Question 1

The World Trade Organization agreements are the optional ground rules for international commerce.

Accepted Answer

A) True 
 B)False

Question 2

Define the terms "balance of trade" and "balance of payments." What is the difference between these terms? Why are they important measures?

Accepted Answer

A nation's balance of trade is the diffe...

Question 3

The General Agreement on Tariffs and Trade was a precursor to the World Trade Organization and provided a forum for tariff negotiations.

Accepted Answer

A) True 
 B)False

Question 4

A forum to discuss trade problems and negotiate a reduction of trade barriers was first provided by the

Accepted Answer

A)   General Agreement on Tariffs and Trade.
B)   North American Free Trade Agreement.
C)   the World Bank.
D)   the Eximbank.
E)   the International Monetary Fund.F) A) and E)
G) A) and D)

Question 5

When a company decides to do business outside its own country,it must research several factors,including potential barriers to international trade.Which of the following is not a potential barrier cited in your text?

Accepted Answer

A)   Legal
B)   Political
C)   Cultural
D)   Economic
E)   ScientificF) B) and D)
G) B) and C)

Question 6

The purchase of overseas production and marketing facilities is

Accepted Answer

A)   licensing.
B)   contract manufacturing.
C)   using an export agent.
D)   a direct investment.
E)   exporting.F) None of the above
G) C) and D)

Question 7

If Peru wants to purchase machine parts from a German company but does not have any euros,it will probably borrow the euros from which of the following institutions?

Accepted Answer

A)   International Monetary Fund
B)   World Bank
C)   Citicorp Bank
D)   International Bank
E)   World Trade OrganizationF) B) and E)
G) A) and B)

Question 8

The effective translation of product names can be crucial to the success of a foreign marketing effort because of

Accepted Answer

A)   political barriers.
B)   cultural barriers.
C)   legal barriers.
D)   export quotas.
E)   body language.F) A) and E)
G) None of the above

Question 9

Exporting is available only to large corporations.

Accepted Answer

A) True 
 B)False

Question 10

When Lever Brothers changes the formula of its bar soap to match different countries' water conditions and washing habits,this is an example of a

Accepted Answer

A)   globalization strategy.
B)   marketing strategy.
C)   strategic alliance.
D)   multinational strategy.
E)   joint venture.F) B) and C)
G) A) and E)

Question 11

Maquiladoras are possible under the Asia-Pacific Economic Cooperation.

Accepted Answer

A) True 
 B)False

Question 12

Because many countries do not permit foreign companies to purchase and operate facilities in their countries,a company wishing to do business in such a country may share the business costs with a firm from the host country by forming a

Accepted Answer

A)   direct investment.
B)   contract manufacturing arrangement.
C)   corporation.
D)   joint venture.
E)   sole proprietorship.F) B) and C)
G) C) and E)

Question 13

Why was the World Bank formed?

Accepted Answer

A)   Because developed nations realized that developing nations do not have any banks
B)   Because national banks sometimes lack sufficient cash reserves
C)   To act as a global policing service
D)   To loan money to underdeveloped and developing countries
E)   To help developed nations obtain money to start businessesF) A) and E)
G) A) and D)

Question 14

When Solar Tech,Inc. ,of Taos,New Mexico,sells thin film solar panels to a firm in Tokyo,Japan,Solar Tech

Accepted Answer

A)   is importing the panels.
B)   is exporting the panels.
C)   has an absolute advantage.
D)   is increasing the trade deficit.
E)   is making a big mistake.F) D) and E)
G) B) and D)

Question 15

A specific amount of money levied on each unit of a product brought into the country is a(n)

Accepted Answer

A)   ad valorem tariff.
B)   value-added tariff.
C)   fixed tariff.
D)   protective tariff.
E)   duty-free tariff.F) A) and B)
G) C) and D)

Exam 3: Business in a Borderless World

The World Trade Organization agreements are the optional ground rules for international commerce.

Correct Answer
verified

Maquiladoras are possible under the Asia-Pacific Economic Cooperation.

Correct Answer
verified

The purchase of overseas production and marketing facilities is

Correct Answer
verified

The effective translation of product names can be crucial to the success of a foreign marketing effort because of

Correct Answer
verified

Define the terms "balance of trade" and "balance of payments." What is the difference between these terms? Why are they important measures?

Correct Answer
verified
A nation's balance of trade is the diffe...
View Answer

A forum to discuss trade problems and negotiate a reduction of trade barriers was first provided by the

Correct Answer
verified

When Solar Tech,Inc. ,of Taos,New Mexico,sells thin film solar panels to a firm in Tokyo,Japan,Solar Tech

Correct Answer
verified

When Lever Brothers changes the formula of its bar soap to match different countries' water conditions and washing habits,this is an example of a

Correct Answer
verified

Exporting is available only to large corporations.

Correct Answer
verified

Why was the World Bank formed?

Correct Answer
verified

The General Agreement on Tariffs and Trade was a precursor to the World Trade Organization and provided a forum for tariff negotiations.

Correct Answer
verified

When a company decides to do business outside its own country,it must research several factors,including potential barriers to international trade.Which of the following is not a potential barrier cited in your text?

Correct Answer
verified

A specific amount of money levied on each unit of a product brought into the country is a(n)

Correct Answer
verified

Because many countries do not permit foreign companies to purchase and operate facilities in their countries,a company wishing to do business in such a country may share the business costs with a firm from the host country by forming a

Correct Answer
verified

If Peru wants to purchase machine parts from a German company but does not have any euros,it will probably borrow the euros from which of the following institutions?

Correct Answer
verified

Exam 3: Business in a Borderless World

The World Trade Organization agreements are the optional ground rules for international commerce.

Correct AnswerverifiedShow Answer

Maquiladoras are possible under the Asia-Pacific Economic Cooperation.

Correct AnswerverifiedShow Answer

The purchase of overseas production and marketing facilities is

Correct AnswerverifiedShow Answer

The effective translation of product names can be crucial to the success of a foreign marketing effort because of

Correct AnswerverifiedShow Answer

Define the terms "balance of trade" and "balance of payments." What is the difference between these terms? Why are they important measures?

Correct AnswerverifiedA nation's balance of trade is the diffe...View AnswerShow Answer

A forum to discuss trade problems and negotiate a reduction of trade barriers was first provided by the

Correct AnswerverifiedShow Answer

When Solar Tech,Inc. ,of Taos,New Mexico,sells thin film solar panels to a firm in Tokyo,Japan,Solar Tech

Correct AnswerverifiedShow Answer

When Lever Brothers changes the formula of its bar soap to match different countries' water conditions and washing habits,this is an example of a

Correct AnswerverifiedShow Answer

Exporting is available only to large corporations.

Correct AnswerverifiedShow Answer

Why was the World Bank formed?

Correct AnswerverifiedShow Answer

The General Agreement on Tariffs and Trade was a precursor to the World Trade Organization and provided a forum for tariff negotiations.

Correct AnswerverifiedShow Answer

When a company decides to do business outside its own country,it must research several factors,including potential barriers to international trade.Which of the following is not a potential barrier cited in your text?

Correct AnswerverifiedShow Answer

A specific amount of money levied on each unit of a product brought into the country is a(n)

Correct AnswerverifiedShow Answer

Because many countries do not permit foreign companies to purchase and operate facilities in their countries,a company wishing to do business in such a country may share the business costs with a firm from the host country by forming a

Correct AnswerverifiedShow Answer

If Peru wants to purchase machine parts from a German company but does not have any euros,it will probably borrow the euros from which of the following institutions?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified
A nation's balance of trade is the diffe...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
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