buying a product from external vendors is highly appropriate when a firm intends to
protect proprietary technology.
in mixed economies, in certain sectors the state set prices, owned businesses, limited
private enterprise, restricted investment by foreigners, and restricted international trade.
folkways have much greater significance than mores.
IMF members were permitted to sell their own gold reserves at the market price in the
Jamaica agreement.
a draft is simply an order written by an exporter instructing an importer to pay a
specified amount of money at a specified time.
a condition where people tend to perceive themselves in terms of their class background
and this shapes their relationships with members of other classes is known as:
a.class stratification
b.social mobility
c.class mobility
d.class consciousness
according to levitt, which of the following statements is true?
a.technology drives the world toward a converging commonalty
b.there are accustomed differences in national preferences
c.the multinational corporation operates in a number of countries at low relative costs
d.the global corporation operates with resolute consistency at high relative costs
the times interest earned ratio is computed by dividing
a.net income by interest expense
b.income before income taxes by interest expense
c.income before interest expense by interest expense
d.income before interest expense and income taxes by interest expense
the idea that businesspeople should consider the social consequences of economic
actions when making business decisions and that there should be a presumption in favor
of decisions that have both good economic and social consequences is known as:
a.moral relativism
b.noblesse oblige
c.ethical dilemma
d.social responsibility
from least integrated to most integrated, the levels of economic integration are:
a.a common market, a free trade area, an economic union, a customs union, and a
political union
b.a free trade area, a customs union, a common market, an economic union, and a
political union
c.a customs union, a free trade area, a common market, a political union, and an
economic union
d.a common market, an economic union, a customs union, a free trade area, and a
political union
safety standards to which a product must adhere are set by:
a.safety certifications
b.contract laws
c.product safety laws
d.product liability laws
The International Accounting Standards Board _____.
A.can issue a new accounting standard if majority of the board members agree
B.was formed to replace the Financial Accounting Standards Board
C.proposes standards but has no power to enforce the standards
D.was formed to supervise the accounting practices that U.S. firms follow
what is the term that describes when two or more enterprises encounter each other in
different regional markets, national markets, or industries?
a.multipoint competition
b.monopoly
c.location-specific competition
d.oligopoly
assume that an american company today invests some of its spare cash in a hungarian
money market account that will earn 8 percent for a period of two months. which of the
following, if it happens during the next two months, would imply that the company will
earn less than 8 percent on its investment?
a.the hungarian forint rises in value against the dollar
b.interest rates in the united states move down
c.short-term interest rates in hungarian money markets shoot up
d.the dollar appreciates against the hungarian forint
which of the following is an example of a primary activity in a firm’s value chain?
a.information systems
b.research and development
c.logistics
d.human relations
the european community was established by:
a.the treaty of rome signed in 1957
b.the maastricht treaty signed in 1991
c.the maastricht treaty of 1994
d.the single european act of 1987
a(n) _____ involves attempting to collect foreign currency receivables early when a
foreign currency is expected to depreciate and paying foreign currency payables before
they are due when a currency is expected to appreciate.
a.follower strategy
b.interim strategy
c.lead strategy
d.lag strategy
in a typical international trade transaction, the ____.
a.exporter should obtain a letter of credit to initiate transactions
b.importer and exporter maintain an account with the same bank
c.importer’s bank sends a letter of credit to the exporter’s bank
d.importer’s bank sends the draft and bill of lading to the exporter’s bank
which of the following is one of the four elements that constitute a firm’s marketing
mix?
a.inventory accounting
b.product reengineering
c.reverse engineering
d.distribution strategy
Which of the following statements is true about an international business?
A.An international business needs to invest directly in operations in other countries.
B.An international business needs to have homogenous practices across countries.
C.An international business can be managed in the same way that a domestic business
is managed.
the ________ believed that socialism could be achieved only through violent revolution
and totalitarian dictatorship.
a.existentialists
b.social democrats
c.communists
d.anarchists
what is a eurocurrency?
consider the use of personal controls in international firms. in which type of firm is this
control most common?
how does the heckscher-ohlin theory explain international trade?
discuss the disadvantages of countertrade.
a number of other studies have consistently confirmed that the inability of a spouse to
adjust remains a major reason for continuing high levels of expatriate failure. discuss
the reasons behind the difficulties a spouse faces in adapting to a new country.
als bookstore has collected $750 in sales taxes during april. if sales taxes must be
remitted to the state government monthly, what entry will al’s bookstore make to show
the april remittance?