International Business Chapter 2
The most widely practiced theocratic legal system in the modern world is ______ law.
Islamic
Who among the following should apply for a copyright?
Jude, a musician who is composing his maiden album
______ refers to the process of selling state-owned enterprises to private investors.
Privatization
Grease payments are considered an acceptable form of a _____.
bribe
______ property refers to property that is the product of any innovative activity, such as a screenplay, a music score, or the chemical formula for a new drug.
intellectual
In 1994, the TRIPS agreement was extended to include _____.
intellectual property
A businesses' property consists of which three things?
land, equipment, and buildings
Product ______ is the area of law that that holds a firm and its officers responsible for injuries caused by their product.
liability
An energy company based in Houston often deals with piracy issues when exporting fuel in tankers to parts of Africa. This piracy is a form of _____ action.
private
As used in the text, the term "______" refers to a resource that an individual or business legally owns.
property
______ rights determine how a resource or economic good is owned and used.
property
Select the accurate description of a common law system.
A common law system has a degree of flexibility that other legal systems lack.
What should Stephen, the CEO of an athletic clothing company, obtain to prevent competitors from copying the company logo?
A trademark
The ____ is an example of an industry that has weak enforcement of intellectual property rights.
computer software industry
A(n) ______ is a document that specifies the conditions under which an exchange is to occur, detailing the rights and obligations of the involved parties.
contract
True or false: Command economies do not make innovation a priority and, therefore, tend to stagnate
True
True or false: When firms do not wish to accept the United Nations Convention on Contracts for the International Sales of Goods (CISG), they often opt for arbitration by a recognized arbitration court to settle contract disputes.
True
Select an accurate description of a civil law system.
Unlike a common law system, a civil law system relies on detailed codes
The United States passed the Foreign Corrupt Practices Act in response to _______ issues between US companies and foreign countries.
bribery
Until recently, what was the most common form of totalitarianism in the world?
communist
______ law is the body of law that governs oral and written agreements associated with the exchange of goods, services, money and property.
contract
A ______ refers to a legal right that enables the creator of an original work the right to publish and distribute their work as they see fit.
copyright
In a market economy, the government's role is to
encourage free and fair competition and minimize restrictive business practices.
A ______ grants an inventor exclusive rights for a defined period to the manufacture, use, or sale of his or her invention.
patent
Millie, a research associate at an information technology firm, develops a program that allows more than six parties to interface at the same time. In order to prevent the competition from duplicating her invention, the company should apply for a
patent
In a nation where right-wing totalitarianism is present, you would find that
political freedom is restricted, frequently on the grounds that it would lead to the rise of communism
Joanna is a lawyer defending a client accused of arson. During the trial, she refers to a similar case that came before the Supreme Court several years ago. The case Joanna references is an example of _____.
precedent
Levying excessive taxes or requiring expensive permits from property holders are both examples of ______ action.
public
The newspaper story said that the city council was corrupt and had recently taken over three businesses without compensating the owners for them. This type of corruption is an example of ____
public action
When there is evidence of corruption in a country it will
reduce the return on investment of a business.
Contracts drafted under a civil law system tend to be _____ compared to those drafted under a common law system.
shorter
While a pure command economy is thought to be based on the collective good of a society, it often results in
state-owned enterprises that have fewer reasons to control costs
Intellectual property laws are said to
stimulate innovation and creative work.
A nation that fosters individualism would
stress that the interests of the people are more important than the interests of the state.
When describing intellectual property rights, it can be said that they are
subjected to various forms of protection from country to country.
What two situations are examples of private action and a violation of property rights?
theft blackmail
The law in a ______ system is based on religious teachings
theocratic law
What are the two ways in which property rights can be violated?
though private action though public action
A(n) ______ is a recognizable sign, design or name, often officially registered, that identifies products or services from a particular source.
trademark
Within a common law system, a country's legal history is known as ______. Multiple choice question.
tradition
True or False: International laws on intellectual property are being strengthened by agreements like TRIPS
true
True or false: Weak enforcement of laws encourages the infringement of intellectual property.
true
A _____ law system is based on a detailed set of laws organized into codes.
civil
The purpose of a(n) ______ payment is to facilitate the performance of duties that a government has already obligated itself to do.grease
grease
Jenner is obtaining a patent for the new diet drink formulation he created. He hopes that Coca Cola and other companies will be interested in licensing his formula. Jenner is protecting his _____ property with the patent. Multiple choice question.
intellectual
The _____ often back(s) right-wing totalitarianism governments.
military
High levels of corruption in a country would tend to
reduce foreign direct investment.
What is a feature of contracts drafted under a common law system? Multiple choice question.
Contracts drafted under a common law system allow judges to interpret a dispute based on the prevailing situation
A country that bases its laws on the traditions within the country's legal history operates under a _____ law legal system.
Common
______ refers to a political system in which the citizens exercise power directly or elect representatives to form a governing body.
Democracy
Which law makes it illegal to bribe a foreign government official to obtain or maintain business over which that foreign official has authority?
FCPA
Select the accurate statement about intellectual property laws.
Intellectual property laws reward creativity and provide an incentive for people to search for novel ways of doing things.
Which statement best describes the United Nations Convention on Contracts for the International Sales of Goods (CISG)?
It governs international commercial contracts for the sale of goods.
Identify the accurate statement about individualism.
It stresses that society should be based on individual economic and political freedoms.
How are monopolies viewed in a market economy?
Monopolies are considered a negative force as they can restrict output and increase prices
The members of the World Intellectual Property Organization have signed international treaties designed to protect intellectual property, including the oldest such treaty known as the ______, which dates to 1883.
Paris Convention for the Protection of Industrial Property
______ set certain safety standards which a manufactured good must meet.
Product safety laws
