Question 1

_____ occurs when several countries agree to work together to form a common trade area that enhances trade opportunities.

Accepted Answer

A) ​Dumping 
B) Market grouping 
C) Joint venture 
D) ​Direct foreign investment

Question 2

D'Costas,an authentic Sparanthean restaurant,has many branches all over the world.The taste and quality of the food served is same across all its branches.Based on this information,D'Costas is most likely following the strategy of _____.

Accepted Answer

A) ​global marketing localization 
B) product adaptation 
C) product adaptation. 
D) ​global marketing standardization

Question 3

Opening an e-commerce site on the Internet makes it difficult for a company to gain recognition in the international marketplace.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following countries has the highest gross domestic product?

Accepted Answer

A) ​Belwick, whose goods' market value is $100 billion and final service value is $50 billion in two years 
B) Sparanthea, whose intermediate goods value is $200 billion and intermediate service value is $50 billion in a quarter 
C) Zaneland, whose final goods value is $120 billion and intermediate goods value is $20 billion 
D) ​Acquardica, whose final goods value is $170 billion and final service value is $90 billion

Question 5

A(n)_____ is a limit on the amount of a specific product that can enter a country.

Accepted Answer

A) ​quota 
B) tariff 
C) excise duty 
D) ​exchange control

Question 6

The surge in global trade in recent years has added to strains and charges for all forms of transport.

Accepted Answer

A) True 
 B)False

Question 7

A company is doomed to failure in a foreign country if it _____.

Accepted Answer

A) ​does not understand the foreign country's culture 
B) excessively focuses on translating product names to the foreign country's language 
C) varies its marketing mix according to the foreign customers 
D) ​pays attention to the foreign country's demographics

Question 8

Caused by shifting birthrate trends,a demographic dividend often leads to rising labor costs.

Accepted Answer

A) True 
 B)False

Question 9

Average family incomes are higher in the more developed countries than in the less developed countries.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is a reason for practicing outsourcing in the U.S.?

Accepted Answer

A) ​Increased corporate growth 
B) Chances of production delays 
C) Rising wages in the developing world 
D) ​Improperly designed parts and products

Question 11

Franchising is a form of exporting.

Accepted Answer

A) True 
 B)False

Question 12

During the Uruguay Round,_____ replaced the General Agreement on Tariffs and Trade (GATT).

Accepted Answer

A) ​the European Union (EU) 
B) the World Trade Organization (WTO) 
C) the North American Free Trade Agreement (NAFT
A)  
D) ​the International Monetary Fund (IMF)

Question 13

Write a note on the economic factors that influence the external business environment.

Accepted Answer

The answer of Write a note on the economic factors...

Question 14

_____ is the largest Latin American trade agreement that includes Argentina,Bolivia,Brazil,Chile,Colombia,Ecuador,Paraguay,Peru,Uruguay,and Venezuela.

Accepted Answer

A) ​Mercosur 
B) General Agreement on Tariffs and Trade (GATT) 
C) The Uruguay Round 
D) ​The North American Free Trade Agreement (NAFT
A)

Question 15

Currency markets operate under a system of _____ in which the prices of different currencies move up or down based on the demand for and the supply of each currency.

Accepted Answer

A) ​countertrade 
B) floating exchange rates 
C) dumping 
D) ​contract manufacturing

Question 16

Firms that want to become involved in licensing or to become heavily involved in global marketing may engage in contract manufacturing.

Accepted Answer

A) True 
 B)False

Question 17

Aztic Inc.,a manufacturer of sports goods,plans to expand its operations to various other countries.During market research,it avoids countries where the dominant population is mostly rural.In this case,Aztic Inc.is assessing the _____ of the countries.

Accepted Answer

A) ​political structure 
B) natural resources 
C) legal environment 
D) ​demographic makeup

Question 18

Nessca Motors,a well-known company based in Nebolina,manufactures engines.Its management recently signed a joint venture with Singletone Inc.,a company based in Trinitia.Given this information,which of the following statements will most likely be true?

Accepted Answer

A) ​The government of Trinitia will restrict Nessca Motors entry to the country. 
B) Nessca Motors and Singletone Inc. will switch to contract manufacturing as the next step. 
C) Nessca Motors may buy a part of Singletone Inc. 
D) ​Singletone Inc. will pay royalty to Nessca Motors.

Question 19

Explain the four stages of multinational corporations.

Accepted Answer

The answer of Explain the four stages of multinational corporations....

Question 20

Small businesses are hesitant to involve in global business because it:

Accepted Answer

A) ​limits the access to advanced technologies in less developed countries. 
B) slows down the rate at which people's living standards increase. 
C) involves various trade laws or tariffs. 
D) ​empowers governments to abuse the freedom and property of their citizens.

Exam 5: Developing a Global Vision

_____ occurs when several countries agree to work together to form a common trade area that enhances trade opportunities.

D'Costas,an authentic Sparanthean restaurant,has many branches all over the world.The taste and quality of the food served is same across all its branches.Based on this information,D'Costas is most likely following the strategy of _____.

Opening an e-commerce site on the Internet makes it difficult for a company to gain recognition in the international marketplace.

Which of the following countries has the highest gross domestic product?

A(n) _____ is a limit on the amount of a specific product that can enter a country.

The surge in global trade in recent years has added to strains and charges for all forms of transport.

A company is doomed to failure in a foreign country if it _____.

Caused by shifting birthrate trends,a demographic dividend often leads to rising labor costs.

Average family incomes are higher in the more developed countries than in the less developed countries.

Which of the following is a reason for practicing outsourcing in the U.S.?

Franchising is a form of exporting.

During the Uruguay Round,_____ replaced the General Agreement on Tariffs and Trade (GATT) .

Write a note on the economic factors that influence the external business environment.

_____ is the largest Latin American trade agreement that includes Argentina,Bolivia,Brazil,Chile,Colombia,Ecuador,Paraguay,Peru,Uruguay,and Venezuela.

Currency markets operate under a system of _____ in which the prices of different currencies move up or down based on the demand for and the supply of each currency.

Firms that want to become involved in licensing or to become heavily involved in global marketing may engage in contract manufacturing.

Aztic Inc.,a manufacturer of sports goods,plans to expand its operations to various other countries.During market research,it avoids countries where the dominant population is mostly rural.In this case,Aztic Inc.is assessing the _____ of the countries.

Nessca Motors,a well-known company based in Nebolina,manufactures engines.Its management recently signed a joint venture with Singletone Inc.,a company based in Trinitia.Given this information,which of the following statements will most likely be true?

Explain the four stages of multinational corporations.

Small businesses are hesitant to involve in global business because it: