Question 1

A disadvantage of enforcing NAFTA is that American workers have lost their jobs as companies are taking advantage of the lower labor costs in Mexico.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following hampers the growth of global economy?

Accepted Answer

A)  Rise of democracy 
B)  Spread of capitalism around the world 
C)  Encouraging protectionism 
D)  Development of the Internet 
E)  Terms and conditions of NAFTA 
A)  Rise of democracy 
B)  Spread of capitalism around the world 
C)  Encouraging protectionism 
D)  Development of the Internet 
E)  Terms and conditions of NAFTA

Question 3

International trade can cause economic,political,and social disruptions.

Accepted Answer

A) True 
 B)False

Question 4

A country runs a _____,if the value of exports exceeds the value of imports.

Accepted Answer

A)  trade surplus 
B)  trade deficit 
C)  surplus value 
D)  deferred liability 
E)  trade gap 
A)  trade surplus 
B)  trade deficit 
C)  surplus value 
D)  deferred liability 
E)  trade gap

Question 5

A(n)_____ is a citizen of one country who is working in another country,usually in one of her or his company's subsidiaries.

Accepted Answer

A)  foreign affairs manager 
B)  international relations manager 
C)  expatriate manager 
D)  domicile manager 
E)  external manager 
A)  foreign affairs manager 
B)  international relations manager 
C)  expatriate manager 
D)  domicile manager 
E)  external manager

Question 6

Which of the following is true about collectivism?

Accepted Answer

A)  Ties between individuals are not strong. 
B)  People are expected to take care of themselves. 
C)  It is believed that if each person takes care of his or her personal interest, then everyone will be well off. 
D)  People are identified by characteristics of the group they belong to. 
E)  It is believed that people should be free to seek autonomy, pleasure, and security through their own efforts. 
A)  Ties between individuals are not strong. 
B)  People are expected to take care of themselves. 
C)  It is believed that if each person takes care of his or her personal interest, then everyone will be well off. 
D)  People are identified by characteristics of the group they belong to. 
E)  It is believed that people should be free to seek autonomy, pleasure, and security through their own efforts.

Question 7

Businesses like to _____ their sales so that sluggish sales in one market can be offset by stronger sales elsewhere.

Accepted Answer

A)  localize 
B)  recall 
C)  diversify 
D)  specialize 
E)  standardize 
A)  localize 
B)  recall 
C)  diversify 
D)  specialize 
E)  standardize

Question 8

Cultures that endorse low power distance expect and accept relations that are more democratic.

Accepted Answer

A) True 
 B)False

Question 9

If the value of the goods and services a country buys from other countries exceed the value of the goods and services it sells to other countries,then the country runs a _____.

Accepted Answer

A)  trade surplus 
B)  trade deficit 
C)  budget surplus 
D)  budget deficit 
E)  surplus value 
A)  trade surplus 
B)  trade deficit 
C)  budget surplus 
D)  budget deficit 
E)  surplus value

Question 10

Which of the following is true of a licensing agreement?

Accepted Answer

A)  It is not applicable to international businesses or foreign markets. 
B)  It restricts a company's entry into a foreign market. 
C)  It permits one company to sell another company's products abroad. 
D)  It involves dividing resources and skills between companies in order to achieve different goals. 
E)  It involves expanding abroad in order to take advantage of inexpensive labor costs. 
A)  It is not applicable to international businesses or foreign markets. 
B)  It restricts a company's entry into a foreign market. 
C)  It permits one company to sell another company's products abroad. 
D)  It involves dividing resources and skills between companies in order to achieve different goals. 
E)  It involves expanding abroad in order to take advantage of inexpensive labor costs.

Question 11

Which of the following term denotes the value of one currency in terms of another?

Accepted Answer

A)  Foreign interest rate 
B)  Foreign exchange rate 
C)  Balance of payment 
D)  Cash reserve ratio 
E)  Foreign stock exchange 
A)  Foreign interest rate 
B)  Foreign exchange rate 
C)  Balance of payment 
D)  Cash reserve ratio 
E)  Foreign stock exchange

Question 12

Embargoes usually are imposed for political rather than economic reasons.

Accepted Answer

A) True 
 B)False

Question 13

According to the law of _____,individuals,companies,and countries should specialize in what they do best.

Accepted Answer

A)  producers' surplus 
B)  absolute advantage 
C)  comparative advantage 
D)  trade surplus 
E)  imperfect competition 
A)  producers' surplus 
B)  absolute advantage 
C)  comparative advantage 
D)  trade surplus 
E)  imperfect competition

Question 14

_____ is the business strategy which involves engaging in a variety of operations so that sluggish sales in one market can be offset by stronger sales elsewhere.

Accepted Answer

A)  Diversification 
B)  Positioning 
C)  Differentiation 
D)  Segmentation 
E)  Cannibalization 
A)  Diversification 
B)  Positioning 
C)  Differentiation 
D)  Segmentation 
E)  Cannibalization

Question 15

A country that imports more than it exports runs a trade surplus.

Accepted Answer

A) True 
 B)False

Question 16

The purpose of a tariff is to raise the price of domestic goods in order to allow foreign manufacturers to compete.

Accepted Answer

A) True 
 B)False

Question 17

A country that exports more than it imports runs a trade deficit.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is true about international business at present?

Accepted Answer

A)  Today nations have become increasingly independent. 
B)  Nations are separated by distance, time, transportation, and communications barriers. 
C)  International trade has put an end to all economic, political, and social disruptions. 
D)  Most of the countries depend on international trade to maintain their standards of living. 
E)  Political changes have no influence on the international business environment. 
A)  Today nations have become increasingly independent. 
B)  Nations are separated by distance, time, transportation, and communications barriers. 
C)  International trade has put an end to all economic, political, and social disruptions. 
D)  Most of the countries depend on international trade to maintain their standards of living. 
E)  Political changes have no influence on the international business environment.

Question 19

The _____ is the difference between the value of the goods a country exports and the value of the goods it imports.

Accepted Answer

A)  balance of trade 
B)  trade deficit 
C)  trade surplus 
D)  balance of payments 
E)  deferred balance 
A)  balance of trade 
B)  trade deficit 
C)  trade surplus 
D)  balance of payments 
E)  deferred balance

Question 20

The growth of international trade over the past several decades has been both a primary cause and effect of globalization.

Accepted Answer

A) True 
 B)False

A disadvantage of enforcing NAFTA is that American workers have lost their jobs as companies are taking advantage of the lower labor costs in Mexico.

Which of the following hampers the growth of global economy?

International trade can cause economic,political,and social disruptions.

A country runs a _____,if the value of exports exceeds the value of imports.

A(n)_____ is a citizen of one country who is working in another country,usually in one of her or his company's subsidiaries.

Which of the following is true about collectivism?

Businesses like to _____ their sales so that sluggish sales in one market can be offset by stronger sales elsewhere.

Cultures that endorse low power distance expect and accept relations that are more democratic.

If the value of the goods and services a country buys from other countries exceed the value of the goods and services it sells to other countries,then the country runs a _____.

Which of the following is true of a licensing agreement?

Which of the following term denotes the value of one currency in terms of another?

Embargoes usually are imposed for political rather than economic reasons.

According to the law of _____,individuals,companies,and countries should specialize in what they do best.

_____ is the business strategy which involves engaging in a variety of operations so that sluggish sales in one market can be offset by stronger sales elsewhere.

A country that imports more than it exports runs a trade surplus.

The purpose of a tariff is to raise the price of domestic goods in order to allow foreign manufacturers to compete.

A country that exports more than it imports runs a trade deficit.

Which of the following is true about international business at present?

The _____ is the difference between the value of the goods a country exports and the value of the goods it imports.

The growth of international trade over the past several decades has been both a primary cause and effect of globalization.

Management in a Diverse Workplace

The Management Movement

Developing Communication Skills

Decision-Making Skills

Ethical, social, and Legal Responsibilities of Management

The Basics of Planning and Strategic Management

Organizing Work

Organizational Structure

Understanding Work Groups and Teams

Staffing

Employee Training and Development

Motivating Employees

Developing Leadership Skills

Managing Conflict and Stress

Managing Change and Culture

Management Control

Appraising and Rewarding Performance

Operations Management and Planning

Operations Control

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Exam 6: International Business

A disadvantage of enforcing NAFTA is that American workers have lost their jobs as companies are taking advantage of the lower labor costs in Mexico.

Which of the following hampers the growth of global economy?

International trade can cause economic,political,and social disruptions.

A country runs a _____,if the value of exports exceeds the value of imports.

A(n)_____ is a citizen of one country who is working in another country,usually in one of her or his company's subsidiaries.

Which of the following is true about collectivism?

Businesses like to _____ their sales so that sluggish sales in one market can be offset by stronger sales elsewhere.

Cultures that endorse low power distance expect and accept relations that are more democratic.

If the value of the goods and services a country buys from other countries exceed the value of the goods and services it sells to other countries,then the country runs a _____.

Which of the following is true of a licensing agreement?

Which of the following term denotes the value of one currency in terms of another?

Embargoes usually are imposed for political rather than economic reasons.

According to the law of _____,individuals,companies,and countries should specialize in what they do best.

_____ is the business strategy which involves engaging in a variety of operations so that sluggish sales in one market can be offset by stronger sales elsewhere.

A country that imports more than it exports runs a trade surplus.

The purpose of a tariff is to raise the price of domestic goods in order to allow foreign manufacturers to compete.

A country that exports more than it imports runs a trade deficit.

Which of the following is true about international business at present?

The _____ is the difference between the value of the goods a country exports and the value of the goods it imports.

The growth of international trade over the past several decades has been both a primary cause and effect of globalization.

Management in a Diverse Workplace

The Management Movement

Developing Communication Skills

Decision-Making Skills

Ethical, social, and Legal Responsibilities of Management

The Basics of Planning and Strategic Management

Organizing Work

Organizational Structure

Understanding Work Groups and Teams

Staffing

Employee Training and Development

Motivating Employees

Developing Leadership Skills

Managing Conflict and Stress

Managing Change and Culture

Management Control

Appraising and Rewarding Performance

Operations Management and Planning

Operations Control

Filters