BUS280

Uncontrollable forces that management has no direct control over include: A) Political. B) Capital. C) Raw materials. D) Production.

A) Political.

The ________ replaced the institution of GATT while retaining all of the former GATT agreements. A) World Trade Organization B) Federation of International Trade Association C) Commonwealth of Nations D) International Monetary Fund

A) World Trade Organization

Which of the following philosophies asserts that ownership of the means of production belongs in the hands of individuals and private businesses? A) capitalism B) communism C) tribalism D) socialism

A) capitalism

Which of the following terms is used to refer to habits or ways of behaving in specific circumstances that are passed down through generations? A) customs B) attitudes C) prejudices D) aesthetics

A) customs

Which of the following refers to the use of computer networks to purchase, sell, or exchange products; service customers; and collaborate with partners? A) e-commerce B) telecommuting C) data virtualization D) virtual hosting

A) e-commerce

Opponents argue that globalization ________. A) eliminates manufacturing jobs in developed nations B) generates labor market flexibility in developed nations C) brings an end to practices like outsourcing D) slows down the employment rate in developing nations

A) eliminates manufacturing jobs in developed nations

Which of the following is referred to as the predecessor to WTO? A. GATT B. OPEC C. IMF D. World Bank

A. GATT

Advances in computers and communications technology are permitting an increased flow of ideas and information across borders. This enables: A) Manufacturing personnel to concentrate more on domestic production. B) Customers to learn about foreign goods. C) Sellers of products to travel to more locations worldwide in search of buyers. D) Advertisers to focus more on specific countries where demand is the greatest

B) Customers to learn about foreign goods.

________ are all goods and services sold abroad and sent out of a country. A) Net national products B) Exports C) Gross domestic products D) Imports

B) Exports

________ is defined as the dispersal of production activities to locations that help a company achieve its cost-minimization or quality-maximization objectives for a good or service. A) Global offering B) Globalization of production C) Global governance D) Globalization of markets

B) Globalization of production

________ is a system in which a supervisor walks an employee through every step of an assignment or task, monitoring the results at each stage. A) Situational attribution B) Situational management C) Social mobility D) Social stratification

B) Situational management

International trade occurs primarily because of: A) Price differences among nations. B) Supply and demand. C) Capitalism. D) None of the above.

B) Supply and demand.

Purchasing power parity is: A) The US dollar equivalent to buy a product outside of the US. B) The number of units of a currency required to buy the same amount of goods and services in the domestic market as one dollar would buy in the US. C) The foreign currency equivalent to buy a product in the US. D) None of the above.

B) The number of units of a currency required to buy the same amount of goods and services in the domestic market as one dollar would buy in the US

A folk custom can be defined as ________. A) behavior shared by a heterogeneous group or by several groups of people B) behavior, often dating back several generations, that is practiced by a homogeneous group of people C) positive or negative evaluations, feelings, and tendencies that individuals harbor toward objects or concepts D) positive or negative evaluations, feelings, and tendencies that individuals harbor toward themselves

B) behavior, often dating back several generations, that is practiced by a homogeneous group of people

Which of the following refers to convergence in buyer preferences in markets around the world? A) heterogenization of markets B) globalization of markets C) segmentation of markets D) nationalization of markets

B) globalization of markets

Globalization is characterized by ________. A) the demise of democracy within a nation B) national boundaries becoming less relevant C) the fortification of trade barriers D) rigid foreign relations policies

B) national boundaries becoming less relevant

Which of the following terms is used to refer to the process of ranking people into social layers or classes? A) social transformation B) social stratification C) social loafing D) social mobility

B) social stratification

Which of the following is defined as a group of people who share a unique way of life within a larger, dominant culture? A) macroculture B) subculture C) cultural universal D) monoculture

B) subculture

11) Which of the following is an example of globalization of production? A) Canadian consumers who import food products from Australia B) A German company which sells car components to British car makers C) A U.S. company that builds a computer hardware manufacturing facility in India D) A Swiss watch manufacturer that builds a manufacturing facility in Switzerland

C) A U.S. company that builds a computer hardware manufacturing facility in India

The capacity of a nation to produce more of a good with the same amount of input than another country is known as: A) Competitive advantage. B) Perfect competition. C) Absolute advantage. D) Economies of scale.

C) Absolute advantage.

NAFTA's purpose is to: A) Create an economic union of the member countries. B) Create a political union of the member countries. C) Eliminate trade barriers among the member countries. D) Allow for the free movement of people, goods and services among the member countries.

C) Eliminate trade barriers among the member countries.

________ is the trend toward greater economic, cultural, political, and technological interdependence among national institutions and economies. A) Privatization B) Heterogenization C) Globalization D) Decentralization

C) Globalization

Any commercial transaction that crosses the borders of two or more nations is known as ________. A) domestic marketing B) market segmentation C) international business D) global manufacturing

C) International business

One of management's goals is utilizing economies of scale to reduce unit costs. Which of the following would not necessarily result in economics of scale being realized? A) Globalizing product lines to reduce development costs. B) Locating production in countries where the costs of the factors of production are lower. C) Locating production in countries where the labor force is the most highly educated. D) Globalizing product lines to reduce production and inventory costs.

C) Locating production in countries where the labor force is the most highly educated.

________ place limits on the quantity of a product being imported. A) Embargoes B) Trade blocs C) Nontariff barriers D) Anti-dumping duties

C) Nontariff barriers

The rise of a new international entity called the ________ suggests that any company, regardless of age, experience, and resources, can engage in international business. A) transnational corporation B) multinational corporation C) born global firm D) global firm

C) born global firm

The practice of exchanging rings at weddings, which was initially a pagan ritual, is now followed by most people across the world. Which of the following does this illustrate? A) cultural literacy B) cultural encoding C) cultural diffusion D) cultural lag

C) cultural diffusion

Which of the following refers to the process by which cultural traits spread from one culture to another? A) cultural heterogeneity B) cultural imperialism C) cultural diffusion D) cultural literacy

C) cultural diffusion

The value of all goods and services produced by a country's domestic and international activities over a one-year period is the country's ________. A) gross domestic product (GDP) B) gross world product (GWP) C) gross national product (GNP) D) gross state product (GSP)

C) gross national product (GNP)

Which of the following terms is used to refer to the positive or negative evaluations, feelings, and tendencies that individuals harbor toward objects or concepts? A) customs B) attitudes C) traditions D) values

C) traditions

the most common definition of globalization is that of: A) Political globalization - the international integration of political laws and customs. B) Geographical globalization - the international integration of countries in geographical proximity to one another. C) Cultural globalization - the international integration of people with similar cultural characteristics. D) Economic globalization - the international integration of goods, technology, labor, and capital.

D) Economic globalization - the international integration of goods, technology, labor, and capital

________ is increasing the pace of both cultural diffusion and cultural change. A) Collectivism B) Enculturation C) Fundamentalism D) Globalization

D) Globalization

Which of the following is a characteristic of a developing nation? A) Unequal distribution of income with a very large middle class. B) Very few firms employing the latest technology. C) Undisguised unemployment or underemployment. D) High rate of illiteracy and insufficient educational facilities.

D) High rate of illiteracy and insufficient educational facilities.

Which of the following is a cultural component that implies gauging the beauty and appeal of artwork? A) customs B) mores C) folkways D) aesthetics

D) aesthetics

Arguments for trade restrictions include: A) National defense. B) Protection of infant industries. C) Unfair competition. D) all of the above.

D) all of the above.

Frequently, a firm will go abroad to: A) Protect its home market. B) Earn greater profits. C) Test market a product. D) all of the above.

D) all of the above.

Which of the following terms refers to the forced transfer of assets from a company to the government without compensation? A) expropriation B) nationalism C) nationalization D) confiscation

D) confiscation

A(n) ________ is anything that represents a culture's way of life, including gestures, material objects, traditions, and concepts. A) social structure B) social status C) cultural baggage D) cultural trait

D) cultural trait

A major flaw of the original General Agreement on Tariffs and Trade (GATT) was that it lacked the power to ________. A) displace the WTO B) reduce nontariff barriers to international trade C) govern exchange rates D) enforce world trade rules

D) enforce world trade rules

Globalization is criticized because it ________. A) does not generate labor market flexibility in developing nations B) prevents developed countries from outsourcing work to developing nations C) creates fewer manufacturing jobs in developing nations D) exploits workers in low-wage nations

D) exploits workers in low-wage nations

Goods and services purchased abroad and brought into a country are called ________. A) gross domestic products B) exports C) gross national products D) imports

D) imports

The purpose of the General Agreement on Tariffs and Trade (GATT) was to ________. A) create an international currency B) regulate exchange rates C) create regional trade organizations D) promote free trade

D) promote free trade

Which of the following terms is used to refer to the ideas, beliefs, and customs to which people are emotionally attached? A) attitudes B) memetics C) aesthetics D) values

D) values

A major operating objective that may induce companies to engage in international business is _____? A. To expand sales B. To maximize risk C. To acquire competitors D. None of the above

D. None of the above

Cultural homogeneity refers to — A. adaptation to the local culture B. cross-cultural movements C. inter-cultural movements D. cultural uniformity

D. cultural uniformity

A business that has direct investments (in the form of marketing or manufacturing subsidiaries) abroad in several countries is called a ________.

Multinational corporation

Globalization consists of the following processes except: a) political process b) environmental process c) social process d) economic process

b) environmental process

All of the following are objectives of international business operations except for: a) sales expansion b) resource acquisition c) locally expanding d) risk minimization

c) locally expanding