globalization ch 1
UN
As much as 70 percent of its work is devoted to establishing higher standards of living, full employment, and conditions of economic and social progress and development.
G20
Finance ministers and central bank governors of major economies coordinate policy on global financial crises.
WTO
Primarily responsible for policing world trading system.
GATT
A series of treaties that reduced barriers to trade.
Cultural differences have no effect on the way an international firm conducts its business around the globe.
F
Foreign direct investment occurs when a firm invests resources in
business activities outside its home country.
The commercial jet aircraft market
can best be described as a global market.
Boeing's 787 aircraft is produced by 50 suppliers spread around the world, a huge increase in global outsourcing as compared to the past. Boeing's strategy, like that of other multinational companies, suggests that
declining barriers to trade and investment are facilitating global production strategies.
Which of the following actions was implemented in the Uruguay Round, finalized in December 1993?
establishment of the World Trade Organization
The purpose of the U.N.'s Millennium Development Goals that were established in 2000 was to
reduce the number of people living in extreme poverty.
The growth of trade as a percentage of global GDP
reflects the globalization of markets.
The stock of foreign direct investment refers to
the total cumulative value of foreign investments as a percentage of the country's GDP.
Which of the following expresses one of the reasons why managing an international business is different from managing a purely domestic business?
An international business must find ways to work within the limits imposed by government intervention in the international trade and investment system.
Globalization resulted in a decrease in non-U.S. firms' investment across national borders.
F
Since the 1960s, a notable trend in the demographics of the multinational enterprise has been the rise of U.S. multinationals.
F
The ________ is often seen as the lender of last resort.
International Monetary Fund
A small country is short on cash for much needed infrastructure development projects. It could go to the World Bank for assistance.
T
Today, nearly every nation in the world belongs to the United Nations.
T
Bretton woods insti : IMF and the World Banks
The IMF and World Bank were created in 1944 by 44 nations that met to maintain order in the international monetary system and promote economic growth.
Which of the following statements pertaining to changes in the global economy of the 21st century is true?
The world is moving toward an economic system that is more favorable for international business.
An international business is defined as
any firm that engages in international trade.
Which of the following factors contributed to the Great Depression of the 1930s?
countries progressively raising trade barriers against each other
Globalization has enabled organizations to reduce their costs of production by
creating manufacturing units in developing countries.
Boeing produced just 5 percent of its original 737 and 747 outside the United States but produces 65 percent of its newer 787 in foreign locations. Boeing's production strategy
reflects the globalization of production
