Question 1

A(n)____ business transcends national boundaries and is not committed to a single home country.

Accepted Answer

A)  international 
B)  domestic 
C)  multinational 
D)  intercontinental 
E)  global

Question 2

A U.S.recording company that wanted to take advantage of the fact that European teens love everything American would find it difficult to get its music played on French radio stations.French stations are required to play at least 40 percent French-made music.This requirement indicates one way that the ____ environment challenges international management.

Accepted Answer

A)  technological 
B)  cultural 
C)  political-legal 
D)  economic 
E)  natural

Question 3

Which of the following is NOT a reason for using a licensing agreement as a means of entering international business?

Accepted Answer

A)  Low levels of risk 
B)  High domestic production costs 
C)  Government regulation 
D)  Increased/extended profitability of technology 
E)  Excessive transportation costs

Question 4

The United States and Germany tend to have an intermediate ____________________ orientation.

Accepted Answer

The answer of The United States and Germany tend to...

Question 5

Match the following.You may use a response once,more than once,or not at all.
-Based primarily in one country but gets a significant share of its resources/revenue from other countries

Accepted Answer

A) Market system 
B) Domestic business 
C) International business 
D) Market economy 
E) Multinational business
F)Global economy

Question 6

Match the following.You may use a response once,more than once,or not at all.
-Immediate rewards needed

Accepted Answer

A) Social orientation 
B) Power orientation 
C) Uncertainty orientation 
D) Goal orientation 
E) Time orientation

Question 7

Special Exercises
The German working environment is similar to the U.S.working environment.Nevertheless,U.S.managers working in Germany have to adapt.Navigating laws and customs can be challenging.For instance,traditional houses in Germany have been large,well-constructed buildings.They are expensive to build,but last for generations.They usually have three generations living under the same roof.This information has far-reaching implications for foreign managers working in Germany.Match the statement with the type of environmental challenge for international managers it describes.
-Germans have 50-year mortgages that can pass from one generation to the next.

Accepted Answer

A) Political-legal environment 
B) Economic environment 
C) Cultural environment

Question 8

Describe the advantages and disadvantages of licensing and direct investment.

Accepted Answer

The answer of Describe the advantages and disadvantages of licensing...

Question 9

Every country and indeed many regions within any given country are unique.

Accepted Answer

A) True 
 B)False

Question 10

TransFair USA promotes fair trade programs so farmers in developing countries can earn high enough wages to afford adequate nutrition and basic health care.TransFair is trying to change the ____ environment of international management.

Accepted Answer

A)  technological 
B)  cultural 
C)  political 
D)  economic 
E)  legal

Question 11

Supervising a group of five managers,each of whom is from a different state in the United States,is likely to be much ____________________ than supervising a group of five managers,each of whom is from a different culture.

Accepted Answer

The answer of Supervising a group of five managers,each of...

Question 12

Boeing sells planes to commercial airlines around the world.It has suppliers around the world too.The defense side of Boeing sells primarily to the federal government.It is a(n)____ business.

Accepted Answer

A)  international 
B)  domestic 
C)  multinational 
D)  intercontinental 
E)  global

Question 13

During a recession what incentives do governments provide for international trade?

Accepted Answer

The answer of During a recession what incentives do governments...

Question 14

MNC stands for ____________________.

Accepted Answer

The answer of MNC stands for ____________________....

Question 15

France has a relatively low level of government ownership among the market economies.

Accepted Answer

A) True 
 B)False

Question 16

Special Exercises
Brazil is the host of the 2016 Summer Olympics.The following statements describe current conditions in Brazil.Many companies see the event as a business opportunity.Match the statement with the type of environmental challenge for international managers it describes.
-Brazil is the only Portuguese speaking country in the Americas.

Accepted Answer

A) Political-legal environment 
B) Economic environment 
C) Cultural environment

Question 17

Licensing is the easiest way of entering a new market.

Accepted Answer

A) True 
 B)False

Question 18

In Japan,apples are very expensive and traditionally are presented as gifts.Each apples is grown with wrapping to prevent insects and to ensure perfect color.When Washington Apples wanted to export to Japan,it faced ____ barriers.

Accepted Answer

A)  economic 
B)  political-legal 
C)  cultural 
D)  infrastructure 
E)  technological

Question 19

Which of the following is NOT a characteristic of a mature market economy?

Accepted Answer

A)  They employ market forces in the allocation of resources 
B)  Their GDP comes largely from oil revenue 
C)  They have mostly private ownership of property 
D)  U.S.managers have relatively few problems operating there 
E)  Markets in these economies are typically quite mature

Question 20

____ is the least risky type of international business in which firms usually become involved.

Accepted Answer

A)  Importing/exporting 
B)  Licensing 
C)  Joint venture 
D)  Global sourcing 
E)  Direct investment

Exam 5: Navigating the Global Environment

A(n) ____ business transcends national boundaries and is not committed to a single home country.

Which of the following is NOT a reason for using a licensing agreement as a means of entering international business?

The United States and Germany tend to have an intermediate ____________________ orientation.

Match the following.You may use a response once,more than once,or not at all. -Based primarily in one country but gets a significant share of its resources/revenue from other countries

Match the following.You may use a response once,more than once,or not at all. -Immediate rewards needed

Describe the advantages and disadvantages of licensing and direct investment.

Every country and indeed many regions within any given country are unique.

TransFair USA promotes fair trade programs so farmers in developing countries can earn high enough wages to afford adequate nutrition and basic health care.TransFair is trying to change the ____ environment of international management.

Supervising a group of five managers,each of whom is from a different state in the United States,is likely to be much ____________________ than supervising a group of five managers,each of whom is from a different culture.

Boeing sells planes to commercial airlines around the world.It has suppliers around the world too.The defense side of Boeing sells primarily to the federal government.It is a(n) ____ business.

During a recession what incentives do governments provide for international trade?

MNC stands for ____________________.

France has a relatively low level of government ownership among the market economies.

Licensing is the easiest way of entering a new market.

In Japan,apples are very expensive and traditionally are presented as gifts.Each apples is grown with wrapping to prevent insects and to ensure perfect color.When Washington Apples wanted to export to Japan,it faced ____ barriers.

Which of the following is NOT a characteristic of a mature market economy?

____ is the least risky type of international business in which firms usually become involved.