Question 1

A good illustration of a product class that is likely to be politically sensitive is one that has an impact on exchange rates.

Accepted Answer

A) True 
 B)False

Question 2

The election of Vicente Fox as President of Mexico was an example of:

Accepted Answer

A) overthrowing a corrupt regime. 
B) peaceful political change. 
C) U.S.interference in international politics. 
D) cultural adjustment to global expectations. 
E) corrupt national election. 
A) overthrowing a corrupt regime. 
B) peaceful political change. 
C) U.S.interference in international politics. 
D) cultural adjustment to global expectations. 
E) corrupt national election.

Question 3

If there is a substantial amount of capital leaving the country,the country is likely to implement which of the following to control the situation?

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 4

Which of the following is NOT a common goal of terrorists?

Accepted Answer

A) Use victims as pawns in political or social disputes. 
B) Develop military management capability. 
C) Inflict fear within a country. 
D) To generate funds 
E) To embarrass a government. 
A) Use victims as pawns in political or social disputes. 
B) Develop military management capability. 
C) Inflict fear within a country. 
D) To generate funds 
E) To embarrass a government.

Question 5

When country initiates a _________________ it stops all trade between itself and another country.

Accepted Answer

The answer of When country initiates a _________________ it stops...

Question 6

Relations between governments and multinational corporations are generally positive if:

Accepted Answer

A) products impact national security. 
B) products are only directed toward the consumer sector. 
C) products are only directed toward the business sector. 
D) products can be purchased via the Internet. 
E) the investment makes tax contributions. 
A) products impact national security. 
B) products are only directed toward the consumer sector. 
C) products are only directed toward the business sector. 
D) products can be purchased via the Internet. 
E) the investment makes tax contributions.

Question 7

Relationships between governments and multinational corporations (MNCs)are generally positive if the investment contributes to the welfare of political leaders.

Accepted Answer

A) True 
 B)False

Question 8

The authors state that there is reason to believe that international warfare is fast becoming obsolete.

Accepted Answer

A) True 
 B)False

Question 9

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

Accepted Answer

The answer of _________ controls stem from shortages of foreign...

Question 10

Relations between governments and multinational corporations are generally positive if investments:

Accepted Answer

A) are tied to national security. 
B) are only oriented toward the consumer sector. 
C) are under $1 million. 
D) create jobs. 
E) do not involve extensive Internet business. 
A) are tied to national security. 
B) are only oriented toward the consumer sector. 
C) are under $1 million. 
D) create jobs. 
E) do not involve extensive Internet business.

Question 11

_____________ occurs when host countries gradually cause the transfer of foreign investment to national control and ownership through a series of government decrees by mandating ownership and greater national involvement in a company's management.

Accepted Answer

A) Confiscation 
B) Expropriation 
C) Domestication 
D) Exchange controls 
E) Local-content laws 
A) Confiscation 
B) Expropriation 
C) Domestication 
D) Exchange controls 
E) Local-content laws

Question 12

Discuss and compare the terms confiscation,expropriation,and domestication.

Accepted Answer

Confiscation is the seizing of a company

Question 13

Planned domestication is a policy that rarely has a positive impact on political vulnerability or risk.

Accepted Answer

A) True 
 B)False

Question 14

__________________ laws require any product sold within a country to contain at least some locally made parts.

Accepted Answer

The answer of __________________ laws require any product sold within...

Question 15

Expropriation occurs when a host country gradually cause the transfer of foreign investment to national control and ownership through a series of government decrees by mandating local ownership and greater national involvement in a company's management.

Accepted Answer

A) True 
 B)False

Question 16

The government in Chile recently informed Clint Travis' company that his retail grocery chain in Chile would have to be gradually turned over to the people of Chile by the year 2050.Additionally,starting next year fifty percent of the board of directors of the Chilean operation must be Chileans.Which of the following political risk actions is Mr.Travis facing in Chile?

Accepted Answer

A) Confiscation 
B) Expropriation 
C) Domestication 
D) Nationalism 
E) Dictatorship 
A) Confiscation 
B) Expropriation 
C) Domestication 
D) Nationalism 
E) Dictatorship

Question 17

The national telephone company in Mexico was privatized;this meant that the Mexican government sold its operation to _________________.

Accepted Answer

A) investors 
B) regional state regulatory groups. 
C) democrats 
D) outsourcers. 
E) foreigners. 
A) investors 
B) regional state regulatory groups. 
C) democrats 
D) outsourcers. 
E) foreigners.

Question 18

Companies that have thoroughly studied political considerations before constructing their business models do not have to concern themselves with the political environment when attempting to do business abroad.

Accepted Answer

A) True 
 B)False

Question 19

___________ is the seizing of a company's assets without payment.

Accepted Answer

The answer of ___________ is the seizing of a company's...

Question 20

When the United States and the European Union get into trade disputes,where do both sides go to settle the matter?

Accepted Answer

A) The United Nations 
B) The World Court 
C) The Organization of American States 
D) The World Trade Organization 
E) The North Atlantic Treaty Organization 
A) The United Nations 
B) The World Court 
C) The Organization of American States 
D) The World Trade Organization 
E) The North Atlantic Treaty Organization

A good illustration of a product class that is likely to be politically sensitive is one that has an impact on exchange rates.

The election of Vicente Fox as President of Mexico was an example of:

If there is a substantial amount of capital leaving the country,the country is likely to implement which of the following to control the situation?

Which of the following is NOT a common goal of terrorists?

When country initiates a _________________ it stops all trade between itself and another country.

Relations between governments and multinational corporations are generally positive if:

Relationships between governments and multinational corporations (MNCs)are generally positive if the investment contributes to the welfare of political leaders.

The authors state that there is reason to believe that international warfare is fast becoming obsolete.

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

Relations between governments and multinational corporations are generally positive if investments:

_____________ occurs when host countries gradually cause the transfer of foreign investment to national control and ownership through a series of government decrees by mandating ownership and greater national involvement in a company's management.

Discuss and compare the terms confiscation,expropriation,and domestication.

Planned domestication is a policy that rarely has a positive impact on political vulnerability or risk.

__________________ laws require any product sold within a country to contain at least some locally made parts.

Expropriation occurs when a host country gradually cause the transfer of foreign investment to national control and ownership through a series of government decrees by mandating local ownership and greater national involvement in a company's management.

The national telephone company in Mexico was privatized;this meant that the Mexican government sold its operation to _________________.

Companies that have thoroughly studied political considerations before constructing their business models do not have to concern themselves with the political environment when attempting to do business abroad.

___________ is the seizing of a company's assets without payment.

When the United States and the European Union get into trade disputes,where do both sides go to settle the matter?

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

Filters

Exam 6: The Political Environment: A Critical Concern

A good illustration of a product class that is likely to be politically sensitive is one that has an impact on exchange rates.

The election of Vicente Fox as President of Mexico was an example of:

If there is a substantial amount of capital leaving the country,the country is likely to implement which of the following to control the situation?

Which of the following is NOT a common goal of terrorists?

When country initiates a _________________ it stops all trade between itself and another country.

Relations between governments and multinational corporations are generally positive if:

Relationships between governments and multinational corporations (MNCs)are generally positive if the investment contributes to the welfare of political leaders.

The authors state that there is reason to believe that international warfare is fast becoming obsolete.

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

Relations between governments and multinational corporations are generally positive if investments:

_____________ occurs when host countries gradually cause the transfer of foreign investment to national control and ownership through a series of government decrees by mandating ownership and greater national involvement in a company's management.

Discuss and compare the terms confiscation,expropriation,and domestication.

Planned domestication is a policy that rarely has a positive impact on political vulnerability or risk.

__________________ laws require any product sold within a country to contain at least some locally made parts.

Expropriation occurs when a host country gradually cause the transfer of foreign investment to national control and ownership through a series of government decrees by mandating local ownership and greater national involvement in a company's management.

The national telephone company in Mexico was privatized;this meant that the Mexican government sold its operation to _________________.

Companies that have thoroughly studied political considerations before constructing their business models do not have to concern themselves with the political environment when attempting to do business abroad.

___________ is the seizing of a company's assets without payment.

When the United States and the European Union get into trade disputes,where do both sides go to settle the matter?

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

Filters