International Business Quiz

Which of the following best describes globalization?

• Reduction of trade barriers between nations

• Integration of world economies

• Decentralization of multinational enterprises

• Elimination of cultural differences

Which organization is responsible for policing the world trading system?

• International Monetary Fund (IMF)

• World Trade Organization (WTO)

• United Nations (UN)

• Group of Twenty (G20)

Foreign Direct Investment (FDI) occurs when:

• A company exports goods to another country

• A company invests resources in business activities outside its home country

• A country reduces tariffs on imports

• A government subsidizes foreign businesses

A business that has productive activities in two or more countries is called a:

• Domestic enterprise

• International trade firm

• Multinational enterprise (MNE)

• Foreign corporation

Which of the following best describes collectivism?

• Primacy of individual goals over collective goals

• Economic and political freedom for individuals

• Emphasis on collective goals over individual goals

• Political system based on religious principles

Totalitarianism refers to:

• Government by the people

• Absolute control by one person or party

• A legal system based on tradition and precedent

• Open market economies

Common law is based on:

• Religious teachings

• Detailed legal codes

• Tradition, precedent, and custom

• Social norms

The legal rights over the use of a resource and income derived from it are known as:

• Property rights

• Copyrights

• Patents

• Trademarks

Which of the following grants an inventor exclusive rights to manufacture, use, or sell an invention?

• Copyright

• Patent

• Trademark

• Intellectual property

A legal system based on a detailed set of laws organized into codes is called:

• Common law system

• Civil law system

• Theocratic law system

• Traditional law system