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Global Business Today Ninth Edition Chapter 1 Globalization Chapter Outline OPENING CASE: The Globalization of Production at Boeing INTRODUCTION WHAT IS GLOBALIZATION? The Globalization of Markets The Globalization of Production Management Focus: Vizio and the Market for Flat Panel TVs […]

Global Business Today Ninth Edition Chapter 1 countries. However, given that the wage gap between developed and developing countries is closing, the migration of unskilled jobs to low-cost nations may only be a temporary phenomenon. Teaching Tip: An interesting site […]

Global Business Today Ninth Edition Chapter 10 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 11 The International Monetary System Chapter Outline OPENING CASE: The IMF and Iceland’s Economic Recovery INTRODUCTION THE GOLD STANDARD Mechanics of the Gold Standard Strength of the Gold Standard The Period between the Wars, […]

Global Business Today Ninth Edition Chapter 11 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 12 The Strategy of International Business Chapter Outline OPENING CASE: Ikea INTRODUCTION STRATEGY AND THE FIRM Value Creation Strategic Positioning Operations: The Firm as a Value Chain GLOBAL EXPANSION, PROFITABILITY, AND PROFIT GROWTH Expanding […]

Global Business Today Ninth Edition Chapter 12 transnational strategy makes sense when cost pressures are intense, and simultaneously, so are pressures for local responsiveness. International Strategy E) When there are low cost pressures and low pressures for local responsiveness, an […]

Global Business Today Ninth Edition Chapter 13 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 14 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 15 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 16 Global Marketing and Research and Development Chapter Outline OPENING CASE: Global Branding of Avengers and Iron Man INTRODUCTION THE GLOBALIZATION OF MARKETS AND BRANDS MARKET SEGMENTATION Management Focus: Marketing to Black Brazil PRODUCT […]

Global Business Today Ninth Edition Chapter 16 is said to be elastic when a small change in price produces a large change in demand. Demand is inelastic when a large change in price produces only a small change in demand. […]

Global Business Today Ninth Edition Chapter 17 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 2 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 3 This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, […]

Global Business Today Ninth Edition Chapter 4 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 5 Ethics, Corporate Social Responsibility, and Sustainability Chapter Outline OPENING CASE: Making Toys Globally INTRODUCTION ETHICAL ISSUES IN INTERNATIONAL BUSINESS Employment Practices Management Focus: Making Apple’s iPod Human Rights Environmental Pollution Management Focus: Unocal […]

Global Business Today Ninth Edition Chapter 5 L) Justice theories focus on the attainment of a just distribution of economic goods and services. A just distribution is one that is considered fair and equitable. There is no one theory of […]

Global Business Today Ninth Edition Chapter 6 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 7 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 8 © 2016 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, […]

Global Business Today Ninth Edition Chapter 9 Regional Economic Integration Chapter Outline OPENING CASE: Tomato Wars INTRODUCTION LEVELS OF ECONOMIC INTEGRATION THE CASE FOR REGIONAL INTEGRATION The Economic Case for Integration The Political Case for Integration Impediments to Integration THE […]

Global Business Today Ninth Edition Chapter 9 E) Opponents of NAFTA argued that jobs would be lost and wage levels would decline in the United States and Canada, Mexican workers would emigrate north, pollution would increase due to Mexico’s more […]

The strategic trade policy arguments of the new trade theorists suggest an economic justification for government intervention in international trade and this justification challenges the rationale for unrestricted free trade. Answer: The foreign exchange market offers complete insurance against foreign […]

Which of the following is a common pitfall that novice exporters come across? A.Poor understanding of the opportunities in the domestic market B.Low unit costs C.Increased economies of scale D.Problems securing financing E.Familiar distribution systems Answer: As a result of […]

Which of the following is defined as a central political apparatus that coordinates the economic, social, and foreign policy of the member-states? A.Free trade area B.Political union C.Economic union D.Common market E.Command economy Answer: Which of the following statements is […]

Which of the following observations about the International Development Association (IDA) scheme of the World Bank is true? A.Money is raised through bond sales in the international capital market. B.Borrowers have up to 50 years to repay at an interest […]

For international firms, an ethnocentric staffing approach is compatible with a localization strategy. Answer: When the Bretton Woods participants established the World Bank, the need to lend money to third-world nations was foremost in their minds. Answer: FALSE When the […]

Strategies that increase profitability can also expand a firm’s business and thus enable it to attain a higher rate of profit growth. Answer: Limits on imports are often in the interests of domestic consumers, but not domestic producers. Answer: FALSE […]

Viewed from an Asian or European perspective, Vernon’s argument that most new products are developed and introduced in the United States seems ethnocentric and increasingly dated. Answer: As a result of international trade, the economies of the world’s nation-states are […]

Ricardo’s theory of comparative advantage is a major intellectual weapon for advocates of free trade because it provides a strong rationale for encouraging free trade. Answer: Consumer surplus captures some of the value of a product thereby reducing the price […]

Which of the following has been declining in the developing nations of the world such as China, India, Russia, Indonesia, Thailand, South Korea, Mexico, and Brazil? A.Economic opportunities for international trade B.Industrialization C.Contribution toward the share of world output D.The […]

Which of the following staffing policies seeks the best people for key jobs throughout the organization, regardless of nationality? A.Global B.Ethnocentric C.Geocentric D.Polycentric E.Transnational Answer: Which of the following is true of a localization strategy? A.It allows a firm to […]

Countertrade is most attractive to: A.small exporters. B.large multinational enterprises. C.only U.S. firms. D.any firm in democratic nations. E.new companies. Answer: Which of the following is true of a banking crisis? A.It leads to individuals and companies withdrawing their deposits […]

Which of the following allows a firm to educate potential consumers about the features of a product? A.Direct selling B.Mass media advertising C.Pull strategy D.Standardized advertising E.Lag strategy Answer: Hindus see mobility between castes as something that can be achieved […]

Argonia Republic is in trade surplus with Kamboly. Under the gold standard, which of the following statements is true until a balance-of-trade equilibrium is achieved? A.There will be a net flow of gold from Argonia Republic to Kamboly. B.The money […]

“Facilitating payments” are payments to secure contracts that would not otherwise be secured. Answer: The Andean Pact was largely based on the European Union model and was highly successful at achieving its stated goals. Answer: FALSE Bolivia, Chile, Ecuador, Colombia, […]

Which of the following has resulted in a dramatic shortening of product life cycles? A.Acceleration of the pace of technological change B.Lack of domestic competition C.Affluence of customers D.An increase in the number of educated consumers E.Removal of trade barriers […]

Most economists prefer Ricardo’s theory to the Heckscher-Ohlin theory because it makes fewer simplifying assumptions. Answer: According to Michael Porter, all positions on the efficiency frontier are viable. Answer: FALSE Porter emphasizes that it is very important for management to […]

Although most international trade and investment are still conducted by large firms, many medium-size and small businesses are becoming increasingly involved in international trade and investment. Answer: Firms that actively export often lose out on significant opportunities for growth and […]

Expatriate managers who lack others-orientation tend to treat foreign nationals as if they were home-country nationals. Answer: The Nobel Prize-winning economist Paul Samuelson argued that contrary to the standard interpretation, in certain circumstances the theory of comparative advantage predicts that […]

In stating that all human beings are born free and equal in dignity and rights and that they are endowed with reason and conscience and should act toward one another in a spirit of brotherhood, Article 1 of the Universal […]

A firm that adopts a polycentric staffing policy is less likely to: A.isolate foreign subsidiaries from corporate headquarters. B.implement an expensive staffing policy. C.be controlled by corporate headquarters. D.suffer from cultural myopia. E.provide growth opportunities. Answer: Economic advances in many […]

Which of the following are unit cost reductions associated with a large scale of output? A.Comparative advantages B.Factor endowments C.Economies of scale D.Diminishing returns E.Absolute advantages Answer: Which of the following statements is true about innovations and entrepreneurship? A.A command […]

An early entrant find may find itself at a disadvantage if it: A.is trying to realize location and experience curve economies. B.incurs low development costs. C.faces a subsequent change in business regulations in the host-country. D.has a core competence based […]

The move toward a global economy has strengthened the adoption of conservative economic policies by developing nations. Answer: Since its establishment in January 1, 1999, the euro has steadily appreciated against the U.S. dollar, reaffirming the ability of the European […]

By lowering production costs, subsidies help domestic producers to: A.gain export markets. B.meet import quotas. C.meet voluntary export restraints. D.meet the local content requirement. E.compete in the domestic market against local producers. Answer: According to Max Weber, Protestantism encouraged capitalism’s […]

Which of Hofstede’s dimensions focused on how a society deals with the fact that people are unequal in physical and intellectual capabilities? A.individualism versus collectivism B.power distance C.uncertainty avoidance D.masculinity versus femininity E.Confucian dynamism Answer: A lag strategy involves: A.delaying […]

In what type of economy are certain sectors of the economy left to private ownership and free market mechanisms, while in other sectors there is significant state ownership and government planning? A.Command B.Pure market C.Mixed D.Centrally planned E.Laissez-faire Answer: Although […]

The purchasing power parity for different countries is adjusted (up or down) depending upon whether a country’s cost of living is lower or higher than the cost of living in the United States. Answer: The growing income inequality is a […]

There is generally a critical link among channel length, the final selling price, and the firm’s profit margin because each intermediary in a channel adds its own markup to the products. Answer: Many totalitarian regimes failed to deliver economic progress […]

Which of the following indicates that a firm has a full outright stake in an acquisition? A.Anderson Corporations acquires at least 75 percent of a company. B.Sheffield Enterprises acquires at least 60 percent of a company. C.Arthur Enterprises acquires 98 […]

The architects of the Bretton Woods agreement wanted to avoid high unemployment, so they built the fixed exchange rate system to be highly inflexible. Answer: According to the free market view, countries should specialize in the production of those goods […]

Which of the following is a support activity in the operations of a firm? A.Research and development B.Customer service C.Marketing and sales D.Creation and maintenance of information systems E.Production Answer: What is meant by economic exposure? A.The extent to which […]

Silver Tape Corporation has developed a new type of adhesive tape. Which of the following types of legal protections can grant the company exclusive rights for a defined period to the manufacture, use, or sale of the new adhesive tape? […]

Which of the following is an advantage of longer distribution channels? A.Decreased profit margins B.Lower markups C.Lower product prices D.Reduced selling costs in concentrated retail sectors E.Greater market access Answer: Mountland Republic follows a system of social stratification that allows […]

When serving as collateral, the bill of lading: A.can be used to advance funds to the exporter by its local bank before or during shipment. B.specifies that the carrier is obligated to provide a transportation service in return for a […]

A global car manufacturer wants to start production in China. While catering to local responsiveness, what can the firm do to get scale economies? A.Increase costs whenever possible. B.Use common vehicle platforms and components across many different models. C.Shorten the […]

Trade barriers encourage firms to disperse their productive activitiesdesign, production, and assemblyto foreign nations. Answer: Although mercantilism is an old and largely discredited doctrine, its echoes remain in modern political debate and in the trade policies of many countries. Answer: […]

China Innovation Inc. is a devout follower of Confucian ethics. Hence, it hires people who live by similar principles. Which of the following is most likely to be a characteristic of this company? A.The conflict between management and labor will […]

Which of the following best exemplifies the global tragedy of the commons? A.A firm exploiting the weak employment standards in a host nation B.A firm dumping its chemical wastes directly into an ocean C.A firm exploiting the weak intellectual property […]

Which of the following firms should concentrate its production in a centralized location? A.Jupiter Inc. operates in an industry where the fixed costs are high and services of supporting industries are of prime importance. B.Star Goal Inc. manufactures consumer products […]

Firms vary their marketing mix from country to country depending on differences in national culture. Answer: Plato did not equate collectivism with equality. Answer: TRUE Plato did not equate collectivism with equality; he believed that society should be stratified into […]