Tp 11mba Mbaib02 Swa 2
10
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 ac ross nat ional boun daries c. The ex change of ideas a nd p ractices d. The po licies and p ractices of MNC's 3. Which of the following statements best describes the typical behaviour of national governments towards imports and exports? a. Exports are encou raged; imports are discouraged. b. Both ex ports and imports are discouraged. c. Imports are e ncouraged; 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 th e largest ex porter. b. The Japan is the world's largest importer and the US is the world's larges t exporter. c. The United States is the world's largest importer and Ch ina is the world's larges t exporter. d. The United States is the world's larges t importer and the J apan is the w orld's largest exporter. 6. An arr angement 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?
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Transcript of Tp 11mba Mbaib02 Swa 2
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Multiple Choice QuestionsSet 2
International Business Environment and Foreign Exchange Economics
1. The simplest way to enter a foreign market is through ________.a. Direct investmentb. Joint venturingc. Contract manufacturingd. Exporting
2. IHRM is an area of academic study which focuses on:a. Comparative researchb. The movement of individuals across national boundariesc. 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 nationalgovernments 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 inexchange 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?
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a. a country's balance of tradeb. foreign investmentsc. foreign aidd. tourist expenditurese. all of the above
8. Companies that want more control and are willing to invest considerableresources in
a. trading companyb. licensingc. direct investmentd. contract manufacturinge. exporting
9. Which of the following organizations was established by industrialized nations toloan money to underdeveloped and developing countries?
a. OPECb. NAFTAc. The World Bankd. The IMFe. The United Nations
10. Before moving outside their own borders, companies must conducta. internal audits.b. TQM programs.c. language seminars.d. joint ventures.e. environmental analyses.
11. When Colgate-Palmolive developed a hand-powered washing machine forhouseholds 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 competitiveadvantage on a worldwide basis, this exemplified aa. 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 internationalvisibility.
a. franchisers
b. trading companiesc. joint ventures
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d. contract manufacturerse. strategic alliances
14. Subsidiaries consider regional environment for policy / Strategy formulation isknown as
a. Polycentric Approachb. Regiocentric Approachc. Ethnocentric Approachd. Geocentric Approache. Multicentric Approach
15. According to this theory the holdings of a country's treasure primarily in the formof gold constituted its wealth.
a. Gold Theoryb. Ricardo Theoryc. Mercantilism
d. Hecksher Theory
16. The Theory of Relative Factor Endowments is given bya. David Ricardob. Adam Smithc. F W Taussigd. Ohlin and Hecksher
17. Capitalistic, communistic and mixed are the types ofa. Economic Systemb. Social Systemc. Cultural Attitudesd. Political System
18. Which is not an Indian Multinational Company?a. Hindusthan Unileverb. Asian Paintsc. Piramald. Wipro
19. Which of the following is not a force in the Porter Five Forces model?
a. Buyersb. Suppliersc. Complementary Productsd. 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 servicesd. It could increase economic growth.
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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. Mergerb. 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
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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
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Multiple Choice QuestionsAnswers to Set 2
International Business Environment and Foreign ExchangeEconomics
1. The simplest way to enter a foreign market is through ________.e. Direct investmentf. Joint venturingg. Contract manufacturingh. Exporting
2. IHRM is an area of academic study which focuses on:e. Comparative researchf. The movement of individuals across national boundaries
g. The exchange of ideas and practicesh. The policies and practices of MNC's
3. Which of the following statements best describes the typical behaviour of nationalgovernments 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'slargest 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 inexchange for a royalty is called
f. licensing.g. a joint venture.h. direct investment.i. a trading company.
j. importing.
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7. The balance of payments includes which of the following?f. a country's balance of tradeg. foreign investmentsh. foreign aidi. tourist expenditures
j. all of the above
8. Companies that want more control and are willing to invest considerableresources in
f. trading companyg. licensingh. direct investmenti. contract manufacturing j. exporting
9. Which of the following organizations was established by industrialized nations to
loan money to underdeveloped and developing countries?f. OPECg. NAFTAh. The World Bank
i. The IMF j. The United Nations
10. Before moving outside their own borders, companies must conductf. internal audits.g. TQM programs.h. language seminars.i. joint ventures. j. environmental analyses.
11. When Colgate-Palmolive developed a hand-powered washing machine forhouseholds 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 competitiveadvantage 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 internationalvisibility.
f. franchisersg. trading companies
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h. joint venturesi. contract manufacturers j. strategic alliances
14. Subsidiaries consider regional environment for policy / Strategy formulation is
known asf. Polycentric Approachg. Regiocentric Approachh. Ethnocentric Approachi. Geocentric Approach j. Multicentric Approach
15. According to this theory the holdings of a country's treasure primarily in the formof gold constituted its wealth.
e. Gold Theoryf. Ricardo Theory
g. Mercantilismh. Hecksher Theory
16. The Theory of Relative Factor Endowments is given bye. David Ricardof. Adam Smith g. F W Taussigh. Ohlin and Hecksher
17. Capitalistic, communistic and mixed are the types ofe. Economic Systemf. Social Systemg. Cultural Attitudesh. Political System
18. Which is not an Indian Multinational Company?e. Hindusthan Unileverf. Asian Paintsg. Piramalh. Wipro
19. Which of the following is not a force in the Porter Five Forces model?e. Buyersf. Suppliersg. Complementary Productsh. 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.
8/13/2019 Tp 11mba Mbaib02 Swa 2
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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. Mergerb. 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
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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
