WorksheetsInternational Resource Movements and Multinational Corporations
Total questions: 15
Worksheet time: 6mins
1. OPERATIONS are:
Both the corporations have their headquarters in one country and they do business and operate in many other countries. The headquarters nation is known as the home country and other affiliates are known as host countries
MNC and TNC are massive in terms of budget as well as highly influential to globalization, economic and environmental lobbying in most countries.
Industries in TNC & MNC like manufacturing, oil mining, consulting, construction, banking, etc.
Decentralized corporation’s characteristic refers that: Don't have a central headquarters, each country they operate in may have its own management structure
TRUE
FALSE
3. How many major motivations for FDI?
1
2
3
4
4. Economic motivations orientation on FDI are based on expectations regarding obtaining benefits as:
Creation of jobs
Increase of the amount of capital invested in the economy
Increase government budget revenues
Decrease efficiency and competitiveness in local companies.
5. What is ICF stand for?
International Classification of Functioning
International Capital Flows
Internet Connection Firewall
International Coaching Federation
6. How many disadvantage of multinational corporation did we dicuss in our presentation?
3
4
5
6
7. The basic motive for international portfolio investments is to earn higher returns abroad. TRUE or FALSE
True
False
8. How many types of MNCs?
2
3
4
5
9. International capital flows are ..... of international trade?
the financial side
the subsidize side
the financial investment
10. As for the classification of international capital flows, according to the length of using capital, they are classified into:
long-term capital flows
short-term capital flows
Both of the above options are correct
11. What is resource seeking ?
Investments which seek to acquire factors of production that is more efficient in host country
Investments which aim at either discriminating new markets or maitaining existing ones
Investments which firms expect will increase their efficiency by exploiting the benefits of economies of scale and economies of scope and also those of common ownership
Investments which seek to acquire assets in foreign firms that promote corporate long term objectives.
12. For foreign direct investment (FDI) to occur, a firm should primarily:
conduct cross-border bartering with neighboring countries.
invest resources in business activities outside its home country.
export goods or services to consumers in another country.
import goods or services from producers in another country.
13. In FDI, role of investor is:
Passive
Active
Both A and B
Not at all
14. What form of international investment does the investor have control over the recipient of investment capital?
FDI
DPI
ODA
Not at all
15. Which of the following is not a characteristic of FPI?
Investment Diversity
International Credit
International Disbelief
High Liquidity
