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2.1.3 - Business & globalisation

Total questions: 13

Worksheet time: 7mins

Name
Class
Date
1.

Which of the following best describes the term globalisation?

a)

Goods purchased from overseas by UK businesses and consumers

b)

The process by which the world is increasingly becoming one market

c)

When a business produces goods in more than one country

d)

When goods and services are made in one country and sold in another

2.

ASEAN (Association of South East Asian Nations) is an example of which of the following?

a)

Tariff

b)

Import

c)

Trade bloc

d)

Export

3.

Imports are a feature of global markets. Which of the following is an example of a UK import?

a)

A lamp made in China is sold to UK customers

b)

A vase made in Spain is sold to customers in Spain

c)

A table made in the UK is sold to customers in Germany

d)

A kettle made in the UK is sold to UK customers

4.

Exchange rates are important to businesses that trade globally. Which of the following is true if a country’s currency becomes stronger?

a)

Bad for business that exports as goods are more expensive overseas

b)

Bad for consumers as prices of imports will increase

c)

Bad for business that exports as goods are less expensive overseas

d)

Bad for business that imports raw materials as prices will increase

5.

A UK business extends its delivery service to include overseas markets. This is an example of changing which element of the marketing mix to compete internationally?

a)

Product

b)

Price

c)

Promotion

d)

Place

6.

A UK business might relocate operations abroad in order to:

a)

Benefit from higher labour costs

b)

Avoid import tariffs

c)

Build a factory on more expensive land

d)

Avoid bad publicity created through the closure of UK factories

7.

Which of the following is a benefit to UK businesses of globalisation?

a)

Being vulnerable to the world economic climate

b)

Increased competition can lead to business failure

c)

Access to new and bigger markets

d)

Multinational firms are increasingly powerful

8.

Which of the following best describes the term imports?

a)

Which of the following best describes the term imports?

Goods produced by UK businesses and purchased by other UK businesses

b)

Goods purchased from overseas by UK businesses and consumers

c)

Goods produced by a business in one country and sold in another

d)

Goods purchased by UK businesses from other UK producers

9.

Which of the following best describes the term multinationals?

a)

Goods made in one country and then sold to a different country

b)

Businesses that have operations in more than one country

c)

Goods or services that are bought from overseas

d)

Businesses that only have operations in one country

10.

A multinational business reduces the amount charged for products sold in a country with lower than average income levels. Which element of the marketing mix has been changed to help the business compete internationally?

a)

Product

b)

Price

c)

Promotion

d)

Place

11.

Which of the following is true in relation to tariffs?

a)

Buyers might be encouraged to purchase home produced goods instead of imports if a tariff is imposed on imported goods

b)

Tariffs restrict the number of imports a country can receive in a particular time period

c)

Tariffs discourage trade between countries that are members of a trade bloc

d)

When a tariff is imposed on imported goods they will become cheaper in that market

12.

Which two of the following are drawbacks to independent UK businesses of globalisation?

a)

Increased competition from overseas businesses

b)

Costs can be reduced through the use of cheaper labour

c)

Global brands can dominate markets

d)

Opportunity to increase sales

e)

Access to cheaper raw materials

13.

Which two of the following businesses are acting as exporters?

a)

A UK retailer buys goods from overseas suppliers to sell in the UK

b)

A UK supermarket buys milk from UK farmers to sell in its UK stores

c)

A UK based car manufacturer sell cars to the Japanese market

d)

A UK confectionery business buys cocoa from abroad to produce chocolate bars in the UK

e)

A UK mountain bike producer sells its products to the USA