BUS 275 ch 8

_____ can help reduce uncertainty about how to act and decrease misunderstandings between expatriates and their families and locals. a. Cross-cultural training b. Transculturation c. Socialization training d. Interculturalism

Cross-cultural training

_____ is selling domestically produced products to customers in foreign countries. a. Importing b. Domestic trade c. Exporting d. Entrepot trade

Exporting

Which of the following is a disadvantage of franchising? a. Franchisors can eventually become competitors, especially when a licensing agreement includes access to important technology or proprietary business knowledge. b. Franchisors face a loss of control when they sell businesses to franchisees who are thousands of miles away. c. Franchisors face power struggles and a lack of leadership when trying to adapt the franchisee's management practices. d. Franchisors face tariff and nontariff barriers when trying to enter a market.

Franchisors face a loss of control when they sell businesses to franchisees who are thousands of miles away.

Which of the following statements is true of the World Trade Organization (WTO)? a. It transforms different economies and currencies into one common economic market. b. It aims to create a unified South America by permitting free movement between nations. c. It ensures that trade between nations flows as predictably and freely as possible. d. It aims to establish regions in Europe as a single market by eliminating all tariffs by 2019.

It ensures that trade between nations flows as predictably and freely as possible.

_____ is the extent to which people in a country accept that authority is distributed unequally in society and organizations. a. Power distance b. Masculinity c. Individualism d. Uncertainty avoidance

Power distance

_____ is a government's use of trade barriers to shield domestic companies and their workers from foreign competition. a. Developmentalism b. Economic nationalism c. Protectionism d. Centralism

Protectionism

_____ are specific limits on the number or volume of imported products. a. Subsidies b. Quotas c. Embargoes d. Tariffs

Quotas

Which of the following is a disadvantage of exporting? a. It makes the exporting company dependent on sales in its home market. b. Exporting tends to dilute the brand's reputation through overexposure. c. Transportation costs can significantly increase the price of an exported product. d. The companies exporting products lose their control over the quality of the products.

Transportation costs can significantly increase the price of an exported product.

In the context of cross-cultural training, the practice of adapting to cultural differences is called: a. cultural simulation. b. cultural conservatism. c. intercultural competence. d. multiculturalism.

cultural simulation.

A franchise is a collection of networked firms in which the manufacturer or marketer of a product or service licenses the entire business to another person or organization called the _____. a. licensor b. licensee c. franchisee d. franchisor

franchisee