Question 1

What is a letter of credit?

Accepted Answer

The letter of credit is a legal document

Question 2

Under a licensing agreement,a multinational firm provides a bundle of services and products to a foreign company.

Accepted Answer

A) True 
 B)False

Question 3

_____ refers to a contractual,strategic partnership between two or more separate business entities to pursue a business opportunity together.

Accepted Answer

A) Joint venture 
B) Licensing 
C) Leasing 
D) Acquisition 
E) Franchising 
A) Joint venture 
B) Licensing 
C) Leasing 
D) Acquisition 
E) Franchising

Question 4

What are the hidden costs of outsourcing?

Accepted Answer

Outsourcing leads to cost savings,such a

Question 5

Which of the following statements holds true for the World Customs Organization (WCO)?

Accepted Answer

A) It created a framework that calls for the handing over of the control of the customs department of politically unstable countries to the WCO. 
B) It created a framework that calls for the establishment of a super customs department that would control the customs departments of individual countries. 
C) It created a framework that calls for cooperation between the customs administrations of different countries. 
D) It created a framework that calls for the economic isolation of those countries that refuse to cooperate on customs related matters. 
E) It created a framework that calls for the creation of a fund to help strengthen the customs departments of the member countries. 
A) It created a framework that calls for the handing over of the control of the customs department of politically unstable countries to the WCO. 
B) It created a framework that calls for the establishment of a super customs department that would control the customs departments of individual countries. 
C) It created a framework that calls for cooperation between the customs administrations of different countries. 
D) It created a framework that calls for the economic isolation of those countries that refuse to cooperate on customs related matters. 
E) It created a framework that calls for the creation of a fund to help strengthen the customs departments of the member countries.

Question 6

Countertrade is a resourceful way for exporters to sell their products and services to foreign companies or countries that would be unable to pay for them using hard currency alone.

Accepted Answer

A) True 
 B)False

Question 7

The sight draft is payable at a later time,typically 30,60,90,or 120 days in the future as specified by the draft.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following statements is true about ISO 14000 certification?

Accepted Answer

A) It certifies that the company works to minimize the use of child labor in all its business establishments. 
B) It certifies that the company works to ensure equal pay for all irrespective of the gender. 
C) It certifies that the company works to minimize any harmful effects it may have on the environment. 
D) It certifies that the company works to ensure the incorporation of the best anti-discrimination practices in its business establishments. 
E) It certifies that the company works to minimize the use of unskilled labor in its business establishments. 
A) It certifies that the company works to minimize the use of child labor in all its business establishments. 
B) It certifies that the company works to ensure equal pay for all irrespective of the gender. 
C) It certifies that the company works to minimize any harmful effects it may have on the environment. 
D) It certifies that the company works to ensure the incorporation of the best anti-discrimination practices in its business establishments. 
E) It certifies that the company works to minimize the use of unskilled labor in its business establishments.

Question 9

_____ refers to an organization that helps U.S.businesses invest overseas,particularly in developing countries,by providing direct loans and loan guarantees to projects that meet its guidelines.

Accepted Answer

A) Bank of America Merrill Lynch 
B) Export-Import Bank of the United States 
C) Wells Fargo Securities 
D) US Small Business Administration 
E) Overseas Private Investment Corporation 
A) Bank of America Merrill Lynch 
B) Export-Import Bank of the United States 
C) Wells Fargo Securities 
D) US Small Business Administration 
E) Overseas Private Investment Corporation

Question 10

The document that declares the country from which the product originates is referred to as the _____.

Accepted Answer

certificat

Question 11

In a(n) _____ structure,the seller receives cash contingent on the seller buying local products or services in the amount of (or a percentage of) the cash.

Accepted Answer

A) counter purchase 
B) barter 
C) switch trading 
D) buyback 
E) offset 
A) counter purchase 
B) barter 
C) switch trading 
D) buyback 
E) offset

Question 12

Which of the following statements holds true for contract manufacturing?

Accepted Answer

A) It refers to the issue of tenders leading to the awarding of contracts to manufacturing companies. 
B) It refers to the insourcing of manufacturing activities of an organization. 
C) It refers to the outsourcing of manufacturing activities of an organization. 
D) It refers to the laying down of special contract agreements by governments to attract manufacturing companies. 
E) It refers to the social contract between the community and a manufacturing organization on environmental issues. 
A) It refers to the issue of tenders leading to the awarding of contracts to manufacturing companies. 
B) It refers to the insourcing of manufacturing activities of an organization. 
C) It refers to the outsourcing of manufacturing activities of an organization. 
D) It refers to the laying down of special contract agreements by governments to attract manufacturing companies. 
E) It refers to the social contract between the community and a manufacturing organization on environmental issues.

Question 13

Which of the following is a contractual mode of entry into a foreign market?

Accepted Answer

A) Greenfield ventures 
B) Licensing 
C) Joint ventures 
D) Acquisition 
E) Merger 
A) Greenfield ventures 
B) Licensing 
C) Joint ventures 
D) Acquisition 
E) Merger

Question 14

_____ refers to buying the raw materials,components,or services from companies outside the home country.

Accepted Answer

A) Insourcing 
B) Global sourcing 
C) Open sourcing 
D) Farmshoring 
E) Offshoring 
A) Insourcing 
B) Global sourcing 
C) Open sourcing 
D) Farmshoring 
E) Offshoring

Question 15

Governments use bills of lading to determine the value of the goods for customs-valuation purposes.

Accepted Answer

A) True 
 B)False

Question 16

_____ are export intermediaries who represent a company in the foreign market.

Accepted Answer

The answer of _____ are export intermediaries who represent a...

Question 17

Most companies consider licensing to be a low-risk market-entry option because there is typically no upfront investment.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following statements holds true for a tax haven?

Accepted Answer

A) It refers to a country which requires a substantive local presence of the organization that has parked its revenue in this country. 
B) It refers to a country which has highly effective exchange of tax information with foreign tax authorities. 
C) It refers to a country which has very advantageous (low) corporate income taxes. 
D) It refers to a country which is highly transparent in the operation of legislative,legal,and administrative provisions. 
E) It refers to a country which promotes itself as a financial centre for resident companies. 
A) It refers to a country which requires a substantive local presence of the organization that has parked its revenue in this country. 
B) It refers to a country which has highly effective exchange of tax information with foreign tax authorities. 
C) It refers to a country which has very advantageous (low) corporate income taxes. 
D) It refers to a country which is highly transparent in the operation of legislative,legal,and administrative provisions. 
E) It refers to a country which promotes itself as a financial centre for resident companies.

Question 19

_____ refers to a contract that specifies the performance standards that an outsourcer must meet to ensure quality and performance when outsourcing services.

Accepted Answer

A) Operational level agreement 
B) Service-level agreement 
C) Smithsonian Agreement 
D) Termination agreement 
E) Repurchase agreement 
A) Operational level agreement 
B) Service-level agreement 
C) Smithsonian Agreement 
D) Termination agreement 
E) Repurchase agreement

What is a letter of credit?

Under a licensing agreement,a multinational firm provides a bundle of services and products to a foreign company.

_____ refers to a contractual,strategic partnership between two or more separate business entities to pursue a business opportunity together.

What are the hidden costs of outsourcing?

Which of the following statements holds true for the World Customs Organization (WCO)?

Countertrade is a resourceful way for exporters to sell their products and services to foreign companies or countries that would be unable to pay for them using hard currency alone.

The sight draft is payable at a later time,typically 30,60,90,or 120 days in the future as specified by the draft.

Which of the following statements is true about ISO 14000 certification?

_____ refers to an organization that helps U.S.businesses invest overseas,particularly in developing countries,by providing direct loans and loan guarantees to projects that meet its guidelines.

The document that declares the country from which the product originates is referred to as the _____.

In a(n) _____ structure,the seller receives cash contingent on the seller buying local products or services in the amount of (or a percentage of) the cash.

Which of the following statements holds true for contract manufacturing?

Which of the following is a contractual mode of entry into a foreign market?

_____ refers to buying the raw materials,components,or services from companies outside the home country.

Governments use bills of lading to determine the value of the goods for customs-valuation purposes.

_____ are export intermediaries who represent a company in the foreign market.

Most companies consider licensing to be a low-risk market-entry option because there is typically no upfront investment.

Which of the following statements holds true for a tax haven?

_____ refers to a contract that specifies the performance standards that an outsourcer must meet to ensure quality and performance when outsourcing services.

Introduction

International Trade and Foreign Direct Investment

Culture and Business

World Economies

Global and Regional Economic Cooperation and Integration

International Monetary System

Foreign Exchange and the Global Capital Markets

International Expansion and Global Market Opportunity Assessment

Strategy and International Business

Global Entrepreneurship and Intrapreneurship

Winning Through Effective,global Talent Management

Harnessing the Engine of Global Innovation

Competing Effectively Through Global Marketing, Distribution, and Supply-Chain Management

Understanding the Roles of Finance and Accounting in Global Competitive Advantage

Filters

Exam 9: Exporting,Importing,and Global Sourcing

What is a letter of credit?

Under a licensing agreement,a multinational firm provides a bundle of services and products to a foreign company.

_____ refers to a contractual,strategic partnership between two or more separate business entities to pursue a business opportunity together.

What are the hidden costs of outsourcing?

Which of the following statements holds true for the World Customs Organization (WCO)?

Countertrade is a resourceful way for exporters to sell their products and services to foreign companies or countries that would be unable to pay for them using hard currency alone.

The sight draft is payable at a later time,typically 30,60,90,or 120 days in the future as specified by the draft.

Which of the following statements is true about ISO 14000 certification?

_____ refers to an organization that helps U.S.businesses invest overseas,particularly in developing countries,by providing direct loans and loan guarantees to projects that meet its guidelines.

The document that declares the country from which the product originates is referred to as the _____.

In a(n) _____ structure,the seller receives cash contingent on the seller buying local products or services in the amount of (or a percentage of) the cash.

Which of the following statements holds true for contract manufacturing?

Which of the following is a contractual mode of entry into a foreign market?

_____ refers to buying the raw materials,components,or services from companies outside the home country.

Governments use bills of lading to determine the value of the goods for customs-valuation purposes.

_____ are export intermediaries who represent a company in the foreign market.

Most companies consider licensing to be a low-risk market-entry option because there is typically no upfront investment.

Which of the following statements holds true for a tax haven?

_____ refers to a contract that specifies the performance standards that an outsourcer must meet to ensure quality and performance when outsourcing services.

Introduction

International Trade and Foreign Direct Investment

Culture and Business

World Economies

Global and Regional Economic Cooperation and Integration

International Monetary System

Foreign Exchange and the Global Capital Markets

International Expansion and Global Market Opportunity Assessment

Strategy and International Business

Global Entrepreneurship and Intrapreneurship

Winning Through Effective,global Talent Management

Harnessing the Engine of Global Innovation

Competing Effectively Through Global Marketing, Distribution, and Supply-Chain Management

Understanding the Roles of Finance and Accounting in Global Competitive Advantage

Filters