A class system is a system of social stratification in which ________.
A) people are divided into various political groups and subgroups
B) a person’s social rank depends upon his/her parentage
C) people join highly exclusive associations that forbid external interaction
D) personal ability and actions determine an individual’s social status and mobility
Answer:
All company and product brand names are made up of semantic elements or language
building blocks called ________.
A) aesthetics
B) morphemes
C) hybrid words
D) propositions
Answer:
Over the last ten years, nearly 90% of medical graduates from Konesia have left the
country for higher-paying jobs in the United States. What phenomenon has Konesia
been witnessing?
A) vested outsourcing
B) brain drain
C) redeployment
D) repatriation
Answer:
Which of the following statements best differentiates between franchising and
licensing?
A) Licensing gives a company greater control than franchising over the sale of its
product in a target market.
B) Franchising is common in manufacturing industries while licensing is primarily used
in service industries.
C) Franchising requires ongoing assistance from the franchiser while licensing
normally involves a one-time transfer of property.
D) Licensees must often meet strict guidelines on product quality, day-to-day
management duties, and marketing promotions unlike franchisees.
Answer:
Which of the following best describes the infant industry argument?
A) It states that small businesses that have just started to export are financially stable
and seldom require financing from government agencies.
B) It states that protecting a country’s emerging industries from international
competition will enhance domestic companies’ incentives to obtain knowledge to be
competitive.
C) It states that a country’s emerging industries need protection from international
competition during their development until they become sufficiently competitive.
D) It states that domestic companies that are provided protection from international
competition become more competitive and less reliant on protection.
Answer:
When there are gains to be had by both countries that are party to an exchange,
international trade is considered a(n) ________.
A) positive-sum game
B) equal-sum game
C) negative-sum game
D) zero-sum game
Answer:
Which of the following is a reason behind intervention by a host country on matters
related to FDI?
A) to keep their balance of payments under control
B) to protect their outdated technology and management skills
C) to strictly encourage the establishment of sunset industries
D) to decrease the country’s competitiveness in the global market
Answer:
Which of the following disagrees with the concept of centrally planned economies?
A) At the time of their collapse, standards of living in most centrally planned economies
were at or above those of market economies.
B) Basic necessities were often not provided to citizens in centrally planned economies.
C) Underground economies for goods and services thrived in most centrally planned
economies.
D) Prices on the black market were much higher than the official prices set by
governments.
Answer:
Which of the following strategies is designed to guard an organization against change?
A) stability strategy
B) growth strategy
C) retrenchment strategy
D) differentiation strategy
Answer:
Which of the following is recorded in the capital account of a country’s balance of
payments?
A) income payments
B) income receipts
C) foreign official assets
D) unilateral transfers
Answer:
The common currency of the European Union is known as the ________.
A) European currency unit
B) eurodollar
C) euro
D) European unit of account
Answer:
________ decision making disperses decisions to lower organizational levels, such as to
international subsidiaries.
A) Decentralized
B) Top-down
C) Authoritative
D) Top management
Answer:
When creating a market-potential indicator for an emerging market, an estimate of the
wealth or buying power of a market can be formed by examining the ________.
A) market intensity
B) market growth rate
C) market size
D) market receptivity
Answer:
An increase in the level of trade among nations that results from regional economic
integration is called ________.
A) trade diversion
B) mercantilism
C) trade creation
D) economic nationalism
Answer:
The just-in-time (JIT) manufacturing technique was originally developed in ________.
A) the United States
B) China
C) Japan
D) Germany
Answer:
Which of the following steps should occur in the screening process for potential
markets after the basic demand for a product has been identified?
A) assessment of the national business environment
B) selection of the market or site
C) measurement of the market or site potential
D) assessment of climate suitability
Answer:
A(n) ________ tariff is levied on an imported product and calculated partly as a
percentage of its stated price and partly as a specific fee for each unit.
A) specific
B) compound
C) ad valorem
D) transit
Answer:
A majority of the total world merchandise trade occurs among ________.
A) middle-income and low-income economies
B) high-income economies
C) newly industrialized countries
D) emerging markets
Answer:
Which of the following is true of the techniques used for forecasting exchange rates?
A) Very few forecasts are completely accurate because of unexpected events that occur
throughout the forecast period.
B) The human element involved in forecasting exchange rates perfect the techniques.
C) Fundamental analysts estimate the timing, magnitude, and direction of future
exchange rate changes using charts and models of past data trends.
D) Technical analysts often consider a country’s balance-of-payments situation while
forecasting exchange rates.
Answer:
According to Hofstede’s framework, cultures scoring high on the dimension of
________ tend to be characterized by personal assertiveness and the accumulation of
wealth, typically translating into an entrepreneurial drive.
A) power distance
B) collectivism
C) uncertainty avoidance
D) masculinity
Answer:
The exchange rate at which a bank will purchase a currency is called a ________ rate.
A) prime
B) buy
C) ask
D) forward
Answer:
Which of the following is a primary activity that creates value for Beanstalk’s
customers?
A) firm infrastructure
B) procurement
C) human resource management
D) inbound logistics
Answer:
Nations having the poorest infrastructures and lowest personal incomes are called
________.
A) developed countries
B) newly industrialized countries
C) emerging markets
D) developing countries
Answer:
Which of the following terms refers to the decision of whether to produce a component
internally or to outsource it from another company?
A) buyer decision process
B) decision problem
C) per curiam decision
D) make-or-buy decision
Answer:
A special region in which companies can engage in tariff-free importing and exporting
is called a(n) ________.
A) preferential trade area
B) export-processing zone
C) customs union
D) economic union
Answer:
________ is often necessary as a communication strategy when many important
differences exist between the home and target markets.
A) Product invention
B) Product adaptation
C) Dual adaptation
D) Dual extension
Answer:
The stated aim of the organization for Asia Pacific Economic Cooperation (APEC) is to
________.
A) build another trading bloc
B) introduce stringent trade and investment procedures among member countries
C) strengthen the multilateral trading system
D) increase members’ tariff rates from an average of 7.5 percent to 15 percent
Answer:
The gold standard is a ________ because it secured nations’ currencies to the value of
gold.
A) floating exchange-rate system
B) fixed exchange-rate system
C) linked exchange rate system
D) free float system
Answer:
Which of the following should managers at Beanstalk conduct to identify and
distinguish between the primary and support activities in the organization?
A) fundamental analysis
B) structural analysis
C) value chain analysis
D) technical analysis
Answer:
Which of the following is a characteristic of totalitarian governments?
A) Political dissidents can oppose the government with no repercussions.
B) Citizens are guaranteed civil, property, and minority rights.
C) The means of production are owned by the people who use them.
D) Leaders rule without the explicit approval of the people.
Answer:
Which of the following circumstances would best require a pull strategy to be
implemented for product promotion?
A) channel members wield relatively lesser power compared to that of producers
B) buyers display a great deal of brand loyalty to a particular product
C) distribution channels are short
D) buyers need to be informed about the features of a product before purchase
Answer:
For countries to become members of the European Union, they have to meet certain
demands laid down by the EU referred to as the ________.
A) Copenhagen Criteria
B) Closer Economic Relations Agreement
C) Andean Community
D) Euro-Plus Pact
Answer:
According to Hofstede’s framework, a culture that scores low on ________ is
characterized by individual stability and reputation, fulfilling social obligations, and
reciprocation of greetings and gifts.
A) collectivism
B) uncertainty avoidance
C) long-term orientation
D) feminity
Answer: