Exam 9: Corruption and Ethics in Global Business
Exam 1: The Rise of Globalization65 Questions
Exam 2: The Evolution of International Business61 Questions
Exam 3: Regional Economic Integration62 Questions
Exam 4: The International Flow of Funds and Exchange Rates62 Questions
Exam 5: The Cultural Environment of Global Business61 Questions
Exam 6: The Legal,economic and Political Environment of Global Business61 Questions
Exam 7: Entry Strategies in Global Business61 Questions
Exam 8: Control of Global Business61 Questions
Exam 9: Corruption and Ethics in Global Business61 Questions
Exam 10: The Organization of Global Business61 Questions
Exam 11: Global Human Resource Management61 Questions
Exam 12: Global Marketing62 Questions
Exam 13: Global Operations and Supply-Chain Management61 Questions
Exam 14: Global Financial Management61 Questions
Exam 15: Global Accounting and Taxation61 Questions
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Subsidiaries require major marketing efforts to penetrate the international market because of cultural differences and because the entrant is new and relatively unknown.
Free
(True/False)
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Correct Answer:
True
Microsoft (United States),Toyota (Japan),Lenovo, (China),and Petrobras (Brazil)are just a few of the hundreds of large multinational enterprises that are based in one country but own and operate establishments in others.
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(True/False)
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Correct Answer:
True
Multinational ______ are firms that are headquartered in one country,but own and control manufacturing,services,research and development facilities,or other business entities on foreign soil.
Free
(Short Answer)
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Correct Answer:
enterprises
The combination of medical treatment in a foreign country with rest and recreation is called _____.
(Multiple Choice)
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_______ describes how countries exercise authority and how efficiently they deliver basic infrastructure services like water,sanitation,roads,electricity,security,and the like for public as well as private firms.
(Short Answer)
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Interestingly,licensing and franchising typically leads to the penetration of international markets without significant capital investment abroad by the parent company.
(True/False)
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Of the following,which is NOT a cost of foreign direct investment?
(Multiple Choice)
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Coca-Cola has built 43 bottling plants and two concentrate manufacturing plants with three separate partners in China since 1979.This is an example of a(n)_____.
(Multiple Choice)
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The level of corruption in a country is usually a good indicator of the degree of good or poor governance in that country.
(True/False)
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U.S.corporations have been pouring investments into China to build manufacturing facilities to produce goods for the local and export markets.Since economists expect the Chinese yuan to appreciate against the dollar in the future,the forthcoming Chinese yuan profits of U.S.MNEs when converted to U.S.dollars will be high.This is an example of U.S.companies cutting costs by _____.
(Multiple Choice)
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When Coca-Cola acquired major assets of Parle Exports in India,it instantly received access to Parle's huge national bottling and distribution network.This is an example of international joint venture in global markets.
(True/False)
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According to the text,which of the following entry strategies has the highest degree of risk?
(Multiple Choice)
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A relatively simple approach to diversification is to identify overseas projects that have performance levels that are highly correlated to domestic cash flows or project returns over time.
(True/False)
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Typewriters are in the _____ stage of the product life cycle.
(Multiple Choice)
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Scenario - Lewis Fabrication
Lewis Fabrication was founded in 2001 and is based in Maryland,USA.This company manufactures custom designed motorcycle parts and currently has over two thousand U.S.customers.Due to the growing number of inquiries received from foreign countries such as Japan,Canada,China,and Indonesia,Lewis Fabrication has decided to begin operations on a global scale.The owners realize there is much to learn before undertaking this monumental step.However,financial projections indicate about $1 million in profit is very likely in the first year of going global.The owners are very excited and looking forward to the business expansion.
-While Lewis Fabrication has decided to begin operations on a global scale,it realizes there is still much to learn.One of the fundamental things it must have knowledge on is the manner in which it can begin operations globally.Which one of the following would not be considered a choice for starting international business operations for this company?
(Multiple Choice)
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Scenario - Lewis Fabrication
Lewis Fabrication was founded in 2001 and is based in Maryland,USA.This company manufactures custom designed motorcycle parts and currently has over two thousand U.S.customers.Due to the growing number of inquiries received from foreign countries such as Japan,Canada,China,and Indonesia,Lewis Fabrication has decided to begin operations on a global scale.The owners realize there is much to learn before undertaking this monumental step.However,financial projections indicate about $1 million in profit is very likely in the first year of going global.The owners are very excited and looking forward to the business expansion.
-In its quest for global expansion Lewis Fabrication must examine its rationales for wanting to expand into the foreign marketplace.Which one of the following is not a reason why this company would want to expand globally?
(Multiple Choice)
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The only profitable way for foreign firms to enter trade-restricted markets is through FDI rather than through exports.
(True/False)
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A firm that has a patent for manufacturing a particular brand-name drug will have monopoly rights to use that brand name abroad to produce goods profitably.This is an example of a(n)_____ advantage.
(Multiple Choice)
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MNEs can never successfully enter foreign markets as traders,licensors,or franchisors.
(True/False)
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