Deck 1: The International Business Imperative

Question 1

____________ developed a world leadership position largely due to its championship of market-based business transactions,and the flow of ideas,goods,and services across national borders.

A)Great Britain
B)Rome
C)China
D)Germany
E)The United States

Answer 1

E

Question 2

Which of the following was a factor that led to the growth of the British Empire?

A)Limited trade
B)Closed markets
C)Efficient transportation
D)Technology sharing
E)Outsourcing

Answer 2

C

Question 3

Transactions that are devised and carried out across national borders to satisfy the objectives of individuals,companies,and organizations refers to:

A)Outsourcing
B)Foreign direct investment
C)International business
D)Globalization
E)Entrepreneurship

Answer 3

C

Question 4

The British Empire grew mainly through its effective:

A)International business policy
B)Domestic labor pool
C)Use of resources
D)Negotiation skills
E)Services sector

Question 5

How would one describe the trade relationship between the Roman and Chinese empires?

A)It was based on direct communication between rulers of the two empires
B)It was not direct and occurred through many intermediaries
C)It was volatile
D)Rome was more eager to trade with China than vice versa
E)No trade relationship existed

Question 6

International business combines the __________ and __________ of business.

A)creativity; facts
B)science; art
C)reality; fantasy
D)good; bad
E)truths; falsehoods

Question 7

Which of the following statements best summarizes the role of international business during the Roman Empire?

A)International business did not have a vital role
B)International business was detrimental to prosperity during the Roman Empire
C)International business played a vital role in the formation of the Roman Empire
D)International business played a vital role in the decline of the Roman Empire
E)International business played a vital role in the formation and decline of the Roman Empire

Question 8

Which of the following is considered a primary type of international business?

A)Domestic production
B)Management contracts
C)Franchising
D)Licensing
E)Export-import trade

Question 9

The Han Empire resulted in stability within ____________ for nearly four centuries.

A)Africa
B)India
C)The Americas
D)China
E)Rome

Question 10

Following the economic downturn that began in 2007,it was expected that in terms of economic growth,_________ countries would bear the brunt of the decline.

A)developed
B)developing
C)net-exporting
D)net-importing
E)isolationistic

Question 11

__________ refers to the two relatively peaceful centuries in the Roman Empire.

A)Pax Mediterranean
B)Pax Romana
C)Pax Americana
D)Latin Peace
E)European Peace

Question 12

_________ offers companies new markets.

A)International business
B)Technology
C)Innovation
D)Franchising
E)Domestic expansion

Question 13

New hires at a large packaging company are undergoing the last phase of job training. For this phase of the training,they are learning about international business. The training manager explains that it is critical that customers feel they are better off after the transaction than they were before. This describes which important aspect of international business?

A)Customer satisfaction
B)Maximizing transactions
C)Niche marketing
D)Cutting costs
E)Product differentiation

Question 14

Companies that invest in countries around the globe are best described as:

A)Parent companies
B)Offshore companies
C)Globalized businesses
D)Multinational corporations
E)International companies

Question 15

During the Han Empire,trade expanded with the development of a system of trade routes to Central Asia that became known as the:

A)Spice Road
B)Road of Opportunity
C)Roman Road
D)Road to Prosperity
E)Silk Road

Question 16

Carla Smith was a young girl in 1930,and she remembers when the United States passed a bill that raised import duties. Although the act was passed in the hope that it would restore domestic employment,Carla remembers that it only made things worse at the onset of the Great Depression. Carla remembers the:

A)Cold War
B)Smoot-Hawley Act
C)Resource Protection Act
D)McAlexander Treaty
E)Pax Americana

Question 17

What is the name of the act that raised import duties in 1930 to reduce the volume of goods coming into the United States?

A)Pax Americana
B)Warsaw Pact
C)Smoot Hawley Act
D)McAlexander Treaty
E)The Resource Protection Act

Question 18

International business facilitates the mobility of all of the following factors of production EXCEPT:

A)Technology
B)Capital
C)Laborers
D)Land
E)Managers

Question 19

___________ markets can provide growth,profit,and needs satisfaction not available to those that limit their activities to the _________ marketplace.

A)Service; manufacturing
B)Diverse; homogenous
C)International; domestic
D)Homogenous; service
E)Domestic; international

Question 20

An American peace beginning in 1945 that resulted in increased international business transactions is called:

A)Pax Americana
B)The American Dream
C)Pax Romana
D)Western Peace
E)World Peace

Question 21

In what year did the United States turn from being a net creditor to a net debtor to the world?

A)1980
B)1985
C)1990
D)1995
E)2000

Question 22

In recent years,India has gained competitive advantage in providing radiology services. Radiology charts can now be transmitted from anywhere in the world. This change illustrates:

A)The increasing mobility of services
B)The rise in health care costs in developed countries
C)The global reorientation of production strategies
D)The financial crisis beginning in 2007
E)The rising cost of real estate

Question 23

____________ changes are allowing for a faster and more user-intense information exchange in business,leading to new approaches in advertising,production,and consumption.

A)Trade
B)Ethical
C)Cultural
D)Production
E)Technological

Question 24

The trade role of primary commodities significantly declined worldwide during which time period?

A)1870s to the 1900s
B)1900s to the 1930s
C)1930s to the 1960s
D)1960s to the 1990s
E)1990 to today

Question 25

___________ firms such as consulting firms,insurance companies,and universities are participating to a growing degree in the international marketplace.

A)Nonprofit
B)For-profit
C)High-tech
D)Manufacturing
E)Service

Question 26

In the past 30 years,German manufacturing employment has:

A)Increased by 11 percent
B)Increased only slightly
C)Remained the same
D)Dropped only slightly
E)Dropped by 13 percent

Question 27

International business has forged a network of ___________ around the world that binds all countries,institutions,and individuals.

A)institutional innovations
B)people connections
C)global links
D)geographical interfaces
E)information technologies

Question 28

_____________ are owned by governments and managed specifically for investment purposes.

A)Direct investment funds
B)Divestiture funds
C)Dividends
D)Sovereign wealth funds
E)Common funds

Question 29

In recent years,what country has emerged as being the number one U.S.creditor?

A)China
B)Japan
C)Germany
D)Mexico
E)Canada

Question 30

Severe winter weather recently affected the Florida peninsula,damaging tens of thousands of acres of orange groves. This had an effect on orange juice supply,production,and pricing around the world. This example illustrates:

A)The need for technological solutions to resolve problems of nature
B)The need to eliminate agriculture in the United States
C)The need for economic protectionist policies
D)Global links that bind all countries,institutions,and individuals
E)The need to outsource all agriculture products to warmer climates

Question 31

A few decades ago,it would have been impossible to produce parts for a car in more than one country and assemble it in another.This change illustrates how international business has brought a global reorientation in ___________ strategies.

A)services
B)agricultural
C)human resource
D)communication
E)production

Question 32

Thanks to strong exports,the global market share of which region has increased?

A)Western Europe
B)Southeast Asia
C)North America
D)Latin America
E)Antarctica

Question 33

Over the past decades and in a world of rapidly growing trade,the market share of __________ in trade has been declining.

A)Central America
B)Eastern Europe
C)Western Europe
D)India
E)China

Question 34

Composition of trade refers to the ratio of ________ to _______ in a country's trade.

A)primary commodities; manufactured goods
B)agricultural commodities; manufactured goods
C)natural commodities; man-made commodities
D)primary commodities; secondary commodities
E)high-tech goods; low-tech goods

Question 35

From a global perspective,the United States has:

A)Gained prominence as a market and as a supplier
B)Lost prominence as a market and as a supplier
C)Gained prominence as a market but has lost some of its importance as a supplier
D)Lost some of its importance as a market but has gained prominence as a supplier
E)Not seen any changes for market prominence and supplier prominence

Question 36

A multinational company recently built a factory in Nicaragua to take advantage of lower labor costs. However,high sulfur emissions from the new factory are causing acid rain within Nicaragua and in surrounding countries as well. This illustrates:

A)The fact that climate change is a more serious problem than pollution
B)The fact that pollution is a more serious problem than climate change
C)The effects of globalization on the environment common to all
D)The effects of globalization on developing countries versus developed countries
E)The need to put a halt to globalization until environmental damages can be addressed or avoided

Question 37

Which of the following countries is expected to have continued economic growth during and despite the economic downturn that began in 2007?

A)Canada
B)Brazil
C)Switzerland
D)Russia
E)France

Question 38

_______________ is the establishment or expansion of operations of a firm in a foreign country.

A)Foreign direct investment
B)Licensing
C)Exporting
D)Outsourcing
E)Globalization

Question 39

Which statement below best summarizes the United States' export and import shares in recent decades?

A)The export share has increased while the import share has declined
B)The export share has declined while the import share has increased
C)Both export shares and import shares have declined
D)Both export shares and import shares have increased
E)There have been no changes in export shares and import shares in recent decades

Question 40

In what year did manufacturing in the United States peak to 30 percent of total U.S.jobs?

A)1915
B)1930
C)1960
D)1975
E)1990

Question 41

Globalization is the establishment or expansion of operations of a firm in a foreign country.

Question 42

On an individual level,it is unlikely that a student will become involved with international business enterprises during his or her career.

Question 43

One of the disadvantages of international business is that it results in limited choices for the consumer.

Question 44

The _____ level refers to business concerns that affect an individual firm or industry.

A)microeconomic
B)macroeconomic
C)global
D)transnational
E)localized

Question 45

The Smoot-Hawley Act lowered import duties to establish more favorable trade relations with other countries in the wake of the Great Depression.

Question 46

The United States,Japan,and China combined maintained just under half of the world share of global manufacturing output in 2007.

Question 47

The ________ level refers to the level at which trading relationships affect individual markets.

A)microeconomic
B)macroeconomic
C)global
D)transnational
E)localized

Question 48

The increased mobility of goods,services,labor,technology,and capital throughout the world refers to:

A)Nationalization
B)International business
C)Offshoring
D)Foreign direct investment
E)Globalization

Question 49

International business combines the science and the art of business.

Question 50

In the past 30 years,German manufacturing employment has dropped by 13 percentage points,while in Japan the decrease was 6.5 percentage points.

Question 51

International business consists of transactions that are devised and carried out across national borders to satisfy the objectives of individuals,companies,and organizations.

Question 52

Despite the sharp volume reductions of the economic downturn that began in 2007,developed countries such as Japan,Germany,and the United States are projected for continued growth.

Question 53

International business permits firms to hone their _______ skills abroad by meeting the challenges of foreign products.

A)controlling
B)planning
C)communication
D)competitive
E)conceptualizing

Question 54

Not only is the business environment changing,but he pace of technological change is accelerating.

Question 55

__________ is not only good in the international trade picture,but a key factor in increasing employment.

A)Foreign direct investment
B)Importing
C)Exporting
D)Licensing
E)Franchising

Question 56

International business has forged a network of global links around the world that binds all countries,institutions,and individuals.

Question 57

In the United States,the export share has increased while the import share has decreased.

Question 58

The Pax Romana referred to a pact that was signed between Roman and Han rulers to establish and protect international trade routes.

Question 59

The British Empire grew through its effective international business policy,which provided for efficient transportation,intensive trade,and an insistence on open markets.

Question 60

Over the last decade,manufacturing firms are increasingly part of the international scene.

Question 61

Internationalization is the increased mobility of goods,services,labor,technology,and capital throughout the world.

Question 62

Importing is not only good in the international trade picture,but is a key factor in increasing employment.

Question 63

________ refers to the two relatively peaceful centuries in the Roman Empire.

Question 64

________ is the establishment or expansion of operations of a firm in a foreign country.

Question 65

Although U.S.exports have grown rapidly and successfully over the last few years,many new participants have entered the international market,resulting in a decline in the global market share of exports for the U.S.

Question 66

U.S.international business outflows are important on the macroeconomic level in terms of balancing the trade account.

Question 67

__________ are owned by governments and managed specifically for investment purposes.

Question 68

International business has forged a network of __________ around the world that bind all countries,institutions,and individuals together.

Question 69

The primary types of international business are export-import trade and __________.

Question 70

The microeconomic level is the level at which business concerns affect an individual firm or industry.

Question 71

The _______ level is the level of business concerns that affect an individual firm or industry.

Question 72

________ causes the flow of ideas,services,and capital across the world.

Question 73

_________ is the ratio of primary commodities to manufactured goods in a country's trade.

Question 74

The _______ level is the level at which trading relationships affect individual markets.

Question 75

The __________ grew mainly through its effective international business policy,which provided for efficient transportation,intensive trade,and an insistence on open markets.

Question 76

________ is the increased mobility of goods,services,labor,technology,and capital throughout the world.

Question 77

__________ are companies that invest in countries around the globe.

Question 78

How did international business play a role in the rise and fall of the Roman Empire?

Question 79

Describe the need for international business.

Question 80

How do the terms "transaction" and "satisfaction" fit into the definition of international business?