Which one of the following is a disadvantage in terms of jobs and wages in globalization?

(a)  Lower the standards of training.

(b)  Lower the standards of education

(c)  Increase unemployment in developed nations

(d)  Create more skilled workers

When doing international business with another country, why is it important to know their culture?

(a) Adapting to another country’s culture can promote successful business deals

(b) There is a need to know if bribery is compulsory

(c) Certain culture may not understand what is international business.

(d) None of the above

People in individualistic culture work better ____________.

(a) in a group

(b) when given plenty of guidance

(c) on their own with much freedom

(d) under strict company rules

When doing business in another totalitarian nation one of the risk factor is __________________.

(a) they would not implement corporate tax

(b) we would have to join their politics

(c) the government may implement and interpret law their own way

(d) the government may ask for expensive gifts

Government in some countries can take your property under confiscation which is ________________.

(a) forced transfer of assets from a company to the government without compensation

(b) burning down property so that it cannot be reused

(c) returning all capital, you paid for a building

(d) donating any of your land to charity

When doing business in a centrally planned economy we have to note _______________________.

(a) government owns most land and factory

(b) government provides free land space

(c) private companies have much freedom

(d) private companies own most land

When doing business in a mixed economy we have to note _______________________.

(e) private companies own all land

(f) private companies and government have fair share of land ownership

(g) government owns all land

(h) government provides water supply

International trade refers to ___________________________.

(a) purchase, sale, or exchange of goods and services across national borders

(b) strictly cross border employment only

(c) using only migrants workers to support all labour

(d) inviting migrant workers at lower salary

_________________ is the ability of a nation to produce a good more efficiently than any other nation.

purchasing power

trade dependence

trade independence

absolute advantage

One of the economic motives to create Free Trade Zone (FTA) is to ______________.

(a) create jobs and increase trade

(b) sell more land to foreigners

(c) encourage using local banks

(d) ensure more transportation sales

Tariffs are implemented to protect domestic producers and its ___________________.

(a) a form of goods and services tax

(b) a form of revenue for government

(c) used to support overseas charity organization

(d) used to motivate migrant workers with high salary.

Foreign Direct Investment (FDI) recently keeps growing due to _______________.

(a) increased globalization

(b) decreased globalization

(c) increased aging population

(d) decreased aging population

Firms try to have ___________ in an industry by undertaking foreign direct investment.

(a) more overseas land control

(b) dominant market presence

(c) good foreign government relationship

(d) lower tax

Encouraging Foreign Direct Investment (FDI) in new ¬¬¬¬____________ products and processes increases the competitiveness and productivity of a host country.

(a) automotive

(b) marine

(c) agricultural

(d) technological

Regional economic integration is a process whereby countries in a geographic region ________________ to the international flow of products, people, or capital

(a) compete to increase barriers

(b) cooperate to reduce barriers

(c) stop trading to increase inflation

(d) stop exports to decrease price index

Economic unions remove barriers to trade, labor and capital but set a common policy against _________________.

(a) democratic countries

(b) communist countries

(c) non-members

(d) Asian countries

Stable exchange rates improve the accuracy of ______________.

(a) labor requirement

(b) banking system’s speed

(c) transport system ticketing

(d) forecasts and financial planning

Inflation must be the cause of any difference in interest rates between two countries.

(a) Tariffs

(b) Price index

(c) Inflation

(d) FDIs

When following a ____________ strategy, a company adapts its products and marketing to local preferences in each country’s market.

(a) multinational

(b) democratic

(c) financial

(d) marketing

Technology and electronic business are one the reasons why international businesses do not increase much at the moment

Global Marketing increases cost because we have to send advertisements to more countries, and it cost more

Ethnocentricity cause us to view other cultures in terms of our own and cause us to overlook beneficial aspects of other cultures.

When we do business in another country that has democratic rule, we have to understand minorities do not have many rights.

The main goals of a mixed economy can be achieving lower unemployment, poverty and steady economic growth

International trade refers to Purchase, sale, or exchange of goods and services across national borders

When a country imposes export tariffs then it’s because the country wants to reduce imports and encourage more purchase of locally produced goods.

Foreign Direct Investment (FDI) is the purchase of physical assets of a company in another country, but you do not have management control over the company.

Globalization and International marketing influences Foreign Direct Investment (FDI) in many countries

Countries in neighboring region can cooperate to ensure there is easy flow of products, people, or capital when doing business between countries. This is called Regional Economic Integration.

The use of information technology is increasing the costs of global communication because internet is slowing down over the years.

The interbank market is where the world’s largest banks exchange currencies at spot and forward rates for clients.

When you devalue or lower the value of a country’s currency, the export price decrease and import price increase

When a country experience very bad inflation the currency will lose much purchasing power

Monetary policy refers to the steps taken by a country's central bank to control production of goods for economic stability.

Technical analysis uses past trends in currency prices and other factors to forecast exchange rates.

Planning is the process of identifying and selecting a company’s objectives and deciding how the firm will achieve those objectives.

The first stage in strategy formulation process is to identify company mission and goal. In this stage we analyse the company’s abilities, activities and support.

Primary activities in value chain analysis include inbound and outbound logistics, production, marketing and sales, and customer service

In multi-national strategy we ensure the products we produce, and the marketing strategy is suitable for the different international market

International trade is the buying and selling of goods and services between different countries

Tariffs is the buying and selling of goods and services between different countries

The main benefit of International trade is that it provides many choices for better goods and services

International trade provides many more new opportunities to do business.

International trade cannot be productive because you have to spend much money and resources in transportation

Countries that dependent much on international trade create jobs and increase wages.

International trade brings in plenty of new technology into their country

International trade is not beneficial for under developed countries

According to International product life cycle in the new product stage, there is high purchase and demand.

According to International product life cycle in the new product stage, there is no sales only but only awareness.

Government usually protect jobs of their locals to ensure locals are not upset and stop voting them

Imports are usually controlled by government to ensure their local producers are able to sell own goods.

Government may interfere with International trade to protect their businessman from unfair trading by other countries.

Government will not be bothered if their locals loose jobs due to international supply of foreign workers.

Imports are usually controlled by government to ensure their local business pay high tax.

When government help and protect new startup companies, the GNP can increase

Foreign trade zones reduce custom importing tax

More expansion of foreign direct investment (FDI) can boost:

Benefit of foreign direct investment (FDI) include all of the following EXCEPT:

Which of the following methods would NOT attract FDI into a country?

Which of the following best defines a multinational corporation (MNC)?

Which of the following best describes the term Foreign Direct Investment (FDI)?

A company that invests investment (in the form of product marketing or manufacturing subsidiaries) into many countries is called ________.

Benefits of FDI include all of the following except:

What are the benefits of FDI to host countries?

Foreign Direct Investment or FDI occurs when a company from one country invests in another country as an effort to secure lasting interest in the other country's enterprises to produce and/market a product or service.

Which of the following best describes the term "Foreign Direct Investment"?

Which of the following is the example of FDI?

Motives for Foreign Direct Investment (FDI) are as below except:

Which of the following are not the positive impact of FDI on Host Country?

Which of the following are  benefits of Foreign direct investments?

One reason direct investment may be prefered to portfolio is

One possible disadvantage of FDI is

What does the acronym FDI mean?

Which is repatriation?

Which is a negative aspect of FDI

What kind of economic integration arrangement has common policies on product regulation, and free movement of goods, services, capital and labour?

It is correct to say that countries within a customs union have...

The EU is better seen as an example of...

2. The General Agreement on Tariffs and Trade (GATT) expanded considerably into a multilateral trading system called _____.

4. A free trade area _____.

5. NAFTA is an example of a(n) _____.

10. In which of the following types of economic integration systems will the establishment of a common currency be possible?

Multiple Answers Possible: Select all the options below that are characteristics of the Common Market stage of economic integration:

Multiple Answers Possible: Select all the options below that are characteristics of the Custom Union stage of economic integration:

NAFTA is an example of a/an:

The coming together of national economies to operate as one economy

The global integration of international trade, investment, information technology (IT), and cultures.

In a customs union, trade barriers are eliminated among member countries, and

each country maintains its own external trade polices with nonmember countries

Trade diversion occurs when higher-cost external producers are replaced by lower-

cost external producers within the free trade area

Country X and Country Y reach an agreement to boost bilateral trade. They agree to remove all barriers to the trade of goods and services. They, however, are free to determine their own trade policies with regard to nonmembers. Which level of economic integration is this an example of?

A _____ has no barriers to trade between member countries, includes a common external trade policy, and allows factors of production to move freely between

members.

Which feature of an economic union differentiates it from a common market?

To ensure that a free trade agreement does not result in trade diversion, which of

the following has to come within the scope of WTO?

A group of countries that agree to reduce or eliminate trade barriers but each can have its own trade policy toward other countries have established a

A(n) ________ combines the elimination of internal trade barriers among member countries with the adoption of common external trade policies toward nonmembers.

A free trade area ________.