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International Business Week 9.5

Total questions: 33

Worksheet time: 19mins

Name
Class
Date
1.
If a business is looking to expand internationally and is  researching a countries literacy level, technology, and infrastructure the business is looking into a countries . .
a)
Cultural Influences
b)
Geography
c)
Legal Concerns
d)
Economic Development
2.
When preparing for an international business meeting, what should be your number one priority? 
a)
Researching Culture & Customs
b)
Researching Properties
c)
Weather
d)
Food
3.

Two major forces that underlie the expansion of globalization are falling barriers to trade and investment, and ________.

a)

A) elevation of nationalism

b)

B) rise of closed economies

c)

C) political stagnation

d)

D) technological innovation

4.

__________ is a ratio or rate of return concept.

a)

A. Profitability

b)

B. Performance

c)

C. Cash flow

d)

D. Efficiency

5.

A strategy that focuses on lowering production costs is referred to as a:

a)

A. differentiation strategy.

b)

B. cost minimization strategy.

c)

C. low cost strategy.

d)

D. efficiency strategy.

6.
__________________ reduces trade barriers and encourages trade between countries.
a)
Free-trade zones
b)
Free-trade agreements
c)
non-tariff alliances
d)
Common markets
7.
A country being able to make a product or service at a lower cost than other countries is considered?
a)
Absolute advantage
b)
Concerning advantage
c)
Comparative advantage
d)
Available advantage
8.
Why are most countries better off specializing in the production of particular goods, and then trading with other nations to obtain whatever else they need? 
a)
Transportation costs are lower than they were a century ago.
b)
Resources are not evenly distributed among countries.
c)
Greater investment of capital goods increases productivity.
d)
People have limited resources to satisfy unlimited wants. 
9.
A trade agreement between 27 countries of with the same currency and open trade between those nations.
a)
NAFTA
b)
EU
c)
WTO
d)
ABC
10.
A trade agreement between Canada, Mexico, and the US
a)
NAFTA
b)
EU
c)
WTO
d)
ABC
11.

From the statement below, which is best describe the importance of size quota in International Monetary Fund (IMF)?

a)

To promote international monetary cooperation

b)

To facilitate the expansion and balance growth of international trade

c)

To determine its voting power within the IMF

d)

To assist in the establishment of a multilateral system of payment

12.

Amazon.com has spent enormous sums developing and maintaining its Web site and building its customer base. Because many of these costs are fixed, the company expands its sales. Moreover, the marginal cost of adding an additional product line to its Web site is relatively small. Accordingly, the company has expanded from books to compact disc to videos to auctions.


From the explanation above, Amazon.com competing in the global marketplace has numerous ways of obtaining a sustainable competitive advantage through ……………..

a)

Owning Intellectual Property Rights

b)

Investing in Research and Development

c)

Achieving Economies of Scale

d)

Exploiting the experience Curve

13.

Which from the list are major components of balance of payment (BOP) accounting system?

i.Errors and Omissions

ii. Portfolio Investment

iii. Official Reserves

iv.Foreign Direct Investment

a)

i and ii

b)

i and iii

c)

ii and iii

d)

ii and iv

14.

Profit growth can be achieved through ________

a)

increase cost

b)

decrease cost

c)

add value and raise prices

d)

enter new markets

15.

The two basic strategies for creating value are ________

a)

value and cost

b)

differentiation and low cost

c)

profitability and profit growth

d)

R&D and production

16.

The following is the component of support activities EXCEPT _________

a)

Information system

b)

Logistics

c)

Human resources

d)

R & D

17.

Organization architecture include the following EXCEPT

a)

Processes

b)

Control & incentives

c)

Market conditions

d)

Organization culture

18.

The devices used to reward appropriate managerial behavior is known as ___________

a)

processes

b)

people

c)

culture

d)

incentives

19.

Which strategy is make sense when the firm faces strong pressures for cost reductions and demands for local responsiveness are minimal?

a)

Global standardization strategy

b)

Localization strategy

c)

Transnational strategy

d)

International strategy

20.

________ is the trend toward greater economic, cultural, political, and technological interdependence among national institutions and economies.

a)

Globalization

b)

Privatization

c)

Decentralization

d)

Heterogenization

21.
________ is an example of a secondary sector activity.
a)
Banking
b)
Farming
c)
Manufacturing
d)
Secondary education
22.
This part of a business plan shows the knowledge of the industry and includes statistics on marketing data for the companies products/services, and evaluates competition
a)
Executive Summary
b)
Company Description
c)
Strategy
d)
Market Analysis
23.
Which of the following is NOT a factor in the international business environment?
a)
political and legal
b)
socialogical
c)
cultural and social
d)
geographic
24.

A country’s strategy for dealing with other countries is called its ________________

a)

foreign policy

b)

national interest

c)

guidelines

d)

goals

25.

With a policy of __________________, a country focuses on its own problems and does not get involved in other countries’ issues.

a)

isolationism

b)

internationalism

c)

foreign policy

d)

national interest

26.
Who needs to be satisfied with the quality of products?
a)
Rivals
b)
Suppliers
c)
Customers
27.

Which of the following is TRUE statement to define international operation?

a)

The set of processes and steps used by an organization in acquiring the various resources and materials

b)

Involves the creation of goods by transforming raw materials and components parts in combination with capital, labor and technology

c)

The extent to which organization provides its own resources pr obtains its resources from other resources

d)

The set of activities used by an international business to transform different kinds of resource inputs ( material, labor and so forth)

28.

What is PROTECTIONISM?

a)

economic policy of restricting imports from other countries

b)

economic policy of restricting exports from other countries

c)

economic policy of imports from other countries

d)

economic policy of exports from other countries

29.

1.Which of the following is not part of the arguments about trade protection?

a)

The national security

b)

A souree of the government revenue

c)

The potential for corruption

d)

The protection of domestic jobs

30.

Countries usually impose restrictions on free foreign trade to...

a)

Protect Foreign Producers

b)

Protect Foreign Consumers

c)

Protect Domestic Producers

d)

Protect Domestic Consumers

31.

If a country allows trade and the domestic price of a good is higher than the world price...

a)

The country will become an exporter of the good.

b)

The country will become an importer of the good.

c)

The country will neither import nor export

d)

Additional information about demand is needed to determine whether the country will export or import the good.

32.

If Brazil has a comparative advantage in producing rubber, and trade in rubber is allowed...

a)

Brazil will become an importer of rubber.

b)

Brazil will become an exporter of rubber.

c)

Brazil could become either an exporter or importer.

d)

It is impossible to determine whether Brazil will become an importer or an exporter of rubber without additional information about rubber prices.

33.

A tariff and import quota will both...

a)

Increase the quantity of imports and raise domestic price.

b)

Increase the quantity of imports and lower the domestic price.

c)

Reduce the quantity of imports and raise the domestic price.

d)

Reduce the quantity of imports and lower the domestic price.