BUSA TEST

________ is the belief that national prosperity is the result of a positive balance of trade, achieved by maximizing exports and minimizing imports.

Mercantilism

Rosa Suarez reported on her analysis of cross-cultural risks involved with establishing the plant in Country C. Each of the following was most likely discussed in her report except ________

The level of national debt

Which of the following stages comes before procurement in a firm's value chain?

research & development

Which of the following represents the final stage in a firm's value chain?

sales and service

The most direct implication of market globalization is on the firm's

value chain

Born global firms are ________.

young companies that internationalize early in their evolution

Which of the following is not an example of a cross-cultural risk factor

Costs of production

Which of the following statements is true about the firm-level consequences of market globalization?

Globalization drives firms to relocate key value-adding activities to the most advantageous locations around the world.

Fluctuating exchange rates are an example of which of the following

Currency Risk

Business dealings in low-context cultures are characterized by which of the following?

Efficient negotiations

Each of the following has contributed to the rapid growth of trade among nations EXCEPT

The increase in trade barriers

Over time, the GATT evolved into the ________.

World Trade Organization

Polycentric orientation refers to

a host-country mind-set in which the manager develops a strong affinity with the country in which she or he conducts business

The Gulf nations benefit economically from rich petroleum reserves in the region. This is an example of

comparative advantage

As part of opening manufacturing units abroad, a U.S. apparel firm decided to send its apparel production coordinator Chris to Bangladesh. Chris is distressed that people don't come to meetings on time and finds it disrespectful when his team members stand too close to him. Chris may trigger a cross-cultural risk by a(n)

ethnocentric orientation

Using one's own culture as a standard for judging other cultures is known as

ethnocentric orientation

Titania is a country characterized by a high-context culture. This implies that

personal relations and goodwill are valued in Titania

A value chain is ________.

the sequence of value-adding activities performed by a firm in the course of developing, producing, marketing, and servicing a product