Question 1

Which of the following characterizes the lowering of trade and investment barriers?

Accepted Answer

A) protects domestic industries from foreign competition 
B) was not an agenda of the Uruguay Round 
C) allows firms to base production at optimal locations outside their home country 
D) creates an unfavorable environment for FDI 
E) caused the Great depression of the 1930s 
A) protects domestic industries from foreign competition 
B) was not an agenda of the Uruguay Round 
C) allows firms to base production at optimal locations outside their home country 
D) creates an unfavorable environment for FDI 
E) caused the Great depression of the 1930s C

Question 2

Which of the following statements reflects an important trend in the changing nature of multinational enterprises?

Accepted Answer

A) Global business activity is increasingly being dominated by large U.S.multinational corporations. 
B) The number of medium-size and small multinationals is decreasing continuously. 
C) The ranks of the world's largest 100 multinationals are dominated by firms from developing economies. 
D) The Internet is increasing the barriers that small firms face in building international sales. 
E) International business is conducted not just by large firms but also by medium-size and small enterprises. 
A) Global business activity is increasingly being dominated by large U.S.multinational corporations. 
B) The number of medium-size and small multinationals is decreasing continuously. 
C) The ranks of the world's largest 100 multinationals are dominated by firms from developing economies. 
D) The Internet is increasing the barriers that small firms face in building international sales. 
E) International business is conducted not just by large firms but also by medium-size and small enterprises. E

Question 3

ABC Toys,a U.S.-based toy manufacturer,has set up a manufacturing plant in Hong Kong.This is an example of

Accepted Answer

A) foreign direct investment. 
B) international trade. 
C) exporting. 
D) global rivalry. 
E) the globalization of markets. 
A) foreign direct investment. 
B) international trade. 
C) exporting. 
D) global rivalry. 
E) the globalization of markets. A

Question 4

For foreign direct investment (FDI)to occur,a firm should primarily

Accepted Answer

A) conduct cross-border bartering with neighboring countries. 
B) invest resources in business activities outside its home country. 
C) export goods or services to consumers in another country. 
D) import goods or services from producers in another country. 
E) erect formidable barriers to international trade. 
A) conduct cross-border bartering with neighboring countries. 
B) invest resources in business activities outside its home country. 
C) export goods or services to consumers in another country. 
D) import goods or services from producers in another country. 
E) erect formidable barriers to international trade.

Question 5

What is the shift toward a more integrated and interdependent world economy called?

Accepted Answer

A) International trade 
B) Foreign direct investment 
C) Globalization 
D) Moore's Law 
E) Containerization 
A) International trade 
B) Foreign direct investment 
C) Globalization 
D) Moore's Law 
E) Containerization

Question 6

The World Trade Organization,the International Monetary Fund and its sister institution the World Bank,and the United Nations were all created by voluntary agreement between individual nation-states.

Accepted Answer

A) True 
 B)False

Question 7

Free trade alone,some argue,is a necessary but not sufficient prerequisite to help "highly indebted poorer countries" (HIPCs)bootstrap themselves out of poverty.They also recommend implementing

Accepted Answer

A) a highly regulated command economy. 
B) weaker property rights laws. 
C) weaker labor regulations. 
D) large-scale debt relief. 
E) rapid expansion in population. 
A) a highly regulated command economy. 
B) weaker property rights laws. 
C) weaker labor regulations. 
D) large-scale debt relief. 
E) rapid expansion in population.

Question 8

The globalization of markets and production and the resulting growth of world trade,foreign direct investment,and imports all imply that firms are finding it easier to protect themselves from attack by foreign competitors.

Accepted Answer

A) True 
 B)False

Question 9

According to globalization opponents,which of the following has increased in wealthy advanced economies as a result of globalization?

Accepted Answer

A) unemployment 
B) price of goods and services 
C) demand for unskilled workers 
D) standard of living 
E) income equality between workers in all sectors 
A) unemployment 
B) price of goods and services 
C) demand for unskilled workers 
D) standard of living 
E) income equality between workers in all sectors

Question 10

Which of the following statements best supports the claim that greater uniformity replaces diversity in the context of global markets?

Accepted Answer

A) Differences in business systems and legal regulations lead companies to customize their marketing strategies,product features,and operating practices to best match conditions in a particular country. 
B) As rival global firms follow each other across countries,they bring with them their brand names,products,and marketing strategies from other national markets,thus creating some homogeneity across markets. 
C) Truly innovative companies succeed by developing products that serve specific needs of the local markets. 
D) The volume of goods,services,and investment crossing national borders has expanded at a slower rate than world output for more than half a century. 
E) The most global of markets are not typically markets for consumer products,as significant differences in consumer tastes and preferences still exist among national markets. 
A) Differences in business systems and legal regulations lead companies to customize their marketing strategies,product features,and operating practices to best match conditions in a particular country. 
B) As rival global firms follow each other across countries,they bring with them their brand names,products,and marketing strategies from other national markets,thus creating some homogeneity across markets. 
C) Truly innovative companies succeed by developing products that serve specific needs of the local markets. 
D) The volume of goods,services,and investment crossing national borders has expanded at a slower rate than world output for more than half a century. 
E) The most global of markets are not typically markets for consumer products,as significant differences in consumer tastes and preferences still exist among national markets.

Question 11

Supporters of globalization insist that dislocation in the form of lost jobs is a trade-off that will ultimately lead to the economy being better off.Which of the following is being justified in this case?

Accepted Answer

A) protectionism and retaliatory trade policy 
B) free trade of goods and services 
C) rise of communism 
D) high tariff on imports of manufactured goods 
E) the need to be a self-contained nation 
A) protectionism and retaliatory trade policy 
B) free trade of goods and services 
C) rise of communism 
D) high tariff on imports of manufactured goods 
E) the need to be a self-contained nation

Question 12

Why are supranational organizations,such as the World Trade Organization and the United Nations,criticized?

Accepted Answer

A concern voiced by critics of globaliza

Question 13

Which of the following refers to the sourcing of goods and services from locations around the globe to take advantage of national differences in the cost and quality of factors such as labor,energy,land,and capital?

Accepted Answer

A) Globalization of markets 
B) Containerization of production 
C) Dispersal of production 
D) Globalization of production 
E) Industrialization of markets 
A) Globalization of markets 
B) Containerization of production 
C) Dispersal of production 
D) Globalization of production 
E) Industrialization of markets

Question 14

Globalization opponents argue that "exporting jobs" to low-wage nations has contributed to

Accepted Answer

A) higher living standards in those countries that "export" the jobs. 
B) higher unemployment in wealthy advanced economies such as the United States. 
C) an increase in the income levels in those nations that "export" the jobs. 
D) lower standards of living in those countries to which the jobs are exported. 
E) reduced specialization in the production of goods and services. 
A) higher living standards in those countries that "export" the jobs. 
B) higher unemployment in wealthy advanced economies such as the United States. 
C) an increase in the income levels in those nations that "export" the jobs. 
D) lower standards of living in those countries to which the jobs are exported. 
E) reduced specialization in the production of goods and services.

Question 15

What was a result of the Uruguay Round?

Accepted Answer

A) increased trade and investment barriers 
B) excluding the trade of services from international trade 
C) transforming the World Trade Organization into the GATT 
D) enhanced protection for patents,trademarks,and copyrights 
E) promoting the worldwide rise of communism 
A) increased trade and investment barriers 
B) excluding the trade of services from international trade 
C) transforming the World Trade Organization into the GATT 
D) enhanced protection for patents,trademarks,and copyrights 
E) promoting the worldwide rise of communism

Question 16

Which of the following statements is a general implication of globalization?

Accepted Answer

A) Globalization is inevitable. 
B) From a purely economic perspective,globalization is all good. 
C) Globalization has no negative impacts on the economies of the developed world. 
D) Globalization has reduced the risks associated with global financial contagion. 
E) As a result of globalization,a severe crisis in one region of the world can affect the entire globe. 
A) Globalization is inevitable. 
B) From a purely economic perspective,globalization is all good. 
C) Globalization has no negative impacts on the economies of the developed world. 
D) Globalization has reduced the risks associated with global financial contagion. 
E) As a result of globalization,a severe crisis in one region of the world can affect the entire globe.

Question 17

What is globalization? Explain,with examples,how global companies can facilitate the creation of a global market.

Accepted Answer

Globalization refers to the shift toward

Question 18

Throughout the 1990s,the amount of investment directed at both developed and developing nations increased dramatically.

Accepted Answer

A) True 
 B)False

Question 19

Due to the changing economic geography,many of tomorrow's economic opportunities are most likely to be found in the

Accepted Answer

A) rich industrialized nations of the world like Great Britain and Germany. 
B) centrally planned economies of the communist world. 
C) United States. 
D) developing nations of the world such as China,India,and Brazil. 
E) countries that are currently not members of the World Trade Organization. 
A) rich industrialized nations of the world like Great Britain and Germany. 
B) centrally planned economies of the communist world. 
C) United States. 
D) developing nations of the world such as China,India,and Brazil. 
E) countries that are currently not members of the World Trade Organization.

Question 20

Which of the following is a macro factor underlying the trend toward greater globalization?

Accepted Answer

A) Rise of communism across the globe 
B) Increase in nationalization of private organizations 
C) Increase in diversity in consumer tastes and preferences 
D) Increase in trade regulations across the globe 
E) Dramatic developments in information processing and other technologies 
A) Rise of communism across the globe 
B) Increase in nationalization of private organizations 
C) Increase in diversity in consumer tastes and preferences 
D) Increase in trade regulations across the globe 
E) Dramatic developments in information processing and other technologies

Which of the following characterizes the lowering of trade and investment barriers?

Which of the following statements reflects an important trend in the changing nature of multinational enterprises?

ABC Toys,a U.S.-based toy manufacturer,has set up a manufacturing plant in Hong Kong.This is an example of

For foreign direct investment (FDI)to occur,a firm should primarily

What is the shift toward a more integrated and interdependent world economy called?

The World Trade Organization,the International Monetary Fund and its sister institution the World Bank,and the United Nations were all created by voluntary agreement between individual nation-states.

Free trade alone,some argue,is a necessary but not sufficient prerequisite to help "highly indebted poorer countries" (HIPCs)bootstrap themselves out of poverty.They also recommend implementing

The globalization of markets and production and the resulting growth of world trade,foreign direct investment,and imports all imply that firms are finding it easier to protect themselves from attack by foreign competitors.

According to globalization opponents,which of the following has increased in wealthy advanced economies as a result of globalization?

Which of the following statements best supports the claim that greater uniformity replaces diversity in the context of global markets?

Supporters of globalization insist that dislocation in the form of lost jobs is a trade-off that will ultimately lead to the economy being better off.Which of the following is being justified in this case?

Why are supranational organizations,such as the World Trade Organization and the United Nations,criticized?

Which of the following refers to the sourcing of goods and services from locations around the globe to take advantage of national differences in the cost and quality of factors such as labor,energy,land,and capital?

Globalization opponents argue that "exporting jobs" to low-wage nations has contributed to

What was a result of the Uruguay Round?

Which of the following statements is a general implication of globalization?

What is globalization? Explain,with examples,how global companies can facilitate the creation of a global market.

Throughout the 1990s,the amount of investment directed at both developed and developing nations increased dramatically.

Due to the changing economic geography,many of tomorrow's economic opportunities are most likely to be found in the

Which of the following is a macro factor underlying the trend toward greater globalization?

National Differences in Political, Economic, and Legal Systems

National Differences in Economic Development

Differences in Culture

Ethics, Corporate Social Responsibility, and Sustainability

International Trade Theory

Government Policy and International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Strategy of International Business

Entering Foreign Markets

Exporting, Importing, and Countertrade

Global Production and Supply Chain Management

Global Marketing and Research and Development

Global Human Resource Management

Filters

Exam 1: Globalization

Which of the following characterizes the lowering of trade and investment barriers?

Which of the following statements reflects an important trend in the changing nature of multinational enterprises?

ABC Toys,a U.S.-based toy manufacturer,has set up a manufacturing plant in Hong Kong.This is an example of

For foreign direct investment (FDI)to occur,a firm should primarily

What is the shift toward a more integrated and interdependent world economy called?

The World Trade Organization,the International Monetary Fund and its sister institution the World Bank,and the United Nations were all created by voluntary agreement between individual nation-states.

Free trade alone,some argue,is a necessary but not sufficient prerequisite to help "highly indebted poorer countries" (HIPCs)bootstrap themselves out of poverty.They also recommend implementing

The globalization of markets and production and the resulting growth of world trade,foreign direct investment,and imports all imply that firms are finding it easier to protect themselves from attack by foreign competitors.

According to globalization opponents,which of the following has increased in wealthy advanced economies as a result of globalization?

Which of the following statements best supports the claim that greater uniformity replaces diversity in the context of global markets?

Supporters of globalization insist that dislocation in the form of lost jobs is a trade-off that will ultimately lead to the economy being better off.Which of the following is being justified in this case?

Why are supranational organizations,such as the World Trade Organization and the United Nations,criticized?

Which of the following refers to the sourcing of goods and services from locations around the globe to take advantage of national differences in the cost and quality of factors such as labor,energy,land,and capital?

Globalization opponents argue that "exporting jobs" to low-wage nations has contributed to

What was a result of the Uruguay Round?

Which of the following statements is a general implication of globalization?

What is globalization? Explain,with examples,how global companies can facilitate the creation of a global market.

Throughout the 1990s,the amount of investment directed at both developed and developing nations increased dramatically.

Due to the changing economic geography,many of tomorrow's economic opportunities are most likely to be found in the

Which of the following is a macro factor underlying the trend toward greater globalization?

National Differences in Political, Economic, and Legal Systems

National Differences in Economic Development

Differences in Culture

Ethics, Corporate Social Responsibility, and Sustainability

International Trade Theory

Government Policy and International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Strategy of International Business

Entering Foreign Markets

Exporting, Importing, and Countertrade

Global Production and Supply Chain Management

Global Marketing and Research and Development

Global Human Resource Management

Filters