Export Policys and Procedures Final
A U.S. firm wishing to advertise its products and services can utilize the U.S. federal program know as A) www.usatradeonline.com B) Commerical News USA C) Gold Key program D) Platinum Key program
C) Gold Key Program
The set of business dimensions that explores 10 business dimensions is listed by A) the IBIS Consulting Group B) Roger Axtell C) IBM's research D) Martin Gannon
C) IBM's research
Tax benefits for U.S. exporters are ____ A) remain constant. B) non-existent. C) in a state of flux. D) never affected by legislation.
C) In a state of flux
Which of the following items are not considered when calculating competitive pricing? A) distributor and retail price B) price comparsons C) overhead costs D) foreign market landed cost
C) Overhead Costs
The first step in the international negotiation process is A) planning an entry strategy B) setting an agenda C) preparation D) building a relationship
C) Preparation
When a United States based company exports goods worth more than USD2500, which type of document is necessary to be presented to the US government? A) Draft B) Certificate of Origin C) SED D) bill of lading
C) SED
A classification system developed in 1950 and reported to the United Nations is the A) ECCN B) CTPAT C) SITC D) SIC
C) SITC
What is the distinction between a quotation and a pro forma document? A) A quotation includes all applicable taxes and the pro from doesn't. B) Accuracy isn't as necessary with a quotation in the completion of the document. C) The pro forma is a document whereas the quotation can be a letter, email or fax document. D) No handling charges are used in the quotation.
C) The pro forma is a document whereas the quotation can be a letter, email or fax document.
INCOTERM acronym must be immediately followed by A) time of delivery B) financial institution C) a specific geographic location D) type of transport carriage
C) a specific geographic location
According to Mrs. Schrage, some of the best methods for becoming globally savvy is to A) observe what is happening in the world B) ask a lot of questions C) all are important D) networking
C) all are important
The numerical segment sequence of commodity codes is A) statistical subdivisions, heading, subheading, chapter B) heading, subheading, chapter, statistical subdivisions C) chapter, heading, subheading, statistical subdivisions D) subheading, heading, statistical subdivisions, chapter
C) chapter, heading, subheading, statistical subdivisions
In the instance when the ship's rail has no significant purpose regarding cargo (such as RoRo) which INCOTERMS are most appropriate A) CPT, CIP B) DAF, DDU C) FAS, FOB D) CIF, CFR
D) CIF, CFR
Since the terrorist attacks of 2001, a new program has been instituted to insure incoming and outgoing cargo are safe. What is the acronym for that program? A) HOME SEC B) PATPT C) CPORT D) CTPAC
D) CTPAC
A pitfall of secondary data is A) having an expert assess it. B) cost. C) the time to gather it. D) comparability.
D) Comparability
All of the following experienced substantiative change by Incoterm 2000 ruling EXCEPT A) FAS B) FOB C) FCA D) DEQ
D) DEQ
An ECCN refers to A) European Chamber of Commerce Notation B) Export Council Clarification Number C) Ecuador's Council of Commerce Number D) Export Control Classification Number
D) Export Control Classification Number
The six guiding rules on determining harmonized codes as shown in the book are a brief description of A) Customs Binding Rules B) Classification Interpretation Guide C) International Trade Resource D) General Rules of Interpretation
D) General Rules of Interpretation
Pankaj Ghemawat clarifies regions for market potential as A) political or economic B) national or intra-national C) global or local D) geographic or non-geographic
D) Geographic or non-geographic
The country of __________________ operates with a dual administrative system of both political and traditional regions. A) Gambia B) Sierre Leone C) Togo D) Ghana
D) Ghana
INCOTERMS were created and are published by A) International Customs Commission B) International commission of Carriers C) Internal Commerce commission D) International Chamber of Commerce
D) International Chamber of Commerce
Which institution provides the most important research tool to the global entrepreneur is managed by STAT-USA which also maintains GLOBUS and the State of the Nation database? A) CCG B) Department of State Background notes C) U.S. Customs D) National Trade Bank
D) National Trade Bank
Which of the following is NOT considered a dirty trick in negotiation? A) escalating authority B) deliberate deception C) old friends D) normative appeal E) stalling
D) Normative Appeal
Under the NAFTA Rules of Origin, wholly produced goods that can be fully traced to the ground, air, sea or airspace of a NAFTA person fall under A) Preference Criterion F B) Preference Criterion D C) Preference Criterion B D) Preference Criterion A
D) Preference Criterion A
Ryan's Candies in Cedar Falls, Iowa has been shipping to Brazil for many years and now has allowed two of his distributors to pay on open account. In September, the company shipped $2,000 worth of candy to one distributor. Currently all product is priced in U.S. dollars. When the order came in, one USD was equalt to 9 reales. Now the USD is equal to 11 reales. How has this affect the Ryan's Candies profits? A) Both the seller and buyer are going to loose money. B) since the sale was in USD, it has no effect on Ryan's Candies C) Ryan's Candies will loose $300 D) Ryan's Candies will make $200 more
D) Ryan's Candies will make $200 more
Mavis's company needs to acquire about $600,000 in pre-export financing to purchase raw materials for preparing a European customer's order. The agency that would be best for her to consult is... A) EXIM B) IMF C) OPIC D) SBA
D) SBA
An SED is a A) security export document B) select environmental document C) standard export document D) shipper's export declaration
D) Shippers export declaration
MERCOSUR is an agreement concerning trade on the continent of A) Asia B) Europe C) Africa D) South America
D) South America
Tips to help U.S. firms sell products in a particular foreign market can be gained by reviewing information provided by A) Veritas Commerical Review. B) the Commercial Service Country Commercial Guide C) the World Bank. D) UNCOMTRADE.
D) UNCOMTRADE
Kenichi Ohmae's view of the market of the future emphasized A) volatile currency exchanges B) strict political boundaries C) distinct differences between local markets D) a borderless world
D) a borderless world
If damage or shortages in a shipment are discovered by the carrier, it is noted on the bill of lading. The bill with the notations would then be referred to as A) a short bill of lading B) a damage bill of lading C) the same, a bill of lading D) a foul bill of lading
D) a foul bill of lading
When making a partner selection for international strategic alliances or joint ventures, it is important to A) get as much information as possible B) collect data from informed third parties C) get to know the potential partner before committing D) all of the above
D) all of the above
Which of the following responsibilities are included in EXW costs? A) raw or processed materials B) special labeling C) standard packaging D) all of the above
D) all of the above
Most research on culture has been completed A) prior to the 1950's. B) in just the last ten years. C) by Russian and Asian sociologists. D) by European researchers.
D) by European Researchers
The value for insurance certification is generally established A) solely on the cost of the goods B) by adding product and insurance purchase price and then multiplying by 2 C) by multiplying the cost of goods by 1.25 D) by adding product cost, insurance cost, and a 10% margin of safety
D) by adding product cost, insurance cost, and a 10% margin of safety
Metzger's Fine Foods has sold a 20 cases of French Silk Mousse to a company in Belize using the INCOterm CIF Waterloo, IA. This indicates that Metzger's has responsibility for A) sending the customs officer notice the product is ready for shipment. B) clearing the goods for import. C) dropping the product at customs for processing. D) clearing the goods for export.
D) clearing the goods for export.
If advertising sells products, public relations sells: A) concepts B) message and image C) markets D) companies
D) companies
Criterion F of the NAFTA Preference Criteria is for ___________- A) computer industry products B) fish, corn, and deer C) tables made from wood D) dairy and eggs
D) dairy and eggs
The SIC classification A) is governed by the U.S. Customs Department B) only has 8 digits. C) makes the NAICS system obsolete. D) describes the activity of the organization.
D) describes the activity of the organization.
Considering a country's challenge to maintain a clean water supply for its constituents would indicate management is assessing the country's A) demographic trends B) industrial base C) government policies D) environment
D) environment
When classifying market regions as "non-geographic", which of the following in NOT considered an optional market segment? A) administrative B) economic C) cultural D) global
D) global
The Chapter of a commodity code A) is 10 digits long. B) contains four digits C) contains both alpha and numeric characters D) is always the first two digits
D) is always the first two digits
Kenichi Ohmae's new business units are based on A) national, continental, and local borders B) investment, industry, IT, and individual customers C) individual customers, IT and borders D) none of the above
D) none of the above
Governments try to control currency resources by regulating the convertibility of the currency. Which of the following is not a classification of a currency convertibility program? A) externally convertible B) not convertible C) freely convertible D) openly convertible
D) openly convertible
Of the choices below, which requires the most overseas involvement? A) overseas marketing office B) overseas sales person C) partial ownership of a distributor, joint venture D) overseas assembly
D) overseas assembly
Foreign Sales Corporations and Extraterritorial Income regimes are used for ____ A) finding an exporter B) suing corporations C) programs for receiving foreign money from customers D) programs for tax benefits
D) programs for tax benefits
To determine the demand of ink cartridges in a market, the market researcher looked at the number of households with computers. This is an example of A) national statistics substitution B) replication of stats C) timeline comparisons D) ratio comparisons
D) ratio comparisons
A fundamental defined by Jon Griffin is that A) dealers will eagerly put all their resources toward the product a company will export to it B) distributors know the deal is forever C) a business deal should provide profits for both parties D) research analysis is the most important thing to do
D) research analysis is the most important thing to do
The "grandfather clause" in export contracts does include: A) the assumption that sales after contract expiration are a result of the former distributor B) commission on sales after expiration of a contract C) warranty issues D) none of the above
B) commission on sales after expiration of a contract
The type of promotional program that involves both the distributor or agent and the parent company financing an advertising campaign is known as A) dual financing promtion B) cooperative advertising C) matched promotion D) variable advertising
B) cooperative advertising
Packing Lists are most needed on International shipments when A) letters of credit are used. B) when shipping to the Asian Pacific region C) when shipping to the United States D) Homeland Security might check the cargo
A) A) letters of credit are used.
All of the following are air transport INCOTERMS except: A) CIF B) CPT C) EXW D) FCA
A) CIF
Which INCOTERM can only be used for marine or inland waterway transport? A) DDP B) DDU C) DES D) DAF
A) DDP
What agency would be most appropriate to assist a company that wishes to insure against the risk associated with non-payment of a foreign receivable? A) EXIM B) IMF C) OPIC D) SBA
A) EXIM
EMC stands for A) Export Management Company B) Export Maintenence Company C) Emergency Maintence Company D) Export Maximum Capacity E) Emergency Medical Corp
A) Export Management Company
If the seller delivers the purchased good to a port determined by the buyer, where risk and transport expenses become the responsibility of the buyer, use A) FCA B) FAS C) FOB D) FAC
A) FCA
Junker enterprises in Germany wishes to quote selling terms from its warehouse in Berlin. The shipment will be sent through the port at Hamburg to Canada. The correct freight term in the sales quote would be A) FOB Canada B) EXW Hamburg C) FOB Berlin D) EXW Berlin
A) FOB Canada
The most fundamental data one will probably use when researching foreign markets are: A) GDP & per capita income B) economic and demographic data C) literacy D) population
A) GDP & per capita income
Which of the following is NOT a tax issue to impact companies during initial international expansion? A) grease payments B) value-added taxes C) U.S. tax incentives for exporters D) duty drawback
A) Grease Payments
INCOTERMS that indicate the seller delivers to a chosen Destination Point , are found in A) Group E B) Group A C) Group D D) Group C
A) Group E
When the main carriage is unpaid, an INCOTERM from which group will be selected? A) Group F B) Group A C) Group D D) Group C
A) Group F
The largest trade show in the world is ___ and in the United States is ____/ A) Hannover Messe and COMDEX B) World Pork Congress and SAITEX C) COMDEX and National Restaurant Association Show D) Hannover Messe and SAITEX
A) Hannover Messe and COMDEX
Which one of the following is a major issue to identify whether to export directly or indirectly? A) Identify company strengths B) the exporting company's priorities for international expansion C) determination of the most cost effective approach D) all of the above are essential to the decision
A) Identify company strengths
Which statement is NOT true about Less than Carrier Loads? A) It will be delivered directly to the buyer B) freight from various shippers can be combined in one container C) consolidation can be completed by a forwarder D) Also known as port-to-port service
A) It will be delivered directly to the buyer
According to Gannon's metaphors, football is to the United States as the garden is to A) Japan B) Italy C) Germany D) China
A) Japan
Harmonized codes are needed to prevent mis-interpretation in all areas listed below except: A) quotas B) VAT C) duties D) tariffs
A) Quotas
The document that consist of an order or set of instructions that generally clarifies payment terms is a(n) A) quotation B) bill C) invoice D) draft
A) Quotation
During a recent trade show, Jason noticed that about 10% of the individuals visiting the booth were from West Africa. Jason was A) regionalizing leads. B) visiting with exhibitors C) profiling participants D) avoiding any real contact with potential clients
A) Regionalizing Leads
Which citizens will most likely directly say "No" during negotiations A) Russian B) Brazilian C) Mexican D) Japanese
A) Russian
The distribution department is getting ready to ship a new widget for the very first time to another country. It is unclear just what classification to use for the widget. The manager wants to acquire a binding ruling on the appropriate classification. He should contact A) U.S. Customs B) U.S. Census Bureau C) U.S. International Trade Commission D) the closest export assistance center
A) U.S. Customs
Country Commercial Guides are a resource provided by the A) U.S. State Department B) United Nations C) Import/Export services D) U.S. Department of Commerce
A) U.S. State Department
One purpose for a Bill of Lading is as A) a contract for transport of goods B) a export control statement C) commercial invoice D) documentation for customs clearance
A) a contract for transport of goods
To avoid paying duties or taxes on product or items for a trade show display, a company should acquire A) an ATA carnet B) specialized passports C) customs visa D) exhibition visas
A) an ATA carnet
20) Horizontal trade shows and trade missions A) are open to all types of companies or products. B) are very focused. C) are industry specific. D) are non-existent.
A) are open to all types of companies or products.
The complexity of the NAFTA certificate of origin documentation is due to A) historical and political reasons B) cultural and economic reasons C) historical and cultural reasons D) political and economic reasons
A) historical and political reasons
Kenichi Ohmae feels companies should utilize a borderless view for A) market-entry B) value chain decisions C) data collection D) investment
A) market-entry
In the United States, codes for a product being either imported or exported A) may vary in the last 4 digit segment of the code. B) are interchangeable. C) are always exactly the same code number. D) come under different section headings
A) may vary in the last 4 digit segment of the code.
There are two types of BILLS OF LADING, these are: A) negotiable and non-negotiable B) insurance covered or no insurance coverage C) binding and non-binding D) title and non-title bearing
A) negotiable and non-negotiable
Shelton has been working with a company in Thailand for several months to negotiate a contract agreement. Both parties have shared objectives and provided an initial offer. Shelton prefers not to get into a situation where each side takes minimal steps toward an agreement, but wishes to continue getting to understand fully the other party's view and make a final set of concessions. Shelton prefers a A) sequential approach B) holistic approach C) non-committal approach D) give and take approach
A) sequential approach
One challenge that could occur in the EXW situation is that A) there is minimum obligation to the seller B) union rules may prohibit non-union labor loading the cargo C) the seller is not responsible for any insurance or transport D) transfer of risk happens at the seller's facility at the time of pickup
A) there is minimum obligation to the seller
One of the most effective methods for presenting a product at a trade show that will have attendees from a wide range of countries and a variety of language skills is to use: A) visual aids. B) models handing out brochures. C) give-aways with the company name. D) all literature in English.
A) visual aids.
Which method is considered the most risky strategy of entering a foreign market? A) wholly owned subsidiary B) sales agent C) franchising D) joint venture
A) wholly owned subsidiary
Which of the following is not a pitfall of secondary research? A) cost B) culture C) outdated D) comparability
B) culture
Selection Criteria or indicators used in the analytical selection process should include all but: A) market growth B) country assets C) industry size D) product specifics
B) Country Assets
Contract negotiations should cover all the following topics EXCEPT: A) territory covered B) customer support C) pricing considerations D) transport insurance
B) Customer Support
Country governments can restrict trade with another country with the use of A) import rulings B) embargoes C) WTO rulings D) export rulings
B) Embargoes
Which of the following is NOT one of the nine basic documents? A) certificate of origin B) export licenses C) pro forma D) quotation
B) Export Licenses
Which INCOTERMS indicate that risks are moved from the seller to the buyer at the point of the cargo crossing the ship's rail? A) DDP, CFR, FOB B) FOB, FAS, DDU C) FOB, CFR, CIF D) EXW, DDP, DDU
B) FOB, FAS, DDU
Researching monetary unions and trade alliances while selecting new markets is part of A) embargo analysis B) market analysis C) competitive analysis D) import duty analysis
B) Market Analysis
NAICS stands for A) North Africa Industry Classification B) North American Industry Classification C) New Zealand- Australia Industry Classification D) North Atlantic International Classification
B) North American Industry Classification
Which is not one of the resources listed in class to find airport codes? A) World Air Codes B) Raymond's guide C) Leonard's guide D) USaircode
B) Raymond's guide
The commodities trade statistics database that used the 5 digit SITC code is known as: A) Kompass B) UN Comtrade C) ISA D) GlobalEdge
B) UN Comtrade
Key questions are necessary to determine market potential. Some questions help to define flow of product through the distribution channel as well. Which of the following question helps determine product distribution needs. A) What triggers a customer to purchase? B) When are the selling cycles and stocking needs? C) How is an order generated? D) Who are favorite dealers of the target market?
B) When are the selling cycles and stocking needs?
Wilson's Electronics is planning to export into Africa directly. The challenges the firm is facing over indirect marketing includes all but A) insufficient market feedback. B) a longer period to enter the market. C) higher levels of risk. D) greater investment.
B) a longer period to enter the market.
Reducing risk exposure when entering a market, is a reason to choose A) to not enter at all B) a small scale of entry strategy C) a moderate scale of entry startegy D) a large scale of entry strategy
B) a small scale of entry strategy
INCOTERMS are A) only in English and Spanish B) always accompanied by a geographic location C) are never updated or changed D) are only understood by traders in the U.S. and Europe
B) always accompanied by a geographic location
Wyatt is concerned about having pricing control with a partner he is considering working with to indirectly export his product. His best hope is to work with A) multiple partners B) an EMC C) a government agency D) a piggyback arrangement
B) an EMC
Retained earnings can be found on a company's A) annual budget. B) balance sheet. C) cash flow statement. D) income statement.
B) balance sheet
Management decisions by an ethnocentric manager will likely A) be based on religious values. B) be representative of the manager's cultural heritage. C) be totally in sync with the local culture. D) align with the overall corporate culture.
B) be representative of the manager's cultural heritage.
A freight forwarder can handle all the following tasks except A) pre-shipment inspections B) collections from customers C) marine and air insurance D) export packing
B) collection from customers
The Certificate of Origin is important for A) determining security risks B) determination of duties and taxes on products C) indicating quality of the product D) declaring origin of the product for consumer choice
B) determination of duties and taxes on products
A company is utilizing electronic documents for transactions would wish to consult guidelines of the..... A) IMF B) eUCP C) exim D) UNCISG
B) eUCP
Gannon's metaphor for the United States is A) garden B) football C) Elvis D) salad bowl
B) football
Which of the following is not an opportunity of travel when considering partners for direct export? A) better objectivity concerning market feedback B) get out of the office once in a while C) can meet various potential representatives D) better understanding market potential
B) get out of the office once in a while
The Schedule B utilized in the United States is A) is managed by U.S. Customs. B) is used to determine a code for goods being exported. C) only used when importing goods. D) falls under the Patriot act.
B) is used to determine a code for goods being exported.
The advantage of an effective public relations campaign over advertising is A) it takes less time to develop. B) it does not cost anything. C) is only an illusion. D) non-existent.
B) it does not cost anything
A service provider wishing to expand internationally that does not have the resources to handle the risk of owing foreign assest should consider the _______ entry mode. A) piggyback B) licensing C) equity joint venture D) indirect export
B) licensing
CIF is similar to the CFR INCOTERM with the addition of the seller's obligation to__ A) pay for importation fees and duties B) obtain insurance coverage C) pay grease payments D) unload the goods from the ship
B) obtain insurance coverage
The purpose for the commercial invoice is A) customs and inventory control B) payment terms and conditions C) main documentation for entry and exit duties D) certified purity of agricultural products
B) payment terms and conditions
Grease payments are defined as A) payments made by lobbyists to push through legistation. B) payments to facilitate or speed up routine govermental activities. C) financial aid given to developing countries. D) payments made to corrupt government officials for obtaining a contract or special favors.
B) payments to facilitate or speed up routine govermental activities.
Yilu cannot find statistics for a certain country, whose economy is similar to a country in the region where her firm is already exporting. Using data between her home country and the current export country, she will project forecasts for the new country. She is using a shortcut known as A) industry statistics substitution B) ratio comparisons C) national statistics substitution D) timeline comparisons E) educated guess
B) ratio comparisons
Procedures to obtain a refund or duty drawback ___ A) are very easy to follow. B) restrictive and complicated. C) are not difficult to abuse. D) aren't worth the effort.
B) restrictive and complicated.
The accuracy of the SED is the responsibility of the A) buyer B) seller C) banker D) agent
B) seller
The INCOTERM that put the biggest burden onto the seller is A) DDU B) EXW C) DDP D) DAF
C) DDP
Which of the following letters is not a group of INCOterms? A) E B) B C) D D) F
B) B
Group C of INCOTERMS automatically indicates A) the carrier is selected by the buyer B) main carriage is paid and selected by the seller C) import duties are paid by the seller D) all shipments will be either marine or inland waterway
B) the carrier is paid and selected by the seller
When negotiating a new contract or agreement, it may be necessary for each party involved to relax some of it's demands to meet the other party's demands or needs. This negotiation style is known as A) giving up B) the holistic approach C) the sequential approach D) concession making
B) the holistic approach
When shipping consumer products in individually wrapped containers A) are classified only if the materials are petroleum based. B) the packaging is classified with the good inside. C) isn't of concern to exporters. D) a separate harmonized code is used for the packaging.
B) the packaging is classified with the good inside.
A TEU represents A) total units of breakbulk cargo shipped daily B) the volume of a 20' intermodal container C) the total equivalent usage of a port D) the tonnage allowed by export unions
B) the volume of a 20' intermodal container
VAT represents A) national consumption tax B) value-added tax C) discriminatory tax D) veteran's adjusted tax
B) value-added tax
Statistical Subdivisions are another name for A) section codes B) corresponding codes C) commodity codes D) schedule B codes
C) Commodity Codes
When a labor-intensive manufacturer is looking for a source of cheaper labor, which factor would an indicator of a good site? A) high employment B) high unemployment C) constant employment levels D) low unemployment
C) Constant employment levels
When a goverment takes private property within each national borders of foreign entities this process is known as A) nationalization B) optimization C) expropriation D) condemnation
C )Expropriation
The penalities for knowingly providing false information on the NAFTA Certificate of Origin can range from A) $5,000 to $10,000 B) $1,000 to $1,500 C) $10,000 to $100,000 D) $2,000 to $2,500
C) $10,000 to $100,000
Harmonized Tariff Codes are A) can have any number of digits up to 10 B) 12 digit numbers C) 10 digit numbers D) 6 digits long
C) 10 digit numbers
Vertical trade missions and trade shows A) are better attended than other trade shows or missions B) are for any type of product C) are industry specific D) have very little focus
C) Are industry specific
The Patriot's Act brought about many changes in security validation. Which is not a program the had its beginning with Homeland Security's efforts A) HSval B) CQ3r C) CT-PAT D) Antitrust laws
C) CT-PAT
These four techniques can be effective when facing a problem of incomplete or inaccurate data. Which of the following is not one of the techniques discussed? A) ratio comparisons B) timeline comparisons C) comparison analysis D) national statistics substitutions E) complementary product or industry substitution
C) comparison analysis
CFR is the INCOTERM for A) creating freight B) carrying freight resources C) cost and freight D) cost free onboard
C) cost and freight
Which of the following is not a goal of international competitive research? A) find markets B) potential volume and price levels C) customer base D) operational plan development
C) customer base
Tariffs are put into place by governments to protect A) foreign exporters B) domestic retailers C) domestic producers D) foreign importers
C) domestic producers
Each month Angelina's fashion store in Manchester orders scarves from Italy. In August the USD converted at 1 EURO = 1.61 USD. In November the exchange rate moved to 1 Euro equals 1.25 USD. On a Euro 1000 order, the September order in comparison to the November order: A) is $360 more expensive B) is the same price to Angelina's C) is $360 less expensive D) is $720 less expensive
C) is $360 less expensive
A company can utilize Porter's Five Forces model to assess a new market for entry. Which is NOT one of the forces that should be included in the decision making process? A) threat of new entrants B) substitute products C) market potential D) rivalry among existing firms
C) market potential
To achieve one voice, one image.... on brand consider utilize which of the following: A) electonic clipart of the brand, logo, and artwork B) clarify use of trademark jingles or phrases C) paper version for partners without access to desktop publishing D) establish rules for use of images
C) paper version for partners without access to desktop publishing
Which is not one of the seven factors to consider when choosing the appropriate INCOTERM? A) buyer B) country C) shipping route D) origin of shipment
C) shipping route
The Kluckholn and Strodtbeck dimension of Modes of Activity reflects a cultural aspect related to A) the need to aspire to great status. B) ascribe status. C) the focus of being or doing. D) speed in which change occurs.
C) the focus of being or doing.
When selecting a distributor, Paul takes his time, makes multiple contacts and tries not to let emotions cloud his judgment. According to Griffin, Paul is A) only holding up progress for his company B) being ridiculously cautious C) training distributors like murder-suspects and cross checking data D) overly conservative and lacking commitment
C) training distributors like murder-suspects and cross checking data
A declaration is not required for shipments in which the total value of each single harmonized code product category does not exceed: A) $2600 B) $2400 C) $2300 D) $2500
D) $2500
Which of the following is NOT a characteristic of INCOTERMS? A) widely understood by experienced foreign traders B) always accompanied by a geographic location C) created by the International Chamber of Commerce D) 15 terms created for the use in national and international transactions
D) 15 terms created for the use in national and international transactions
The harmonized system consists of ___ sections divided into ___ chapters A) 32, 100 B) 100, 10 C) 22, 194 D) 22, 99
D) 22, 99
Which of the following is not one of the four groupings of INCOTERMS A) D B) F C) C D) A
D) A
Which of the following is NOT a benefit of indirect exporting? A) The product will enter the international marketplace faster. B) Management can continue to work on national priorities while not needing to focus overseas sales and marketing. C) All international sales are treated the same as domestic sales, thus eliminating foreign exchange risk. D) A very high risk for the product's manufacturer.
D) A very high risk for the product's manufacturer.
The most important part of Export Documentation is A) mode of transportation B) terms of payment C) the seller's obligations D) Accuracy
D) Accuracy
Companies should attend trade shows for A) hands-on learning B) cost savings C) exposure D) All the above
D) All the above
When analyzing a country of business interest, one should pay attention to: A) tariffs B) customs C) historical/political borders D) all of the above
D) All the above
Challenges that impact the decision to go beyond exporting include... A) establishing manufacturing operations B) transportation costs C) control of market representation D) trade barriers
D) trade barriers
What is the distinction between the C and D INCOTERM groups? A) when the goods are received B) when the invoice is mailed C) when the seller makes arrangements for freight D) when responsibility for the goods pass from seller to buyer
D) when responsibility for the goods pass from seller to buyer
Buyers will use a pro forma to A) for no particular purpose B) proceed with documentation C) to avoid paying any duties D) decide on what INCOTERM is appropriate
b) proceed with documentation