Question 1

Time drafts are negotiable instruments.

Accepted Answer

A) True 
 B)False

Question 2

What is an export management company? What are the advantages and disadvantages associated with it?

Accepted Answer

An export management company is an expor

Question 3

According to the UN,a typical international trade transaction can involve 50 different parties.

Accepted Answer

A) True 
 B)False

Question 4

In a letter of credit transaction,the exporter ships the product

Accepted Answer

A) after the letter of credit is issued. 
B) before the letter of credit is issued. 
C) upon receipt of payment. 
D) with the bill of lading. 
A) after the letter of credit is issued. 
B) before the letter of credit is issued. 
C) upon receipt of payment. 
D) with the bill of lading.

Question 5

U.S.firms interested in exporting can acquire a "best prospects" list of opportunities from the U.S.Department of Commerce and its district offices all over the country.

Accepted Answer

A) True 
 B)False

Question 6

For U.S.firms,the most comprehensive source of export opportunities information is the:

Accepted Answer

A) Small Business Administration. 
B) U.S.Department of Commerce. 
C) Federal Trade Commission. 
D) foreign embassy. 
A) Small Business Administration. 
B) U.S.Department of Commerce. 
C) Federal Trade Commission. 
D) foreign embassy.

Question 7

Once a time draft is stamped with an acceptance,the maker can sell the draft at a premium to its face value.

Accepted Answer

A) True 
 B)False

Question 8

Because of the lack of trust in international transactions,payment or a formal promise to pay is required before the buyer can obtain the merchandise.

Accepted Answer

A) True 
 B)False

Question 9

Explain how switch trading works.

Accepted Answer

Switch trading refers to the use of a sp

Question 10

Unlike their American and Japanese counterparts,German firms are at a disadvantage when it comes to assistance in seeking export opportunities.

Accepted Answer

A) True 
 B)False

Question 11

Why do so many firms take a reactive approach to exporting rather than a proactive approach?

Accepted Answer

There are several reasons why firms do n

Question 12

Which of the following is not provided by the Department of Commerce?

Accepted Answer

A) It provides the potential exporter with a "best prospects" list,which gives the names and addresses of potential distributors in foreign markets. 
B) It has assembled a "comparison shopping service" for 14 countries that are major markets for U.S.exports. 
C) It coordinates the Export Legal Assistance Network (ELAN),a nationwide group of international trade attorneys who provide free initial consultations to small businesses on export-related matters. 
D) It organizes trade events that help potential exporters make foreign contacts and explore export opportunities. 
A) It provides the potential exporter with a "best prospects" list,which gives the names and addresses of potential distributors in foreign markets. 
B) It has assembled a "comparison shopping service" for 14 countries that are major markets for U.S.exports. 
C) It coordinates the Export Legal Assistance Network (ELAN),a nationwide group of international trade attorneys who provide free initial consultations to small businesses on export-related matters. 
D) It organizes trade events that help potential exporters make foreign contacts and explore export opportunities.

Question 13

Typically,large companies are not very proactive in seeking opportunities for profitable exporting.

Accepted Answer

A) True 
 B)False

Question 14

_____ is an export specialist who acts as the export marketing department or international department for its client firm.

Accepted Answer

A) An Eximbank 
B) An import trading company 
C) A sogo shosha 
D) An export management company 
A) An Eximbank 
B) An import trading company 
C) A sogo shosha 
D) An export management company

Question 15

The most restrictive form of countertrade is:

Accepted Answer

A) switch trading. 
B) barter. 
C) buyback. 
D) counterpurchase. 
A) switch trading. 
B) barter. 
C) buyback. 
D) counterpurchase.

Question 16

When conventional means of payment are difficult,costly,or nonexistent,a firm is more likely to use:

Accepted Answer

A) a letter of credit. 
B) a time draft. 
C) countertrade. 
D) a sight draft. 
A) a letter of credit. 
B) a time draft. 
C) countertrade. 
D) a sight draft.

Question 17

In a letter of credit transaction,the importer secures the letter of credit

Accepted Answer

A) before product shipment. 
B) after product shipment. 
C) from the exporter's bank. 
D) after receiving the product. 
A) before product shipment. 
B) after product shipment. 
C) from the exporter's bank. 
D) after receiving the product.

Question 18

Which of the following is true of reactive firms?

Accepted Answer

A) They may not even consider exporting until their domestic market is saturated 
B) They create excess productive capacity and actively hunt for opportunities in foreign markets 
C) Almost all large firms fall under this category 
D) They systematically scan foreign markets for profitable export opportunities 
A) They may not even consider exporting until their domestic market is saturated 
B) They create excess productive capacity and actively hunt for opportunities in foreign markets 
C) Almost all large firms fall under this category 
D) They systematically scan foreign markets for profitable export opportunities

Question 19

A key challenge facing export and import financing is:

Accepted Answer

A) limited market opportunities. 
B) lack of export assistance. 
C) lack of qualified EMCs. 
D) the lack of trust. 
A) limited market opportunities. 
B) lack of export assistance. 
C) lack of qualified EMCs. 
D) the lack of trust.

Question 20

A draft:

Accepted Answer

A) is a document requesting payment. 
B) is the same as a letter of credit. 
C) is a reciprocal buying agreement. 
D) gives title to shipped goods. 
A) is a document requesting payment. 
B) is the same as a letter of credit. 
C) is a reciprocal buying agreement. 
D) gives title to shipped goods.

Time drafts are negotiable instruments.

What is an export management company? What are the advantages and disadvantages associated with it?

According to the UN,a typical international trade transaction can involve 50 different parties.

In a letter of credit transaction,the exporter ships the product

U.S.firms interested in exporting can acquire a "best prospects" list of opportunities from the U.S.Department of Commerce and its district offices all over the country.

For U.S.firms,the most comprehensive source of export opportunities information is the:

Once a time draft is stamped with an acceptance,the maker can sell the draft at a premium to its face value.

Because of the lack of trust in international transactions,payment or a formal promise to pay is required before the buyer can obtain the merchandise.

Explain how switch trading works.

Unlike their American and Japanese counterparts,German firms are at a disadvantage when it comes to assistance in seeking export opportunities.

Why do so many firms take a reactive approach to exporting rather than a proactive approach?

Which of the following is not provided by the Department of Commerce?

Typically,large companies are not very proactive in seeking opportunities for profitable exporting.

_____ is an export specialist who acts as the export marketing department or international department for its client firm.

The most restrictive form of countertrade is:

When conventional means of payment are difficult,costly,or nonexistent,a firm is more likely to use:

In a letter of credit transaction,the importer secures the letter of credit

Which of the following is true of reactive firms?

A key challenge facing export and import financing is:

A draft:

Globalization

National Differences in Political Economy

Differences in Culture

Ethics in International Business

International Trade Theory

The Political Economy of International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Global Capital Market

The Strategy of International Business

The Organization of International Business

Entry Strategy and Strategic Alliances

Global Production, Outsourcing, and Logistics

Global Marketing and RD

Global Human Resource Management

Accounting in the International Business

Financial Management in the International Business

Filters

Exam 15: Exporting,Importing,and Countertrade

Time drafts are negotiable instruments.

What is an export management company? What are the advantages and disadvantages associated with it?

According to the UN,a typical international trade transaction can involve 50 different parties.

In a letter of credit transaction,the exporter ships the product

U.S.firms interested in exporting can acquire a "best prospects" list of opportunities from the U.S.Department of Commerce and its district offices all over the country.

For U.S.firms,the most comprehensive source of export opportunities information is the:

Once a time draft is stamped with an acceptance,the maker can sell the draft at a premium to its face value.

Because of the lack of trust in international transactions,payment or a formal promise to pay is required before the buyer can obtain the merchandise.

Explain how switch trading works.

Unlike their American and Japanese counterparts,German firms are at a disadvantage when it comes to assistance in seeking export opportunities.

Why do so many firms take a reactive approach to exporting rather than a proactive approach?

Which of the following is not provided by the Department of Commerce?

Typically,large companies are not very proactive in seeking opportunities for profitable exporting.

_____ is an export specialist who acts as the export marketing department or international department for its client firm.

The most restrictive form of countertrade is:

When conventional means of payment are difficult,costly,or nonexistent,a firm is more likely to use:

In a letter of credit transaction,the importer secures the letter of credit

Which of the following is true of reactive firms?

A key challenge facing export and import financing is:

A draft:

Globalization

National Differences in Political Economy

Differences in Culture

Ethics in International Business

International Trade Theory

The Political Economy of International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Global Capital Market

The Strategy of International Business

The Organization of International Business

Entry Strategy and Strategic Alliances

Global Production, Outsourcing, and Logistics

Global Marketing and RD

Global Human Resource Management

Accounting in the International Business

Financial Management in the International Business

Filters