Exam 6: The Political Environment: A Critical Concern

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Relations between governments and multinational corporations are generally positive if investments do all of the following EXCEPT:

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E

Describe the concept of nationalism.

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Nationalism can best be described as an intense feeling of national pride and unity,an awakening of a nation's people to pride in their country.This pride can take an anti-foreign business bias,and minor harassment and controls of foreign investment are supported,if not applauded.

All of the following would be considered to be strategies that multinational corporations can use to minimize vulnerability and risk EXCEPT:

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B

The seizing of a company's assets without payment is called:

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Feelings of ___________ are expressed in a variety of ways such as a call to "buy our country's products only" or "Buy American."

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Three hot issues in 2008 were the undervalued Chinese currency,the ban on beef imports into Japan,and Chinese subsidies in apparent violation of WHO rules.

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The term __________ refers to both the powers exercised by a state in relation to other countries and the supreme powers exercised over its own members.

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When host countries gradually cause the transfer of foreign investments to national control and ownership through a series of government decrees by mandating local ownership and greater national involvement in a company's management,_____________ has occurred.

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A ______________ strategy minimizes or eliminates almost all risks international marketing risks.

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An intense feeling of national pride and unity,an awakening of a nation's people to pride in their country is called:

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List and briefly discuss the various economic risks that international companies must face when they seek to market abroad.

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Describe the characteristics of a sovereign state.

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The five main causes of instability in international markets include trade disputes and all of the following EXCEPT:

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Which of the following strategies minimizes political risks for the multinational corporation that wishes to expand into overseas markets?

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The proposed purchase of Unocal by the Chinese national oil company was opposed by the U.S.__________.

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Which of the following statements most accurately describes the impact of boycotts?

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As an example of what are called local-content laws NAFTA requires 62 percent local content for all cars coming from member countries.

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Since the government of Nigeria is strapped for cash,it has decided to tax all foreign investments (such as oil production equipment)by up to forty percent of appraised value.The Nigerian government has found that this is the handiest and quickest means of finding operating funds.This form of economic risk is associated with which of the following?

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The newest form of terrorism is called information terrorism because it prevents Third World countries from receiving information.

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According to the text,the greater threats to peace and commerce for the 21st Century remain __________ and __________.

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