Question 1

Although globalization may bring economic growth,critics nevertheless contend that ________.

Accepted Answer

A)  the growth is too fast 
B)  the inequality of gains puts some people in a relatively worse economic situation 
C)  this growth is mainly for the future, thus ignoring present economic growth needs 
D)  the cultural foundations of sovereignty are supported by globalization 
A)  the growth is too fast 
B)  the inequality of gains puts some people in a relatively worse economic situation 
C)  this growth is mainly for the future, thus ignoring present economic growth needs 
D)  the cultural foundations of sovereignty are supported by globalization

Question 2

Imported flowers are now a stronger competitor to U.S.grown flowers in the U.S.market.Which of the following is likely the MOST important factor for this increase in imports?

Accepted Answer

A)  more effective production techniques 
B)  advances in communication systems 
C)  advances in transportation and logistics 
D)  cross-national cooperation 
A)  more effective production techniques 
B)  advances in communication systems 
C)  advances in transportation and logistics 
D)  cross-national cooperation

Question 3

By operating internationally,a company may take advantage of business-cycle differences among countries and thereby reduce its financial risks.

Accepted Answer

A) True 
 B)False

Question 4

In terms of international business,it is most accurate to say that ________.

Accepted Answer

A)  there is a universal "best way" to conduct business 
B)  global competition affects large companies but not small ones 
C)  most firms depend either on foreign markets and supplies or compete against companies that do 
D)  government regulation of international business has little effect on a company's profits 
A)  there is a universal "best way" to conduct business 
B)  global competition affects large companies but not small ones 
C)  most firms depend either on foreign markets and supplies or compete against companies that do 
D)  government regulation of international business has little effect on a company's profits

Question 5

In addition to understanding the laws affecting business in countries where their companies operate,it is most important for managers to understand the ________.

Accepted Answer

A)  methods for appointing local judges 
B)  ethical rationale behind the laws 
C)  history of the local legal system 
D)  degree of law enforcement 
A)  methods for appointing local judges 
B)  ethical rationale behind the laws 
C)  history of the local legal system 
D)  degree of law enforcement

Question 6

What is globalization? What modes of international business are used by firms that want to globalize? Briefly describe each method.

Accepted Answer

Globalization refers to the widening set

Question 7

The owner of a U.S.football team and the owner of a Canadian hockey team purchase a British soccer team.This is an example of a ________.

Accepted Answer

A)  royalty 
B)  portfolio investment 
C)  turnkey operation 
D)  joint venture 
A)  royalty 
B)  portfolio investment 
C)  turnkey operation 
D)  joint venture

Question 8

Countries have reduced import trade barriers in the expectation that other countries will do the same.

Accepted Answer

A) True 
 B)False

Question 9

The view that regionalization,rather than globalization,will prevail in the future is largely based on the use of common languages among countries in a region.

Accepted Answer

A) True 
 B)False

Question 10

What is foreign direct investment? What social factors in the external environment might affect FDI?

Accepted Answer

In foreign direct investment (FDI),somet

Question 11

Which of the following statements would most likely NOT be supported by an advocate of offshoring?

Accepted Answer

A)  Offshoring increases the number of high-value jobs in the home countries of offshoring companies. 
B)  Offshoring is fundamentally better for workers than the introduction of labor-saving technologies. 
C)  Workers displaced due to offshoring are able to find new jobs as easily as those displaced by technology. 
D)  There are upper limits to offshoring because of the lack of skilled workers willing to work permanently for low wages. 
A)  Offshoring increases the number of high-value jobs in the home countries of offshoring companies. 
B)  Offshoring is fundamentally better for workers than the introduction of labor-saving technologies. 
C)  Workers displaced due to offshoring are able to find new jobs as easily as those displaced by technology. 
D)  There are upper limits to offshoring because of the lack of skilled workers willing to work permanently for low wages.

Question 12

Which of the following is NOT one of the three main reasons affecting international business for governments to cooperate with each other?

Accepted Answer

A)  to attack problems jointly that one country acting alone cannot solve 
B)  to deal with issues that lie outside the territory of any nation 
C)  to gain reciprocal advantages 
D)  to establish a common language 
A)  to attack problems jointly that one country acting alone cannot solve 
B)  to deal with issues that lie outside the territory of any nation 
C)  to gain reciprocal advantages 
D)  to establish a common language

Question 13

Critics of offshoring claim all EXCEPT which of the following?

Accepted Answer

A)  Cost savings are seldom passed on to final consumers. 
B)  Offshoring reduces the incomes of people in low-wage countries. 
C)  Incomes of workers in countries whose companies offshored production have gone down as a percentage of national income. 
D)  Many workers who have been displaced by offshoring do not have the skills needed for higher-value jobs. 
A)  Cost savings are seldom passed on to final consumers. 
B)  Offshoring reduces the incomes of people in low-wage countries. 
C)  Incomes of workers in countries whose companies offshored production have gone down as a percentage of national income. 
D)  Many workers who have been displaced by offshoring do not have the skills needed for higher-value jobs.

Question 14

International business includes all commercial transactions between two or more countries.

Accepted Answer

A) True 
 B)False

Question 15

The lowering of tax rates around the world is one of the seven major forces behind recent globalization.

Accepted Answer

A) True 
 B)False

Question 16

Globalization refers to all economic transactions among countries.

Accepted Answer

A) True 
 B)False

Question 17

The view that globalization is inevitable is most likely based on the belief that ________.

Accepted Answer

A)  international organizations will replace nation-states 
B)  protesters against globalization will be persuaded to change their views 
C)  people want more global homogeneity of cultures 
D)  technical advances in transportation and communications are highly persistent 
A)  international organizations will replace nation-states 
B)  protesters against globalization will be persuaded to change their views 
C)  people want more global homogeneity of cultures 
D)  technical advances in transportation and communications are highly persistent

Question 18

Assume that company executives at the firm would like to increase sales by expanding into an international market.Which of the following factors,if true,best supports a decision to expand sales globally?

Accepted Answer

A)  It can offshore most of its production. 
B)  It can obtain all of its resources for the same price overseas. 
C)  Its costs of making additional sales would not increase disproportionately. 
D)  The foreign market has higher real interest rates. 
A)  It can offshore most of its production. 
B)  It can obtain all of its resources for the same price overseas. 
C)  Its costs of making additional sales would not increase disproportionately. 
D)  The foreign market has higher real interest rates.

Question 19

Governments have signed treaties to protect foreign-owned property rights,such as investments and patents.A primary reason for doing so is to ________.

Accepted Answer

A)  gain reciprocal advantages 
B)  reduce the domestic effects of other countries' economic policies 
C)  deal with areas of concern outside the territory of any one country 
D)  reduce national conflicts leading to violent political demonstrations 
A)  gain reciprocal advantages 
B)  reduce the domestic effects of other countries' economic policies 
C)  deal with areas of concern outside the territory of any one country 
D)  reduce national conflicts leading to violent political demonstrations

Question 20

The production of goods by a French company in Italy for sale in Italy is an example of an Italian merchandise import.

Accepted Answer

A) True 
 B)False

Although globalization may bring economic growth,critics nevertheless contend that ________.

Imported flowers are now a stronger competitor to U.S.grown flowers in the U.S.market.Which of the following is likely the MOST important factor for this increase in imports?

By operating internationally,a company may take advantage of business-cycle differences among countries and thereby reduce its financial risks.

In terms of international business,it is most accurate to say that ________.

In addition to understanding the laws affecting business in countries where their companies operate,it is most important for managers to understand the ________.

What is globalization? What modes of international business are used by firms that want to globalize? Briefly describe each method.

The owner of a U.S.football team and the owner of a Canadian hockey team purchase a British soccer team.This is an example of a ________.

Countries have reduced import trade barriers in the expectation that other countries will do the same.

The view that regionalization,rather than globalization,will prevail in the future is largely based on the use of common languages among countries in a region.

What is foreign direct investment? What social factors in the external environment might affect FDI?

Which of the following statements would most likely NOT be supported by an advocate of offshoring?

Which of the following is NOT one of the three main reasons affecting international business for governments to cooperate with each other?

Critics of offshoring claim all EXCEPT which of the following?

International business includes all commercial transactions between two or more countries.

The lowering of tax rates around the world is one of the seven major forces behind recent globalization.

Globalization refers to all economic transactions among countries.

The view that globalization is inevitable is most likely based on the belief that ________.

Assume that company executives at the firm would like to increase sales by expanding into an international market.Which of the following factors,if true,best supports a decision to expand sales globally?

Governments have signed treaties to protect foreign-owned property rights,such as investments and patents.A primary reason for doing so is to ________.

The production of goods by a French company in Italy for sale in Italy is an example of an Italian merchandise import.

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

International Trade and Factor-Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

Globalization and Society

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply-Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters

Exam 1: Globalization and International Business

Although globalization may bring economic growth,critics nevertheless contend that ________.

Imported flowers are now a stronger competitor to U.S.grown flowers in the U.S.market.Which of the following is likely the MOST important factor for this increase in imports?

By operating internationally,a company may take advantage of business-cycle differences among countries and thereby reduce its financial risks.

In terms of international business,it is most accurate to say that ________.

In addition to understanding the laws affecting business in countries where their companies operate,it is most important for managers to understand the ________.

What is globalization? What modes of international business are used by firms that want to globalize? Briefly describe each method.

The owner of a U.S.football team and the owner of a Canadian hockey team purchase a British soccer team.This is an example of a ________.

Countries have reduced import trade barriers in the expectation that other countries will do the same.

The view that regionalization,rather than globalization,will prevail in the future is largely based on the use of common languages among countries in a region.

What is foreign direct investment? What social factors in the external environment might affect FDI?

Which of the following statements would most likely NOT be supported by an advocate of offshoring?

Which of the following is NOT one of the three main reasons affecting international business for governments to cooperate with each other?

Critics of offshoring claim all EXCEPT which of the following?

International business includes all commercial transactions between two or more countries.

The lowering of tax rates around the world is one of the seven major forces behind recent globalization.

Globalization refers to all economic transactions among countries.

The view that globalization is inevitable is most likely based on the belief that ________.

Assume that company executives at the firm would like to increase sales by expanding into an international market.Which of the following factors,if true,best supports a decision to expand sales globally?

Governments have signed treaties to protect foreign-owned property rights,such as investments and patents.A primary reason for doing so is to ________.

The production of goods by a French company in Italy for sale in Italy is an example of an Italian merchandise import.

The Cultural Environments Facing Business

The Political and Legal Environments Facing Business

The Economic Environments Facing Businesses

International Trade and Factor-Mobility Theory

Governmental Influence on Trade

Cross-National Cooperation and Agreements

Global Foreign-Exchange Markets

The Determination of Exchange Rates

Global Capital Markets

Globalization and Society

The Strategy of International Business

Country Evaluation and Selection

Export and Import

Direct Investment and Collaborative Strategies

The Organization of International Business

Marketing Globally

Global Manufacturing and Supply-Chain Management

International Accounting and Finance Issues

International Human Resource Management

Filters