Question 1

Which of the following is true about dumping?

Accepted Answer

A)  Canadian firms sell their goods in the U.S.for less than cost. 
B)  It means selling a product abroad for less than the comparable price at home. 
C)  Results in benefits for industries in countries where products are dumped. 
D)  It is legal in Canada. 
E)  The Canada Revenue Agency determined that cars produced by Toyota and Honda in Japan were being "dumped" in Canada. 
A)  Canadian firms sell their goods in the U.S.for less than cost. 
B)  It means selling a product abroad for less than the comparable price at home. 
C)  Results in benefits for industries in countries where products are dumped. 
D)  It is legal in Canada. 
E)  The Canada Revenue Agency determined that cars produced by Toyota and Honda in Japan were being "dumped" in Canada.

Question 2

Canada ranks ____among the G8 countries in the proportion of production that is exported.

Accepted Answer

A)  first 
B)  second 
C)  third 
D)  fourth 
E)  fifth 
A)  first 
B)  second 
C)  third 
D)  fourth 
E)  fifth

Question 3

The contemporary world economy revolves around the major marketplaces of North America,Europe,and Asia-Pacific.

Accepted Answer

A) True 
 B)False

Question 4

Canada prohibits the importing of ivory from any foreign nation.This is a(n)

Accepted Answer

A)  local content law. 
B)  subsidy. 
C)  tariff. 
D)  quota. 
E)  embargo. 
A)  local content law. 
B)  subsidy. 
C)  tariff. 
D)  quota. 
E)  embargo.

Question 5

The Foreign Investment Review Agency (FIRA)was designed to ensure that foreign direct investment benefitted Canadians.

Accepted Answer

A) True 
 B)False

Question 6

The CEO of Charter Books thinks that the company should "go global" by using the internet,but the vice president thinks that too many problems would be encountered.Which of the following statements would support the vice president's position?

Accepted Answer

A)  The English language dominates the internet,but more traffic would be generated by web pages in the local language. 
B)  Going global via the internet would not put a big strain on existing personnel. 
C)  Books can be easily shipped overseas by companies like UPS and FedEx. 
D)  The marketing department estimates that sales will initially increase by about 30 percent,and then taper off to a 20 percent increase annually. 
E)  The advertising costs needed to increase sales would be incurred would be fairly modest. 
A)  The English language dominates the internet,but more traffic would be generated by web pages in the local language. 
B)  Going global via the internet would not put a big strain on existing personnel. 
C)  Books can be easily shipped overseas by companies like UPS and FedEx. 
D)  The marketing department estimates that sales will initially increase by about 30 percent,and then taper off to a 20 percent increase annually. 
E)  The advertising costs needed to increase sales would be incurred would be fairly modest.

Question 7

Beta Corp.has determined that there is international demand for its product.Its next step is to

Accepted Answer

A)  determine if the product needs to be modified to fit the foreign market. 
B)  assess the business climate for reaction to foreign products. 
C)  locate a local business to form a joint venture. 
D)  conduct market research to determine potential sales. 
E)  determine what level of competition will be encountered. 
A)  determine if the product needs to be modified to fit the foreign market. 
B)  assess the business climate for reaction to foreign products. 
C)  locate a local business to form a joint venture. 
D)  conduct market research to determine potential sales. 
E)  determine what level of competition will be encountered.

Question 8

Bob's Barbecue has expanded its operations to include several foreign countries.Bob has given individuals or organizations in those countries exclusive rights to market Bob's products.He has shared his secret recipe and trade secrets on how to produce the products.In return for this Bob will receive a percentage of the revenues generated in each of the countries.Bob's arrangements are best described as a(n)

Accepted Answer

A)  licensing arrangement. 
B)  independent agent. 
C)  strategic alliance. 
D)  direct investment. 
E)  branch office. 
A)  licensing arrangement. 
B)  independent agent. 
C)  strategic alliance. 
D)  direct investment. 
E)  branch office.

Question 9

Social and cultural differences are not usually barriers to trade,but economic differences definitely are.

Accepted Answer

A) True 
 B)False

Question 10

An absolute advantage exists when a country can produce something more cheaply and/or of higher quality than any other country.

Accepted Answer

A) True 
 B)False

Question 11

What are the two forms of competitive advantage? Provide two examples of each.

Accepted Answer

- absolute advantage - nation's ability

Question 12

The major determinant of a country's balance of payments is its balance of trade.

Accepted Answer

A) True 
 B)False

Question 13

A company selling fashionable clothing in country X is very successful in its home country,but it wants to start selling its products worldwide.The COO thinks that the company should adopt a standardized marketing approach throughout the world.Which of the following would support the COO's position?

Accepted Answer

A)  Long production runs of the same items would allow the company to save money. 
B)  Different cultures vary in how they perceive clothing made in country X. 
C)  The company has had problems achieving a consistent marketing strategy in country X. 
D)  The company will be facing strong competition from other brands in various countries throughout the world. 
E)  The company has a big marketing budget to support advertising. 
A)  Long production runs of the same items would allow the company to save money. 
B)  Different cultures vary in how they perceive clothing made in country X. 
C)  The company has had problems achieving a consistent marketing strategy in country X. 
D)  The company will be facing strong competition from other brands in various countries throughout the world. 
E)  The company has a big marketing budget to support advertising.

Question 14

How does a quota influence international trade?

Accepted Answer

A quota restricts th

Question 15

The three major world marketplaces are

Accepted Answer

A)  Europe,Asia-Pacific,United States. 
B)  South America,North America,Asia-Pacific. 
C)  Japan,United States,Europe. 
D)  North America,Europe,Asia-Pacific. 
E)  North America,Europe,Japan. 
A)  Europe,Asia-Pacific,United States. 
B)  South America,North America,Asia-Pacific. 
C)  Japan,United States,Europe. 
D)  North America,Europe,Asia-Pacific. 
E)  North America,Europe,Japan.

Question 16

Define the term protectionism.

Accepted Answer

Protectionism is the

Question 17

Which of the following constitutes the best evidence for globalization?

Accepted Answer

A)  Diamonds that are mined in Country X are sold on the diamond market in Country Y and the money is used to fund a rebel group trying to overthrow the government in Country X. 
B)  A flood in country X causes factories to shut down temporarily and they cannot deliver computer chips to foreign buyers.Company Y (in another country)has to reduce its output,and it also raises the price of its products. 
C)  Farmers in Country X lose most of their wheat crops because of a drought.The price of wheat triples and the government of country X reimburses farmers for some of their losses. 
D)  Country X has almost exhausted all of its available natural energy sources.The government has been investing in alternative energy research for many years and has developed an efficient synthetic energy source. 
E)  Country X has raised the tax on gasoline and,as a result,more of its citizens are taking public transportation and cutting back on car travel. 
A)  Diamonds that are mined in Country X are sold on the diamond market in Country Y and the money is used to fund a rebel group trying to overthrow the government in Country X. 
B)  A flood in country X causes factories to shut down temporarily and they cannot deliver computer chips to foreign buyers.Company Y (in another country)has to reduce its output,and it also raises the price of its products. 
C)  Farmers in Country X lose most of their wheat crops because of a drought.The price of wheat triples and the government of country X reimburses farmers for some of their losses. 
D)  Country X has almost exhausted all of its available natural energy sources.The government has been investing in alternative energy research for many years and has developed an efficient synthetic energy source. 
E)  Country X has raised the tax on gasoline and,as a result,more of its citizens are taking public transportation and cutting back on car travel.

Question 18

World product mandating involves two or more enterprises cooperating in researching,developing,manufacturing,and/or marketing a product.

Accepted Answer

A) True 
 B)False

Question 19

The BRIC countries are similar in that they all focus on exporting energy.

Accepted Answer

A) True 
 B)False

Question 20

A foreign individual or organization that agrees to represent an exporter's interest in foreign markets is called a(n)

Accepted Answer

A)  headquarters arrangement. 
B)  licensing arrangement. 
C)  independent agent. 
D)  strategic alliance. 
E)  branch office. 
A)  headquarters arrangement. 
B)  licensing arrangement. 
C)  independent agent. 
D)  strategic alliance. 
E)  branch office.

Which of the following is true about dumping?

Canada ranks ____among the G8 countries in the proportion of production that is exported.

The contemporary world economy revolves around the major marketplaces of North America,Europe,and Asia-Pacific.

Canada prohibits the importing of ivory from any foreign nation.This is a(n)

The Foreign Investment Review Agency (FIRA)was designed to ensure that foreign direct investment benefitted Canadians.

The CEO of Charter Books thinks that the company should "go global" by using the internet,but the vice president thinks that too many problems would be encountered.Which of the following statements would support the vice president's position?

Beta Corp.has determined that there is international demand for its product.Its next step is to

Social and cultural differences are not usually barriers to trade,but economic differences definitely are.

An absolute advantage exists when a country can produce something more cheaply and/or of higher quality than any other country.

What are the two forms of competitive advantage? Provide two examples of each.

The major determinant of a country's balance of payments is its balance of trade.

A company selling fashionable clothing in country X is very successful in its home country,but it wants to start selling its products worldwide.The COO thinks that the company should adopt a standardized marketing approach throughout the world.Which of the following would support the COO's position?

How does a quota influence international trade?

The three major world marketplaces are

Define the term protectionism.

Which of the following constitutes the best evidence for globalization?

World product mandating involves two or more enterprises cooperating in researching,developing,manufacturing,and/or marketing a product.

The BRIC countries are similar in that they all focus on exporting energy.

A foreign individual or organization that agrees to represent an exporter's interest in foreign markets is called a(n)

Understanding the Canadian Business System

Understanding the Environments of Business

Conducting Business Ethically and Responsibly

Understanding Entrepreneurship, small Business, and New Venture Creation

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Pricing and Distributing Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters

Exam 5: The Global Context of Business

Which of the following is true about dumping?

Canada ranks ____among the G8 countries in the proportion of production that is exported.

The contemporary world economy revolves around the major marketplaces of North America,Europe,and Asia-Pacific.

Canada prohibits the importing of ivory from any foreign nation.This is a(n)

The Foreign Investment Review Agency (FIRA)was designed to ensure that foreign direct investment benefitted Canadians.

The CEO of Charter Books thinks that the company should "go global" by using the internet,but the vice president thinks that too many problems would be encountered.Which of the following statements would support the vice president's position?

Beta Corp.has determined that there is international demand for its product.Its next step is to

Social and cultural differences are not usually barriers to trade,but economic differences definitely are.

An absolute advantage exists when a country can produce something more cheaply and/or of higher quality than any other country.

What are the two forms of competitive advantage? Provide two examples of each.

The major determinant of a country's balance of payments is its balance of trade.

How does a quota influence international trade?

The three major world marketplaces are

Define the term protectionism.

Which of the following constitutes the best evidence for globalization?

World product mandating involves two or more enterprises cooperating in researching,developing,manufacturing,and/or marketing a product.

The BRIC countries are similar in that they all focus on exporting energy.

A foreign individual or organization that agrees to represent an exporter's interest in foreign markets is called a(n)

Understanding the Canadian Business System

Understanding the Environments of Business

Conducting Business Ethically and Responsibly

Understanding Entrepreneurship, small Business, and New Venture Creation

Managing the Business Enterprise

Managing Human Resources

Understanding Labourmanagement Relations

Motivating and Leading Employees

Producing Goods and Services

Increasing Productivity and Quality

Managing Information Systems and Communication Technology

Understanding Accounting Issues

Understanding Marketing Processes and Consumer Behaviour

Developing and Promoting Goods and Services

Pricing and Distributing Goods and Services

Understanding Money and Banking

Understanding Securities and Investments

Financial Decisions and Risk Management

Filters