Exam 3: Business in a Global Environment

Although regional trade agreements exist around the world, we still don't have a solid answer to the question of whether they're moving the world closer to free trade on a global scale.

When researching global business opportunities, firms must grasp a variety of cultural, technological, economic, and political differences.

If you're a U. S. farmer receiving a subsidy, you are _____.

By forming a foreign subsidiary, Cane Productions Ltd. hopes to realize such advantages as _____.

Both manufacturing and nonmanufacturing functions can be _____ to nations with lower _____.

How does an international franchise work

SCENARIO-BASED Cajun Chicken, a growing franchise chain based in Lafayette, Louisiana, has expanded to 185 locations in the United States. Because they realize that domestic growth is limited, the owners are contemplating expansion to selected foreign countries. Thus far, research has shown that the rights to use many of the firm’s recipes can be sold to other restaurants, cafeterias, and food stores. Cajun can also sell prepackaged food products, complete with spices, to other markets. At this point, whether to start by opening company-owned outlets or selling franchises is still a toss up. In any case, the long-term picture looks good. -Which of the following is not an argument given in support of U.S. headquartered multinational corporations (MNCs)

Basically, nations trade:

The West European buyers who purchase and resell Entrée Specialités' food products in their home countries are in the _____ business.

Under an international licensing agreement, a foreign company pays a royalty fee to manufacture or sell your U.S.made products in its own country, using your name and your processes and perhaps your intellectual property.

Which of the following is generally not true of Americans

Which of the following arguments is advanced in favor of increased MNC activities

A country's level of economic development is related to its _____.

Companies doing international business often face a smorgasbord of _____.

While importing is widely practiced throughout the world, exporting is not.

As strategies for going international, how do foreign direct investment and opening a foreign subsidiary differ from licensing

Generally speaking, nations tend to _____.

If a foreign currency _____ relative to the U.S. dollar, Americans will pay less for goods and services bought from sellers in the country that issues the currency.

_____ is a common motto among MNCs (multinational corporations).

The country of Cretonia is the only source of the rare mineral zhytan used in nuclear reactors. The country of Fredonte can produce twice as much creosote as any other country using the same amount of input resources. Both nations enjoy a(n) ____ advantage.