80 test bank for international management culture strategy and behavior 9th edition

Is the process of social, political, economic, cultural, and technological integration among countries around the world 4.. Mexico's government is pro-business The World Trade Organizati

Test Bank for International Management Culture Strategy and

Behavior 9th Edition

20 Test Bank True – False Questions

5 Test Bank Free Text Questions

55 Test Bank Multiple Choice Questions

Which of the following is true of India today? 

1. A It has a relatively small middle class

2 B Education levels tend to be low

3 C It is attractive to MNCs

4 D There is a distinct lack of government funds for economic development

The process of applying management concepts and

techniques in a multinational environment and adapting management practices to different economic, political, and cultural environments is: 

1. A Strategic management

2 B Internationalization

3 C Globalization

4 D International management

A method which adjusts GDP to account for different prices

in countries is called: 

1. A Cumulative distribution function

2 B Nominal GDP

3 C Current currency exchange rate

4 D Purchasing power parity

Globalization: 

1. A Is the growth of interstate trade, spurred on by the progress toward free-market policies

2 B Is the subcontracting of activities to endogenous organizations that had

previously been performed within the firm

3 C Is the process of social, political, economic, cultural, and technological

integration among countries around the world

4 D Is the process of a business crossing national and cultural borders

The emerging global community is becoming increasingly: 

1. A Socially isolated

2 B Economically interdependent

3 C Culturally interdependent

4 D Financially independent

The Goldman Sachs global economics team: 

1. A Estimates that Chile will occupy a dominant role in the global economic system and will surpass the United States in output by 2035

2 B Reports that the economic potential of Brazil, Russia, India, and China is such that they may constitute four of the top five most dominant economies by the year 2050

3 C Estimates that the BRIC economies' share of world growth could rise from 40 percent in 2000 to more than 70 percent in 2025

4 D Reports that Germany, followed by India a decade later, will overtake the United States as the world's largest car market

A factory located in a Mexican border town that imports

materials and equipment on a duty and tariff-free basis for assembly or manufacturing and re-exports is called a:

1. A Vertically integrated corporation

2 B Keiretsus

3 C Maquiladora

4 D Chaebols

Which country receives the most foreign direct investment (FDI) by U.S companies?

1. A Netherlands

2 B Mexico

3 C The United Kingdom

4 D Canada

A survey (reported in our textbook) of businesspeople from Argentina, Brazil, Chile, Columbia, and Venezuela found that the _ market, on average, was more important to their economic well-being than any other. 

1. A Mexican

2 B Japanese

3 C U.S

4 D European Union

The NAFTA agreement and the CAFTA-DR agreement are examples of: 

1. A Defunct bilateral agreements

2 B Regional trade agreements

3 C Plurilateral agreements

4 D Proposed bilateral agreements

The four other widely recognized powerhouses in Asia, in addition to Japan and China are: 

1. A South Korea, Hong Kong, Singapore and Taiwan

2 B Indonesia, South Korea, Japan and Taiwan

3 C Thailand, South Korea, Indonesia and Hong Kong

4 D Singapore, South Korea, Indonesia and Thailand

Which of the following statements is not true of Japan? 

1. A During the 1970s and 1980s, Japan's economic success had been without precedent

2 B During the 1970s and 1980s, the country had a huge positive trade balance, the yen was strong, and the country was recognized as the world leaders in

manufacturing and consumer goods

3 C Assumptions about the Japanese workforce have turned out to be more myth than reality, and some of the former strengths have become weaknesses in the new economy

4 D Japan's consensus decision-making system turns out to be very efficient and effective in the new speed-based economy

Identify the statement which is not true of Mexico. 

1. A When it joined NAFTA, Mexico was on the verge of becoming the major

economic power in Latin America

2 B Mexico has free-trade agreements with more than 50 countries

3 C Mexico's trade with Asia is declining

4 D Mexico's government is pro-business

The World Trade Organization (WTO) meeting in Doha in November of 2001 was referred to as: 

1. A The "Annecy Round"

2 B The "Development Round"

3 C The "Tokyo Round"

4 D The "Torquay Round"

The following are characteristics of the BRIC economies except: 

1. A Demand for higher priced goods is expected to continue to be low in the future

2 B The BRIC economies share of world growth is expected to rise to about 40 percent by 2025

3 C Per capita income in the BRIC countries is rising

4 D Demand for basic goods will be strong

In 2009, FDI inflows and outflows: 

1. A Nearly doubled

2 B Nearly tripled

3 C Fell substantially

4 D Remained fairly constant

Which of the following statements is true of the economic system of North America?

1. A The free-market-based economy of this region allows for more freedom in decision-making processes of private firms

2 B The command economy of this region allows for greater flexibility with decisions and low barriers for other countries to establish business

3 C The free-market-based economy of this region results in lowering barriers when attempting to move into other countries

4 D The command economy of this region allows competition to strive while the government can extend assistance to individuals or companies

The Trans-Pacific Partnership (TPP) currently includes: 

1. A Peru, the United States, and Vietnam

2 B Great Britain, New Zealand, and China

3 C India, Canada, and Australia

4 D Singapore, Russia, and Chile

A major development in South America is: 

1. A The implementation of the single currency and the regional central bank

2 B The growth of inter-country trade, spurred on by the progress toward free-market policies

3 C The privatization of traditionally nationalized industries

4 D The elimination of all trade barriers among member countries

Due to the stalled progress with the WTO and FTAA, the

United States has pursued _ with a range of countries, including, Australia, Bahrain, Chile, Colombia, Israel, Jordan, Malaysia, Morocco, Oman, Panama, Peru, and Singapore. 

1. A Plurilateral trade agreements

2 B Multilateral trade agreements

3 C Bilateral trade agreements

4 D Regional trade agreements

An organizational arrangement in Japan in which a large group of vertically integrated companies bound together by cross-ownership, interlocking directorates and social ties provide goods and services to end users is: 

1. A Vertically integrated corporation

2 B Keiretsus

3 C Maquiladora

4 D Chaebols

Which of the following countries was not among the world's

10 most competitive nations in 2013? 

1. A United States

2 B Singapore

3 C United Kingdom

4 D Norway

The World Trade Organization (WTO) meeting in Cancún in September of 2003 was led by: 

1. A India and Brazil

2 B The U.S and Japan

3 C The U.K and France

4 D EU members

Identify the statement false of China's economic condition. 

1. A China's GDP has remained strong, growing at 9.1 percent in 2009

2 B In 2012, China's GDP was 8 percent, despite the global economic crisis

3 C Trade relations between China and developed countries and regions, such as the United States and the EU, are lax

4 D Many believe that the value of the Chinese currency is kept artificially low, giving China an unfair advantage in selling exports

A _ exists when private enterprise reserves the right to own property and monitor the production and distribution of goods and services while the state simply supports

competition and efficient practices. 

1. A Command economy

2 B Market economy

3 C Mixed economy

4 D Socialist economy

In the early 1990s, _ had recovered from its economic problems of the previous decade and become the strongest economy in Latin America. 

1. A Brazil

2 B Argentina

3 C Mexico

4 D Chile

Antiglobalization activists: 

1. A Contend that even within the developing world, it is protectionist policies, not trade and investment liberalization, that result in environmental and social damage

2 B Believe globalization will force higher-polluting countries such as China and Russia into an integrated global community that takes responsible measures to protect the environment

3 C Assert that if corporations are free to locate anywhere in the world, the world's poorest countries will relax or eliminate environmental standards and social

services in order to attract first-world investment and the jobs and wealth that come with it

4 D Believe that industrialization will create wealth that will enable new industries to employ more modern, environmentally friendly technology

A _ is comparable to a monopoly in the sense that the organization, in this case the government, has explicit

control over the price and supply of a good or service.

1. A Command economy

2 B Market economy

3 C Mixed economy

4 D Socialist economy

The term used to indicate the amount invested in property, plant, and equipment in another country is: 

1. A Exporting

2 B Foreign direct investment

3 C Importing

4 D Trade imperfection

The FDI is estimated to reach _ in 2014. 

1. A An amount greater than that reached in 2007, which was an all-time high

2 B A new low due to political instability and uncertain markets

3 C The same level as it did in 2011

4 D A small decrease because of the greater transportation costs due to oil prices

The subcontracting or contracting out of activities to

external organizations that had previously been performed

by the firm is called: 

1. A Homesourcing

2 B Insourcing

3 C Offshoring

4 D Outsourcing

In 2011, global merchandise exports and global commercial services exports: 

1. A Reached a record high

2 B Declined for the first time since 1983

3 C Remained fairly consistent

4 D Decreased by almost 50 percent

Which form of social media is not known for significantly changing how consumers search for products and

services? 

1. A Linkdin

2 B Epicurious

3 C Facebook

4 D Twitter

The global organization of countries that oversees rules and regulations for international trade and investment, including agriculture, intellectual property, services, competition and subsidies is the: 

1. A WTO

2 B NAFTA

3 C WIPO

4 D ITO

The process by which companies undertake some activities

at offshore locations instead of in their countries of origin is: 

1. A Homesourcing

2 B Insourcing

3 C Offshoring

4 D Globalization

The ultimate objective of the EU is to: 

1. A Develop separate custom duties for member countries

2 B Eliminate all trade barriers among member countries

3 C Have a single government that represents all EU countries

4 D Increase imports into EU countries

A free-trade agreement among the United States, Canada, and Mexico that has removed most barriers to trade and investment is: 

1. A AFTA

2 B CEFTA

3 C CAFTA

4 D NAFTA

The United States, Canada and Mexico make up the _, which in essence has removed all barriers to trade between these countries and created a huge North American market. 

1. A General Agreement on Tariffs and Trade

2 B North American Common Market

3 C North American Free Trade Agreement

4 D North American Trade Union

Which of the following statements is false with regard to a mixed economy? 

1. A Regulations concerning minimum wage standards, social security, environmental protection and the advancement of civil rights may raise the standard of living

2 B Ownership of organizations seen as imperative to the nation may be transferred

to the state to subsidize costs and allow the firm to flourish

3 C Regulations concerning minimum wage standards, social security, environmental protection and the advancement of civil rights ensure that those who are elderly, sick or have limited skills are taken care of

4 D Businesses in this model are owned by the state to ensure that investments and practices are done in the best interest of the nation despite the often opposing outcomes

The United States holds a dominant position in all of the following industries except:

1. A telecommunications

2 B biotechnology

3 C media

4 D textiles

The former communist countries that have become most visible in the international arena include: 

1. A Romania, Poland and Bulgaria

2 B Czech Republic, Bulgaria and Poland

3 C Hungary, Romania and Albania

4 D Poland, Hungary and the Czech Republic

Identify the statement that is false of globalization. 

1. A It can be defined as the process of social, political, economic, cultural, and technological integration among countries around the world

2 B It is the process of a business crossing national and cultural borders

3 C Evidence of globalization can be seen in increased levels of trade, capital flows, and migration

4 D It has been facilitated by technological advances in transnational

communications, transport, and travel

Identify the country that is projected to contribute the most

to global growth between 2006 and 2020. 

1. A China

2 B India

3 C Indonesia

4 D Brazil

Which of the following statements about social media is

untrue? 

1. A Social networks have rapidly diffused from the United States and Europe to every region of the world

2 B Social media networks have accelerated technological integration among the nations of the world

3 C Social media such as Facebook are powerful, but they cannot leverage networks

to achieve greater success

4 D Social networks serve as inexpensive, effective means of marketing directly to businesses' target audiences

Which of the following observations about NAFTA is

incorrect? 

1. A Mexican businesses are finding themselves able to take advantage of the U.S market by producing goods that were previously purchased from Asia

2 B Mexican firms are now able to produce products at highly competitive prices thanks to lower-cost labor and proximity to the American market

3 C Mexican firms can now export goods into the European community only by paying a heavy tariff

4 D Mexico's trade with Asia is on the rise, which is important to the country as it wants to reduce its overreliance on the U.S market

Despite setbacks, _ remains a formidable international competitor and is well poised in all three major economic regions: the Pacific Rim, North America and Europe. 

1. A Japan

2 B Chile

3 C China

4 D Argentina

To qualify as a multinational corporation, a firm must meet all of the following criteria except: 

1. A Operations in more than one country

2 B International sales

3 C A nationality mix of managers and owners

4 D Sales of at least one million dollars per year

Agreements like NAFTA and CAFTA: 

1. A Not only reduce barriers to trade but also require additional domestic legal and business reforms in developing nations to protect property rights