Business Exam Chapter 4
true or false. A multinational corporation typically receives more than 25 percent of its total sales revenues from operations inside the parent's home country.
false
true or false. Culture shock refers to a persons ability to use reasoning and observation skills to interpret unfamiliar gestures and situations and devise appropriate behavioral responses.
false
true or false. Ethnocentrism refers to a natural tendency of people to regard their own culture as inferior to other cultures.
false
true or false. Fifteen member states of the EU have adopted the rupee, as a single European currency.
false
true or false. German, Swiss, and North American cultures are among the high-context cultures.
false
true or false. Market risk is defined as the risk of loss of assets, earning power, or managerial control due to politically based events or actions by host governments.
false
true or false. The primary emphasis of poly centric is on their home countries.
false
true or false. The term top of the pyramid refers to the more than four billion people who earn the least, as defined by per capita income.
false
The extent to which trade and investments, information, social and cultural ideas, and political cooperation flow between countries is called _____.
globalization
Companies that think _____ have a competitive edge.
globally
true or false. An MNC is managed as an integral worldwide business system.
true
true or false. Business has become a unified, global field and events and ideas that influence organizations in one country are likely to influence organizations in other countries as well.
true
true or false. Geocentric companies are truly world-oriented and favor no specific country.
true
true or false. Large international firms typically are called multinational corporations.
true
How many nations signed on for negotiation when GATT was created in 1947?
23
Today's companies compete in a _____.
borderless world
The Digitec company has recently decided to design and manufacture a laptop that retails for under $50, in an effort to make information technology available to people in places like rural Africa and rural India. This is known as what type of strategy?
bottom of the pyramid strategy