Exam 4: Business in a Global Economy

A free trade area is a compact abolishing trade barriers among member countries.

List the six methods for entering foreign markets.

If a Turkish company closes its U.S.offices on Easter Sunday,the company is giving PRIMARY consideration to ________.

The link between labor costs in China and the price of MP3 music players in the U.S.is an example of ________.

An agreement in which a domestic company's intangible property may be sold or made available to a foreign company in exchange for a royalty fee is called a(n)________.

The country of Delta removes its dictator and moves toward democracy and a free market.Predict what happens to Delta's connection to the global economy.

U.S.exporters prefer a(n)________ dollar.

The ratio at which Australian dollars are converted into Indonesian rupiah is known as the ________ rate.

A consumer products company competes around the world primarily by customizing or differentiating its products to meet unique local needs,tastes,or preferences.The company is using a ________ strategy.

A free trade area that includes Canada and the U.S.,but not Japan,is the ________.

Describe an exporting relationship between a Brazilian manufacturing and an Australian retailer.

The country of Theta restricts the activities of foreign insurance companies in order to give Theta's insurance industry a chance to grow and develop.Theta's actions are an example of the ________ argument in favor of protectionism.

Contract manufacturing occurs when a firm pays another firm to produce part or all of its goods as an alternative to owning and operating its own production facility.

Apple's selling iPhones to customers in Africa,Asia,and Europe is an example of the globalization of ________.

An American businessperson who demonstrates sensitivity to and appreciation for Chilean culture possesses ________.

How has the European Union affected international business worldwide?

Tariffs are a type of trade barrier.

Which of the following is contributing to the acceleration of globalization?

When all countries focus on producing those products for which they have a comparative advantage,collectively,they will produce more products.

The country of Kappa sells pizza for $1.00 each within its borders.But Kappa exports pizzas at a price of $0.30.This is an example of ________.