Question 1

__________ is fast becoming obsolete;the greater threats to peace are civil strife and terrorism.

Accepted Answer

A) International warfare 
B) Print media 
C) Patriotism 
D) International prejudice 
E) Religion 
A) International warfare 
B) Print media 
C) Patriotism 
D) International prejudice 
E) Religion

Question 2

In Thailand,it is required that any milk sold in the country must contain at least 50 percent milk from Thai dairy farmers.This would be an illustration of which of the following economic risks faced by international producers of milk?

Accepted Answer

A) exchange controls 
B) local-content laws 
C) import restrictions 
D) tax controls 
E) price controls 
A) exchange controls 
B) local-content laws 
C) import restrictions 
D) tax controls 
E) price controls

Question 3

Richard Branch is considering a multi-million dollar investment in Chile.He hopes that the investment will be positively received by the Chilean government.He does not want anti-MNC feelings to block the deal.Relations between MNC and foreign investors can be positive.What actions should Mr.Branch consider to ensure that his investment offer would be positively received by the Chilean government?

Accepted Answer

According to information presented in th

Question 4

The most important reason to encourage foreign investment is to:

Accepted Answer

A) accelerate world peace. 
B) accelerate the development of an economy. 
C) accelerate the development of the Internet. 
D) stall the effects of communism and socialism. 
E) make profits. 
A) accelerate world peace. 
B) accelerate the development of an economy. 
C) accelerate the development of the Internet. 
D) stall the effects of communism and socialism. 
E) make profits.

Question 5

Socioeconomic and political change are sometimes caused by a surge in ________________.

Accepted Answer

The answer of Socioeconomic and political change are sometimes caused...

Question 6

Why do terrorism experts predict multinational businesses will be targeted by terrorists more frequently?

Accepted Answer

A) They are rich and they are powerful. 
B) They are capitalists and what they sell. 
C) They are less well defended and what they symbolize. 
D) They are destroy the environment. 
E) They are subterfuge for espionage agents. 
A) They are rich and they are powerful. 
B) They are capitalists and what they sell. 
C) They are less well defended and what they symbolize. 
D) They are destroy the environment. 
E) They are subterfuge for espionage agents.

Question 7

__________ occurs when a government seizes an investment but some reimbursement for the assets is made.

Accepted Answer

The answer of __________ occurs when a government seizes an...

Question 8

Brazil would like to increase its control and ownership of foreign investments in its country.However,Brazil does not want to cut off or discourage foreign investment.Cite and describe a political risk strategy that Brazil could follow that would meet the aforementioned objective.

Accepted Answer

Brazil could choose domestication (plann

Question 9

_________ may be classified as a political risk when used as a means of controlling foreign investments.In such cases,they are raised without warning and in violation of formal agreements.

Accepted Answer

The answer of _________ may be classified as a political...

Question 10

Political sanctions have proved to be a sure-fire method of controlling outlaw nations.

Accepted Answer

A) True 
 B)False

Question 11

Foreign investment can be perceived as a threat to __________.

Accepted Answer

The answer of Foreign investment can be perceived as a...

Question 12

Exchange controls stem from shortages of foreign exchange held by a country.

Accepted Answer

A) True 
 B)False

Question 13

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

Accepted Answer

A) True 
 B)False

Question 14

Although some products are more vulnerable than others with regard to political sensitivity in foreign markets,______________ have often been the lightning rods for groups opposed to foreign companies.

Accepted Answer

A) grocery chains 
B) Wal-Mart stores 
C) fast-food restaurants 
D) clothing stores 
E) travel agencies 
A) grocery chains 
B) Wal-Mart stores 
C) fast-food restaurants 
D) clothing stores 
E) travel agencies

Question 15

Socialism 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.

Accepted Answer

A) True 
 B)False

Question 16

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

Accepted Answer

A) Sovereignty 
B) Government 
C) A cartel 
D) An international partnership 
E) A trade pact 
A) Sovereignty 
B) Government 
C) A cartel 
D) An international partnership 
E) A trade pact

Question 17

Which of the following best describes the U.S.government's policy toward multinational corporations that are confronted with situations where bribery is an issue?

Accepted Answer

A) A bribe may be paid as long as it is not a domestic situation. 
B) A bribe is justified is if is the documented traditional practice in a country. 
C) A bribe may be paid in a foreign country if there is a tie to national security. 
D) It is illegal for a U.S.citizen to pay a bribe--period. 
E) The issue revolves around the customs of the country and each issue is decided separately. 
A) A bribe may be paid as long as it is not a domestic situation. 
B) A bribe is justified is if is the documented traditional practice in a country. 
C) A bribe may be paid in a foreign country if there is a tie to national security. 
D) It is illegal for a U.S.citizen to pay a bribe--period. 
E) The issue revolves around the customs of the country and each issue is decided separately.

Question 18

The only country that precludes women from voting and appears to be still completely in the dark ages with regards to suffrage.

Accepted Answer

A) Croatia 
B) Iran 
C) Bolivia 
D) Saudi Arabia 
E) Venezuela 
A) Croatia 
B) Iran 
C) Bolivia 
D) Saudi Arabia 
E) Venezuela

Question 19

At the top of the list of political issues concerning foreign businesses is the issue of taxation and tariffs.

Accepted Answer

A) True 
 B)False

Question 20

The ideal political climate for a multinational firm is:

Accepted Answer

A) a country where there are no laws. 
B) a country where favors can be purchased cheaply. 
C) a stable,friendly government. 
D) a government where absolute power is a reality. 
E) an authoritarian government that can be dealt with through non-legal channels. 
A) a country where there are no laws. 
B) a country where favors can be purchased cheaply. 
C) a stable,friendly government. 
D) a government where absolute power is a reality. 
E) an authoritarian government that can be dealt with through non-legal channels.

__________ is fast becoming obsolete;the greater threats to peace are civil strife and terrorism.

In Thailand,it is required that any milk sold in the country must contain at least 50 percent milk from Thai dairy farmers.This would be an illustration of which of the following economic risks faced by international producers of milk?

The most important reason to encourage foreign investment is to:

Socioeconomic and political change are sometimes caused by a surge in ________________.

Why do terrorism experts predict multinational businesses will be targeted by terrorists more frequently?

__________ occurs when a government seizes an investment but some reimbursement for the assets is made.

Brazil would like to increase its control and ownership of foreign investments in its country.However,Brazil does not want to cut off or discourage foreign investment.Cite and describe a political risk strategy that Brazil could follow that would meet the aforementioned objective.

_________ may be classified as a political risk when used as a means of controlling foreign investments.In such cases,they are raised without warning and in violation of formal agreements.

Political sanctions have proved to be a sure-fire method of controlling outlaw nations.

Foreign investment can be perceived as a threat to __________.

Exchange controls stem from shortages of foreign exchange held by a country.

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

Although some products are more vulnerable than others with regard to political sensitivity in foreign markets,______________ have often been the lightning rods for groups opposed to foreign companies.

Socialism 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.

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

Which of the following best describes the U.S.government's policy toward multinational corporations that are confronted with situations where bribery is an issue?

The only country that precludes women from voting and appears to be still completely in the dark ages with regards to suffrage.

At the top of the list of political issues concerning foreign businesses is the issue of taxation and tariffs.

The ideal political climate for a multinational firm is:

The Scope and Challenge of International Marketing

The Dynamic Environment of International Trade

History and Geography: The Foundations of Culture

Cultural Dynamics in Assessing Global Markets

Culture, Management Style, and Business Systems

The International Legal Environment: Playing by the Rules

Developing a Global Vision Through Marketing Research

Emerging Markets

Multinational Market Regions and Market Groups

Global Marketing Management: Planning and Organization

Products and Services for Consumers

Products and Services for Businesses

International Marketing Channels

Exporting and Logistics: Special Issues for Business

Integrated Marketing Communications and International Advertising

Personal Selling and Sales Management

Pricing for International Markets

Negotiating With International Customers, Partners, and Regulators

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Exam 6: The Political Environment: A Critical Concern

__________ is fast becoming obsolete;the greater threats to peace are civil strife and terrorism.

In Thailand,it is required that any milk sold in the country must contain at least 50 percent milk from Thai dairy farmers.This would be an illustration of which of the following economic risks faced by international producers of milk?

The most important reason to encourage foreign investment is to:

Socioeconomic and political change are sometimes caused by a surge in ________________.

Why do terrorism experts predict multinational businesses will be targeted by terrorists more frequently?

__________ occurs when a government seizes an investment but some reimbursement for the assets is made.

Brazil would like to increase its control and ownership of foreign investments in its country.However,Brazil does not want to cut off or discourage foreign investment.Cite and describe a political risk strategy that Brazil could follow that would meet the aforementioned objective.

_________ may be classified as a political risk when used as a means of controlling foreign investments.In such cases,they are raised without warning and in violation of formal agreements.

Political sanctions have proved to be a sure-fire method of controlling outlaw nations.

Foreign investment can be perceived as a threat to __________.

Exchange controls stem from shortages of foreign exchange held by a country.

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

Although some products are more vulnerable than others with regard to political sensitivity in foreign markets,______________ have often been the lightning rods for groups opposed to foreign companies.

Socialism 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.

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

Which of the following best describes the U.S.government's policy toward multinational corporations that are confronted with situations where bribery is an issue?

The only country that precludes women from voting and appears to be still completely in the dark ages with regards to suffrage.

At the top of the list of political issues concerning foreign businesses is the issue of taxation and tariffs.

The ideal political climate for a multinational firm is:

The Scope and Challenge of International Marketing

The Dynamic Environment of International Trade

History and Geography: The Foundations of Culture

Cultural Dynamics in Assessing Global Markets

Culture, Management Style, and Business Systems

The International Legal Environment: Playing by the Rules

Developing a Global Vision Through Marketing Research

Emerging Markets

Multinational Market Regions and Market Groups

Global Marketing Management: Planning and Organization

Products and Services for Consumers

Products and Services for Businesses

International Marketing Channels

Exporting and Logistics: Special Issues for Business

Integrated Marketing Communications and International Advertising

Personal Selling and Sales Management

Pricing for International Markets

Negotiating With International Customers, Partners, and Regulators

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