Question 1

Doing business in Russia involves risks because the country has shown signs of shifting back toward greater state involvement in economic activity and authoritarian government.

Accepted Answer

A) True 
 B)False  True

Question 2

The most global markets currently are markets for consumer products.

Accepted Answer

A) True 
 B)False  False

Question 3

Discuss what occurred in Seattle in 1999 at the meeting of the WTO and why the events were important to the future of global trade.

Accepted Answer

In December 1999,more than 40,000 protesters blocked the streets of Seattle in an effort to shut down a WTO meeting being held in the city.The issue was job losses in industries under attack from foreign competitors,falling wage rates of unskilled workers,environmental degradations,and cultural imperialism of global media and MNEs.Protesters believed that all of these issues were the result of globalization,and felt that the WTO,as a promoter of globalization,was a legitimate target for blame.The protest was a violent one and emboldened by the experience its experience,antiglobalization protesters now turn up at almost every major meeting of a global institution.

Question 4

Which of the following countries has been the largest recipient of foreign direct investment and received about $60 billion to $100 billion a year in inflows in 2004-2009?

Accepted Answer

A)  Brazil 
B)  Russia 
C)  India 
D)  China 
A)  Brazil 
B)  Russia 
C)  India 
D)  China

Question 5

Containerization allows:

Accepted Answer

A)  reduction of the time needed to get from one location to another. 
B)  simplification of transshipment from one mode of transport to another. 
C)  buyers and sellers to find each other easily. 
D)  enterprises to coordinate and control a globally dispersed production system. 
A)  reduction of the time needed to get from one location to another. 
B)  simplification of transshipment from one mode of transport to another. 
C)  buyers and sellers to find each other easily. 
D)  enterprises to coordinate and control a globally dispersed production system.

Question 6

Outsourcing is a process that is limited to manufacturing enterprises.

Accepted Answer

A) True 
 B)False

Question 7

The Uruguay Round,finalized in December 1993,reduced protection for patents,trademarks,and copyrights.

Accepted Answer

A) True 
 B)False

Question 8

A study published in 2011 by the OECD noted that:

Accepted Answer

A)  the real household income of the unskilled workers in the U.S. increased more in comparison to that of the skilled workers. 
B)  in almost all countries real income levels declined over the 20-year period studied. 
C)  falling unemployment rates brought gains to low-wage workers and fairly broad-based wage growth. 
D)  the gap between the poorest and richest segments of society in some OECD countries had widened. 
A)  the real household income of the unskilled workers in the U.S. increased more in comparison to that of the skilled workers. 
B)  in almost all countries real income levels declined over the 20-year period studied. 
C)  falling unemployment rates brought gains to low-wage workers and fairly broad-based wage growth. 
D)  the gap between the poorest and richest segments of society in some OECD countries had widened.

Question 9

World Bank gives an aid of 100 million dollars to Kenya for creating rural health care facilities.This is an example of foreign direct investment.

Accepted Answer

A) True 
 B)False

Question 10

The expansion of world trade implies that nations are becoming less dependent on each other for important goods and services.

Accepted Answer

A) True 
 B)False

Question 11

Supporters of globalization maintain that the apparent decline in real wage rates of unskilled workers:

Accepted Answer

A)  is due to technological changes that create greater demand for skilled workers. 
B)  is due to the migration of low-wage manufacturing jobs offshore. 
C)  can be checked by increasing government ownership of enterprises. 
D)  can be checked by limiting free trade and foreign investment. 
A)  is due to technological changes that create greater demand for skilled workers. 
B)  is due to the migration of low-wage manufacturing jobs offshore. 
C)  can be checked by increasing government ownership of enterprises. 
D)  can be checked by limiting free trade and foreign investment.

Question 12

Recent evidence indicates that the solution to the problem of stagnant incomes among the unskilled is to be found in increasing government regulation of markets.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following is a risk associated with globalization?

Accepted Answer

A)  Restrictions on competition 
B)  Global financial contagion 
C)  Excessive market regulation 
D)  Differentiation of markets 
A)  Restrictions on competition 
B)  Global financial contagion 
C)  Excessive market regulation 
D)  Differentiation of markets

Question 14

A current trend in international business is the decline of medium-sized and small multinationals,known as mini-multinationals.

Accepted Answer

A) True 
 B)False

Question 15

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 16

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 17

The globalization of markets and production and the resulting growth of world trade,foreign direct investment,and imports all imply that firms are finding their home markets protected from foreign competitors.

Accepted Answer

A) True 
 B)False

Question 18

Globalization of markets has resulted in greater differentiation of consumer tastes and preferences.

Accepted Answer

A) True 
 B)False

Question 19

Throughout the 1990s,the amount of foreign direct investment directed at both developed and developing nations increased dramatically.This trend reflects:

Accepted Answer

A)  a slowdown in global economic activity. 
B)  the increasing share of the U.S. in the total FDI stock. 
C)  the decline in cross-border flows of foreign direct investment. 
D)  the increasing internationalization of business corporations. 
A)  a slowdown in global economic activity. 
B)  the increasing share of the U.S. in the total FDI stock. 
C)  the decline in cross-border flows of foreign direct investment. 
D)  the increasing internationalization of business corporations.

Question 20

Non-U.S.firms increasingly began to invest across national borders because they wanted to disperse production activities to optimal locations and to build a direct presence in major foreign markets.

Accepted Answer

A) True 
 B)False

Doing business in Russia involves risks because the country has shown signs of shifting back toward greater state involvement in economic activity and authoritarian government.

The most global markets currently are markets for consumer products.

Discuss what occurred in Seattle in 1999 at the meeting of the WTO and why the events were important to the future of global trade.

Which of the following countries has been the largest recipient of foreign direct investment and received about $60 billion to $100 billion a year in inflows in 2004-2009?

Containerization allows:

Outsourcing is a process that is limited to manufacturing enterprises.

The Uruguay Round,finalized in December 1993,reduced protection for patents,trademarks,and copyrights.

A study published in 2011 by the OECD noted that:

World Bank gives an aid of 100 million dollars to Kenya for creating rural health care facilities.This is an example of foreign direct investment.

The expansion of world trade implies that nations are becoming less dependent on each other for important goods and services.

Supporters of globalization maintain that the apparent decline in real wage rates of unskilled workers:

Recent evidence indicates that the solution to the problem of stagnant incomes among the unskilled is to be found in increasing government regulation of markets.

Which of the following is a risk associated with globalization?

A current trend in international business is the decline of medium-sized and small multinationals,known as mini-multinationals.

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.

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 _____.

The globalization of markets and production and the resulting growth of world trade,foreign direct investment,and imports all imply that firms are finding their home markets protected from foreign competitors.

Globalization of markets has resulted in greater differentiation of consumer tastes and preferences.

Throughout the 1990s,the amount of foreign direct investment directed at both developed and developing nations increased dramatically.This trend reflects:

Non-U.S.firms increasingly began to invest across national borders because they wanted to disperse production activities to optimal locations and to build a direct presence in major foreign markets.

National Differences in Political Economy, and Legal Systems

National Differences in Economic Development

Differences in Culture

Ethics, corporate Social Responsibility, and Sustainability

International Trade Theory

Government Policy and International Trade

Foreign Direct Investment

Regional Trade Pacts Give the Mexican Auto Industry an Edge

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 and Supply Chain Management

Global Marketing and Rd

Global Human Resource Management

Accounting and Finance in the International Business

Filters

Exam 1: Globalization

Doing business in Russia involves risks because the country has shown signs of shifting back toward greater state involvement in economic activity and authoritarian government.

The most global markets currently are markets for consumer products.

Discuss what occurred in Seattle in 1999 at the meeting of the WTO and why the events were important to the future of global trade.

Which of the following countries has been the largest recipient of foreign direct investment and received about $60 billion to $100 billion a year in inflows in 2004-2009?

Containerization allows:

Outsourcing is a process that is limited to manufacturing enterprises.

The Uruguay Round,finalized in December 1993,reduced protection for patents,trademarks,and copyrights.

A study published in 2011 by the OECD noted that:

World Bank gives an aid of 100 million dollars to Kenya for creating rural health care facilities.This is an example of foreign direct investment.

The expansion of world trade implies that nations are becoming less dependent on each other for important goods and services.

Supporters of globalization maintain that the apparent decline in real wage rates of unskilled workers:

Recent evidence indicates that the solution to the problem of stagnant incomes among the unskilled is to be found in increasing government regulation of markets.

Which of the following is a risk associated with globalization?

A current trend in international business is the decline of medium-sized and small multinationals,known as mini-multinationals.

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.

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 _____.

The globalization of markets and production and the resulting growth of world trade,foreign direct investment,and imports all imply that firms are finding their home markets protected from foreign competitors.

Globalization of markets has resulted in greater differentiation of consumer tastes and preferences.

Throughout the 1990s,the amount of foreign direct investment directed at both developed and developing nations increased dramatically.This trend reflects:

Non-U.S.firms increasingly began to invest across national borders because they wanted to disperse production activities to optimal locations and to build a direct presence in major foreign markets.

National Differences in Political Economy, and Legal Systems

National Differences in Economic Development

Differences in Culture

Ethics, corporate Social Responsibility, and Sustainability

International Trade Theory

Government Policy and International Trade

Foreign Direct Investment

Regional Trade Pacts Give the Mexican Auto Industry an Edge

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 and Supply Chain Management

Global Marketing and Rd

Global Human Resource Management

Accounting and Finance in the International Business

Filters