Unit 10 Quiz KEY

Which of the following best explains the effect of increased tariffs on an importing country’s supply chain?

• Reduction in export activities

• Increase in global trade policies

• Increase in the cost of foreign goods

• Decrease in the cost of domestic goods

Which of the following best represents a global supply chain’s response to changing international business environments?

• Ignoring foreign market trends

• Focusing solely on domestic markets

• Decreasing product diversity to minimize risks

• Flexibly adapting to new markets and regulations

Considering global supply chain management, what is the primary reason for a company to diversify its supplier base?

• To simplify supply chain logistics

• To increase the company's market share

• To reduce dependency on a single supplier

• To comply with local laws in different countries

What is the most direct impact of an effective global supply chain on consumer prices?

• Lower product prices

• Higher marketing costs

• Increased corporate profits

• Increased diversity of available products

Tariffs imposed by a government always result in beneficial outcomes for all domestic industries.

• True

• False

How do tariffs primarily affect the supply chain of a company importing goods into the United States?

• A decrease in the overall supply chain costs

• An increase in the cost of imported goods, potentially raising production costs

What is a key reason for businesses to understand and adapt to global trade policies and tariffs?

• To eliminate the need for export activities

• To ensure products can be sold at a higher price

• To maintain or improve market competitiveness by managing costs and supply chain disruptions

• To focus solely on domestic markets and reduce exports

The African Continental Free Trade Area (AfCFTA) was established to reduce trade barriers within Africa and foster economic integration.

• True

• False

Which of the following strategies would best improve the responsiveness aspect of the SOCR model in a high-demand retail environment?

• Increasing stock levels of all items

• Implementing just-in-time inventory for best-selling products

• Reducing the variety of products offered

• Extending delivery times for online orders

A company notices that its inventory turnover rate is decreasing. Which SOCR model adjustment could directly address this issue?

• Increase the number of suppliers

• Offer discounts on slower-moving products

• Implement a better inventory tracking system

• Decrease the frequency of customer satisfaction surveys