international firms manage the four types of international business risk. Provide an example that illustrates the process of risk management.

Accepted Answer

International business risks cannot be a

Question 8

Which of the following would NOT be considered an example of foreign direct investment (FDI)?

Accepted Answer

A)  cross-border purchase of a textile plant 
B)  cross-border purchase of stocks 
C)  purchase of capital assets of a foreign company 
D)  purchase of foreign land for business operations 
A)  cross-border purchase of a textile plant 
B)  cross-border purchase of stocks 
C)  purchase of capital assets of a foreign company 
D)  purchase of foreign land for business operations

Question 9

In a short essay, identify three sectors in the service industry that are internationalizing rapidly. Explain the types of activities conducted within each sector, and provide examples of three companies that operate in each.

Accepted Answer

a. Architectural, construction, and engi

Question 10

A country's economic assets are also known as factors of production.

Accepted Answer

A) True 
 B)False

Question 11

Services are the fastest growing sector in international trade.

Accepted Answer

A) True 
 B)False

Question 12

In a short essay, explain the meaning of international trade. Describe the two major forms through which international trade takes place. Explain the relationship between international trade and national prosperity and provide examples to illustrate this relationship.

Accepted Answer

International trade refers to exchange o

Question 13

MNEs with extensive international operations tend to focus mainly on downstream activities such as marketing in foreign countries.

Accepted Answer

A) True 
 B)False

Question 14

Freehold Investment Corp. (Scenario)
Dan Freehold and his business partner, Bethany Quinn, are successful investors engaged in a variety of enterprises. Recently Dan and Bethany have decided to expand their foreign investing operations. They hold a meeting for individuals interested in participating in certain overseas ventures.
-Dan discusses an investment opportunity that involves the purchase of selected securities from the Chinese stock market. This opportunity represents which type of international investment?

Accepted Answer

A)  indirect production 
B)  international portfolio 
C)  foreign direct 
D)  domestic securities 
A)  indirect production 
B)  international portfolio 
C)  foreign direct 
D)  domestic securities

Question 15

________ is the total value of products and services produced in a country over the course of a year.

Accepted Answer

A)  GDP 
B)  CAD 
C)  FDI 
D)  PPP 
A)  GDP 
B)  CAD 
C)  FDI 
D)  PPP

Exporting is an entry strategy involving the sale of products or services to customers located abroad.

Each of the following has contributed to the rapid integration of world economies EXCEPT ________.

Which of the following is another term for importing?

What is international business, and how has it transformed the world economy?

Which of the following, if true, would most strongly support the claim that national prosperity is increased by participation in international business?

In a short essay, discuss how international firms manage the four types of international business risk. Provide an example that illustrates the process of risk management.

Which of the following would NOT be considered an example of foreign direct investment (FDI)?

In a short essay, identify three sectors in the service industry that are internationalizing rapidly. Explain the types of activities conducted within each sector, and provide examples of three companies that operate in each.

A country's economic assets are also known as factors of production.

Services are the fastest growing sector in international trade.

In a short essay, explain the meaning of international trade. Describe the two major forms through which international trade takes place. Explain the relationship between international trade and national prosperity and provide examples to illustrate this relationship.

MNEs with extensive international operations tend to focus mainly on downstream activities such as marketing in foreign countries.

________ is the total value of products and services produced in a country over the course of a year.

Globalization of Markets and the Internationalization of the Firm

Organizational Participants That Make International Business Happen

The Cultural Environment of International Business

Ethics and International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention in International Business

Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Countertrade

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Global Sourcing

Marketing in the Global Firm

Human Resource Management in the Global Firm

Financial Management and Accounting in the Global Firm

Filters

Exam 1: Introduction: What Is International Business

Exporting is an entry strategy involving the sale of products or services to customers located abroad.

Each of the following has contributed to the rapid integration of world economies EXCEPT ________.

Which of the following is another term for importing?

What is international business, and how has it transformed the world economy?

Which of the following, if true, would most strongly support the claim that national prosperity is increased by participation in international business?

In a short essay, discuss how international firms manage the four types of international business risk. Provide an example that illustrates the process of risk management.

Which of the following would NOT be considered an example of foreign direct investment (FDI)?

In a short essay, identify three sectors in the service industry that are internationalizing rapidly. Explain the types of activities conducted within each sector, and provide examples of three companies that operate in each.

A country's economic assets are also known as factors of production.

Services are the fastest growing sector in international trade.

In a short essay, explain the meaning of international trade. Describe the two major forms through which international trade takes place. Explain the relationship between international trade and national prosperity and provide examples to illustrate this relationship.

MNEs with extensive international operations tend to focus mainly on downstream activities such as marketing in foreign countries.

________ is the total value of products and services produced in a country over the course of a year.

Globalization of Markets and the Internationalization of the Firm

Organizational Participants That Make International Business Happen

The Cultural Environment of International Business

Ethics and International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention in International Business

Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Countertrade

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Global Sourcing

Marketing in the Global Firm

Human Resource Management in the Global Firm

Financial Management and Accounting in the Global Firm

Filters