1) Which one of the following was agreed upon and launched at the end of the Uruguay
Round trade talks?
a. GATT c. The WTO
b. The EU d. The Multifiber Arrangement
2) ____ is an individual’s ability to understand and adjust to new cultures.
a. Cultural intelligence c. Cultural skills
b. Cultural awareness d. Cultural responsibility
3) Which of the following is NOT one of the three primary activities of the International
Monetary Fund?
a. International monetary cooperation
b. Exchange stability
c. Pegging exchange rates
d. Orderly exchange arrangements
4) Keeping critical skills and technologies not meant to be shared a secret in an alliance
is a method of preventing:
a. Collusion c. Opportunism
b. Illegal trust d. Hostile takeover
5) Which country is now Manpower’s largest market ahead of the United States?
a. France c. China
b. Germany d. India
6) In addition to their regular compensation, managers working abroad are awarded
with
a. Global fringe benefits
b. Foreign pension plan
c. International premium
d. Health insurance
7) The pendulum view of globalization is embraced by:
a. Globalization’s opponents and skeptics
b. Globalization’s proponents and enthusiasts
c. Globalization’s realists aware of historical cycles that globalization has gone through
d. Most MNEs and their lobbyists
8) Which of the following is NOT one of the stages in the formation of alliances?
a. The decision to cooperate or not to cooperate
b. Deciding between contract or equity
c. Learning by doing
d. Specifying the relationship
9) The idea that governments should actively protect domestic industries from imports
and vigorously promote exports represents:
a. Theory of absolute advantage c. Protectionism
b. Theory of mercantilism d. Modern trade theories
10) Small- and medium-sized enterprises (SMEs) are defined as:
a. Firms with fewer than 50 departments in the European Union and fewer than 25
departments in the United States
b. Firms with fewer than 50 departments in the United States and fewer than 25
departments in the European Union
c. Firms with fewer than 500 employees in the European Union and fewer than 250
employees in the United States
d. Firms with fewer than 500 employees in the United States and fewer than 250
employees in the European Union
11) An institutional framework is made up of:
a. Regulatory and cognitive pillars
b. Formal and informal institutions
c. The political, economic, and legal systems of countries
d. None of these answers
12) Which of the following is a popular way to enter into international service markets?
a. Direct exports c. Franchising
b. Foreign direct investments d. Indirect exports
13) It is best for entrepreneurs to not pass on their entrepreneurial ideology to others in
order to reduce competition.
14) Because of the popularity of the global standardization strategy, many firms have
changed their organization to the global product division.
15) Licensing is mostly used in the service industries.
16) The benefit of ownership lies in the combination of equity ownership rights and
management control rights.
17) Three EU membersBritain, Denmark and Swedendo not use the euro as their
currency.
18) The term “base of the pyramid” represents economies in which individuals make
less than $2,000 a year.