Question 1

What are products that are created domestically and transported for sale abroad?

Accepted Answer

A)  dumped goods 
B)  exports 
C)  imports 
D)  buy backs 
E)  domestic goods 
A)  dumped goods 
B)  exports 
C)  imports 
D)  buy backs 
E)  domestic goods

Question 2

The value of the U.S. dollar relative to the value of the British pound fluctuates with market conditions. What is this type of exchange rate?

Accepted Answer

A)  floating 
B)  fixed 
C)  indexed 
D)  adjusted 
E)  monitored 
A)  floating 
B)  fixed 
C)  indexed 
D)  adjusted 
E)  monitored

Question 3

Which of the following refers to the practice of selling a product abroad for less than the cost of production?

Accepted Answer

A)  exporting 
B)  importing 
C)  dumping 
D)  safeguarding 
E)  offshoring 
A)  exporting 
B)  importing 
C)  dumping 
D)  safeguarding 
E)  offshoring

Question 4

Which of the following, if True, would strengthen the argument for venturing into the Chinese market?

Accepted Answer

A)  The affluent Chinese middle class is large and is quick to adopt western lifestyles and product preferences. 
B)  Growth in the United States cereal market continues to be strong. 
C)  The Chinese fixed exchange rate regime may change, which could mean a stronger Yuan that would affect Chinese exports. 
D)  Chinese food preferences are very slow to evolve. 
E)  China recently signed a free-trade agreement with the Association of Southeast Asian Nations (ASEAN). 
A)  The affluent Chinese middle class is large and is quick to adopt western lifestyles and product preferences. 
B)  Growth in the United States cereal market continues to be strong. 
C)  The Chinese fixed exchange rate regime may change, which could mean a stronger Yuan that would affect Chinese exports. 
D)  Chinese food preferences are very slow to evolve. 
E)  China recently signed a free-trade agreement with the Association of Southeast Asian Nations (ASEAN).

Question 5

Which of the following best describes a positive trade balance?

Accepted Answer

A)  the economic condition in which a country's exports exceed its imports 
B)  the economic condition in which a country's imports exceed its exports 
C)  the economic condition in which a country's inflow of money exceeds its outflow 
D)  the economic condition in which a country's outflow of money exceeds its inflow 
E)  the economic condition in which a country's natural resources exceed its human resources 
A)  the economic condition in which a country's exports exceed its imports 
B)  the economic condition in which a country's imports exceed its exports 
C)  the economic condition in which a country's inflow of money exceeds its outflow 
D)  the economic condition in which a country's outflow of money exceeds its inflow 
E)  the economic condition in which a country's natural resources exceed its human resources

Question 6

Which of the following denotes a government order forbidding exportation and/or importation of a particular product from a particular country?

Accepted Answer

A)  tariff 
B)  embargo 
C)  subsidy 
D)  local content law 
E)  business practice law 
A)  tariff 
B)  embargo 
C)  subsidy 
D)  local content law 
E)  business practice law

Question 7

Which of the following denotes the international organization strategy of finding a partner in the country in which a company would like to conduct business?

Accepted Answer

A)  opening a branch office 
B)  developing a strategic alliance 
C)  forming an independent agency 
D)  outsourcing 
E)  investing directly in a foreign venture 
A)  opening a branch office 
B)  developing a strategic alliance 
C)  forming an independent agency 
D)  outsourcing 
E)  investing directly in a foreign venture

Question 8

One of Derrido's sales executives suggests that Derrido's particular type of business enables a contractual relationship to be an especially suitable way for the company to market its products internationally. Which of the following, if True, would strengthen this position?

Accepted Answer

A)  Contractual relationships allow an originating firm to make the most use of local talent. 
B)  Contractual relationships cannot capture unpredictable future contingencies. 
C)  Contractual relationships are often cross-culturally contentious. 
D)  Derrido would not be undertaking large-scale production or shipping operations. 
E)  Derrido is a large company with ample staff and resources at its disposal. 
A)  Contractual relationships allow an originating firm to make the most use of local talent. 
B)  Contractual relationships cannot capture unpredictable future contingencies. 
C)  Contractual relationships are often cross-culturally contentious. 
D)  Derrido would not be undertaking large-scale production or shipping operations. 
E)  Derrido is a large company with ample staff and resources at its disposal.

Question 9

Which of the following refers to tariffs that are imposed strictly to raise money for the government?

Accepted Answer

A)  revenue tariffs 
B)  protectionist tariffs 
C)  quota tariffs 
D)  subsidy tariffs 
E)  labor tariffs 
A)  revenue tariffs 
B)  protectionist tariffs 
C)  quota tariffs 
D)  subsidy tariffs 
E)  labor tariffs

Question 10

South Africa produces diamonds more cheaply and of higher quality than any other country; this is an example of absolute advantage.

Accepted Answer

A) True 
 B)False

Question 11

When the value of one country's currency relative to that of another varies with market conditions, which of the following exists?

Accepted Answer

A)  floating exchange rate 
B)  fixed exchange rate 
C)  indexed exchange rate 
D)  flat exchange rate 
E)  balanced exchange rate 
A)  floating exchange rate 
B)  fixed exchange rate 
C)  indexed exchange rate 
D)  flat exchange rate 
E)  balanced exchange rate

Question 12

Other than a quota, embargo, or tariff, what legal barriers might the United States use to discourage the importation of cell phones?

Accepted Answer

Congress might consider a subsidy progra

Question 13

In which international organization structure does a firm have greatest control over foreign activities?

Accepted Answer

A)  exporting arrangements 
B)  strategic alliances 
C)  branch offices 
D)  licensing arrangements 
E)  independent agents 
A)  exporting arrangements 
B)  strategic alliances 
C)  branch offices 
D)  licensing arrangements 
E)  independent agents

Question 14

National competitive advantage derives from four conditions, one of which is factor conditions. What do factor conditions include?

Accepted Answer

A)  customers, suppliers, and labor 
B)  government quotas and subsidies 
C)  product quality, productivity, and profits 
D)  labor, capital, entrepreneurs, and physical resources 
E)  strategies, structures, and rivalries 
A)  customers, suppliers, and labor 
B)  government quotas and subsidies 
C)  product quality, productivity, and profits 
D)  labor, capital, entrepreneurs, and physical resources 
E)  strategies, structures, and rivalries

Question 15

Ford, an American car company, purchased Volvo, which is based in Sweden. What is this an example of?

Accepted Answer

A)  a multinational firm 
B)  a independent agency 
C)  a licensing arrangement 
D)  a foreign direct investment 
E)  a strategic alliance 
A)  a multinational firm 
B)  a independent agency 
C)  a licensing arrangement 
D)  a foreign direct investment 
E)  a strategic alliance

Question 16

Which of the following types of tariff is meant to discourage the import of particular products?

Accepted Answer

A)  revenue tariff 
B)  quota tariff 
C)  labor tariff 
D)  subsidy tariff 
E)  protectionist tariff 
A)  revenue tariff 
B)  quota tariff 
C)  labor tariff 
D)  subsidy tariff 
E)  protectionist tariff

Question 17

With what type of exchange rate does the value of a country's currency remain constant relative to that of another country?

Accepted Answer

A)  floating 
B)  indexed 
C)  fixed 
D)  adjusted 
E)  deflated 
A)  floating 
B)  indexed 
C)  fixed 
D)  adjusted 
E)  deflated

Question 18

If you have given another company in another country the right to produce your company's product, you are engaging in a licensing arrangement.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following goals is a primary purpose of tariffs on imports?

Accepted Answer

A)  maintain domestic competitiveness 
B)  decrease exports 
C)  increase imports 
D)  subsidize domestic industry 
E)  promote free trade 
A)  maintain domestic competitiveness 
B)  decrease exports 
C)  increase imports 
D)  subsidize domestic industry 
E)  promote free trade

Question 20

Today, fixed exchange rates are the norm for most major nations of the world.

Accepted Answer

A) True 
 B)False

What are products that are created domestically and transported for sale abroad?

The value of the U.S. dollar relative to the value of the British pound fluctuates with market conditions. What is this type of exchange rate?

Which of the following refers to the practice of selling a product abroad for less than the cost of production?

Which of the following, if True, would strengthen the argument for venturing into the Chinese market?

Which of the following best describes a positive trade balance?

Which of the following denotes a government order forbidding exportation and/or importation of a particular product from a particular country?

Which of the following denotes the international organization strategy of finding a partner in the country in which a company would like to conduct business?

One of Derrido's sales executives suggests that Derrido's particular type of business enables a contractual relationship to be an especially suitable way for the company to market its products internationally. Which of the following, if True, would strengthen this position?

Which of the following refers to tariffs that are imposed strictly to raise money for the government?

South Africa produces diamonds more cheaply and of higher quality than any other country; this is an example of absolute advantage.

When the value of one country's currency relative to that of another varies with market conditions, which of the following exists?

Other than a quota, embargo, or tariff, what legal barriers might the United States use to discourage the importation of cell phones?

In which international organization structure does a firm have greatest control over foreign activities?

National competitive advantage derives from four conditions, one of which is factor conditions. What do factor conditions include?

Ford, an American car company, purchased Volvo, which is based in Sweden. What is this an example of?

Which of the following types of tariff is meant to discourage the import of particular products?

With what type of exchange rate does the value of a country's currency remain constant relative to that of another country?

If you have given another company in another country the right to produce your company's product, you are engaging in a licensing arrangement.

Which of the following goals is a primary purpose of tariffs on imports?

Today, fixed exchange rates are the norm for most major nations of the world.

The Us Business Environment

Business Ethics and Social Responsibility

Entrepreneurship, New Ventures, and Business Ownership

Business Management

Organizing the Business

Operations Management and Quality

Employee Behavior and Motivation

Leadership and Decision Making

Human Resource Management and Labor Relations

Marketing Processes and Consumer Behavior

Pricing, Distributing, and Promoting Products

Information Technology for Business

The Role of Accountants and Accounting Information

Money and Banking

Managing Finances

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Exam 4: The Global Context of Business

What are products that are created domestically and transported for sale abroad?

The value of the U.S. dollar relative to the value of the British pound fluctuates with market conditions. What is this type of exchange rate?

Which of the following refers to the practice of selling a product abroad for less than the cost of production?

Which of the following, if True, would strengthen the argument for venturing into the Chinese market?

Which of the following best describes a positive trade balance?

Which of the following denotes a government order forbidding exportation and/or importation of a particular product from a particular country?

Which of the following denotes the international organization strategy of finding a partner in the country in which a company would like to conduct business?

One of Derrido's sales executives suggests that Derrido's particular type of business enables a contractual relationship to be an especially suitable way for the company to market its products internationally. Which of the following, if True, would strengthen this position?

Which of the following refers to tariffs that are imposed strictly to raise money for the government?

South Africa produces diamonds more cheaply and of higher quality than any other country; this is an example of absolute advantage.

When the value of one country's currency relative to that of another varies with market conditions, which of the following exists?

Other than a quota, embargo, or tariff, what legal barriers might the United States use to discourage the importation of cell phones?

In which international organization structure does a firm have greatest control over foreign activities?

National competitive advantage derives from four conditions, one of which is factor conditions. What do factor conditions include?

Ford, an American car company, purchased Volvo, which is based in Sweden. What is this an example of?

Which of the following types of tariff is meant to discourage the import of particular products?

With what type of exchange rate does the value of a country's currency remain constant relative to that of another country?

If you have given another company in another country the right to produce your company's product, you are engaging in a licensing arrangement.

Which of the following goals is a primary purpose of tariffs on imports?

Today, fixed exchange rates are the norm for most major nations of the world.

The Us Business Environment

Business Ethics and Social Responsibility

Entrepreneurship, New Ventures, and Business Ownership

Business Management

Organizing the Business

Operations Management and Quality

Employee Behavior and Motivation

Leadership and Decision Making

Human Resource Management and Labor Relations

Marketing Processes and Consumer Behavior

Pricing, Distributing, and Promoting Products

Information Technology for Business

The Role of Accountants and Accounting Information

Money and Banking

Managing Finances

Filters