BIBM 101_2

Which of the following best describes the U.S. in the world economy?

• A. A low-cost manufacturing center

• B. The world's largest consumer market

• C. A small open economy

• D. A resource-scarce economy

Which region is known for high purchasing power, advanced infrastructure, and significant global influence?

• Southeast Asia

• Western Europe

• Central Africa

• Central Asia

One key economic feature of Eastern European markets is:

• High labor costs and strong unions

• Transition from centrally planned to market economies

• Total trade isolation

• No foreign investment presence

Which of the following makes Africa a challenging but opportunity-rich market?

• Advanced telecommunications and widespread income equality

• Infrastructure gaps, political risk, and resource wealth

• Low growth potential

• High dependence on agriculture exports to the U.S.

Which country is a member of both the G7 and BRICS?

• China

• Brazil

• None – the two groups are mutually exclusive

• South Africa

Which of the following is NOT a typical challenge when entering foreign markets?

• Political instability

• Legal and regulatory differences

• Currency fluctuation

• Guaranteed protection by host governments

Which strategy is most commonly used by governments to protect domestic industries?

• Technology transfer agreements

• Foreign Direct Investment

• Tariffs and import quotas

• Free-trade agreements

Which of the following best describes a “keiretsu” in Japan?

• A government body for economic planning

• A network of interlinked companies and banks

• A form of foreign currency exchange control

• A type of consumer cooperative

One reason for China’s rise as a manufacturing hub is:

• Lack of infrastructure

• High production costs

• Large, low-cost labor force and industrial policies

• Prohibitive trade laws

Which term describes a company's ability to operate across national borders and adapt to local markets?

• Comparative advantage

• Multinational flexibility

• Resource nationalism

• Corporate concentration