Deck 3: Global Supply Chains

Question 1

An importer can store goods in a bonded warehouse for up to three years without paying duty.

Answer 1

True

Question 2

A Maquiladora plant is

A) a new type of flower.
B) an entity created under NAFTA
C) a U.S.plant performing manufacturing,processing,or assembly activity in Mexico.
D) a factory owned by the Maquiladora Corporation.

Answer 2

C

Question 3

The North American Free Trade Agreement has removed all trade barriers between the U.S.,Canada,and Mexico.

Answer 3

False

Question 4

Globalization is not considered to be one of the external factors driving change in logistics.

Question 5

Focus production is

A) a strategic decision to make only what the market desires.
B) iused by those firms not sure of the market demands.
C) a strategy in which a given plant produces one or two items of the company's total product line.
D) a trend in the electronics industry with manufacturing in China.

Question 6

The terms of a demise charter transfers full control of the chartered vessel to the charterer.

Question 7

A Foreign Freight Forwarder is unregulated by the government.

Question 8

A firm using air transportation cannot use the same packaging for international shipping as for domestic shipping because many cargo aircraft are not pressurized.

Question 9

Export Trading Companies and Export Management Companies are essentially the same.

Question 10

Customs Trade Partnership Against Terrorism (C-TPAT)is a mandatory program in which importers must participate.

Question 11

The Supply Chain should

A) manage all aspects of transportation,selecting the least cost when possible.
B) seek to maximize profits.
C) use the same techniques internationally that it uses domestically.
D) manage materials/products,information,and financials.

Question 12

A demand-driven system is also known as

A) a supply chain.
B) a pull system.
C) a marketing system.
D) a multi-echelon system.

Question 13

The third era of globalization is said to have begun around the year 2000.The significant characteristic of this era is that it is being powered by individuals and smaller organizations rather than global multi-nationals.

Question 14

Operating globally has become harder to accomplish for individuals and small companies.

Question 15

A Maquiladora plant can be located anywhere in South America.

Question 16

Globalization was initially driven by countries

A) seeking new territories.
B) outside the U.S.seeking to establish plants in the U.S.
C) seeking materials and goods not available in their own land.
D) sponsoring trading missions.

Question 17

Ocean transportation offsets slower service with lower rates than other modes.

Question 18

The supply chain should manage three important flows,namely,materials/products,information,and financials.

Question 19

Economies and companies could improve their "wealth" by

A) allowing specialization of tasks.
B) ensuring that logistics is used to gain advantage in the marketplace.
C) becoming multi-national.
D) moving production off shore.

Question 20

A critical ingredient for the Third Era of globalization is:

A) the global emphasis on tailoring products and marketing strategies to meet perceived local needs
B) technological advances,especially in information technology,and communications advances,especially in information technology,and communications
C) the global emphasis on profits and efficiency
D) the global emphasis on the marketing mix and marketing functions

Question 21

Which is the main advantage of international air transport?

A) freight rates
B) flexibility
C) transit times
D) accessibility

Question 22

Which is a major category of ocean shipping?

A) passenger travel
B) common carriers
C) exempt carriers
D) liner vessels

Question 23

From a customer service perspective,global markets and strategy have four important characteristics.Name them and select one to discuss.

Question 24

Which category of ocean shipping offers common carrier service,sailing on set schedules over specified sea routes?

A) liner service
B) charter vessels
C) private vessels
D) demise charter vessels

Question 25

Which condition must be present before motor carriers and rail carriers can be used for international shipments?

A) shipments must be in volume and in bulk
B) the shipment must be between adjacent countries
C) no customs barriers can be imposed
D) the shipment cannot pass through adjacent countries

Question 26

What are the three phases of globalization? Pick one and discuss.

Question 27

Goods can be stored in a bonded warehouse

A) for 3 years.
B) until next year.
C) Indefinitely.
D) until the next shipment of the same product arrives.

Question 28

The global logistics channel intermediary that supervises the movement of goods through customs and ensures that the documentation accompanying a shipment is complete and accurate is

A) a foreign freight forwarder.
B) an export packer.
C) a customs house broker.
D) a foreign trade specialists.

Question 29

Which type of strategic global logistics channel intermediary provides expert advice to small international shippers,consolidates small shipments,and performs routine actions that shipments require?

A) foreign freight forwarder
B) NVOCC
C) customs house broker
D) export packer

Question 30

Discuss the impact of 9/11 on international logistics.

Question 31

Discuss how companies and economies can increase their wealth.

Question 32

Define and discuss NAFTA.

Question 33

Discuss how our trading partners have changed in relation to their amount of trade with the U.S.

Question 34

Which type of global logistics channel intermediary enables goods to move through customs more easily by knowing the materials and methods to use in constructing the most economical crate or container to hold goods for shipment?

A) customs house broker
B) NVOCC
C) export trader
D) export packer

Question 35

There are four modes used for international shipments.Name them,and discuss one mode's role in international logistics.

Question 36

Which are the major modes of international transportation?

A) water and air
B) water and rail
C) rail and motor
D) rail and air

Question 37

Define the difference between an Export Management Company and an Export Trading Company.Explain why a firm would want to use either.

Question 38

Gemini products wishes to enter foreign markets but lacks the resources to do so.They evaluate their alternatives and approach Overseas Traders,LLC,a company that specializes in the foreign distribution of products of the type which Gemini manufacturers.Overseas purchases $50,000 of Gemini's products for sale on the international market.Overseas is which type of global logistics channel intermediary?

A) NVOCC
B) export packer
C) export trading company
D) customs house broker