Exam 5: The Political, Legal, and Regulatory Environments

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A proposed merger between two Swiss-based global pharmaceutical companies, Ciba-Geigy AG and Sandoz AG, would be subject to review by regulators from which of the following?

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Patents and trademarks that are registered in the United States are protected in all countries of the world.

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When companies operate abroad in the absence of home-country legal constraints, the best choice for ethical conduct would be:

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A company stands a better chance of having an international arbitration award upheld if its home-country government has signed:

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When a company invents a product or service, it should have a right to defend its creativity with intellectual patents.However, there are some countries like Italy and China where piracy and copyright violations are common.How can a corporation prevent this by having some built-in measures in products and services?

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If a foreign company only has a sign board in any state in the United States, then that company is subject to the jurisdiction of U.S.courts.

(True/False)
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Nippon Paper Industries was found guilty in a U.S.court of conspiring with other Japanese companies to raise fax paper prices in the United States under the antitrust laws.What are the implications of such a law, and how does it affect international business?

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A patent holder retains all rights for the life of the patent even if the product is not produced or sold.

(True/False)
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Which of the following is not a common-law country?

(Multiple Choice)
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In the United States, the Foreign Corrupt Practices Act (FCPA)is a legacy of the Watergate scandal during Richard Nixon's presidency.Administered by the Department of Justice and the Securities and Exchange Commission, the act is concerned with disclosure and prohibition.What is this law concerned with, and why is it a subject of criticism by many?

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In many parts of the world, sales of unauthorized videos of Hollywood movies cost the movie studios billions of dollars.When illegal copies of movies are made, what form of intellectual property has been wrongly appropriated?

(Multiple Choice)
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According to the Transparency International's Corruption Perceptions Index scores for 2010, the country which was listed as most corrupt was:

(Multiple Choice)
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In 2009, Etisalat, a telecommunications company in the United Arab Emirates (UAE)urged BlackBerry users to download a software upgrade; it turned out the upgrade contained spyware.

(True/False)
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Some firms and lawyers inexperienced in the practice of international commercial arbitration consider arbitration clauses in a contract as "any other clause." This can be a gross misunderstanding of the clauses.Why are these clauses different and so significant?

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Any company doing business outside the home country should first carefully study the ________ in the target country.

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Counterfeiting is:

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Engineers at a company in a developing country study an American computer chip design, copy it, and produce identical chips that are then sold to local computer makers.What form of intellectual property has been wrongly appropriated?

(Multiple Choice)
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Islamic law is a comprehensive code based in part on:

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A trademark gives the inventor of a product the exclusive legal right to make, use, and sell an invention for a specific period of time.

(True/False)
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Which of the following best describes the legal basis for protection of trade secrets, patents, and copyrights in the United States?

(Multiple Choice)
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