Question 1

According to the monopolistic theory the two sources of advantages are superior knowledge and economies of scale.

Accepted Answer

A) True 
 B)False

Question 2

US manufacturer's are more likely to invest in high wages than countries with low wages according to the Conference Board.

Accepted Answer

A) True 
 B)False

Question 3

Which investment occurs when a firm invests directly in projection or other facilities in a foreign country over which they have effective control?

Accepted Answer

A)  foreign direct investment (FDI) 
B)  foreign portfolio investment (FPI) 
C)  domestic indirect investment 
D)  none of the above 
A)  foreign direct investment (FDI) 
B)  foreign portfolio investment (FPI) 
C)  domestic indirect investment 
D)  none of the above

Question 4

Core competence is skills within the firm that competitors can easily match or imitate.

Accepted Answer

A) True 
 B)False

Question 5

Moral hazard refers to hidden detrimental action of external partners such as suppliers, buyers, and join venture partners.

Accepted Answer

A) True 
 B)False

Question 6

Inward FDI Potential Index is based on

Accepted Answer

A)  several economic variables indicating a country's investment infrastructure and growth potential for domestic businesses. 
B)  several economic variables indicating a country's investment infrastructure and growth potential for foreign businesses. 
C)  the ratio of a country's share in global FDI outflows to its share in world GDP 
D)  none of the above. 
A)  several economic variables indicating a country's investment infrastructure and growth potential for domestic businesses. 
B)  several economic variables indicating a country's investment infrastructure and growth potential for foreign businesses. 
C)  the ratio of a country's share in global FDI outflows to its share in world GDP 
D)  none of the above.

Question 7

An example of _____ is that McDonald's overseas success had been built on the firm's ability to rapidly transfer the capacity to operate its entire complex business system to foreign entrepreneurs.

Accepted Answer

A)  location advantages 
B)  culture advantages 
C)  transferability 
D)  none of the above 
A)  location advantages 
B)  culture advantages 
C)  transferability 
D)  none of the above

According to the monopolistic theory the two sources of advantages are superior knowledge and economies of scale.

US manufacturer's are more likely to invest in high wages than countries with low wages according to the Conference Board.

Which investment occurs when a firm invests directly in projection or other facilities in a foreign country over which they have effective control?

Core competence is skills within the firm that competitors can easily match or imitate.

Moral hazard refers to hidden detrimental action of external partners such as suppliers, buyers, and join venture partners.

Inward FDI Potential Index is based on

An example of _____ is that McDonald's overseas success had been built on the firm's ability to rapidly transfer the capacity to operate its entire complex business system to foreign entrepreneurs.

International Business in an Age of Globalization

International Trade Theory and Application

The Multinational Enterprise

Country Competitiveness

The Cultural Environment

The Political and Legal Environment

International Economic Integration and Institutions

The International Monetary System and Financial Markets

International Entry Strategies

Mne Organization Structure and Design

Building and Managing Global Strategic Alliances Gsas

Managing Global Research and Development Rd

Financial Management for Global Operations

International Accounting for Global Operations

Global Marketing and Supply Chain

Global Human Resource Management

Internet and Global E-Commerce

Social Responsibility and Corruption in the Global Marketplace

International Entrepreneurship

Filters

Exam 3: Foreign Direct Investment Theory and Application

According to the monopolistic theory the two sources of advantages are superior knowledge and economies of scale.

US manufacturer's are more likely to invest in high wages than countries with low wages according to the Conference Board.

Which investment occurs when a firm invests directly in projection or other facilities in a foreign country over which they have effective control?

Core competence is skills within the firm that competitors can easily match or imitate.

Moral hazard refers to hidden detrimental action of external partners such as suppliers, buyers, and join venture partners.

Inward FDI Potential Index is based on

An example of _____ is that McDonald's overseas success had been built on the firm's ability to rapidly transfer the capacity to operate its entire complex business system to foreign entrepreneurs.

International Business in an Age of Globalization

International Trade Theory and Application

The Multinational Enterprise

Country Competitiveness

The Cultural Environment

The Political and Legal Environment

International Economic Integration and Institutions

The International Monetary System and Financial Markets

International Entry Strategies

Mne Organization Structure and Design

Building and Managing Global Strategic Alliances Gsas

Managing Global Research and Development Rd

Financial Management for Global Operations

International Accounting for Global Operations

Global Marketing and Supply Chain

Global Human Resource Management

Internet and Global E-Commerce

Social Responsibility and Corruption in the Global Marketplace

International Entrepreneurship

Filters