Question 1

A ________ is a political system in which government leaders are elected directly by the wide participation of the people or by their representatives.

Accepted Answer

A) democracy 
B) theocracy 
C) plutocracy 
D) autocracy

Question 2

A value-added tax is a tax levied on each party that adds value to a product throughout its production and distribution.

Accepted Answer

A) True 
 B)False

Question 3

Scenario: Common and Civil Law
Wayne's Computer Corporation is considering the possibility of building a new manufacturing facility in a foreign country in order to lower labor and production costs.The legal department of Wayne's has been evaluating Paribo and Kirawi-the two countries which are the top contenders for the new facility-carefully.
-Which of the following,if true,demonstrates that Kirawi has an unstable business environment?

Accepted Answer

A) Its business laws are inflexible and cannot be intrepreted according to the comfort of government officials. 
B) Its government does not enforce product liability laws or protect individual property rights. 
C) Its activities are bound by several multilateral agreements conducted with neighboring countries. 
D) Its private sector comprises independently owned firms that exist to make profits.

Question 4

A ________ is a right granted to the inventor of a product or process that excludes others from making,using,or selling the invention.

Accepted Answer

A) patent 
B) trademark 
C) watertight 
D) copyright

Question 5

Totalitarian political systems include authoritarian regimes such as ________.

Accepted Answer

A) democracy and theocracy 
B) anarchism and pluralism 
C) communism and fascism 
D) capitalism and secularism

Question 6

In a totalitarian system,rulers tightly control people's lives and do not tolerate opposing viewpoints.

Accepted Answer

A) True 
 B)False

Question 7

Explain each of the following terms,giving examples of each: patent,trademark,and copyright.

Accepted Answer

The answer of Explain each of the following terms,giving examples...

Question 8

Describe the Foreign Corrupt Practices Act,and explain how it relates to corporate social responsibility.

Accepted Answer

The answer of Describe the Foreign Corrupt Practices Act,and explain...

Question 9

In a coalition government,the strongest political parties share power by dividing government responsibilities among themselves.

Accepted Answer

A) True 
 B)False

Question 10

The ________ view states that a company should adopt local ethics wherever it operates because all belief systems are determined within a cultural context.

Accepted Answer

A) Friedman 
B) cultural relativist 
C) righteous moralist 
D) utilitarian

Question 11

Scenario: Risky Business
Global Trading LLC is a distributor of computer software and hardware,steel and copper scrap,and telephone equipment.Involved in three very different types of industries,the company faces many types of risks in its global business.
-Had the government taken over the assets of Global Trading without compensation,and not taken over the assets of any other company,the government's actions would be an example of ________.

Accepted Answer

A) expropriation 
B) nationalization 
C) confiscation 
D) communism

Question 12

On a recent trip to Hong Kong,a group of tourists found several Prada bags being sold on the pavement.They cost only a few dollars and were clearly fake;though they bore the Prada trademark.This is an example of ________.

Accepted Answer

A) piracy 
B) monopolization 
C) ethnocentrism 
D) nationalization

Question 13

Which of the following political ideologies states that every aspect of people's lives must be controlled for a nation's political system to be effective?

Accepted Answer

A) totalitarianism 
B) capitalism 
C) anarchism 
D) pluralism

Question 14

Scenario: Common and Civil Law
Wayne's Computer Corporation is considering the possibility of building a new manufacturing facility in a foreign country in order to lower labor and production costs.The legal department of Wayne's has been evaluating Paribo and Kirawi-the two countries which are the top contenders for the new facility-carefully.
-Which of the following factors should the legal experts of Wayne's consider while evaluating the legal systems of Paribo and Kirawi?

Accepted Answer

A) the profits made by local companies in the countries 
B) the prevalence of crime in the two countries 
C) the resolution of contractual dispute with local vendors 
D) the profits made by international companies in other countries

Question 15

Under a(n)________ political system,the state reigns supreme over institutions such as family,religion,business,and labor.

Accepted Answer

A) pluralistic 
B) totalitarian 
C) democratic 
D) anarchist

Question 16

Scenario: Susan Goes Global with Grape Fizz
Susan is the CEO of Grape Fizz,a global drinks-manufacturing company.She wishes to set up production facilities in other countries and has been advised to assess the political system of each country before she does so.
-Susan also decides not to set up production facilities in Margazo,a country which functions by a strict set of religious tenets,because some of them contradict her company's work policy.Expecting potential employees to break away from these traditions is not an option since religion plays an important role in the functioning of the nation.What kind of political system prevails in Margazo ?

Accepted Answer

A) pluralistic 
B) theocracy 
C) tribal totalitarian 
D) democracy

Question 17

Briefly explain each of the three main methods companies use to manage political risk.

Accepted Answer

The answer of Briefly explain each of the three main...

Question 18

________ political systems include democracies,constitutional monarchies,and some aristocracies.

Accepted Answer

A) Totalitarian 
B) Anarchist 
C) Fascist 
D) Pluralistic

Question 19

Economic socialism won the battle over communist totalitarianism and capitalism.

Accepted Answer

A) True 
 B)False

Question 20

A solid grasp of local values,customs,and traditions can help reduce a company's exposure to political risk.

Accepted Answer

A) True 
 B)False

Exam 3: Politics, Law, and Business Ethics

A ________ is a political system in which government leaders are elected directly by the wide participation of the people or by their representatives.

A value-added tax is a tax levied on each party that adds value to a product throughout its production and distribution.

A ________ is a right granted to the inventor of a product or process that excludes others from making,using,or selling the invention.

Totalitarian political systems include authoritarian regimes such as ________.

In a totalitarian system,rulers tightly control people's lives and do not tolerate opposing viewpoints.

Explain each of the following terms,giving examples of each: patent,trademark,and copyright.

Describe the Foreign Corrupt Practices Act,and explain how it relates to corporate social responsibility.

In a coalition government,the strongest political parties share power by dividing government responsibilities among themselves.

The ________ view states that a company should adopt local ethics wherever it operates because all belief systems are determined within a cultural context.

On a recent trip to Hong Kong,a group of tourists found several Prada bags being sold on the pavement.They cost only a few dollars and were clearly fake;though they bore the Prada trademark.This is an example of ________.

Which of the following political ideologies states that every aspect of people's lives must be controlled for a nation's political system to be effective?

Under a(n) ________ political system,the state reigns supreme over institutions such as family,religion,business,and labor.

Briefly explain each of the three main methods companies use to manage political risk.

________ political systems include democracies,constitutional monarchies,and some aristocracies.

Economic socialism won the battle over communist totalitarianism and capitalism.

A solid grasp of local values,customs,and traditions can help reduce a company's exposure to political risk.