Question 1

________ is the foundation of the legal systems in the United Kingdom and its former colonies.

Accepted Answer

A)  Common law 
B)  Civil law 
C)  Religious law 
D)  Bureaucratic law 
A)  Common law 
B)  Civil law 
C)  Religious law 
D)  Bureaucratic law

Question 2

Operating risk occurs when the property of an MNE is threatened through either confiscation or expropriation.

Accepted Answer

A) True 
 B)False

Question 3

What questions regarding political risk and the technological environment should a firm consider before entering a new market?

Accepted Answer

Firms contemplating entering new markets

Question 4

Civil wars, assassinations, and kidnappings are dangerous to a firm's international operations.

Accepted Answer

A) True 
 B)False

Question 5

Saudi Arabia's nationalization of the oil industry in the 1970s is an example of ________.

Accepted Answer

A)  macropolitical risk 
B)  micropolitical risk 
C)  transfer risk 
D)  ownership risk 
A)  macropolitical risk 
B)  micropolitical risk 
C)  transfer risk 
D)  ownership risk

Question 6

What is the purpose of the Helms-Burton Act? Why do you think this law is controversial?

Accepted Answer

The Helms-Burton Act authorizes the U.S.

Question 7

Why do manufacturers in France, Germany, and Belgium tend to stress their product's quality over price?

Accepted Answer

Manufacturers from Germany, France, and

Question 8

What is forum shopping? Why do you think forum shopping puts American companies at a disadvantage?

Accepted Answer

Forum shopping is the process whereby in

Question 9

APO Manufacturing is a U.S. based firm that manufactures electronic equipment. The firm conducts business with a Japanese electronics firm, and a dispute has arisen between the two firms regarding intellectual property rights. APO management plans to use arbitration to resolve the problem. Which of the following best supports this decision?

Accepted Answer

A)  APO's legal department is knowledgeable in global patent laws. 
B)  APO's legal department expects the principle of comity to apply. 
C)  APO needs to settle the dispute quickly and inexpensively. 
D)  APO expects to have record profits during the next year. 
A)  APO's legal department is knowledgeable in global patent laws. 
B)  APO's legal department expects the principle of comity to apply. 
C)  APO needs to settle the dispute quickly and inexpensively. 
D)  APO expects to have record profits during the next year.

Question 10

Civil law originated in biblical times with the ________.

Accepted Answer

A)  French 
B)  Greeks 
C)  Jews 
D)  Romans 
A)  French 
B)  Greeks 
C)  Jews 
D)  Romans

Question 11

The United States uses a legal system based on common law.

Accepted Answer

A) True 
 B)False

Question 12

Statutory laws are those enacted by legislative action.

Accepted Answer

A) True 
 B)False

Question 13

One country in which a lack of the rule of law appears to be affecting FDI is ________.

Accepted Answer

A)  Russia 
B)  Canada 
C)  Singapore 
D)  New Zealand 
A)  Russia 
B)  Canada 
C)  Singapore 
D)  New Zealand

Question 14

The ________ is directed against international firms that traffic in the assets of U.S. companies that were confiscated by the Cuban government in 1959.

Accepted Answer

A)  Bay of Pigs Declaration 
B)  Anti-Castro Act 
C)  Helms-Burton Act 
D)  Freeport McMoRan Doctrine 
A)  Bay of Pigs Declaration 
B)  Anti-Castro Act 
C)  Helms-Burton Act 
D)  Freeport McMoRan Doctrine

Question 15

Religious law is common in countries that are heavily populated by Muslims, such as Iran and Pakistan.

Accepted Answer

A) True 
 B)False

Question 16

What problems in international markets can be created by counterfeiting and intellectual property theft?

Accepted Answer

Counterfeiting and intellectual property

Question 17

The U.S. Freedom of Information Act is an example of ________.

Accepted Answer

A)  common law 
B)  civil law 
C)  statutory law 
D)  bureaucratic law 
A)  common law 
B)  civil law 
C)  statutory law 
D)  bureaucratic law

Question 18

Privatization frequently creates opportunities for international businesses because most state-owned entities are ________.

Accepted Answer

A)  untaxed 
B)  well funded 
C)  unprofitable 
D)  well staffed 
A)  untaxed 
B)  well funded 
C)  unprofitable 
D)  well staffed

Question 19

What is a political risk? What are the three categories of political risks?

Accepted Answer

Political risks are any changes in the p

Question 20

Which of the following is not one of the conditions required for the principle of comity to apply?

Accepted Answer

A)  Reciprocity is extended between the countries. 
B)  The defendant is given improper notice. 
C)  The foreign court judgment violates domestic statutes or treaty obligations. 
D)  The foreign court has less stringent punitive damages for corporations. 
A)  Reciprocity is extended between the countries. 
B)  The defendant is given improper notice. 
C)  The foreign court judgment violates domestic statutes or treaty obligations. 
D)  The foreign court has less stringent punitive damages for corporations.

________ is the foundation of the legal systems in the United Kingdom and its former colonies.

Operating risk occurs when the property of an MNE is threatened through either confiscation or expropriation.

What questions regarding political risk and the technological environment should a firm consider before entering a new market?

Civil wars, assassinations, and kidnappings are dangerous to a firm's international operations.

Saudi Arabia's nationalization of the oil industry in the 1970s is an example of ________.

What is the purpose of the Helms-Burton Act? Why do you think this law is controversial?

Why do manufacturers in France, Germany, and Belgium tend to stress their product's quality over price?

What is forum shopping? Why do you think forum shopping puts American companies at a disadvantage?

Civil law originated in biblical times with the ________.

The United States uses a legal system based on common law.

Statutory laws are those enacted by legislative action.

One country in which a lack of the rule of law appears to be affecting FDI is ________.

The ________ is directed against international firms that traffic in the assets of U.S. companies that were confiscated by the Cuban government in 1959.

Religious law is common in countries that are heavily populated by Muslims, such as Iran and Pakistan.

What problems in international markets can be created by counterfeiting and intellectual property theft?

The U.S. Freedom of Information Act is an example of ________.

Privatization frequently creates opportunities for international businesses because most state-owned entities are ________.

What is a political risk? What are the three categories of political risks?

Which of the following is not one of the conditions required for the principle of comity to apply?

An Overview of International Business

Global Marketplaces and Business Centers

The Role of Culture

Ethics and Social Responsibility in International Business

International Trade and Investment

The International Monetary System and the Balance of Payments

Foreign Exchange and International Financial Markets

Formulation of National Trade Policies

International Cooperation Among Nations

International Strategic Management

Strategies for Analyzing and Entering Foreign Markets

International Strategic Alliances

International Organization Design and Control

Leadership and Employee Behavior in International Business

International Marketing

International Operations Management

International Financial Management

International Human Resource Management and Labor Relations

Filters

Exam 3: Legal, Technological, and Political Environments

________ is the foundation of the legal systems in the United Kingdom and its former colonies.

Operating risk occurs when the property of an MNE is threatened through either confiscation or expropriation.

What questions regarding political risk and the technological environment should a firm consider before entering a new market?

Civil wars, assassinations, and kidnappings are dangerous to a firm's international operations.

Saudi Arabia's nationalization of the oil industry in the 1970s is an example of ________.

What is the purpose of the Helms-Burton Act? Why do you think this law is controversial?

Why do manufacturers in France, Germany, and Belgium tend to stress their product's quality over price?

What is forum shopping? Why do you think forum shopping puts American companies at a disadvantage?

Civil law originated in biblical times with the ________.

The United States uses a legal system based on common law.

Statutory laws are those enacted by legislative action.

One country in which a lack of the rule of law appears to be affecting FDI is ________.

The ________ is directed against international firms that traffic in the assets of U.S. companies that were confiscated by the Cuban government in 1959.

Religious law is common in countries that are heavily populated by Muslims, such as Iran and Pakistan.

What problems in international markets can be created by counterfeiting and intellectual property theft?

The U.S. Freedom of Information Act is an example of ________.

Privatization frequently creates opportunities for international businesses because most state-owned entities are ________.

What is a political risk? What are the three categories of political risks?

Which of the following is not one of the conditions required for the principle of comity to apply?

An Overview of International Business

Global Marketplaces and Business Centers

The Role of Culture

Ethics and Social Responsibility in International Business

International Trade and Investment

The International Monetary System and the Balance of Payments

Foreign Exchange and International Financial Markets

Formulation of National Trade Policies

International Cooperation Among Nations

International Strategic Management

Strategies for Analyzing and Entering Foreign Markets

International Strategic Alliances

International Organization Design and Control

Leadership and Employee Behavior in International Business

International Marketing

International Operations Management

International Financial Management

International Human Resource Management and Labor Relations

Filters