MAN 1107 CH 4 PRETEST

__________  allows a foreign company to sell the products of a producer or to use its intellectual property in exchange for what is known as royalty fees.

• Licensing
• Joint Ventures
• Outsourcing
• Franchising

__________  is buying products overseas and reselling them in one’s own country, and __________  is selling domestic products to foreign customers.

• Importing, Exporting
• International Trade, Domestic Trade
• Exporting, Importing
• Domestic Trade, International Trade

A(n) __________  is a type of intergovernmental agreement where regional barriers to trade, are reduced or eliminated.

• Trade Bloc Agreement
• General Trade Agreement
• Embargo Agreement
• Multinational Cooperation Agreement

All of the following are considerations when setting up an International Business except:

• Internet Protocols
• Social Norms
• Politics and Regulations
• Currency Exchange

All of the following are considered Trade Controls except:

• Offshoring
• Quotas
• Dumping
• Tariffs

All of the following are Factors of Production except:

• Production Resources
• Natural Resources
• Capital Resources
• Entrepreneurial Resources

The definition of Balance of Payments is:

• The difference between total cash flow coming into and out of a country
• The products a country must forego purchasing in order to buy something else
• The value of Export minus the value of Imports
• The products a country must forego making in order to produce something else

This organization loans money to countries with troubled economies:

• International Monetary Fund
• United Nation Development Fund
• World Bank
• International Lending Association

When a nation is the only source of a particular product, it is said to have a(n):

• Absolute Advantage
• Competitive Advantage
• Real Advantage
• Comparative Advantage

The Foreign Corrupt Practices Act prevents foreign countries from offering kickbacks and bribes to United States companies.

• false
• true