1) FDI stock refers to accumulation of inbound FDI in a country or outbound FDI from
a country.
2) Onshoring is the opposite to offshoring, meaning outsourcing to a domestic
company.
3) Describe the differences among the three economic systems.
4) Describe what it means for a country to peg its currency to another, and give two
benefits to this policy.
5) Equity, learning and experience, relational capabilities, and organization are the four
factors that may influence alliance performance.
6) The EU has been an economic union since the Maastricht Treaty went into effect in
1993.
7) Discuss direct exporting, licensing, and franchising as strategies for entering a
foreign market. Explain each, and detail strengths and weaknesses.
8) A joint venture is a new corporate entity given birth to and jointly owned by two or
more parent companies.
9) From a resource perspective, tacit knowledge is ultimately more valuable than
explicit knowledge.
10) The greatest number of opportunities for global businesses is opened at the “top of
the pyramid,” where individuals have the greatest purchasing power.