Exam 3: Politics, Law, and Business Ethics

A ________ is a political system in which government leaders are elected directly by the wide participation of the people or by their representatives.

A value-added tax is a tax levied on each party that adds value to a product throughout its production and distribution.

Scenario: Common and Civil Law Wayne's Computer Corporation is considering the possibility of building a new manufacturing facility in a foreign country in order to lower labor and production costs.The legal department of Wayne's has been evaluating Paribo and Kirawi-the two countries which are the top contenders for the new facility-carefully. -Which of the following,if true,demonstrates that Kirawi has an unstable business environment?

A ________ is a right granted to the inventor of a product or process that excludes others from making,using,or selling the invention.

Totalitarian political systems include authoritarian regimes such as ________.

In a totalitarian system,rulers tightly control people's lives and do not tolerate opposing viewpoints.

Explain each of the following terms,giving examples of each: patent,trademark,and copyright.

Describe the Foreign Corrupt Practices Act,and explain how it relates to corporate social responsibility.

In a coalition government,the strongest political parties share power by dividing government responsibilities among themselves.

The ________ view states that a company should adopt local ethics wherever it operates because all belief systems are determined within a cultural context.

Scenario: Risky Business Global Trading LLC is a distributor of computer software and hardware,steel and copper scrap,and telephone equipment.Involved in three very different types of industries,the company faces many types of risks in its global business. -Had the government taken over the assets of Global Trading without compensation,and not taken over the assets of any other company,the government's actions would be an example of ________.

On a recent trip to Hong Kong,a group of tourists found several Prada bags being sold on the pavement.They cost only a few dollars and were clearly fake;though they bore the Prada trademark.This is an example of ________.

Which of the following political ideologies states that every aspect of people's lives must be controlled for a nation's political system to be effective?

Scenario: Common and Civil Law Wayne's Computer Corporation is considering the possibility of building a new manufacturing facility in a foreign country in order to lower labor and production costs.The legal department of Wayne's has been evaluating Paribo and Kirawi-the two countries which are the top contenders for the new facility-carefully. -Which of the following factors should the legal experts of Wayne's consider while evaluating the legal systems of Paribo and Kirawi?

Under a(n)________ political system,the state reigns supreme over institutions such as family,religion,business,and labor.

Scenario: Susan Goes Global with Grape Fizz Susan is the CEO of Grape Fizz,a global drinks-manufacturing company.She wishes to set up production facilities in other countries and has been advised to assess the political system of each country before she does so. -Susan also decides not to set up production facilities in Margazo,a country which functions by a strict set of religious tenets,because some of them contradict her company's work policy.Expecting potential employees to break away from these traditions is not an option since religion plays an important role in the functioning of the nation.What kind of political system prevails in Margazo ?

Briefly explain each of the three main methods companies use to manage political risk.

________ political systems include democracies,constitutional monarchies,and some aristocracies.

Economic socialism won the battle over communist totalitarianism and capitalism.

A solid grasp of local values,customs,and traditions can help reduce a company's exposure to political risk.