Question 1

MNEs must set high prices in emerging markets because emerging market consumers have high spending power.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following is true of the Grameen Bank founded by Prof. Muhammad Yunus?

Accepted Answer

A) It provides funding primarily to global conglomerates. 
B) It is a family conglomerate based in Bangladesh. 
C) It provides small-scale financial services to aspiring entrepreneurs in poor countries. 
D) It sells insurance in India for less than 20 cents. 
A) It provides funding primarily to global conglomerates. 
B) It is a family conglomerate based in Bangladesh. 
C) It provides small-scale financial services to aspiring entrepreneurs in poor countries. 
D) It sells insurance in India for less than 20 cents.

Question 3

Which of the following is true about emerging market economies in international business?

Accepted Answer

A) They account for nearly two-thirds of world GDP and host the world's largest MNEs. 
B) They have tremendous purchasing power with minimal restrictions on international trade and investment. 
C) These markets have evolved from manufacturing economies to service-based economies. 
D) Businesses in emerging markets are important targets for machinery, equipment, and technology sales. 
A) They account for nearly two-thirds of world GDP and host the world's largest MNEs. 
B) They have tremendous purchasing power with minimal restrictions on international trade and investment. 
C) These markets have evolved from manufacturing economies to service-based economies. 
D) Businesses in emerging markets are important targets for machinery, equipment, and technology sales.

Question 4

Which of the following countries has the highest per-capita GDP using PPP exchange rates in US$?

Accepted Answer

A) Brazil 
B) China 
C) Turkey 
D) South Korea 
A) Brazil 
B) China 
C) Turkey 
D) South Korea

Question 5

________ refer to post-industrial countries characterized by high per-capita income, highly competitive industries, and well-developed commercial infrastructure.

Accepted Answer

A) Underground economies 
B) Emerging markets 
C) Advanced economies 
D) Transition economies 
A) Underground economies 
B) Emerging markets 
C) Advanced economies 
D) Transition economies

Question 6

For foreign firms wanting to do business in emerging markets, family conglomerates can make valuable venture partners.

Accepted Answer

A) True 
 B)False

Question 7

Certain emerging markets that have evolved from centrally planned economies to liberalized markets are called transition economies.

Accepted Answer

A) True 
 B)False

Question 8

What leading advocate of microfinance was awarded the 2006 Nobel Peace Prize? ________.

Accepted Answer

A) Muhammed Yunus 
B) Bill Gates 
C) Melinda Gates 
D) Bill Clinton 
A) Muhammed Yunus 
B) Bill Gates 
C) Melinda Gates 
D) Bill Clinton

Question 9

Advanced economies account for about ________ percent of the world population.

Accepted Answer

A) 14 
B) 42 
C) 61 
D) 5 
A) 14 
B) 42 
C) 61 
D) 5

Question 10

Demographic trends indicate that, in the coming two decades, ________.

Accepted Answer

A) the spending power of middle-class households will substantially decline 
B) the GDP of advanced economies will decline 
C) the spending power of low-income households will increase tremendously 
D) the proportion of middle-class households in emerging markets will become much bigger, acquiring enormous spending power 
A) the spending power of middle-class households will substantially decline 
B) the GDP of advanced economies will decline 
C) the spending power of low-income households will increase tremendously 
D) the proportion of middle-class households in emerging markets will become much bigger, acquiring enormous spending power

Question 11

________ is the procurement of selected value-chain activities, including production of intermediate goods or finished products, from independent suppliers.

Accepted Answer

A) Purchasing power parity 
B) Outsourcing 
C) Privatization 
D) Nationalization 
A) Purchasing power parity 
B) Outsourcing 
C) Privatization 
D) Nationalization

Question 12

Developing economies ________.

Accepted Answer

A) account for nearly two-thirds of world GDP 
B) are often highly developed in historical and cultural terms 
C) are characterized by high purchasing power 
D) have a high literacy rate 
A) account for nearly two-thirds of world GDP 
B) are often highly developed in historical and cultural terms 
C) are characterized by high purchasing power 
D) have a high literacy rate

Question 13

In a short essay, describe some of the risks and challenges of doing business in emerging markets. What strategies help firms enter emerging markets successfully?

Accepted Answer

Firms that wish to do business in emergi

Question 14

The lack of confidence among foreign investors with regard to Russia stems from the nation's unstable political conditions and its favoritism toward local firms.

Accepted Answer

A) True 
 B)False

Question 15

The new global challengers have become formidable competitors primarily because ________.

Accepted Answer

A) of instant brand recognition 
B) of the easy availability of low-cost labor, skilled workforces, government support, and family conglomerates 
C) of superior market research and customer service 
D) substantial government funding, high wages, and value-chain diversification 
A) of instant brand recognition 
B) of the easy availability of low-cost labor, skilled workforces, government support, and family conglomerates 
C) of superior market research and customer service 
D) substantial government funding, high wages, and value-chain diversification

Question 16

Which of the following is a characteristic of advanced economies?

Accepted Answer

A) poor quality of life 
B) low life expectancy 
C) high purchasing power 
D) high infant mortality rate 
A) poor quality of life 
B) low life expectancy 
C) high purchasing power 
D) high infant mortality rate

Question 17

________ are formal offers made by a buyer to purchase certain products or services.

Accepted Answer

A) Quotas 
B) Tariffs 
C) Tenders 
D) Microloans 
A) Quotas 
B) Tariffs 
C) Tenders 
D) Microloans

Question 18

Which of the following is characteristic of emerging markets?

Accepted Answer

A) minimal trade barriers 
B) high trade volume 
C) low inward FDI 
D) highly developed industry 
A) minimal trade barriers 
B) high trade volume 
C) low inward FDI 
D) highly developed industry

Question 19

Where are emerging markets mostly found? What are the factors contributing to their rapid growth?

Accepted Answer

Emerging markets are found in East and S

Question 20

Developing countries lack numerous conditions needed for successful economic development, including low trade barriers and substantial international trade and investment.

Accepted Answer

A) True 
 B)False

MNEs must set high prices in emerging markets because emerging market consumers have high spending power.

Which of the following is true of the Grameen Bank founded by Prof. Muhammad Yunus?

Which of the following is true about emerging market economies in international business?

Which of the following countries has the highest per-capita GDP using PPP exchange rates in US$?

________ refer to post-industrial countries characterized by high per-capita income, highly competitive industries, and well-developed commercial infrastructure.

For foreign firms wanting to do business in emerging markets, family conglomerates can make valuable venture partners.

Certain emerging markets that have evolved from centrally planned economies to liberalized markets are called transition economies.

What leading advocate of microfinance was awarded the 2006 Nobel Peace Prize? ________.

Advanced economies account for about ________ percent of the world population.

Demographic trends indicate that, in the coming two decades, ________.

________ is the procurement of selected value-chain activities, including production of intermediate goods or finished products, from independent suppliers.

Developing economies ________.

In a short essay, describe some of the risks and challenges of doing business in emerging markets. What strategies help firms enter emerging markets successfully?

The lack of confidence among foreign investors with regard to Russia stems from the nation's unstable political conditions and its favoritism toward local firms.

The new global challengers have become formidable competitors primarily because ________.

Which of the following is a characteristic of advanced economies?

________ are formal offers made by a buyer to purchase certain products or services.

Which of the following is characteristic of emerging markets?

Where are emerging markets mostly found? What are the factors contributing to their rapid growth?

Developing countries lack numerous conditions needed for successful economic development, including low trade barriers and substantial international trade and investment.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

The Cultural Environment of International Business

Ethics, Corporate Social Responsibility, Sustainability and Corporate Governance

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention and Regional Economic Integration

The International Monetary and Financial Environment

Financial Management and Accounting in the Global Firm

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Global Sourcing

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Marketing in the Global Firm

Human Resource Management in the Global Firm

Filters

Exam 8: Understanding Emerging Markets

MNEs must set high prices in emerging markets because emerging market consumers have high spending power.

Which of the following is true of the Grameen Bank founded by Prof. Muhammad Yunus?

Which of the following is true about emerging market economies in international business?

Which of the following countries has the highest per-capita GDP using PPP exchange rates in US$?

________ refer to post-industrial countries characterized by high per-capita income, highly competitive industries, and well-developed commercial infrastructure.

For foreign firms wanting to do business in emerging markets, family conglomerates can make valuable venture partners.

Certain emerging markets that have evolved from centrally planned economies to liberalized markets are called transition economies.

What leading advocate of microfinance was awarded the 2006 Nobel Peace Prize? ________.

Advanced economies account for about ________ percent of the world population.

Demographic trends indicate that, in the coming two decades, ________.

________ is the procurement of selected value-chain activities, including production of intermediate goods or finished products, from independent suppliers.

Developing economies ________.

In a short essay, describe some of the risks and challenges of doing business in emerging markets. What strategies help firms enter emerging markets successfully?

The lack of confidence among foreign investors with regard to Russia stems from the nation's unstable political conditions and its favoritism toward local firms.

The new global challengers have become formidable competitors primarily because ________.

Which of the following is a characteristic of advanced economies?

________ are formal offers made by a buyer to purchase certain products or services.

Which of the following is characteristic of emerging markets?

Where are emerging markets mostly found? What are the factors contributing to their rapid growth?

Developing countries lack numerous conditions needed for successful economic development, including low trade barriers and substantial international trade and investment.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

The Cultural Environment of International Business

Ethics, Corporate Social Responsibility, Sustainability and Corporate Governance

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention and Regional Economic Integration

The International Monetary and Financial Environment

Financial Management and Accounting in the Global Firm

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Global Sourcing

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Marketing in the Global Firm

Human Resource Management in the Global Firm

Filters