The document contains a set of 30 multiple choice questions related to international business and foreign exchange economics. The questions cover topics such as ways to enter foreign markets, the focus of IHRM studies, typical government policies on imports and exports, what receipts from international tourism count as, largest trading nations, definitions of licensing and joint ventures, components of a country's balance of payments, factors driving companies to pursue direct investment, organizations that provide loans to developing countries, analyses companies conduct before expanding internationally, examples of different strategies and alliances companies use, and definitions of terms like ISO, MNC, WTO, and non-tariff barriers to trade. The document also provides the answers to each multiple choice question.
The document contains a set of 30 multiple choice questions related to international business and foreign exchange economics. The questions cover topics such as ways to enter foreign markets, the focus of IHRM studies, typical government policies on imports and exports, what receipts from international tourism count as, largest trading nations, definitions of licensing and joint ventures, components of a country's balance of payments, factors driving companies to pursue direct investment, organizations that provide loans to developing countries, analyses companies conduct before expanding internationally, examples of different strategies and alliances companies use, and definitions of terms like ISO, MNC, WTO, and non-tariff barriers to trade. The document also provides the answers to each multiple choice question.
The document contains a set of 30 multiple choice questions related to international business and foreign exchange economics. The questions cover topics such as ways to enter foreign markets, the focus of IHRM studies, typical government policies on imports and exports, what receipts from international tourism count as, largest trading nations, definitions of licensing and joint ventures, components of a country's balance of payments, factors driving companies to pursue direct investment, organizations that provide loans to developing countries, analyses companies conduct before expanding internationally, examples of different strategies and alliances companies use, and definitions of terms like ISO, MNC, WTO, and non-tariff barriers to trade. The document also provides the answers to each multiple choice question.
The document contains a set of 30 multiple choice questions related to international business and foreign exchange economics. The questions cover topics such as ways to enter foreign markets, the focus of IHRM studies, typical government policies on imports and exports, what receipts from international tourism count as, largest trading nations, definitions of licensing and joint ventures, components of a country's balance of payments, factors driving companies to pursue direct investment, organizations that provide loans to developing countries, analyses companies conduct before expanding internationally, examples of different strategies and alliances companies use, and definitions of terms like ISO, MNC, WTO, and non-tariff barriers to trade. The document also provides the answers to each multiple choice question.
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Multiple Choice Questions Set 2 International Business Environment and Foreign Exchange Economics
1. The simplest way to enter a foreign market is through ________. a. Direct investment b. Joint venturing c. Contract manufacturing d. Exporting 2. IHRM is an area of academic study which focuses on: a. Comparative research b. The movement of individuals across national boundaries c. The exchange of ideas and practices d. The policies and practices of MNC's 3. Which of the following statements best describes the typical behaviour of national governments towards imports and exports? a. Exports are encouraged; imports are discouraged. b. Both exports and imports are discouraged. c. Imports are encouraged; exports are discouraged. d. Both exports and imports are encouraged. 4. For destination countries, receipts from international tourism count as: a. Exports. b. Imports. c. Both imports and exports. d. None of the above. 5. Which of the following is true? a. The United States is the world's largest importer and the largest exporter. b. The Japan is the world's largest importer and the US is the world's largest exporter. c. The United States is the world's largest importer and China is the world's largest exporter. d. The United States is the world's largest importer and the Japan is the world's largest exporter. 6. An arrangement in which one company allows another company to use its name, products, patents, brands, trademarks, raw materials, and/or production processes in exchange for a royalty is called a. licensing. b. a joint venture. c. direct investment. d. a trading company. e. importing. 7. The balance of payments includes which of the following?
a. b. c. d. e.
a country's balance of trade foreign investments foreign aid tourist expenditures all of the above
8. Companies that want more control and are willing to invest considerable resources in a. trading company b. licensing c. direct investment d. contract manufacturing e. exporting 9. Which of the following organizations was established by industrialized nations to loan money to underdeveloped and developing countries? a. OPEC b. NAFTA c. The World Bank d. The IMF e. The United Nations 10. Before moving outside their own borders, companies must conduct a. internal audits. b. TQM programs. c. language seminars. d. joint ventures. e. environmental analyses. 11. When Colgate-Palmolive developed a hand-powered washing machine for households in LDCs that do not have electricity, Colgate-Palmolive was following a a. multinational strategy. b. strategic alliance. c. marketing strategy. d. globalization strategy. e. joint venture. 12. When IBM and Apple joined together in hopes of obtaining a competitive advantage on a worldwide basis, this exemplified a a. cartel. b. joint venture. c. direct investment. d. strategic alliance. e. contract manufacturing deal. 13. Wendy's, Pizza Hut, and McDonald's are well-known ____ with international visibility. a. franchisers b. trading companies c. joint ventures
d. contract manufacturers e. strategic alliances 14. Subsidiaries consider regional environment for policy / Strategy formulation is known as a. Polycentric Approach b. Regiocentric Approach c. Ethnocentric Approach d. Geocentric Approach e. Multicentric Approach 15. According to this theory the holdings of a country's treasure primarily in the form of gold constituted its wealth. a. Gold Theory b. Ricardo Theory c. Mercantilism d. Hecksher Theory 16. The Theory of Relative Factor Endowments is given by a. David Ricardo b. Adam Smith c. F W Taussig d. Ohlin and Hecksher 17. Capitalistic, communistic and mixed are the types of a. Economic System b. Social System c. Cultural Attitudes d. Political System 18. Which is not an Indian Multinational Company? a. Hindusthan Unilever b. Asian Paints c. Piramal d. Wipro 19. Which of the following is not a force in the Porter Five Forces model? a. Buyers b. Suppliers c. Complementary Products d. Industry rivalry 20. In some countries the ratio of older people to total population is rising rapidly. This is important to business because: a. It could lead to a falling tax burden. b. It will increase the supply of labour. c. It could change the pattern of demand for goods and services d. It could increase economic growth.
21. The abolition of the Gold Control Act in 1992, allowed large import houses to import gold freely. This will a. Increase the price of imported Gold. . b. Decrease the price of imported Gold. c. Have no effect on the price of gold. d. Decreased the quality of gold imported. 22. ISO stands for a. International organization for standardization b. International states organization c. International Swiss organization d. International quality organization 23. MNC stands for a. Multinational companies b. Multi nation cooperation c. Multi nation culture d. Mutual northern committee 24. When two companies join hands to manufacture new products it is called as a. Merger b. Joint venture c. Acquisition d. Production agreement 25. WTO stands for a. World technology association b. World time organization c. World trade organization d. World tourism organization 26. Restrictions to trade also include non-tariff barriers, such as_____ and _____. a. Taxes, Tariffs b. Legislation, Quotas c. Duty, Fee d. Subsidies, Taxes
27. Which of the following was not identified in class as a driving force behind globalization? a. Advances in transportation b. Advances in communication and transportation technology c. Lower barriers to trade d. Lower interest rates 28. Dumping refers to: a. Exporting products no one in the producing country wants b. Exporting products at a price below the cost of production c. Exporting only the lowest quality products d. Tossing unwanted cargo into the ocean during transport 29. The price of one country's currency in terms of another a. the exchange rate. b. the interest rate. c. the Dow Jones industrial average. d. none of the above. 30. The WTO was established by the ____________of multilateral trade negotiations. a. Kennedy Round b. Tokyo Round c. Uruguay Round d. Dillon Round
Multiple Choice Questions Answers to Set 2 International Business Environment and Foreign Exchange Economics 1. The simplest way to enter a foreign market is through ________. e. Direct investment f. Joint venturing g. Contract manufacturing h. Exporting 2. IHRM is an area of academic study which focuses on: e. Comparative research f. The movement of individuals across national boundaries g. The exchange of ideas and practices h. The policies and practices of MNC's 3. Which of the following statements best describes the typical behaviour of national governments towards imports and exports? e. Exports are encouraged; imports are discouraged. f. Both exports and imports are discouraged. g. Imports are encouraged; exports are discouraged. h. Both exports and imports are encouraged. 4. For destination countries, receipts from international tourism count as: e. Exports. f. Imports. g. Both imports and exports. h. None of the above. 5. Which of the following is true? e. The United States is the world's largest importer and the largest exporter. f. The Japan is the world's largest importer and the US is the world's largest exporter. g. The United States is the world's largest importer and China is the world's largest exporter. h. The United States is the world's largest importer and the Japan is the world's largest exporter. 6. An arrangement in which one company allows another company to use its name, products, patents, brands, trademarks, raw materials, and/or production processes in exchange for a royalty is called f. licensing. g. a joint venture. h. direct investment. i. a trading company. j. importing.
7. The balance of payments includes which of the following? f. a country's balance of trade g. foreign investments h. foreign aid i. tourist expenditures j. all of the above 8. Companies that want more control and are willing to invest considerable resources in f. trading company g. licensing h. direct investment i. contract manufacturing j. exporting 9. Which of the following organizations was established by industrialized nations to loan money to underdeveloped and developing countries? f. OPEC g. NAFTA h. The World Bank i. The IMF j. The United Nations 10. Before moving outside their own borders, companies must conduct f. internal audits. g. TQM programs. h. language seminars. i. joint ventures. j. environmental analyses. 11. When Colgate-Palmolive developed a hand-powered washing machine for households in LDCs that do not have electricity, Colgate-Palmolive was following a f. multinational strategy. g. strategic alliance. h. marketing strategy. i. globalization strategy. j. joint venture. 12. When IBM and Apple joined together in hopes of obtaining a competitive advantage on a worldwide basis, this exemplified a f. cartel. g. joint venture. h. direct investment. i. strategic alliance. j. contract manufacturing deal. 13. Wendy's, Pizza Hut, and McDonald's are well-known ____ with international visibility. f. franchisers g. trading companies
h. joint ventures i. contract manufacturers j. strategic alliances 14. Subsidiaries consider regional environment for policy / Strategy formulation is known as f. Polycentric Approach g. Regiocentric Approach h. Ethnocentric Approach i. Geocentric Approach j. Multicentric Approach 15. According to this theory the holdings of a country's treasure primarily in the form of gold constituted its wealth. e. Gold Theory f. Ricardo Theory g. Mercantilism h. Hecksher Theory 16. The Theory of Relative Factor Endowments is given by e. David Ricardo f. Adam Smith g. F W Taussig h. Ohlin and Hecksher 17. Capitalistic, communistic and mixed are the types of e. Economic System f. Social System g. Cultural Attitudes h. Political System 18. Which is not an Indian Multinational Company? e. Hindusthan Unilever f. Asian Paints g. Piramal h. Wipro 19. Which of the following is not a force in the Porter Five Forces model? e. Buyers f. Suppliers g. Complementary Products h. Industry rivalry 20. In some countries the ratio of older people to total population is rising rapidly. This is important to business because: e. It could lead to a falling tax burden. f. It will increase the supply of labour. g. It could change the pattern of demand for goods and services h. It could increase economic growth.
21. The abolition of the Gold Control Act in 1992, allowed large import houses to import gold freely. This will a. Increase the price of imported Gold. . b. Decrease the price of imported Gold. c. Have no effect on the price of gold. d. Decreased the quality of gold imported. 22. ISO stands for a. International organization for standardization b. International states organization c. International Swiss organization d. International quality organization 23. MNC stands for a. Multinational companies b. Multi nation cooperation c. Multi nation culture d. Mutual northern committee 24. When two companies join hands to manufacture new products it is called as a. Merger b. Joint venture c. Acquisition d. Production agreement 25. WTO stands for a. World technology association b. World time organization c. World trade organization d. World tourism organization 26. Restrictions to trade also include non-tariff barriers, such as_____ and _____. a. Taxes, Tariffs b. Legislation, Quotas c. Duty, Fee d. Subsidies, Taxes
27. Which of the following was not identified in class as a driving force behind globalization? a. Advances in transportation b. Advances in communication and transportation technology c. Lower barriers to trade d. Lower interest rates 28. Dumping refers to: a. Exporting products no one in the producing country wants b. Exporting products at a price below the cost of production c. Exporting only the lowest quality products d. Tossing unwanted cargo into the ocean during transport 29. The price of one country's currency in terms of another a. the exchange rate. b. the interest rate. c. the Dow Jones industrial average. d. none of the above. 30. The WTO was established by the ____________of multilateral trade negotiations. a. Kennedy Round b. Tokyo Round c. Uruguay Round d. Dillon Round
