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WorksheetsCh 13 Direct and Indirect Competition
Total questions: 20
Worksheet time: 10mins
In international trade, the main purpose of a quota is to
create a positive impact on the foreign exchange rate
limit the quantity of a product that can be imported into a country
generate tax income from imported goods
all of the above
Importing and exporting are business activities that take place within
nonprofit organizations
the United States
countries with a command economy
the global economy
Which of the following are potential obstacles for entrepreneurs who want to conduct international trade?
cultural differences between countries
trade barriers
tariffs
all of the above
The foreign exchange rate is
the fair trade value of currencies
the rate at which countries do business
the value of the dollar in relations to foreign currencies
the value of one currency in relation to another
Because both UPS and FedEx provide overnight delivery services, they are an example of
indirect competitors
partners
strong direct competitors
weak direct competitors
Fair trade is a policy that
helps developing nations
is encouraged by private organizations
links small producers with foreign merchants
all of the above
Coca Cola and Honest Tea (which sells organic teas by the bottle) are an example of
weak direct competitors
indirect competitors
strong direct competitors
partners
When engaged in international trade, business etiquette includes being respectful of a nation's
attitudes
language
customs
all of the above
Market share is
your target market minus your competitors' customers
your target market
the biggest percentage of your total market
the percentage of your target market that is buying from your business
The market share percentage for a business that has achieved $500,000 in total sales in a $2 million dollar market is
2%
25%
40%
50%
Any restaurant can be considered indirect competition to McDonald's.
True
False
An expanded SWOT analysis includes data about your closest competitors.
True
False
If there are several direct competitors in your market, you have a good chance of gaining 100% of the market share.
True
False
Exporting is a business activity in which goods or services made in country are sold to consumers in other countries.
True
False
Services, as well as goods, can be imported and exported.
True
False
A tariff is similar to a tax and must be paid on imported goods.
True
False
A quota is a limit on the quantity of a product that can be imported into a country.
True
False
Countries use tariffs and quotes to protect their domestic suppliers from foreign competitors.
True
False
A business that has captured 25% market share in a $1 million market has total sales of $250,000.
True
False
A business that has captured 25% market share in a $1 million market has total sales of $250,000.
True
False
