Question 1

The EU organization that provides political leadership,drafts laws,and runs the daily programs of the EU is the ________.

Accepted Answer

A)  European Commission 
B)  Council of Ministers 
C)  European Parliament 
D)  European Central Bureaucracy 
A)  European Commission 
B)  Council of Ministers 
C)  European Parliament 
D)  European Central Bureaucracy

Question 2

Korman Industries is a foreign multinational that recently established operations in the European Union. What is the most likely advantage for Korman as a result?

Accepted Answer

A)  Governance processes are streamlined because local governments have been eliminated. 
B)  Market size is larger because of the elimination of internal tariff barriers. 
C)  Differential external tariff barriers exist for product shipments. 
D)  The EU uses English as its official language. 
A)  Governance processes are streamlined because local governments have been eliminated. 
B)  Market size is larger because of the elimination of internal tariff barriers. 
C)  Differential external tariff barriers exist for product shipments. 
D)  The EU uses English as its official language.

Question 3

An NGO is a private institution independent from the government.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following was primarily responsible for establishing the euro?

Accepted Answer

A)  Lisbon Treaty 
B)  Treaty of Maastricht 
C)  European Finance Act 
D)  Single European Act 
A)  Lisbon Treaty 
B)  Treaty of Maastricht 
C)  European Finance Act 
D)  Single European Act

Question 5

The ________ is a preferential trade agreement that was organized in 1967 and comprises Brunei,Cambodia,Indonesia,Laos,Malaysia,Myanmar,the Philippines,Singapore,Thailand,and Vietnam.

Accepted Answer

A)  APEC 
B)  OAU 
C)  ASEAN 
D)  CAFTA 
A)  APEC 
B)  OAU 
C)  ASEAN 
D)  CAFTA

Question 6

OPEC is an example of a producer's cartel that is successful because of its ability to institute tariffs on oil exports.

Accepted Answer

A) True 
 B)False

Question 7

The major trade groups in South America are CAN and MERCOSUR.

Accepted Answer

A) True 
 B)False

Question 8

Of the following possibilities,the European Union is best described as a ________.

Accepted Answer

A)  customs union 
B)  domestic organization 
C)  global bargaining unit 
D)  common language agreement 
A)  customs union 
B)  domestic organization 
C)  global bargaining unit 
D)  common language agreement

Question 9

The ________ is the common currency of the European Union.

Accepted Answer

A)  franc 
B)  pound 
C)  euro 
D)  mark 
A)  franc 
B)  pound 
C)  euro 
D)  mark

Question 10

Although the European Union is a common market,member countries have different economic growth rates.

Accepted Answer

A) True 
 B)False

Question 11

The role of most commodity agreements now is to ________.

Accepted Answer

A)  discuss issues and disseminate information about commodities 
B)  keep consumer countries from controlling commodity prices 
C)  allow producer countries to control inflation by keeping commodity prices low 
D)  stabilize prices through regional alliances between producer and consumer countries 
A)  discuss issues and disseminate information about commodities 
B)  keep consumer countries from controlling commodity prices 
C)  allow producer countries to control inflation by keeping commodity prices low 
D)  stabilize prices through regional alliances between producer and consumer countries

Question 12

The shifting of resources from inefficient to efficient companies as trade barriers fall produces static effects.

Accepted Answer

A) True 
 B)False

Question 13

What has been the impact of NAFTA on trade and employment in NAFTA nations?

Accepted Answer

Trade and investment among the NAFTA mem

Question 14

Regional integration is better known as global integration through the World Trade Organization.

Accepted Answer

A) True 
 B)False

Question 15

Hudson Manufacturing is an MNE based in the U.S. with operations in Asia. The firm is considering expansion into the European Union. Executives at the firm are debating whether central Europe or Eastern Europe would be best for the firm. Which of the following best supports a decision to establish operations in Eastern Europe?

Accepted Answer

A)  Hudson wants to implement a high-performance work system. 
B)  Hudson plans to staff the foreign facility with local managers. 
C)  Hudson wants to minimize costs by keeping wages low. 
D)  Hudson recently lost money in a joint venture. 
A)  Hudson wants to implement a high-performance work system. 
B)  Hudson plans to staff the foreign facility with local managers. 
C)  Hudson wants to minimize costs by keeping wages low. 
D)  Hudson recently lost money in a joint venture.

Question 16

The most important rationales for NAFTA are geographic proximity and trading importance.

Accepted Answer

A) True 
 B)False

Question 17

________ effects of economic integration are the overall growth in the market and the impact on a company caused by expanding production and by the company's ability to achieve greater economies of scale.

Accepted Answer

A)  Dynamic 
B)  Static 
C)  Economic 
D)  Barrier 
A)  Dynamic 
B)  Static 
C)  Economic 
D)  Barrier

Question 18

The goal of a free trade agreement is to abolish all tariffs among member countries.

Accepted Answer

A) True 
 B)False

Question 19

The European Union is an example of ________ integration.

Accepted Answer

A)  regional 
B)  relative 
C)  global 
D)  bilateral 
A)  regional 
B)  relative 
C)  global 
D)  bilateral

Question 20

Baldani Manufacturing,an Italian firm,plans to expand into Asia. In order to take advantage of regional trading groups,Baldani will most likely need to change its ________.

Accepted Answer

A)  operating strategies 
B)  selection test methods 
C)  bilateral trade agreements 
D)  economic integration methods 
A)  operating strategies 
B)  selection test methods 
C)  bilateral trade agreements 
D)  economic integration methods

The EU organization that provides political leadership,drafts laws,and runs the daily programs of the EU is the ________.

Korman Industries is a foreign multinational that recently established operations in the European Union. What is the most likely advantage for Korman as a result?

An NGO is a private institution independent from the government.

Which of the following was primarily responsible for establishing the euro?

The ________ is a preferential trade agreement that was organized in 1967 and comprises Brunei,Cambodia,Indonesia,Laos,Malaysia,Myanmar,the Philippines,Singapore,Thailand,and Vietnam.

OPEC is an example of a producer's cartel that is successful because of its ability to institute tariffs on oil exports.

The major trade groups in South America are CAN and MERCOSUR.

Of the following possibilities,the European Union is best described as a ________.

The ________ is the common currency of the European Union.

Although the European Union is a common market,member countries have different economic growth rates.

The role of most commodity agreements now is to ________.

The shifting of resources from inefficient to efficient companies as trade barriers fall produces static effects.

What has been the impact of NAFTA on trade and employment in NAFTA nations?

Regional integration is better known as global integration through the World Trade Organization.

The most important rationales for NAFTA are geographic proximity and trading importance.

________ effects of economic integration are the overall growth in the market and the impact on a company caused by expanding production and by the company's ability to achieve greater economies of scale.

The goal of a free trade agreement is to abolish all tariffs among member countries.

The European Union is an example of ________ integration.

Baldani Manufacturing,an Italian firm,plans to expand into Asia. In order to take advantage of regional trading groups,Baldani will most likely need to change its ________.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

Globalization and Society

International Trade and Factor Mobility Theory

Governmental Influence on Trade

Global Foreign-Exchange Markets

The Determination of Exchange Rates

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply Chain Management

International Accounting Issues

The Multinational Finance Function

International Human Resources

Filters

Exam 8: Cross-National Cooperation and Agreements

The EU organization that provides political leadership,drafts laws,and runs the daily programs of the EU is the ________.

Korman Industries is a foreign multinational that recently established operations in the European Union. What is the most likely advantage for Korman as a result?

An NGO is a private institution independent from the government.

Which of the following was primarily responsible for establishing the euro?

The ________ is a preferential trade agreement that was organized in 1967 and comprises Brunei,Cambodia,Indonesia,Laos,Malaysia,Myanmar,the Philippines,Singapore,Thailand,and Vietnam.

OPEC is an example of a producer's cartel that is successful because of its ability to institute tariffs on oil exports.

The major trade groups in South America are CAN and MERCOSUR.

Of the following possibilities,the European Union is best described as a ________.

The ________ is the common currency of the European Union.

Although the European Union is a common market,member countries have different economic growth rates.

The role of most commodity agreements now is to ________.

The shifting of resources from inefficient to efficient companies as trade barriers fall produces static effects.

What has been the impact of NAFTA on trade and employment in NAFTA nations?

Regional integration is better known as global integration through the World Trade Organization.

The most important rationales for NAFTA are geographic proximity and trading importance.

________ effects of economic integration are the overall growth in the market and the impact on a company caused by expanding production and by the company's ability to achieve greater economies of scale.

The goal of a free trade agreement is to abolish all tariffs among member countries.

The European Union is an example of ________ integration.

Baldani Manufacturing,an Italian firm,plans to expand into Asia. In order to take advantage of regional trading groups,Baldani will most likely need to change its ________.

Globalization and International Business

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

Globalization and Society

International Trade and Factor Mobility Theory

Governmental Influence on Trade

Global Foreign-Exchange Markets

The Determination of Exchange Rates

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply Chain Management

International Accounting Issues

The Multinational Finance Function

International Human Resources

Filters