Exam 3: Legal, Technological, and Political Environments

Randall's Groceries, an international supermarket chain, recently opened a new store in the Taiwanese market. Which of the following will Taiwanese consumers most likely experience?

What is the purpose of political risk assessment?

The transmittal of technology from one country to another is known as technology ________.

Dawson Enterprises, a U.S. firm, conducts business in Saudi Arabia. The MNE recently experienced a business dispute with a local firm and was forced to meet the demands of the local firm without going through due process. Dawson's experience most likely occurred because Saudi Arabia relies on ________.

Common law is primarily based on ________.

Canada's legal system is based on bureaucratic law.

Under the Helms-Burton Act, the United States can take legal action against corporations that buy assets from Cuba if those assets were previously taken from U.S. owners.

Walton Enterprises, a U.S. firm, has a facility in China. Walton managers in China frequently complain about the arbitrary rules and decisions implemented by Chinese government authorities. Such legal unpredictability suggests that China has a system based on ________ law.

Religious law is primarily based on ________.

Why is arbitration preferred as a means of resolving disputes?

Common law has evolved differently in each common law country. Thus, laws affecting business practices vary somewhat among these countries, creating potential problems for the uninformed international businessperson.

The Helms-Burton Act is among the most controversial applications of extraterritoriality affecting international business today.

________ has one of the highest levels of macropolitical risk.

Foreign companies doing business in Saudi Arabia must be cautious because of the country's lack of an independent judiciary to protect the foreign company's rights.

Explain the relationship among the terms nationalization, expropriation, and confiscation.