A Quiz About The Global Business Environment

22 Questions | By Donnadd | Updated: Mar 22, 2022 | Attempts: 1559

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1.

International companies face several challenges because of each country’s uniqueness: Laws, customs, consumer preferences, ethical standards, labor skills, political and economic stability, volatile currencies, and international trade relationships.
- A.
  
  True
- B.
  
  False
2.

All U.S. companies doing international business must comply with the 1978 Foreign Corrupt Protection Act that prohibits any __________ to government officials abroad In addition,.
3.

In most cases the opportunities of the global marketplace greatly outweigh the risks.
- A.
  
  True
- B.
  
  False
4.

Some of the ways to handle cultural differences: (mark all that apply)
- A.
  
  Adapt your products
- B.
  
  Deal with the individual
- C.
  
  Offer bribes to officials
- D.
  
  Show respect
5.

The buying of goods or services from a supplier in another country:
- A.
  
  Exporting
- B.
  
  Importing
- C.
  
  Trafficing
6.

The selling of products outside the country in which they are produced.
- A.
  
  Exporting
- B.
  
  Importing
- C.
  
  Trafficing
7.

An export trading company is a firm that specialize in performing international marketing services.
- A.
  
  True
- B.
  
  False
8.

_______________ __________________ entitle one company to use some or all of another firm’s intellectual property (patents, trademarks, brand names, copyrights, or trade secrets) in return for a royalty payment.
9.

A ________________ enters into an agreement whereby the franchisee obtains the rights to duplicate a specific product or service e.g. KFC or McDonald’s.
- A.
  
  Exporter
- B.
  
  Franchiser
- C.
  
  Importer
10.

A long–term partnership between two or more companies to jointly develop, produce, or sell products in the global marketplace:
- A.
  
  International Strategic Alliance
- B.
  
  Franchise
- C.
  
  Joint venture
- D.
  
  Export management company
11.

One reason why Nations trade is that no single country produces everything its citizens need.
- A.
  
  True
- B.
  
  False
12.

________________ ___________________when a nation can produce a particular item more efficiently than all other nations, or it’s the only country producing that product.
13.

_______________ _________________ _________________is how a country chooses which items to produce and which items to trade for. This theory states that a country should sell to other countries those items it produces more efficiently, and it should trade for those it can't produce as economically.
14.

Balance of trade means:
- A.
  
  Total value of a country's exports minus the total value of imports
- B.
  
  Total flow of money into the country minus the total flow of money out of the country
- C.
  
  Unfavorable trade balance.
15.

________________ ___________________ favorable trade balance created when a country exports more than it imports.
16.

_____________ _________________ unfavorable trade balance created when a country imports more than it exports.
17.

Government policies aimed at shielding a countries industries from foreign competitors.
18.

________ taxes, surcharges, or duties levied against imported goods.
19.

________________ fixed limits on the quantity of imports a nation will allow for a specific product.
20.

_______ total ban on trade with a particular nation or of a particular product.
21.

Unloading is the practice of selling large quantities of a product at a price lower than the cost of production.
- A.
  
  True
- B.
  
  False
22.

____________ _________________ - the rate at which the money of one country is traded for the money of another.