Question 1

In late 2001, the WTO launched a new round of talks in Doha aimed at:

Accepted Answer

A)  helping member states to cope with financial crisis. 
B)  further liberalization of the global trade and investment framework. 
C)  protecting national economies from global competition. 
D)  promoting higher standards of living in all member states. 
A)  helping member states to cope with financial crisis. 
B)  further liberalization of the global trade and investment framework. 
C)  protecting national economies from global competition. 
D)  promoting higher standards of living in all member states.

Question 2

A company does not need a large size to facilitate, and benefit from, the globalization of markets.

Accepted Answer

A) True 
 B)False

Question 3

A U.S. Investment firm, Fin-Smart, set up a customer service call center in India to take advantage of the lower labor costs. This is called ____.

Accepted Answer

A)  homogenizing markets 
B)  vertical integration 
C)  outsourcing 
D)  horizontal integration 
A)  homogenizing markets 
B)  vertical integration 
C)  outsourcing 
D)  horizontal integration

Question 4

Explain how a company competes using outsourcing. Provide an example.

Accepted Answer

The lowering of trade and investment bar

Question 5

Globalization is criticized because it increases the power of ____.

Accepted Answer

A)  governments to own enterprises 
B)  unskilled labor to form labor unions 
C)  supranational organizations over nation-states 
D)  nation-states to regulate markets and reduce competition 
A)  governments to own enterprises 
B)  unskilled labor to form labor unions 
C)  supranational organizations over nation-states 
D)  nation-states to regulate markets and reduce competition

Question 6

Cross-border business transactions have become easier for international businesses because they use a common currency.

Accepted Answer

A) True 
 B)False

Question 7

The lowering of barriers to international trade enables firms to view the world, rather than a single country, as their market.

Accepted Answer

A) True 
 B)False

Question 8

Globalization critics argue that the decline in unskilled wage rates is due to the migration of low-wage manufacturing jobs offshore and a corresponding reduction in demand for unskilled workers.

Accepted Answer

A) True 
 B)False

Question 9

Falling barriers to international trade destroy manufacturing jobs in wealthy advanced economies. Discuss this statement. Do you agree? Why or why not?

Accepted Answer

Critics argue that falling trade barrier

Question 10

What is a multinational enterprise (MNE)? How does a mini-multinational differ from an MNE?

Accepted Answer

A multinational enterprise is any busine

Question 11

The World Trade Organization has estimated that the developed nations of the world can raise global economic welfare by $128 billion by:

Accepted Answer

A)  removing subsidies given to their agricultural producers. 
B)  increasing tariff barriers to trade in agriculture. 
C)  increasing outsourcing of manufacturing processes. 
D)  reducing defense expenditure. 
A)  removing subsidies given to their agricultural producers. 
B)  increasing tariff barriers to trade in agriculture. 
C)  increasing outsourcing of manufacturing processes. 
D)  reducing defense expenditure.

Question 12

Outsourcing is a process that is limited to manufacturing enterprises.

Accepted Answer

A) True 
 B)False

Question 13

The health care sector in the U.S. cannot avail the benefits of outsourcing to low-cost producers in other nations because of the nature of the work.

Accepted Answer

A) True 
 B)False

Question 14

Which of these statements pertaining to cross-border FDI flows is true?

Accepted Answer

A)  There was a growth of FDI between 2004 and 2007. 
B)  A slump in FDI from 1998 to 2000 was followed by a surge from 2001 to 2003. 
C)  Among developing nations, the largest recipient of FDI has been Russia. 
D)  The dramatic increase in FDI reflects the decreasing internationalization of business corporations. 
A)  There was a growth of FDI between 2004 and 2007. 
B)  A slump in FDI from 1998 to 2000 was followed by a surge from 2001 to 2003. 
C)  Among developing nations, the largest recipient of FDI has been Russia. 
D)  The dramatic increase in FDI reflects the decreasing internationalization of business corporations.

Question 15

Which of the following is NOT an impediment that makes it difficult for firms to achieve the optimal dispersion of their productive activities to locations around the globe?

Accepted Answer

A)  Reduced tariffs on imports of manufactured goods 
B)  Government regulations 
C)  Issues associated with economic and political risk 
D)  Barriers to foreign direct investment 
A)  Reduced tariffs on imports of manufactured goods 
B)  Government regulations 
C)  Issues associated with economic and political risk 
D)  Barriers to foreign direct investment

Question 16

Supporters of debt relief argue that new democratic governments in poor nations should not be forced to honor debts incurred by corrupt and dictatorial predecessors.

Accepted Answer

A) True 
 B)False

Question 17

Since the 1960s, which of the following has been a notable trend in the demographics of the multinational enterprise?

Accepted Answer

A)  The decline of multinational companies in the manufacturing sector 
B)  The growth of government-owned multinational enterprises 
C)  The decline of non-U.S. multinationals 
D)  The growth of mini-multinationals 
A)  The decline of multinational companies in the manufacturing sector 
B)  The growth of government-owned multinational enterprises 
C)  The decline of non-U.S. multinationals 
D)  The growth of mini-multinationals

Question 18

Why is managing an international business different from managing a purely domestic business?

Accepted Answer

Managing an international business is di

Question 19

The Internet has developed into the information backbone of the global economy.

Accepted Answer

A) True 
 B)False

Question 20

Which of the following is true about the International Monetary Fund?

Accepted Answer

A)  It is primarily responsible for policing the world trading system. 
B)  It is seen as the lender of last resort to nation-states whose economies are in turmoil. 
C)  It is responsible for establishing multinational treaties to govern the global business system. 
D)  It was established to formulate a coordinated policy response to financial crises in developing nations. 
A)  It is primarily responsible for policing the world trading system. 
B)  It is seen as the lender of last resort to nation-states whose economies are in turmoil. 
C)  It is responsible for establishing multinational treaties to govern the global business system. 
D)  It was established to formulate a coordinated policy response to financial crises in developing nations.

In late 2001, the WTO launched a new round of talks in Doha aimed at:

A company does not need a large size to facilitate, and benefit from, the globalization of markets.

A U.S. Investment firm, Fin-Smart, set up a customer service call center in India to take advantage of the lower labor costs. This is called ____.

Explain how a company competes using outsourcing. Provide an example.

Globalization is criticized because it increases the power of ____.

Cross-border business transactions have become easier for international businesses because they use a common currency.

The lowering of barriers to international trade enables firms to view the world, rather than a single country, as their market.

Globalization critics argue that the decline in unskilled wage rates is due to the migration of low-wage manufacturing jobs offshore and a corresponding reduction in demand for unskilled workers.

Falling barriers to international trade destroy manufacturing jobs in wealthy advanced economies. Discuss this statement. Do you agree? Why or why not?

What is a multinational enterprise (MNE)? How does a mini-multinational differ from an MNE?

The World Trade Organization has estimated that the developed nations of the world can raise global economic welfare by $128 billion by:

Outsourcing is a process that is limited to manufacturing enterprises.

The health care sector in the U.S. cannot avail the benefits of outsourcing to low-cost producers in other nations because of the nature of the work.

Which of these statements pertaining to cross-border FDI flows is true?

Which of the following is NOT an impediment that makes it difficult for firms to achieve the optimal dispersion of their productive activities to locations around the globe?

Supporters of debt relief argue that new democratic governments in poor nations should not be forced to honor debts incurred by corrupt and dictatorial predecessors.

Since the 1960s, which of the following has been a notable trend in the demographics of the multinational enterprise?

Why is managing an international business different from managing a purely domestic business?

The Internet has developed into the information backbone of the global economy.

Which of the following is true about the International Monetary Fund?

National Differences in Political Economy

Political Economy and Economic Development

Differences in Culture

Ethics in International Business

International Trade Theory

The Political Economy of International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Global Capital Market

The Strategy of International Business

The Organization of International Business

Entry Strategy and Strategic Alliances

Exporting, Importing, and Countertrade

Global Production, Outsourcing, and Logistics

Global Marketing and RD

Global Human Resource Management

Accounting and Finance in the International Business

Filters

Exam 1: Globalization

In late 2001, the WTO launched a new round of talks in Doha aimed at:

A company does not need a large size to facilitate, and benefit from, the globalization of markets.

A U.S. Investment firm, Fin-Smart, set up a customer service call center in India to take advantage of the lower labor costs. This is called ____.

Explain how a company competes using outsourcing. Provide an example.

Globalization is criticized because it increases the power of ____.

Cross-border business transactions have become easier for international businesses because they use a common currency.

The lowering of barriers to international trade enables firms to view the world, rather than a single country, as their market.

Globalization critics argue that the decline in unskilled wage rates is due to the migration of low-wage manufacturing jobs offshore and a corresponding reduction in demand for unskilled workers.

Falling barriers to international trade destroy manufacturing jobs in wealthy advanced economies. Discuss this statement. Do you agree? Why or why not?

What is a multinational enterprise (MNE)? How does a mini-multinational differ from an MNE?

The World Trade Organization has estimated that the developed nations of the world can raise global economic welfare by $128 billion by:

Outsourcing is a process that is limited to manufacturing enterprises.

The health care sector in the U.S. cannot avail the benefits of outsourcing to low-cost producers in other nations because of the nature of the work.

Which of these statements pertaining to cross-border FDI flows is true?

Which of the following is NOT an impediment that makes it difficult for firms to achieve the optimal dispersion of their productive activities to locations around the globe?

Supporters of debt relief argue that new democratic governments in poor nations should not be forced to honor debts incurred by corrupt and dictatorial predecessors.

Since the 1960s, which of the following has been a notable trend in the demographics of the multinational enterprise?

Why is managing an international business different from managing a purely domestic business?

The Internet has developed into the information backbone of the global economy.

Which of the following is true about the International Monetary Fund?

National Differences in Political Economy

Political Economy and Economic Development

Differences in Culture

Ethics in International Business

International Trade Theory

The Political Economy of International Trade

Foreign Direct Investment

Regional Economic Integration

The Foreign Exchange Market

The International Monetary System

The Global Capital Market

The Strategy of International Business

The Organization of International Business

Entry Strategy and Strategic Alliances

Exporting, Importing, and Countertrade

Global Production, Outsourcing, and Logistics

Global Marketing and RD

Global Human Resource Management

Accounting and Finance in the International Business

Filters