Busi q3

In the context of the barriers to international trade, which of the following is the best way to jump over sociocultural barriers? Conducting thorough customer research Evaluating the economic conditions of a market Developing ethnocentric marketing practices Establishing production standards

Conducting thorough customer research

In the context of competitive advantage, the value of the first-best choice represents the opportunity cost of producing a second product. False True

False

In the context of strategies for reaching global markets, franchising is a strategy that can be used to seek foreign suppliers. False True

False

The _____ is anorganization of 190-member nations that promotes global economic cooperation and stable growth. Bank for International Settlements World Bank World Trade Organization (WTO) International Monetary Fund (IMF)

International Monetary Fund (IMF)

The _____ is aninternational cooperative of 188-member countries, working together to reduce poverty in the developing world. International Monetary Fund (IMF) World Trade Organization (WTO) World Bank General Agreement on Tariffs and Trade (GATT)

World Bank

Ebru & Co., a South Americaninternational corporation, wants to expand its customer base and decides to target the African market. As most African countries have comparatively low per capita income, the company introduces cheaper versions of its products that would appeal to the target market. In this scenario, Ebru & Co. is most likely facing the barrier of _____. economic differences sociocultural differences legal differences political differences

economic differences

Which of the following companies is engaged in importing? A company that sells domestically-produced textiles to other countries A company that contracts out its support operations to a firm in a developing country A company that takes contracts from overseas manufacturers to produce high-end clothing A company that buys electronic goods that are domestically manufactured by other countries

A company that buys electronic goods that are domestically manufactured by other countries

Tahsin, a grocery store, markets and endorses its businesses in other countries by offering buyers the rights to launch and operate the store in that country. It lends financial and marketing assistance to the buyers. In this scenario, which strategy is Tahsin employing to reach global markets? Importing Direct investment Foreign franchising Exporting

Foreign franchising

Identify a true statement about balance of payments. It typically corresponds to the balance of trade. It is a basic measure of the difference between a nation's exports and imports. It includes domestic borrowing and excludes foreign borrowing. It measures the value of one nation's currency relative to the currency of other nations.

It typically corresponds to the balance of trade.

Which of the following countries has a trade deficit? The country of Abay, whose total value of imports exceeds its total value of exports The country of Hahn, whose total value of exports exceeds its total value of imports The country of Pallaton, whose total value of exports and imports are equal The country of Dahl, which exports most of its products from other countries and imports very little

The country of Abay, whose total value of imports exceeds its total value of exports

Ragle, a table manufacturing company, imports high-quality oak wood from Maceo, a Northern Europe country where there is an abundance of oak. Which of the following is most likely to have influenced Ragle's decision to import raw materials from Maceo? Inflow of innovation Access to factors of production Reduced risk Establishment of new industries

Access to factors of production

Which of the following countries exemplifies the concept of opportunity cost? A South American country that expands its trade relations to neighboring countries A European country that produces more cotton than a North American country despite having equal resources An African country that produces electronic goods on a large scale without compromising on any other products An Asian country that increases its production of sugar by decreasing its production of cocoa

An Asian country that increases its production of sugar by decreasing its production of cocoa

In the context of foreign direct investment, a partnership typically involves a less formal, less encompassing agreement than a strategic alliance. False True

False

What is the term for the authority granted by a domestic firm to a foreign firm for the rights to produce and market its product or to use its trademark/patent rights in a defined geographical area? Foreign licensing Offshoring Outsourcing Foreign franchising

Foreign licensing

Which of the following strategies for reaching global markets allows firms to expand into foreign markets with little or no investment? Foreign licensing Importing Foreign outsourcing Insourcing

Foreign licensing

In the context of international trade restrictions,_____ are taxes levied against imports. quotas tariffs embargoes quorums

tariffs

Gabi, a European shoe manufacturing company, wants to import leather fromVadim, a South American country. However, the officials in charge of the trade in Gabi agree to formalize the transaction only if they are paid a certain amount of money for their personal benefit. Since European businesses are prohibited from offering bribes to any foreign nation, Gabi has to look to another exporter of leather. In the given scenario, Gabi is most likely facing the barrier of _____. economic differences political differences sociocultural differences legal differences

legal differences

In the context of barriers to international trade, establishing nonstandard packaging requirements for certain products is most likely a(n) _____. nontariff barrier quota trading bloc embargo

nontariff barrier

Rafiya Corp. is an Asian electronics company. The company has given a domestic firm in Maeko, a European country, the rights to manufacture and market its product within Maeko. In this scenario, Rafiya Corp. is most likely involved in _____. direct investment foreign outsourcing a limited partnership foreign licensing

foreign licensing

In the context of barriers to international trade, the term _____ refers to a country's physical facilities that support economic activity. infrastructure quorum logistics embargo

infrastructure