the process of identifying distinct groups of consumers whose purchasing behavior
differs from others in important ways is known as consumer behavior analysis.
to establish moral intent, managers need to stand in the shoes of a stakeholder and ask
how a proposed decision might impact that stakeholder.
bonds are a form of interest-bearing notes payable.
in a competitive market, prices have to be higher than in a market where the firm has a
monopoly.
unlike hinduism, buddhism supports the caste system.
an advantage of turnkey projects is that the firm that enters into a turnkey deal will have
no long-term interest in the foreign country.
“Beggar thy neighbor” retaliatory trade policies involved countries progressively
lowering trade barriers against each other, which contributed to the Great Depression of
the 1930s.
a decentralized organization allows managers to respond to environmental changes
more quickly than in a centralized organization.
the heckscher-ohlin theory argues that the pattern of international trade is determined by
differences in factor endowments.
as transportation costs or trade barriers increase, exporting becomes unprofitable,
compared to fdi and licensing.
an aspect of pragmatic nationalism is the tendency to aggressively court fdi believed to
be in the national interest by, for example, offering subsidies to foreign mnes in the
form of tax breaks or grants.
the bill of lading is a product guarantee issued by the exporter to the importer.
Over the past 30 years the flow of FDI has accelerated faster than the growth in world
trade and world output.
in a multinational enterprise, skills are always generated at the headquarters location
and are then dispersed to the rest of the organization.
which of the following arises when a country is exporting more goods and services than
it is importing?
a.current account surplus
b.trade deficit
c.trade surplus
d.trade balance
a firm can establish a wholly owned subsidiary in a country by building a subsidiary
from the ground up, called the ____.
a.joint venture
b.turnkey strategy
c.licensing agreement
d.greenfield strategy
the _____ suggests that a firm will establish production facilities where foreign assets
or resource endowments that are important to the firm are located.
a.product life-cycle theory
b.internalization theory
c.multipoint competition theory
d.eclectic paradigm
a change in political regime in a country can result in laws that _____ to international
businesses.
a.are more favorable
b.are less favorable
c.provide less incentives
d.provide more incentives
advantages that arise from using resource endowments or assets that are tied to a
particular place and that a firm finds valuable to combine with its own unique assets are
known as:
a.location-specific advantages
b.capital-specific advantages
c.absolute advantages
d.production factor advantages
the following totals for the month of april were taken from the payroll register of noll
company.
the entry to record accrual of employers payroll taxes would include a
a.debit to payroll tax expense for $992
b.debit to payroll tax expense for $3,192
c.credit to fica taxes payable for $4,400
d.credit to payroll tax expense for $992
an upper-middle-class manager tends to have hostile relationship with the working-class
employees in the firm because of his tendency to perceive himself as superior to them
based on his class background. in this example, the manager exhibits:
a.class consciousness
b.cultural awareness
c.social mobility
d.group orientation
the following totals for the month of april were taken from the payroll register of noll
company.
the journal entry to record the monthly payroll on april 30 would include a
a.debit to salaries and wages expense for $48,000
b.credit to salaries and wages payable for $48,000
c.debit to salaries and wages payable for $48,000
d.debit to salaries and wages expense for $34,000
there is low interdependence, performance ambiguity, and costs of control in firms
pursuing a(n):
a.localization strategy
b.international strategy
c.transnational strategy
d.global strategy
an american manager in colombia routinely pays off the local drug lord to guarantee
that his plant will not be bombed and that none of his employees will be kidnapped. the
manager argues that such payments are ethically defensible because everyone is doing
it. the manager’s argument exemplifies which of the following ethical approaches?
a.naive immoralist
b.kantian ethics
c.righteous moralist
d.noblesse oblige
the lowering of barriers to trade and investment between countries is likely to lead to
_____ throughout the eu.
a.higher costs of borrowing
b.increase prices
c.increase in hedging costs
d.increased price competition
what term refers to a situation in which a government does not attempt to restrict what
its citizens can buy or sell to another country?
a.tariffs
b.import quotas
c.free trade
d.subsidies
how can the marketing and sales functions of a firm create value?
mintz company issued $300,000, 10%, 10-year bonds on january 1, 2012, at 105.
interest is payable annually. mintz uses the straight-line method of amortization and has
a calendar year end.
instructions
prepare all journal entries made in 2012 related to the bond issue.
what are the formal integrating mechanisms used to integrate subunits?
why are democratic regimes more conducive to economic growth than dictatorships?
what is transaction exposure? how can transaction exposure be minimized?