The main transportation artery of Europe is the:
A. Venice canal system.
B. Danube-Dresden waterway.
C. Lake Constantine system.
D. Rhine waterway.
The Doha Development Agenda is:
A. a WTO conference on trade.
B. an agreement on climate control and greenhouse gases.
C. a decision-making approach to development.
D. a development rules list.
Cote d’Ivoire uses child labor, often imported and kidnapped, in the cultivation and
harvesting of:
A. marijuana.
B. palm oil.
C. cocoa bean.
D. poppy.
E. none of the above.
The following conditions led to the establishment of international finance centers:
A. the end of the gold standard and the Bretton Woods Accord.
B. WTO guidelines and IMF regulations.
C. floating exchange rates and growth in the FX markets.
D. growth of sustainable business practices and social responsibility.
Freight forwarders’ responsibilities may include all of the following except:
A. booking space on a ship.
B. preparing the export documents.
C. verifying that the seller has money in the bank.
D. arranging to have the merchandise delivered to the port.
E. D and C.
The balance-of-payments account is a record of:
A. the total tangible trade flows of a country over a five-year period.
B. a country’s transactions with the rest of the world.
C. a country’s total debt service payments during a one-year period.
D. the outstanding balance of a country’s debt payments for the fiscal year.
Regarding foreign direct investment and trade:
A. historically, foreign trade has followed foreign direct investment.
B. foreign trade is typically more costly and more risky than making a direct investment
into foreign markets.
C. typically, a firm would hire sales representatives to live in overseas markets as a first
step in developing international trade.
D. fewer government barriers to trade, increased competition from globalizing firms,
and new production and communications technology are causing many international
firms to disperse the activities of their production systems to locations close to available
resources.
E. all of the above.
The total number of Incoterms as of 2011 is:
A. 11.
B. 25.
C. 15.
D. variable. (They vary as need dictates.)
Relocating some or all of a business’s activities or processes to a foreign location is:
A. offshoring.
B. outsourcing.
C. supply chain management.
D. subcontracting.
E. all of the above.
A hybrid organization may result from:
A. the firm’s acquiring a company with distinct products and distribution channels.
B. management’s attempt to mesh product and regional expertise.
C. management’s problems with a matrix organization.
D. a firm’s use of SBUs.
E. none of the above.
The promotional mix includes:
A. personal selling.
B. product design.
C. pricing.
D. all of the above.
Disadvantages of the regionalized organization structure include:
A. the increased complexity of directing worldwide operations.
B. its inappropriateness for use in global companies.
C. its duplication of area and product specialists.
D. none of the above.