Question 1

A merger is a special type of acquisition.

Accepted Answer

A) True 
 B)False

Question 2

International portfolio investment is characterized by ________.

Accepted Answer

A) short-term foreign market speculation 
B) long-term administration of MNE stocks 
C) active control of a foreign business 
D) passive ownership of foreign stocks and bonds 
A) short-term foreign market speculation 
B) long-term administration of MNE stocks 
C) active control of a foreign business 
D) passive ownership of foreign stocks and bonds

Question 3

A firm most likely enters the home market of a foreign competitor in order to ________.

Accepted Answer

A) enter a collaborative venture with the competitor 
B) gain access to the competitor's government contracts 
C) force the competitor to expend resources to defend its market 
D) interfere with the competitor's marketing campaign 
A) enter a collaborative venture with the competitor 
B) gain access to the competitor's government contracts 
C) force the competitor to expend resources to defend its market 
D) interfere with the competitor's marketing campaign

Question 4

Avoiding trade barriers is classified as a market-seeking motive for FDI.

Accepted Answer

A) True 
 B)False

Question 5

The strategic purpose behind firms competing with rivals in their own market is to force them to expend resources and thus, defend the firm's own market.

Accepted Answer

A) True 
 B)False

Question 6

A new legal entity is created during the formation of a project-based, nonequity venture.

Accepted Answer

A) True 
 B)False

Question 7

Collaborative ventures benefit SMEs by providing them with ________.

Accepted Answer

A) better trained employees 
B) increased amount of capital 
C) larger and newer facilities 
D) more advanced technology 
A) better trained employees 
B) increased amount of capital 
C) larger and newer facilities 
D) more advanced technology

Question 8

Which of the following is a characteristic of successful international retailers?

Accepted Answer

A) conservative managers and salespeople and a centralized organizational system 
B) an entrepreneurial approach to foreign markets and an understanding of the target market 
C) significant financial borrowings and high foreign and domestic operational costs 
D) extreme competition and support from home-country governments exclusively 
A) conservative managers and salespeople and a centralized organizational system 
B) an entrepreneurial approach to foreign markets and an understanding of the target market 
C) significant financial borrowings and high foreign and domestic operational costs 
D) extreme competition and support from home-country governments exclusively

Question 9

Which of the following represents a human resource factor that firms must consider when selecting an FDI location?

Accepted Answer

A) intellectual property protection 
B) transparency and corruption 
C) extent of bureaucracy and red tape 
D) involvement of labor unions 
A) intellectual property protection 
B) transparency and corruption 
C) extent of bureaucracy and red tape 
D) involvement of labor unions

Question 10

Which of the following represents an infrastructural factor that firms must consider when selecting an FDI location?

Accepted Answer

A) size and growth of national market 
B) political stability 
C) availability and quality of local manufacturing 
D) stability of currency 
A) size and growth of national market 
B) political stability 
C) availability and quality of local manufacturing 
D) stability of currency

A merger is a special type of acquisition.

International portfolio investment is characterized by ________.

A firm most likely enters the home market of a foreign competitor in order to ________.

Avoiding trade barriers is classified as a market-seeking motive for FDI.

The strategic purpose behind firms competing with rivals in their own market is to force them to expend resources and thus, defend the firm's own market.

A new legal entity is created during the formation of a project-based, nonequity venture.

Collaborative ventures benefit SMEs by providing them with ________.

Which of the following is a characteristic of successful international retailers?

Which of the following represents a human resource factor that firms must consider when selecting an FDI location?

Which of the following represents an infrastructural factor that firms must consider when selecting an FDI location?

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

Understanding Emerging Markets

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

Licensing, Franchising, and Other Contractual Strategies

Marketing in the Global Firm

Human Resource Management in the Global Firm

Filters

Exam 14: Foreign Direct Investment and Collaborative Ventures

A merger is a special type of acquisition.

International portfolio investment is characterized by ________.

A firm most likely enters the home market of a foreign competitor in order to ________.

Avoiding trade barriers is classified as a market-seeking motive for FDI.

The strategic purpose behind firms competing with rivals in their own market is to force them to expend resources and thus, defend the firm's own market.

A new legal entity is created during the formation of a project-based, nonequity venture.

Collaborative ventures benefit SMEs by providing them with ________.

Which of the following is a characteristic of successful international retailers?

Which of the following represents a human resource factor that firms must consider when selecting an FDI location?

Which of the following represents an infrastructural factor that firms must consider when selecting an FDI location?

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

Understanding Emerging Markets

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

Licensing, Franchising, and Other Contractual Strategies

Marketing in the Global Firm

Human Resource Management in the Global Firm

Filters