HW: ch1

Britain was the world's leading manufacturing country for about 1,800 years, until it was replaced by the United States in the 1800s. T/F

F

The domestic environment is composed of all the uncontrollable forces originating in the ________ that surround and influence the life and development of the firm. international arena host nation home country foreign country

home country

What is an example of an internal force that can affect a company's environment? economic downturn availability of natural resources international competitors human resources

Human resources

The construction industry has joined the ranks of other industries and now carries out business across national borders. In other words, the construction industry has become a(n) foreign-owned company. domestic affiliate. international affiliate. international business.

international business.

External forces are commonly called uncontrollable forces, which are the external forces that management has no direct control over, although it can exert influence. T/F

T

The plague known as the Black Death moved west and affected more people as the international trading system expanded. T/F

T

Brennan Audio Inc. is struggling in the industry because it doesn't have the staff with the right skills for the job. Which category of external forces does this represent? labor physical technological legal

labor

What is identified in the text as being one of the five major drivers of globalization? monetary transportation cultural market

market

The argument that free trade is the best strategy for advancing the world's economic development is considered one of the most contentious issues associated with economic globalization one that has very little support in research studies. a proposition with which almost all economists agree. the basis for much protectionist legislation in emerging markets.

a proposition with which almost all economists agree.

An international business is defined as a(n) business whose activities involve crossing national borders organization with multicountry affiliates. organization that attempts to standardize operations worldwide. organization engaged in domestic trade.

business whose activities involve crossing national borders

One argument against globalization is that it creates a decline in socioeconomic development. better jobs. professional development. environmental conditions.

environmental conditions.

Gabriel Industries is located near a port city which allows it to ship products easily overseas to its international customers. The geographic location of the company is an example of a(n) sociocultural commodity. labor standard. external force. internal force

external force

The five major drivers of international business include political, sociocultural, technological, market, and competitive drivers. Group True or False

flase

The forces in the foreign environment differ from the domestic environment in that they originate concurrently in the home and host country. in the firm's home country. in only the host country. outside the firm's home country.

outside the firm's home country.

Kendall was recently assigned to a management role in his company's overseas operation. He has been taken off guard several times when his employees responded negatively because they said he didn't take their culture into consideration when he made decisions. His employees are referring to a: self-reference criterion. production orientation. self-fulfilling prophecy. marketing orientation.

self-reference criterion.

The kinds of forces in the foreign environment are ________ those in the domestic environment except that they occur in foreign nations. different from the same as less demanding than more stringent than

the same as

International business really began: with the East India Company chartered in 1600. when Singer Sewing Machine put up a factory in Scotland in 1868. when Phoenician and Greek merchants sent representatives abroad to sell goods. when Colt Fire Arms set up a plant in England.

when Phoenician and Greek merchants sent representatives abroad to sell goods.

Opponents of free trade point out that globalization has contributed to a decline in environmental and health conditions. True or False

True

What is an example of the competitive driver of international business activity? a manufacturing company that lobbies its home country government for protection against imports a company that expands its local manufacturing facility in a foreign country in order to qualify for tax rebates a company that searches for markets with rising gross domestic product per capita and population growth a company that enters a foreign market to distract companies with similar products or services

a company that enters a foreign market to distract companies with similar products or services

An international company (IC) is a company headquartered in another nation. T/F

false