business unit 3

A country that values qualities such as assertiveness and status is known as a(n)

"masculine" society.

Which of the following is the most likely policy that a government would follow to avoid a trade deficit:

Protectionism

Which of the following is an example of a business's ethical obligation to its stakeholders:

Providing safe working environments for employees

The most common form of corruption affecting international trade is

bribery

How have industry structure changes affected the current business environment?

business now moves faster than ever

Which of the following is a true statement about the external factor of competition:

businesses cannot control their competition

Which of the following is a true statement about how technology affects the external business environment:

businesses must look for updated technology all the time

A business can create a wholly owned subsidiary by building a facility in a foreign market or by

buying an existing firm in the market.

A business's ethics determine whether or not an action is acceptable for that business, especially if the action

has a negative impact on others.

A country can often produce goods more cheaply than other nations because it

has easy access to raw materials.

The French-Canadian culture relies heavily on nonverbal communication to get messages across. This means it is a(n)

high-context culture.

Which of the following is a result of globalization:

higher productivity

Which of the following is a factor that relates to the government category of an environmental scan:

import/export regulations

A business that buys goods and services from a company in another nation is performing which of the following activities:

importing

Environmental degradation occurs because of

increased production.

Economic factors can affect a business's operations by

increasing or decreasing costs

A society in which group ties are very loose is known as a(n)

individualist society.

Unethical business practices may lower a company's stock prices because

investors prefer companies they perceive to be ethical.

A financial advisor receives a bonus for selling a certain mutual fund. Her reason for taking this action, which some consider unethical, might be that the action

is acceptable within the industry.

A business suddenly moves its operations to a new town, leaving its current employees jobless. Its reason for taking this action, which some consider unethical, might be that the action

is not illegal

how does technology affect a business's customers

it influences what they want and need

Which of the following is a true statement about a business's environment:

it is always changing

One of the biggest barriers that separates countries/regions is

language

The biggest communication issue for businesses engaging in international trade is

language

A restaurant fails to meet government regulations, so it loses its __________ and is no longer allowed to do business.

license

If a government wants to reduce the volume of imports allowed into its country, it could limit the number of __________ issued to foreign exporters

licenses

A clothing manufacturer in the United States allows a company in Argentina to use its name and logo in exchange for a fee and royalties. This is an example of

licensing

Laura is part of a group that is traveling to the state capitol to convince legislators to pass laws that are favorable for small businesses. This is a practice known as

lobbying

A society that focuses on future rewards and values actions such as persistence is known as a(n)

long-term oriented society.

A business with poor ethics is likely to

lose customers

Which of the following government actions is most likely to stimulate the economy:

lowering tax rates

The goals of government are to protect the rights of individuals and businesses and to provide a stable environment, but the main goal of business is to

make a profit

Some people believe that a business's only true ethical obligation is to

make money

Understanding business ethics can be difficult since

many people aren't sure how to behave ethically.

Which of the following is a tool that can be used to carry out scanning activities:

market research studies

Jon makes custom furniture for his customers. He strives to make sure that meeting their needs and wants is his top priority. What "adaptable" strategy is Jon using?

marketing orientation

At each organization's core should be a commitment to

meeting customers needs

When government sets safety standards for the workplace, it is attempting to

minimize risks to employees.

A business should research corruption before it engages in trade with a particular country because it

needs to know how corruption will affect its competitiveness there.

Which of the following is a potential consequence of poor business ethics:

negative public image

Globalization can be a disadvantage for domestic workers when they lose their jobs due to the practice of

offshoring

Priscilla's design company is always willing to consider new ideas, trends, and ways of thinking. This is an example of which of the following characteristics of an adaptable organization:

open-mindedness

Sonja works at a company with a very relaxed atmosphere among all the employees. This atmosphere is part of the company's

organizational culture.

One way in which government protects private property is to provide

patents or copyrights.

Which of the following actions must a business take as a result of political factors in the external environment:

paying taxes

One of the reasons that has caused government's role in business to expand is that

people's attitudes have changed.

A large tech company donates a portion of its proceeds to charity. This is an example of __________ responsibility.

philanthropic

Which of the following actions describes proactive management:

planning in advance for change

Antitrust laws are created to keep competition fair. Which of the following external factors are these laws a part of:

political

A main reason that environmental scanning is important is so that businesses can be aware of

potential threats

In Hofstede's dimensions of national cultures, a country's acceptance of inequality is measured by its score in

power distance

Government can prevent unqualified persons from operating a business by

refusing to grant them a license

Government tries to protect competition by

regulating monopolies.

A business should conduct environmental scans on a continuous basis so it can

respond to opportunities and threats quickly.

What actions are consumers most likely to take when the economy is poor?

restrain their spending

Nic's company is making some quick changes in response to shifting market conditions. The ability to easily realign its people and resources appropriately is called

scalability

Technology is the practical application of which of the following studies to society and industry:

science

Jodi needs $10,000 per month to operate her photography business. Last month, she made $13,000. The extra $3,000 are called

slack resources

Changing attitudes about family roles is an example of a shift in

society and culture

When an employee uses a computer program to help manage bookkeeping tasks, s/he is using

software

Millie deals with customers from a certain country on a regular basis. When she meets people from this country in a social setting, she assumes they will be just like all her customers. This is an example of

stereotyping

Kyle is part of a group of employees who are close friends and like to spend their lunch hours together, eating or playing cards. This group is considered a(n)

subculture

Seeing the "big picture" instead of smaller, individual parts is an organizational learning concept known as

systems thinking

To encourage people to buy domestic goods, a country wants foreign goods to be costlier. It imposes a tax on imported products to increase their selling prices. This tax is known as a(n)

tariff

The two main sources of revenue used to pay the costs of government regulation are

taxes and borrowing.

Which of the following is the most rapidly changing category of information included in an environmental scan:

technology

Phil works from his home office on Tuesdays and Thursdays. This is known as

telecommuting.

Which of the following is an example of a demographic trend:

the aging of the population

Every new business owner must pay attention to forces operating outside the company that affect its chances for success. These forces are referred to as

the external environment

The technology that has had the most influence on globalization has been

the internet

Which of the following is not considered a technological innovation:

the weather

Which of the following is a true statement about the social factor of lifestyle and fashion trends:

they change quite frequently

Which of the following is a main reason for businesses to expand into foreign markets:

to build brand value

A nation that exports more than it imports maintains a

trade surplus.

According to Hofstede's dimensions of national cultures, a certain country has a high comfort level with insecurity and avoids having too many rules. This country would have a low score in

uncertainty avoidance.

Which of the following groups is most likely to share the same demographics

working mothers

A country with a weak currency value tends to

A country with a weak currency value tends to

Which of the following is a method of technological information gathering that businesses can use to enhance customer relations:

A customer registers on the company website.

Which of the following regulatory agencies would be concerned with price fixing and unfair competitive practices:

Federal Trade Commission

Which of the following problems is connected to technology

Air pollution

Why should a business practice good ethics?

An ethical business contributes toward its own success.

Which of the following is a benefit of global trade:

An improved standard of living

How do nations track the flow of money coming in and going out of their countries?

Balance of payments

Which of the following terms describes the difference between the exports and imports of a nation:

Balance of trade

How can technology make entering foreign markets easier?

Businesses can sell products online.

Which of the following examples best demonstrates the cultural dimension of indulgence v. restraint:

Companies from certain cultures make time for fun.

How has technology changed the nature of competition?

Companies must stay in step with new technologies.

Which of the following occurs when a country can produce goods at a relatively more efficient rate than another country:

Comparative advantage

Which of the following is a true statement about consumer demands:

Consumers want new product features.

Which of the following is a true statement regarding the process of preparing employees to deal with people from other cultures:

Cultural training is a good way to teach employees the basic guidelines.

Which of the following is an example of increased financial risk for a company with poor business ethics:

Decreased company value

Which of the following is an example of how a business or industry has a unique relationship with its environment:

Demand for skilled nursing care rises as the population ages.

Which of the following is one of the four pillars of a business's social responsibility:

Economic responsibility

Which of the following industries is part of the fast-growing services-producing sector of the economy:

Education

Which of the following is an example of a governmental regulatory agency:

Federal Aviation Administration (FAA)

Which of the following actions illustrates the strong leadership needed in an adaptable organization:

Focusing on maximizing resources

Government uses some of the tax money it collects from individuals and businesses to support public welfare programs. What is the benefit of these welfare programs to businesses in a private enterprise economy?

Funds received by recipients are spent in businesses.

Which of the following situations represents an absolute advantage for the United States:

Germany produces cars at $14,000, while the U.S. produces cars at $12,000.

Which of the following examples illustrates how environmental factors are dynamic:

High interest rates will eventually get lower.

Which of the following would be done first in an environmental scan:

Identify participants and responsibilities

Which of the following technologies has made manufacturing more efficient:

Improved materials and methods

Which of the following is a likely result of a strong or highly valued currency:

Increased imports

Which of the following is a public good that is provided by government:

Interstate highways

Which of the following is a true statement about the term "environment":

It consists of your surroundings.

How has globalization affected consumers?

It has given them a bigger and better variety of products to choose from.

How has the ability to travel more freely contributed to globalization?

It helps enable the spread of culture and ideas.

Which of the following is a true statement about globalization:

It involves the flow of ideas across national borders.

Which of the following is a true statement about innovative management:

It is more participative than traditional management.

Which of the following is a true statement about breaking the law:

It may have different consequences than breaching ethics.

How has technology changed the nature of marketing?

It's easier for businesses to communicate with customers.

Which of the following is a positive effect of government regulation:

Legal protection

Which of the following allows the free movement of goods and services among Canada, the United States, and Mexico:

North American Free Trade Agreement

Which of the following "adaptable" strategies seeks to strengthen an organization by bringing employees together as well as by empowering them as individuals:

Organizational learning

Which of the following is an action a business might take to address the issue of religion in another culture:

Paying attention to holidays when scheduling meetings.

Which of the following are methods that countries use to control their trade with other nations:

Quotas, tariffs, and subsidies

Which of the following is a true statement regarding the impact of religion on international trade:

Religion is more important in some cultures than in others.

Global positioning systems (GPS) rely on the use of what type of technology?

Satellite technology

Wyatt's laptop is only a couple of years old, but he'd already like to replace it with a newer, updated model. What characteristic of the current business environment does this illustrate?

Shrinking product life cycles

Avoiding the use of slang falls under which guideline for dealing effectively with people from different cultures?

Strive to communicate clearly.

What is the biggest impact of technology on the computer industry?

Technology created the computer industry.

How has technology affected the travel-agency industry?

Technology has threatened the travel-agency industry.

Which of the following examples illustrates how environmental factors are interrelated:

The economy affects what competitors are doing.

Which of the following is a true statement about business ethics and the law:

The two are not the same thing, but they do overlap.

It helps enable the spread of culture and ideas.

The world is much more politically open than it used to be.

Free exchange of ideas contributes to

greater business innovation.

Which of the following is a true statement about ethical business practices:

They do not guarantee positive outcomes.

What is the purpose of government regulation of business activities that might cause air or water pollution?

To conserve the environment

A computer's internal processor is part of its

hardware

Why does government set and collect taxes?

To help pay the expenses of government

Which of the following is a reason a company might organize itself under the laws of a different country than those of its "home" country:

To save on taxes

what does a nation develop when its imports are greater than its exports?

Trade deficit

Determine whether the following statement is true or false: Government has become an active participant in the world of business.

True; government produces goods and services.

True or false: Certain industries are more sensitive to specific environmental changes than others.

True; some environmental factors have a greater impact on certain industries.

What is the government doing when it buys wheat to keep the price high enough for farmers to make a profit?

Using price supports

A specific Internet technology that allows users to make voice and video calls online is called

Voice over Internet Protocol.

Which of the following is a true statement about carrying out scanning activities:

You must focus only on relevant information.

Brain drain occurs when

a country loses talented employees to better opportunities in other countries.

The U.S. produces widgets faster and cheaper than Switzerland. In this example, the U.S. has a(n) _________ advantage.

absolute

Which of the following was one of government's original roles in business:

acting a a referee

The main way that economic factors influence the external business environment is by

affecting customers' ability to spend

An organization that has the ability to adapt quickly is

agile

Forming a joint venture reduces risk by

allowing costs to be shared.

Environmental scanning is sometimes called environmental

analysis

One difference between business ethics and the law is that business ethics

are often unwritten.

Globalization can be an advantage for businesses because it

can help them to cut costs for certain resources.

Kelley makes sure her business runs smoothly and all employees have fast access to important information and the latest technologies. This is an example of which of the following characteristics of an adaptable organization:

cohesiveness

Businesses must gather information about the competition during an environmental scan. Which of the following is an example of brand competition:

coke v pepsi

A company goes bankrupt because of its unethical accounting practices. The reason for this unethical behavior is that the action is

committed by unethical employees

Smartphones allow employees to

communicate while out of the office.

Levels of inflation and unemployment are factors that affect __________ in the world market.

competition

Striving to get new products to the market first and win scarce customer dollars is an "adaptable" strategy often called

competitive aggression.

Computers direct robots and other machines to do specific tasks in a technology known as

computer-aided manufacturing.

Which of the following is a way that businesses can plan proactively for environmental changes:

conducting research on a new market

Government is involved in settling business disagreements through the use of

courts

Since Amie deals with people from many different countries, she attempts to become sensitive to differences in their customs and traditions. Amie is developing

cultural intelligence

What characteristic has the globalization trend made it necessary for adaptable organizations to display?

cultural intelligence

When people from one country/region eat and dress differently from people in another country/region, it is due to differences in

culture

Businesses are affected by social factors in the external environment because

customer needs are affected by these factors as well

A business with poor ethics causes internal problems for itself by

decreasing productivity.

One way to determine the importance of an issue or trend is to consider its impact on

demand for your business's products

Jonathan has some extra money to spend this month, so he purchases an iPad. He doesn't need this product, but he wants it, making it a

discretionary item

Industry associations differ from regulatory agencies in that they

don't have government authority

Inflation is a factor involved in which category of an environmental scan?

economy

When a business uses computer technology to manage its money and move it among different accounts, it is taking advantage of

electronic transfer of funds

George thinks his culture is superior to all other cultures. This is known as

enthocentlrism

Businesses keep track of external changes as part of a process called

environmental scanning

The highest level of involvement in international business is

establishing a multinational firm.

You decide not to take a certain action because you know it's the wrong thing to do. You have made this decision based on your

ethics

A medical professional enters a patient's symptoms into a computer program designed to help diagnose illnesses. This program is known as a(n)

expert system

Of the following methods of entering a foreign market, which is the least risky:

exporting

Some businesses sell their goods and services to individuals, businesses, or governments in other countries. This is an example of

exporting

A business cannot control its

external environment

Which of the following is a benefit that businesses receive from using the Internet:

faster connections with suppliers

A large trade deficit in a nation often leads to __________ opportunities.

fewer job

The Polar Bear Publishing Company, a publisher of children's books, has made adjustments to its promotion and pricing strategies to suit the current market. This is an illustration of which of the following characteristics of an adaptable organization:

flexibility

You pay Burger King for the right to set up a location in Barcelona under the corporate headquarters' guidance and regulation. This is an example of

franchising

Japan and the U.S. buy and sell each other's goods and services. This is an example of

global trade

Amie talks to customers and suppliers from all over the world on a daily basis. Her company's involvement with people in so many different countries is due to the trend of

globalization

In some cultures, creating relationships during business negotiations is key; in other cultures, negotiators want a signed contract. This illustrates cultural differences in negotiating

goals

Government provides protection to business owners' property through the use of

zoning laws