FINAL ROUND - IB SOLVER'S CUP COMPETITION 2023

Which of the following is an example of a greenfield investment?

• an agricultural business acquisition in Southeast Asia

• the construction of an entirely new steel manufacturing subsidiary overseas

• a merger between a U.S. and a non-U.S. company

• the purchase of an existing business that is still in its infancy

Globalization refers to ______.

• Lower incomes worldwide

• A more integrated and interdependent world

• Global warming and their effects

• Less foreign trade and investment

International Business focuses on ______ to buy or sell worldwide.

• Local resources & opportunities

• Global resources & opportunities

• National resources & opportunities

• Internal resources & opportunities

Which of the following statements is true about culture? 

• Culture is static as it does not evolve

• Multinational enterprises can themselves be engines of cultural change

• The cost of doing business in a country or region is always independent of its culture

• It is not possible for a country to support multiple cultures

The efforts of IMF, World bank and WTO to liberalize their economies led to _____.

• Internalization

• Globalization

• Nationalization

• Trade Barriers

Which of the following theories supports the case for unrestricted free trade between nations?

• Mercantilism

• Heckscher-Ohlin theory

• New trade theory

• Porter's theory of national competitive advantage

What is the main factor of production that is considered in the Theory of Comparative Advantage?

• Capital

• Labour

• Land

• Technology

Which of the following is NOT considered to facilitate the globalization process of the world economy?

• Advances in information technologies

• Increased tariffs

• Reductions in trade barriers

• Reduced transportation and communication costs

The condition that results when the value of a nation's exports is greater than the value of its imports is called ________.

• a trade deficit

• a trade surplus

• mercantilism

• dumping

A lower tariff on imported steel would most likely benefit _______:

• foreign producers at the expense of domestic consumers

• domestic consumers of steel

• domestic manufacturers of steel

• workers in the steel industry.