Exam 4: Competing in World Markets

Mention and explain at least two effects of international trade restrictions.

A country's trade balance is determined by comparing the total amount of its exports to its imports.

A global marketing approach is ideal for marketing luxury items due to their universal appeal.

During the past decade, which of the following countries has experienced the greatest annual rate of GDP growth?

A joint venture is a contractual form of international investment.

Why have Canadian firms become increasingly focused on international business?

What are the goals of the European Union and how do the citizens of member countries benefit?

Which of the following is the first step in the decision for a business to expand globally?

What factors influence currency exchange fluctuations?

If a foreign company offers steel in Canada below the company's cost of production, the company might be accused of ______.

A joint venture strategy provides the most basic level of international involvement, with the least risk and control.

Trading with other countries significantly increases a company's risk.

Brazil recently reduced its currency value in terms of other currencies, making investing in the country less costly than in other countries. This action is known as ______.

Due to its highly educated workforce and low labour costs, India has a comparative advantage in software development.

Importing refers to selling domestically produced goods and services in foreign countries.

The North American Free Trade Agreement (NAFTA) is a trade accord designed to reduce trade restrictions between the two neighbouring countries of the United States and Canada.

A trade deficit exists when a nation's imports exceed its exports.

A Canadian company operating in the European Union (EU) is required to adhere to European regulations, such as mandatory vacation time.

An absolute advantage occurs when a country can maintain ______.

All countries in Europe are now members of the European Union (EU).