Question 1

Which of the following represents the final stage in a firm's value chain?

Accepted Answer

A)  marketing
B)  procurement
C)  research and development
D)  sales and service D

Question 2

The representative from Business B is most likely from ________.

Accepted Answer

A)  Panama
B)  Hungary
C)  Uganda
D)  Japan D

Question 3

Technological advances have helped make internationalization affordable for all sizes of firms.

Accepted Answer

A) True 
 B)False  True

Question 4

The Internet has increased the cost of transmitting voices, data, and images.

Accepted Answer

A) True 
 B)False

Question 5

Rina is most likely to counter Juan's claim regarding environmental effects by pointing out which of the following?

Accepted Answer

A)  The intensity of environmental pollution is far greater in emerging economies than in undeveloped ones.
B)  China's landscape was permanently altered by the construction of the Three Gorges Dam.
C)  Environmental destruction tends to diminish in the long run, as economies develop.
D)  Attempts at foreign cultural imperialism are often blocked by national governments.

Question 6

Market globalization compels firms to organize their sourcing, manufacturing, marketing, and other value-adding activities on a strictly local scale.

Accepted Answer

A) True 
 B)False

Question 7

In a "common market," barriers to the cross-border flow of factors of production are removed.

Accepted Answer

A) True 
 B)False

Question 8

________ refers to the sequence of value-adding activities performed by the firm in the course of developing, producing, marketing, and servicing a product.

Accepted Answer

A)  A value chain
B)  A supply chain
C)  Value gap
D)  Value migration

Question 9

The third phase of globalization was triggered by the development of personal computers, the Internet, and Web browsers.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following statements is true of technological advances?

Accepted Answer

A)  It provides a means for globalization to happen.
B)  It discourages internationalization.
C)  It inhibits the growth of new products and services.
D)  It helps consolidate traditional values among consumers worldwide.

Question 11

Companies strive to drive down prices ________, among other strategies.

Accepted Answer

A)  by centralizing manufacturing and procurement to a single source
B)  by standardizing what they sell
C)  by thwarting the growth of supranational institutions
D)  by discouraging competition

Question 12

As market globalization intensifies, ________.

Accepted Answer

A)  the gap between the rich and the poor shrinks rapidly
B)  the distance between consumers worldwide expands
C)  individual firms respond to the challenges and new advantages that it brings
D)  firms internationalize solely as a reaction to it

Question 13

Governments have facilitated economic integration by ________.

Accepted Answer

A)  increasing barriers to international trade and investment
B)  creating supranational institutions to further reduce trade barriers
C)  adopting different monetary and fiscal policies within the same regional economic integration blocs
D)  standardizing consumer lifestyles and preferences

Question 14

A value chain is ________.

Accepted Answer

A)  the sequence of administrative policies implemented to promote economic integration by a government
B)  the process of relocating manufacturing and production to valuable and cost-effective locations abroad
C)  the process of integrating national economies during a financial crisis
D)  the sequence of value-adding activities performed by a firm in the course of developing, producing, marketing, and servicing a product

Question 15

Early multinationals from the third phase of globalization originated in ________.

Accepted Answer

A)  Japan
B)  China
C)  India
D)  Brazil

Question 16

What is meant by the internationalization of a firm's value chain?

Accepted Answer

The answer of What is meant by the internationalization of...

Question 17

Governments have facilitated economic integration by lowering barriers to international trade and investment, harmonizing their monetary and fiscal policies within regional economic integration blocs.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is Rina most likely to cite as a counter example to Juan's argument regarding the influence of MNEs on national sovereignty?

Accepted Answer

A)  the dominating influence of market forces on the global economy
B)  technological advances in computer-aided design of products
C)  the political influence of large firms such as Walmart
D)  the actual GDPs of underdeveloped economies

Question 19

Describe the role of GATT and the WTO in reducing barriers to trade and investment worldwide, and explain how this reduction has led to the integration and interdependence of national economies.

Accepted Answer

The answer of Describe the role of GATT and the...

Question 20

Which of the following is an example of a supranational institution?

Accepted Answer

A)  the World Intellectual Property Organization
B)  the UNICEF
C)  the Red Cross
D)  the World Trade Organization

Exam 2: Globalization of Markets and the Internationalization of the Firm

Which of the following represents the final stage in a firm's value chain?

The representative from Business B is most likely from ________.

Technological advances have helped make internationalization affordable for all sizes of firms.

The Internet has increased the cost of transmitting voices, data, and images.

Rina is most likely to counter Juan's claim regarding environmental effects by pointing out which of the following?

Market globalization compels firms to organize their sourcing, manufacturing, marketing, and other value-adding activities on a strictly local scale.

In a "common market," barriers to the cross-border flow of factors of production are removed.

________ refers to the sequence of value-adding activities performed by the firm in the course of developing, producing, marketing, and servicing a product.

The third phase of globalization was triggered by the development of personal computers, the Internet, and Web browsers.

Which of the following statements is true of technological advances?

Companies strive to drive down prices ________, among other strategies.

As market globalization intensifies, ________.

Governments have facilitated economic integration by ________.

A value chain is ________.

Early multinationals from the third phase of globalization originated in ________.

What is meant by the internationalization of a firm's value chain?

Governments have facilitated economic integration by lowering barriers to international trade and investment, harmonizing their monetary and fiscal policies within regional economic integration blocs.

Which of the following is Rina most likely to cite as a counter example to Juan's argument regarding the influence of MNEs on national sovereignty?

Describe the role of GATT and the WTO in reducing barriers to trade and investment worldwide, and explain how this reduction has led to the integration and interdependence of national economies.

Which of the following is an example of a supranational institution?