Question 1

If the price of an imported product sells for more in Canada than it does in the producing country, the producing country could be accused of dumping.

Accepted Answer

A) True 
 B)False

Question 2

Berry Corp. sells microprocessors to an electronic equipment manufacturer in this country who then sells equipment containing the microprocessors to Japan. Berry Corp. is engaging in ______.

Accepted Answer

A)  indirect exporting 
B)  countertrade 
C)  foreign licensing 
D)  international production 
A)  indirect exporting 
B)  countertrade 
C)  foreign licensing 
D)  international production

Question 3

______ was the highest Canadian import in 2014.

Accepted Answer

A)  Energy products 
B)  Consumer goods 
C)  Farming equipment 
D)  Metal ore and mineral 
A)  Energy products 
B)  Consumer goods 
C)  Farming equipment 
D)  Metal ore and mineral

Question 4

Which of the following is NOT a social or cultural barrier in international trade?

Accepted Answer

A)  language 
B)  religion 
C)  consumer attitudes 
D)  currency exchange 
A)  language 
B)  religion 
C)  consumer attitudes 
D)  currency exchange

Question 5

Complete the following using the terms listed below.
-______ refers to selling goods abroad at a price lower than that charged in the domestic market.

Accepted Answer

A) offshoring 
B) balance of trade 
C) joint venture 
D) dumping 
E) imports
F)tariff
G)International Monetary Fund
H)World Trade Organization
I)free trade area
J)devaluation
K)exchange rate
L)absolute advantage
M)global strategy
N)quota
O)multidomestic strategy
P)balance of payments
Q)Comparative advantage 
A) offshoring 
B) balance of trade 
C) joint venture 
D) dumping 
E) imports
F)tariff
G)International Monetary Fund
H)World Trade Organization
I)free trade area
J)devaluation
K)exchange rate
L)absolute advantage
M)global strategy
N)quota
O)multidomestic strategy
P)balance of payments
Q)Comparative advantage

Question 6

Describe three contractual agreements firms can enter into when going global.

Accepted Answer

The three contractual agreements are fra

Question 7

Speedy Lube enters into a contract with a foreign company to produce and distribute its products in a specific geographic area. Speedy Lube is involved in ______.

Accepted Answer

A)  foreign licensing 
B)  countertrade 
C)  international production 
D)  direct exporting 
A)  foreign licensing 
B)  countertrade 
C)  international production 
D)  direct exporting

Question 8

Which of the following groups is likely to be hurt economically if the value of the Canadian dollar rises relative to the euro?

Accepted Answer

A)  Canadian tourists visiting Europe 
B)  European firms exporting goods to Canada 
C)  Canadian farmers exporting goods to Europe 
D)  Canadian firms with euro-dominated loans 
A)  Canadian tourists visiting Europe 
B)  European firms exporting goods to Canada 
C)  Canadian farmers exporting goods to Europe 
D)  Canadian firms with euro-dominated loans

Question 9

Exchange controls affect both exporters and importers.

Accepted Answer

A) True 
 B)False

Question 10

Ford Motor Company is merging its individual operation into one so that it can use a standardized product and marketing strategy worldwide. This strategy can best be described as a(n) ______.

Accepted Answer

A)  international marketing strategy 
B)  orderly marketing strategy 
C)  global strategy 
D)  multidomestic strategy 
A)  international marketing strategy 
B)  orderly marketing strategy 
C)  global strategy 
D)  multidomestic strategy

Question 11

Explain the differences between the World Bank and the International Monetary Fund.

Accepted Answer

The World Bank was formed to lend money

Question 12

If a nation has an unfavourable balance of trade, it also has an unfavourable balance of payments.

Accepted Answer

A) True 
 B)False

Question 13

Define countertrade, and explain why this form of international trade is a viable option for certain nations.

Accepted Answer

Countertrade is an international barteri

Question 14

A nation's exchange rate is the rate at which its currency can be exchanged for goods and services.

Accepted Answer

A) True 
 B)False

Question 15

Besides the availability of the factors of production, ______ also attracts business to trade internationally.

Accepted Answer

A)  diversity 
B)  languages/culture of other nations 
C)  the size of the global marketplace 
D)  the friendliness of people in that society 
A)  diversity 
B)  languages/culture of other nations 
C)  the size of the global marketplace 
D)  the friendliness of people in that society

Question 16

Company XYZ would like to sell its products in a foreign country. Since the products will be best sold by locals in the foreign country, the best type of contract-based agreement to use will be

Accepted Answer

A)  franchising. 
B)  foreign licensing. 
C)  subcontracting. 
D)  free trade agreement. 
A)  franchising. 
B)  foreign licensing. 
C)  subcontracting. 
D)  free trade agreement.

Question 17

Trading internationally allows companies to spread their risks.

Accepted Answer

A) True 
 B)False

Question 18

Even though Canada manufactures textiles, China is able to produce them more efficiently. Thus, China has a(n) ______ in manufacturing textiles.

Accepted Answer

A)  tariff 
B)  trade restriction 
C)  comparative advantage 
D)  quota 
A)  tariff 
B)  trade restriction 
C)  comparative advantage 
D)  quota

Question 19

All of the following are part of the European community's plan to eliminate all barriers to free trade among its members with the exception of ______.

Accepted Answer

A)  business regulation and requirements being standardized 
B)  trade duties and value-added taxes being standardized 
C)  custom checks being eliminated 
D)  legal systems being standardized 
A)  business regulation and requirements being standardized 
B)  trade duties and value-added taxes being standardized 
C)  custom checks being eliminated 
D)  legal systems being standardized

Question 20

Trade among the NAFTA nations has changed little since the adoption of the agreement.

Accepted Answer

A) True 
 B)False

If the price of an imported product sells for more in Canada than it does in the producing country, the producing country could be accused of dumping.

Berry Corp. sells microprocessors to an electronic equipment manufacturer in this country who then sells equipment containing the microprocessors to Japan. Berry Corp. is engaging in ______.

______ was the highest Canadian import in 2014.

Which of the following is NOT a social or cultural barrier in international trade?

Complete the following using the terms listed below. -______ refers to selling goods abroad at a price lower than that charged in the domestic market.

Describe three contractual agreements firms can enter into when going global.

Speedy Lube enters into a contract with a foreign company to produce and distribute its products in a specific geographic area. Speedy Lube is involved in ______.

Which of the following groups is likely to be hurt economically if the value of the Canadian dollar rises relative to the euro?

Exchange controls affect both exporters and importers.

Ford Motor Company is merging its individual operation into one so that it can use a standardized product and marketing strategy worldwide. This strategy can best be described as a(n) ______.

Explain the differences between the World Bank and the International Monetary Fund.

If a nation has an unfavourable balance of trade, it also has an unfavourable balance of payments.

Define countertrade, and explain why this form of international trade is a viable option for certain nations.

A nation's exchange rate is the rate at which its currency can be exchanged for goods and services.

Besides the availability of the factors of production, ______ also attracts business to trade internationally.

Company XYZ would like to sell its products in a foreign country. Since the products will be best sold by locals in the foreign country, the best type of contract-based agreement to use will be

Trading internationally allows companies to spread their risks.

Even though Canada manufactures textiles, China is able to produce them more efficiently. Thus, China has a(n) ______ in manufacturing textiles.

All of the following are part of the European community's plan to eliminate all barriers to free trade among its members with the exception of ______.

Trade among the NAFTA nations has changed little since the adoption of the agreement.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Forms of Business Ownership and Organization

Starting Your Own Business: the Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance Through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Promotion and Pricing Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

The Financial System

Financial Management

Filters

Exam 4: Competing in World Markets

If the price of an imported product sells for more in Canada than it does in the producing country, the producing country could be accused of dumping.

Berry Corp. sells microprocessors to an electronic equipment manufacturer in this country who then sells equipment containing the microprocessors to Japan. Berry Corp. is engaging in ______.

______ was the highest Canadian import in 2014.

Which of the following is NOT a social or cultural barrier in international trade?

Complete the following using the terms listed below. -______ refers to selling goods abroad at a price lower than that charged in the domestic market.

Describe three contractual agreements firms can enter into when going global.

Speedy Lube enters into a contract with a foreign company to produce and distribute its products in a specific geographic area. Speedy Lube is involved in ______.

Which of the following groups is likely to be hurt economically if the value of the Canadian dollar rises relative to the euro?

Exchange controls affect both exporters and importers.

Ford Motor Company is merging its individual operation into one so that it can use a standardized product and marketing strategy worldwide. This strategy can best be described as a(n) ______.

Explain the differences between the World Bank and the International Monetary Fund.

If a nation has an unfavourable balance of trade, it also has an unfavourable balance of payments.

Define countertrade, and explain why this form of international trade is a viable option for certain nations.

A nation's exchange rate is the rate at which its currency can be exchanged for goods and services.

Besides the availability of the factors of production, ______ also attracts business to trade internationally.

Company XYZ would like to sell its products in a foreign country. Since the products will be best sold by locals in the foreign country, the best type of contract-based agreement to use will be

Trading internationally allows companies to spread their risks.

Even though Canada manufactures textiles, China is able to produce them more efficiently. Thus, China has a(n) ______ in manufacturing textiles.

All of the following are part of the European community's plan to eliminate all barriers to free trade among its members with the exception of ______.

Trade among the NAFTA nations has changed little since the adoption of the agreement.

The Changing Face of Business

Business Ethics and Social Responsibility

Economic Challenges Facing Contemporary Business

Forms of Business Ownership and Organization

Starting Your Own Business: the Entrepreneurship Alternative

Management, Leadership, and the Internal Organization

Human Resource Management: From Recruitment to Labour Relations

Top Performance Through Empowerment, Teamwork, and Communication

Production and Operations Management

Customer-Driven Marketing

Product and Distribution Strategies

Promotion and Pricing Strategies

Using Technology to Manage Information

Understanding Accounting and Financial Statements

The Financial System

Financial Management

Filters