WJEC GCSE Business Influences Globalisation MSE

What is the definition of International Trade?

• The exchange of goods and services within a single country

• The buying of goods and services from local markets

• The selling of goods and services across the world

• The taxation on goods and services exported abroad

Which of the following is an advantage of International Trade?

• Higher transport costs

• Exchange rate fluctuations

• Wider range of customers/various market segments

• Trade barriers

What is a tariff?

• A tax on an export

• A regulation on trade

• A tax on an import

• A subsidy for local producers

What is a disadvantage of Multinational Businesses?

• Economies of scale

• Lower production costs

• Size of business difficult to manage

• Tax advantages

What are imports?

• Goods and services that are produced and sold within the same country

• Goods and services that are bought from producers overseas

• A tax on goods and services that are exported

• Goods and services that are exchanged within local markets

What are exports?

• Goods and services that are bought from producers overseas

• Goods and services that are produced in one country and sold in another one

• A tax on goods and services that are imported

• Goods and services that are exchanged within local markets

What does the acronym SPICED stand for in the context of exchange rates?

• Strong Pound, Imports Cheaper, Exports Dearer

• Strong Pound, Increased Costs, Exports Decreased

• Stable Pound, Imports Competitive, Exports Desirable

• Sudden Pound, Imports Costly, Exports Decline

What is one of the main features of Globalisation?

• Decreased international trade

• Restricted movement of labour and capital

• Development of multinational companies

• Decrease in new technologies and innovations

Which of the following is a benefit of globalisation to the UK?

• The UK can import the goods and services that it needs easily

• The UK has higher wage rates than other countries

• The UK has longer product life cycles

• The UK is subject to international laws of trade

What does the acronym WIDECOM stand for in the context of exchange rates?

• Weak Pound, Imports Cheaper, Exports Dearer

• Weak Pound, Increased Costs, Exports Decreased

• Weak Pound, Imports Dearer, Exports Cheaper

• Weak Pound, Imports Decline, Exports Optimal