MBS INT BUS S6 Int Trade, Investment, Global Supply Chain Mng

What is the main purpose of trade agreements like NAFTA and the EU Single Market?

• To reduce barriers between member countries

• To impose tariffs on exports

• To increase competition within local markets

How do tariffs impact international trade?

• By reducing costs for companies

• By increasing the cost of doing business globally

• By eliminating the need for customs regulations

What is one of the key outcomes of trade agreements?

• Higher import taxes

• Facilitating easier trade between countries

• Limiting access to foreign markets

What was a major impact of the US-China trade war?

• Reducing the global trade deficit

• Disrupting global supply chains

• Increasing collaboration between the two countries

How do investment regulations influence international trade?

• By ensuring that all businesses have equal market access

• By encouraging free flow of capital without any restrictions

• By shaping the ease of market entry and investment across borders

What is a common restriction faced by companies in foreign markets?

• Open access to all industries

• Foreign direct investment (FDI) policies and local content requirements

• Unlimited access to capital

What is the role of the World Trade Organization (WTO)?

• To create investment regulations

• To manage international financial transactions

• To shape trade policies and resolve disputes between countries

How does the International Monetary Fund (IMF) support international trade?

• By negotiating trade agreements between countries

• By imposing tariffs on exports

• By stabilizing economies and providing financial support during crises

Why do companies rely on international organizations like the WTO?

• To eliminate trade rules

• To create predictable trade environments

• To avoid international expansion

What is a key challenge in global supply chain management?

• Managing local transportation only

• Coordinating logistics and sourcing materials across multiple countries

• Limiting supplier diversity