Exam 3: Global Business

The ___ was established in 1944 and offers low-interest loans and interest-free credit to developing countries?

When the United States levies a tax on textiles from India,this tax is a type of

All five multilateral development banks are supported by the industrialized nations,including the United States.

When was GATT first established?

An international organization formed at the end of World War II by the United States and twenty-two other countries whose goal was to reduce or eliminate tariffs and other barriers to world trade is called the

Who are the members of NAFTA?

Which of the following best defines balance of trade?

How do trade restrictions typically affect consumers?

A reduction of the value of a nation's currency relative to the currencies of other countries is called

Joint venture agreements generally require a very low level of commitment from all the parties involved.

The Organization of Petroleum Exporting Countries (OPEC)

Thomas Bernerd,Inc.Thomas Bernerd,Inc.,manufactures and sells reclining furniture.The company currently operates in the United States but wishes to expand overseas.The company managers have been contemplating the best way to enter the foreign market.At first,the management felt it would be in the company's best interest to let a foreign company use its product and brand in exchange for a royalty.The managers recognized,however,that before the company decided on its foreign strategy it needed to think through all the steps required to enter an international market.As such,the managers believed they needed to consult with some type of agency to help their firm compete more effectively in the global marketplace.After all the research was completed,the senior managers realized that they wanted to export their product.The managers decided that the transport carrier would notify them when the merchandise was shipped.This would avoid any confusion about lost shipments and ensure better communication with the receiving parties. -Refer to Thomas Bernerd,Inc.Initially,the managers believed that ____ would be the best option for entering the foreign market.

Several European countries have banded together to reduce the trade barriers between them and encourage trading among themselves.This is known as

When a country imports more than it exports,it has a(n)

Maria,Jorge,and Renaldo have formed a limited liability company to make educational supply packets for Spanish-speaking elementary school students.They have discussed the lack of educational supplies in many of the schools in Mexico and would like to export these supply packets to Mexico and other Latin American nations.They have been operating in the United States for eight years but will need a $1 million short-term loan to produce goods for the Mexican and Latin American markets.Which of the following agencies would be a viable loan source?

Trading companies do not take title to products.

A small country is just beginning its international trade activities.In so doing,it wants to ____ and to develop a favorable balance of trade.

In addition to political considerations,all of the following are reasons for trade restrictions except

The ____ gave President Kennedy the authority to negotiate reciprocal trade agreements that could reduce U.S.tariffs by as much as 50 percent.

A firm's direct investment in international business involves building a new plant or buying an existing plant in a foreign country to produce its own products,or it may involve buying an existing firm in a foreign country.