Trivia Quiz: Test Your Knowledge About Global Business!

59 Questions

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Business Quizzes & Trivia

Are you looking to test your knowledge about global business! A global business is a company that operates facilities in many countries around the world. Today there are many companies that can be found in almost all the continents of the world. By taking this quiz you stand to understand how the businesses have thrived so far and the factors affecting them. Give it a shot and see what you might learn!.


Questions and Answers
  • 1. 
    The economic system based upon the profit motive is the:
    • A. 

      Socialist economy

    • B. 

      Command economy

    • C. 

      Market economy

    • D. 

      Mixed economy

  • 2. 
    Global dependency exists when:
    • A. 

      Countries count on financial aid from other parts of the world

    • B. 

      Items that consumers need and want are created in other countries

    • C. 

      Countries ban foreign trade

    • D. 

      A citizen from a country gives birth to a child in a foreign country

  • 3. 
    ___ are products sold in other countries.
    • A. 

      Domestic goods

    • B. 

      Imports

    • C. 

      Exports

    • D. 

      Foreign goods

  • 4. 
    Which is not a cultural and social factor that affects the international business environment?
    • A. 

      Education

    • B. 

      Language

    • C. 

      Values and customs

    • D. 

      Type of government

  • 5. 
    The host country
    • A. 

      Is the country in which a multinational enterprise is headquartered

    • B. 

      Is the country in which a multinational enterprise is a guest

    • C. 

      Does not have influence on the operation of the international business

    • D. 

      Is a democracy that allows the entrance of international businesses

  • 6. 
    Which country would have the greatest number of extended families?
    • A. 

      Mexico

    • B. 

      Canada

    • C. 

      Australia

    • D. 

      United States

  • 7. 
    ____ are people who live and work outside of their native countries.
    • A. 

      Parent-country nationals

    • B. 

      Foreign employees

    • C. 

      Expatriates

    • D. 

      Third-country nationals

  • 8. 
    The __ uses managers from various countries with the geographic region of business.
    • A. 

      Polycentric approach

    • B. 

      Geocentric approach

    • C. 

      Regiocentric approach

    • D. 

      Ethnocentric approach

  • 9. 
    Employers for multinational companies do not hire employees based on
    • A. 

      Adaptability

    • B. 

      Competence

    • C. 

      Ethnocentrism

    • D. 

      Personal characteristics

  • 10. 
    Managers and families moving to other parts of the world take part in ___ to understand the local culture.
    • A. 

      Repatriation training

    • B. 

      Spousal employment counseling

    • C. 

      Global orientation

    • D. 

      Cross-cultural training

  • 11. 
    Which of the following is an international firm?
    • A. 

      Sunrise Computer Systems

    • B. 

      Gary's Gas Station

    • C. 

      Buer's Brewers

    • D. 

      Walmart, Inc.

  • 12. 
    Of the following statements, the one that does not describe a multinational company is that
    • A. 

      It maintains both an international and local perspective.

    • B. 

      It maintains only a local perspective to simplify processes.

    • C. 

      Its strength is that it offers a different product in each market.

    • D. 

      Coordination between international and local representation is crucial.

  • 13. 
    An economy that allows an individual to personally own a business with little or no interference from the government is a:
    • A. 

      Command economy

    • B. 

      Mixed economy

    • C. 

      Market economy

    • D. 

      Communist economy

  • 14. 
    One of the most troubled economies in the world is:
    • A. 

      Japan

    • B. 

      Greenland

    • C. 

      Australia

    • D. 

      Germany

  • 15. 
    A U.S. toy company allows a Chinese company to create clothing and school supplies with one of the U.S. company's doll characters on the products. This is an example of:
    • A. 

      Direct exporting

    • B. 

      Franchising

    • C. 

      Licensing

    • D. 

      Indirect exporting

  • 16. 
    The ___ brings together resources for a company to get started and operate successfully.
    • A. 

      Wholesaler

    • B. 

      Entrepreneur

    • C. 

      CEO

    • D. 

      Retailer

  • 17. 
    Global corporations focus on:
    • A. 

      Product and pricing sameness worldwide.

    • B. 

      Creating products that are universally accepted or standardized.

    • C. 

      Cultural diversity in all company-owned enterprises.

    • D. 

      Ethnocentricity for all employees.

  • 18. 
    ___ is when a company buys land or other resources in another country.
    • A. 

      A wholly-owned subsidiary

    • B. 

      Foreign direct investment

    • C. 

      Management contracting

    • D. 

      A joint venture

  • 19. 
    Which of the following is not advantage of operating a business as a sole proprietorship?
    • A. 

      Limited risks

    • B. 

      Owner is the boss

    • C. 

      Freedom to make business decisions

    • D. 

      Ease of starting

  • 20. 
    Owners of a ____ do not have unlimited liability.
    • A. 

      Sole proprietorship

    • B. 

      Partnership

    • C. 

      Cooperative

    • D. 

      Corporation

  • 21. 
    ____ occurs when the engine of an automobile is produced in Germany and the rest of the automobile is produced in the United States.
    • A. 

      Foreign direct investment

    • B. 

      Management contracting

    • C. 

      Licensing

    • D. 

      Franchising

  • 22. 
    ____ is an agreement between two or more companies from different countries to share a business project.
    • A. 

      Joint venture

    • B. 

      Licensed agreement

    • C. 

      Franchise

    • D. 

      Independent contract

  • 23. 
    The United States has many sellers offering blue jeans. This is an example of
    • A. 

      An oligopoly

    • B. 

      A monopoly

    • C. 

      Restricted imports

    • D. 

      Pure competition

  • 24. 
    ___ refers to when a company avoids the risks related to international business by only selling products in its home country.
    • A. 

      Risk avoidance

    • B. 

      Risk sharing

    • C. 

      Risk assumption

    • D. 

      Risk reduction

  • 25. 
    Self insurance of ___ occurs when a company takes responsibility for losses from certain risks.
    • A. 

      Risk avoidance

    • B. 

      Risk reduction

    • C. 

      Risk assumption

    • D. 

      Risk sharing

  • 26. 
    Property or risks not covered by an insurance policy are called
    • A. 

      Endorsements

    • B. 

      Deductions

    • C. 

      Declarations

    • D. 

      Exclusions

  • 27. 
    The ____ is a certificate that adds to or changes the coverage of an insurance policy.
    • A. 

      Exclusion

    • B. 

      Rider

    • C. 

      Condition

    • D. 

      Endorsement

  • 28. 
    When purchasing insurance, the first step is to
    • A. 

      Implement a risk management program

    • B. 

      Select a risk management method

    • C. 

      Identify potential risks

    • D. 

      Evaluate risks

  • 29. 
    The multinational company does not have to comply with the home country’s ___ mandates.
    • A. 

      Social

    • B. 

      Religious

    • C. 

      Economic

    • D. 

      Legal

  • 30. 
    The only western European country that did not develop a comprehensive set of rules at one time is:
    • A. 

      Germany

    • B. 

      England

    • C. 

      Sweden

    • D. 

      France

  • 31. 
    A tax holiday is sometimes given to companies that invest in foreign countries. This means the corporation does not pay corporate income taxes if it invests in its country. These tax holidays may last for as long as ______ years.
    • A. 

      20

    • B. 

      15

    • C. 

      10

    • D. 

      5

  • 32. 
    When using the term "consideration" in regards to a contract, what does this generally mean?
    • A. 

      Something of value must be given by both parties.

    • B. 

      One party agrees to be considerate of each others' needs.

    • C. 

      Something of value must be given by only one party.

    • D. 

      One of the party offers valid terms, and the other party accepts them.

  • 33. 
    ___ is a legal system that relies on the accumulation of decisions made in prior cases.
    • A. 

      Precedent

    • B. 

      Corporate law

    • C. 

      Civil law

    • D. 

      Common law

  • 34. 
    ____ protect the rights to inventions in the United States but may not be honored in other parts of the world.
    • A. 

      Copyrights

    • B. 

      Trademarks

    • C. 

      Patents

    • D. 

      Trade secrets

  • 35. 
    ___ means that individuals carry their beliefs, values, and assumptions with them at all times.
    • A. 

      Subculture

    • B. 

      Ethnocentrism

    • C. 

      Egocentrism

    • D. 

      Cultural baggage

  • 36. 
    The language that has the greatest number of speakers throughout the world is
    • A. 

      Spanish

    • B. 

      English

    • C. 

      Chinese Mandarin

    • D. 

      Hindi

  • 37. 
    While white teeth are valued in the United States, blackened teeth are valued in
    • A. 

      Southeast Asia

    • B. 

      The Middle East

    • C. 

      Western Europe

    • D. 

      Canada

  • 38. 
    Wearing a cross-shaped necklace is illegal in
    • A. 

      China

    • B. 

      India

    • C. 

      Saudi Arabia

    • D. 

      Japan

  • 39. 
    Which of the following is not a positive impact of technology on global marketing?
    • A. 

      Better distribution

    • B. 

      Expanded communication

    • C. 

      Faster production

    • D. 

      Breached security

  • 40. 
    Changing demographics for a country.
    • A. 

      Diminishes the marketing opportunities

    • B. 

      Increase production costs for businesses

    • C. 

      Do not impact domestic trade

    • D. 

      Open new marketing opportunities

  • 41. 
    Attitudes affect consumer behavior. Attitudes are classified as ___ factors.
    • A. 

      Demographic

    • B. 

      Psychographic

    • C. 

      Geographic

    • D. 

      Cultural

  • 42. 
    _________________ is a term used to describe a policy which encourages exports, discourages imports, controls capital movement and centralizes currency decisions in the hands of a central government.
    • A. 

      Neomercantilism

    • B. 

      Mercantilism

    • C. 

      Factor proportions

    • D. 

      State sovereignty

  • 43. 
    When comparing countries for market potential, one can generally say that:
    • A. 

      Per capita income is the best indicator to use

    • B. 

      Labor costs are the most important

    • C. 

      Population size is the best indicator

    • D. 

      Companies must consider variables other than income and population when estimating potential demand

  • 44. 
    The ____ ships goods to customers in other countries.
    • A. 

      Export trading company

    • B. 

      Wholesaler

    • C. 

      Freight forwarder

    • D. 

      Customs broker

  • 45. 
    ___ is not a service provided by retailers.
    • A. 

      Sales staff assistance

    • B. 

      Product selection

    • C. 

      Consumer convenience

    • D. 

      Storing and transportation of goods

  • 46. 
    Slogans and trademarks
    • A. 

      May not have the same translation in different countries.

    • B. 

      Stay the same for company recognition.

    • C. 

      Should always stay the same for ease in marketing products.

    • D. 

      Have no specific international purpose.

  • 47. 
    Changing demographics for a country will:
    • A. 

      Not impact domestic trade

    • B. 

      Open new marketing opportunities

    • C. 

      Increase production costs for businesses

    • D. 

      Diminish the marketing opportunities

  • 48. 
    The same marketing functions must be completed by businesses whether marketing nationally or internationally and include but aren't limited to:
    • A. 

      Product/service management, selling, promotion, investment

    • B. 

      Distribution, selling, financing, promotion

    • C. 

      Culture, financing, subsidies, investments

    • D. 

      Investments, manufacturing, culture, management

  • 49. 
    Which one of the following is not a positive impact of technology on global marketing?
    • A. 

      Faster production

    • B. 

      Expanded communication

    • C. 

      Breached security

    • D. 

      Better distribution

  • 50. 
    E-commerce
    • A. 

      Has increased Wal-Mart's costs.

    • B. 

      Is used by Dell to supply custom-built PCs all over Europe.

    • C. 

      Reduces the need for extranets.

    • D. 

      Doesn't use the Internet.

  • 51. 
    *Marketing includes each of the following activities except
    • A. 

      Manufacturing.

    • B. 

      Advertising.

    • C. 

      Packaging.

    • D. 

      Promotion.

  • 52. 
    ____ are called intermediaries because they are links between products and sellers of products.
    • A. 

      Service companies

    • B. 

      Retailers

    • C. 

      Manufacturing companies

    • D. 

      Wholesalers

  • 53. 
    ____ involves buyers who purchase items for resale or additional production
    • A. 

      Consumer market

    • B. 

      Retail market

    • C. 

      Expanded market

    • D. 

      B2B

  • 54. 
    ___ is not part of the marketing mix.
    • A. 

      Place

    • B. 

      Product

    • C. 

      Distribution

    • D. 

      Entrepreneurship

  • 55. 
    Economic conditions and the currency for a country do not affect
    • A. 

      Population trends

    • B. 

      Profits on a product

    • C. 

      Consumer demand

    • D. 

      Selling price for a product

  • 56. 
    __ causes people to believe that a higher priced item is better quality than the exact same item at a lower price.
    • A. 

      Price lining

    • B. 

      Psychological pricing

    • C. 

      Prestige pricing

    • D. 

      Penetration pricing

  • 57. 
    ____ is a duty that a government places on imported products.
    • A. 

      Tariff

    • B. 

      Sanction

    • C. 

      Quota

    • D. 

      Restriction

  • 58. 
    ____ occurs when the government takes control and ownership of foreign-owned assets and companies.
    • A. 

      Civil unrest

    • B. 

      Economic nationalism

    • C. 

      Trade sanctions

    • D. 

      Expropriation

  • 59. 
    Some countries offer companies a ____, meaning the corporation does not pay corporate income taxes if its invests in their country.
    • A. 

      Tax hike

    • B. 

      Tax break

    • C. 

      Tax holiday

    • D. 

      Tax incentive