International Business UF – Flashcards
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Which of the following is a type of international investment that involves the purchase of foreign financial assets for a purpose other than control?
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Foreign portfolio investment
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The firms in which country pioneered just-in-time inventory?
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Japan
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Melanie works in the US selling computer hardware to a company in Germany. This is known as which of the following?
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Merchandise export
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Jason's company sells the rights to use its logo to a foreign company. This is an example of which of the following?
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International licensing
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Stephanie works for a company that has branches in more than 50 countries. Her company can best be described as which of the following?
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Multinational corporation
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Best describes the dif bw merchandise import and service import
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Merchandise import involves purchasing tangible items from a foreign company; service import involves purchasing intangible products from a foreign company.
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Jose's company agrees to operate facilities to a firm in another country for an agreed-upon fee. This is an example of which of the following?
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International management contract
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Which of the following is NOT a reason that has compelled firms to become more global?
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To improve the probability of being acquired.
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A country whose recent growth or prospects for future growth exceed that of traditional markets is known as which of the following?
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Emerging market
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BRIC
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Brazil, Russia, India, and China
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Which of the following is TRUE regarding international business expansion?
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International business expansion has led to an expansion of business activity into new markets previously insulated from the international marketplace.
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Which of the following cities holds importance as a major international financial center in today's financial world?
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London
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Who was the president of Russia when the country was forced to devalue the ruble in 1998?
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Yeltsin
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You are a natural resource importer looking for a large country that has a great deal of diamonds, natural gas, and minerals available for the market. Which is the best?
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Russia
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Which Middle East country has the largest economy in 2011 as measured by total GDP?
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Saudi Arabia
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Least to encounter high tariffs, trade barriers, and an enormous amount of red tape and regulation in order to set up a business?
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Chile
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Most populous country
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China
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Which of the following countries is a small market with a high-income World Bank statues?
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Monaco
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Not a member of the EU and Not adopted the Euro as its currency
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Switzerland
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Which of the following countries has most closely tried to emulate the economic path taken by post-WWI Japan?
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South Korea
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Four Tigers
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South Korea, Taiwan, Singapore and Hong Kong
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Your company wants to do business with both Taiwan and China, but you realize that the government of these two countries do not get along and will not work well with each other. Which of the following could best help your company moderate these problems?
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Hong Kong
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The most important challenge for China to face?
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Bridging the gap between urban and rural residents
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Chaebol
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South Korea
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The system used in Japan that is a family or large companies center around a bonk or trading company is
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Keiretsu
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Dominant religion of India
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Hinduism
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For much of the post-WWII period many South American countries followed what economic development policies
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Import substitution and export promotion
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Which Centeral American country has been the most successful in term of economic development
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Costa Rica
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Which of the following describes a principal difference between common law and civil law systems?
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Common law grows out of a collection of court rulings, whereas civil law is based on detailed written codes of law.
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Which of the following, if true, would MOST strengthen the argument for contract manufacturing?
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Jet does not want to assume too much risk, at least initially.
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Which of the following is the LEAST relevant question company managers need to examine?
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How will government investment incentive affect our bottom line?
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If a country attempts to control or regulate business activities outside of it borders, it is called...
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extra-territoriality
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have a third party hear the dispute and decide right and wrong
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Arbitration
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Regarding registration and protection of trademarks and brand names, many countries adhere to the principle know as...
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first to file
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Dual-use technologies have applications that can be used for which of the following?
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Civilian and military purposes
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Why do countries with access to advanced technology avoid selling their technology to countries with weak intellectual property laws?
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Advanced technology losses it market value if it is illegally copied and disseminated
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Which of the following country environment can MNCs NOT influence?
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Historical
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Which principal method of valuing inventory produces a clearer estimate of the value of the firm's existing inventories?
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FIFO
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Official accounts in companies' financial reports that record the company's foreseen future expenses are referred to as
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accounting reserves
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Which of the following is an example of a company exercising the accounting concept of "goodwill"?
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A Japanese media company purchases a competitor for more that its book value and writes off the excess payment
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Which of the following describes a key difference between US and German accounting practices?
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US firms' financial records are more transparent and reliable than German firms' records
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Which of the following acronyms stands for an agency that offers companies insurance against the political risk of foreign investments?
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OPIC
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It seizes the company, but offers you fair market value in cash for its assets. In which of the following had the country engaged?
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Expropriation
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Industry related hist
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micropolitical risk
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Which of the following describes a similarity between transfer risk and ownership risk?
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Both risk are directly related to governments either seizing businesses or their profits
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What subsidiary of the World Bank provides insurance against political risks?
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Multilateral Investment Guarantee Agency (MIGA)
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The potential for a government -imposed restriction on a company's capability to move funds bw countries is known as
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transfer risk
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Which of the following characteristics best describes when a culture changes in response to external factors?
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Adaptive
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On the 4th of July in the United States, most citizens have a cookout and attend a fireworks show or do fireworks at home. This is an example of which of the following characteristics of culture?
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Shared
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Which of the following is NOT a type of culture?
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Adaptive
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Which of the following is NOT a characteristic of culture?
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Culture is unchanging and immutable
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The process by which people not only understand a foreign culture, but also modify and adapt their behavior to make it compatible with the culture is called...
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acculturation
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The principles and standards accepted by members of a society are know as which of the following?
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Values
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Which of the following would indicate that expanding to Chine is a good decision
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research indicates that reaching new customers in domestic markets will be more expensive that doing so in emerging markets
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Which of the following would indicate that they should NOT expand into China?
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Chinese authorities impose lengthly delays on business seeking food licenses and often deny those licenses completely
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Which of the following has allowed people to learn about other culture firsthand?
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Low airfares
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Cathy is native english speaker
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english speakers feel little need to learn a second language
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The country that Extech Corp. decided to enter is one in which ling-term relationships, cultural clues, and understanding and emotions are important in doing business. This country's approach would best be described as...
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high-context culture
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Business people from which of the following countries are most likely to hide their emotions?
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Taiwan
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Which of the following best illustrates the difference bw the Japanese negotiating style and the Latin American negotiating style?
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Japanese negotiators are likely to make subtle power plays; Latin American negotiators are likely to exploit weaknesses
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Which of the following is NOT one of Hofstefe's dimensions of national culture?
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Cultural orientation
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In a culture in which people value material possesions, money, and assertiveness, where would you place then and on what Hofstede dimension
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High (aggressive) on the Goal Orientation dimension
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Which of the following describes an individual's personal beliefs about whether a decision, behavior, or action is right or wrong?
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Ethics
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Which of the following normally influences formal laws in a society?
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Social norms
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Which of the following is one way that workers from the Philippines obtain jobs in Asian factories?
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Labor brokers
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You are going to do business in foreign markets and need to determine which markets will require bribes to get through public officials so you can avoid them. Which of the following countries would you want to avoid?
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Kenya
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You are about to send some employees over to Russia and have decided to ensure that they are well versed in business customs and practices by teaching them the Russian language. Which company of you work for?
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British Petroleum
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You are a businessperson making decisions. What is likely your ultimate goal in this decision-making process?
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Profit-making
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Which of the following countries would be less likely to see gifts as a conflict of interest?
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Japan
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Which of the following would be a firm's social responsibly when operating in a global market?
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Safe work environment
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Which country conduct much business through guanxi?
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China
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What is a corporate social audit?
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An analysis of the effectiveness of the firm's social performance
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According to Dutch CSR experts, who are the three main groups in the formation of corporate social responsibility policies?
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The state, the market, and civil society
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Which of the following is one of the reasons diamonds from certain areas are termed "conflict diamonds"?
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Smugglers use the money from the sale of the diamonds to finance civil wars
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You are thinking about outsourcing some of your work to Bangladesh and need to know more about working conditions there. Which of the following is one organization that could help you with this?
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ILO
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Which of the following is a law that was passes by the US in 1977 to prohibit US firms, their employees, and agents acting on their behalf form paying of offering to pay bribes to any foreign government official in order to influence that official actions or policies of that individual to gain or retain business?
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FCPA
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Which country developed and first ratified the Anti-Bribery Convention of the Organization for Economic Cooperation and Development?
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Canada
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Which country's government passed the Bribery Act?
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Great Britain
