Question 1

Singapore banned the import, manufacture, and sales of chewing gum in the country since wads of gum were making a mess on sidewalks, buses, and subway trains.Violators are subject to severe penalties, and before buying a pack consumers must register their names and addresses.This, according to author William Greider, demonstrates that Singapore's government:

Accepted Answer

The answer of Singapore banned the import, manufacture, and sales...

Question 2

Market capitalism is an economic system in which:

Accepted Answer

Market capitalism is an economic system in which resources and production resources are privately owned and allocated by individuals and firms through market mechanisms such as supply and demand. The state has limited involvement in market capitalism, and economic freedom is highly valued. Choice B describes a more centrally planned economic system, while choice C describes a mixed economy with both private and state ownership. Choice D is false, and choice E is too vague as there can be variations in how market-oriented economies function.

Question 3

That Russia is being transformed by economic change can be witnessed in all of the following observations except:

Accepted Answer

The statement about the banking system being robust does not necessarily indicate economic transformation, as it is more about the stability and functionality of financial institutions rather than a direct result of economic change.

Question 4

According to the authors of the Harvard Business Review article, "Serving the World's Poor, Profitably", which of the following is a mistaken assumption that global companies might have about the BOP (bottom of the pyramid)?

Accepted Answer

The authors discuss that all the listed assumptions are mistaken beliefs that companies might have about the BOP market.

Question 5

Low-income countries have a GNI per capita of less than $996.The general characteristics shared by countries at this income level include all of the following except:

Accepted Answer

Low-income countries generally have lower literacy rates due to inadequate education systems and limited access to education.

Question 6

The greatest percentage of world GDP is in the following income group countries:

Accepted Answer

High-income countries have the greatest percentage of world GDP. These countries have mature economies, advanced technologies, and high levels of productivity, which enable them to generate more wealth compared to other income groups. Examples of high-income countries include the United States, Japan, Germany, and Australia.

Question 7

Upper-middle-income countries, also known as industrializing or developing countries, are those with GNI per capita ranging from:

Accepted Answer

Upper-middle-income countries have GNI per capita ranging from $3,946 to $12,195.

Question 8

The majority of the world's population is included in the following economic category:

Accepted Answer

According to World Bank classification, lower-middle-income countries have a per capita income between $1,036 and $4,045. These countries include a majority of the world's population. High-income countries have a per capita income above $12,536, upper-middle-income countries have a per capita income between $4,046 and $12,535, low-income countries have a per capita income below $1,036, and lower-upper income countries are not recognized as an official category.

Question 9

Pursuing alternative sources of energy, such as wind and solar power, is important due to the fact that:

Accepted Answer

Heavy reliance on fossil fuels releases carbon dioxide into the atmosphere, which contributes to global warming and climate change. Pursuing alternative sources of energy like wind and solar power can help reduce our carbon emissions and mitigate the impact of global warming.

Question 10

Global marketers should take note of the fact that almost half of the world's population is located in:

Accepted Answer

According to World Bank classification, lower-middle-income countries have a gross national income (GNI) per capita of $1,036 to $4,045. These countries have a population of approximately 3.2 billion people, which is almost half of the world's population. Therefore, global marketers should take note of this significant population size and their purchasing power, as it presents an opportunity for potential growth and expansion of their business.

Question 11

Upper-Middle-income countries are also know as:

Accepted Answer

Upper-middle-income countries are typically characterized as industrializing countries because they have experienced significant economic growth and development driven by their manufacturing and industrial sectors. BRIC (Brazil, Russia, India, and China) countries refer specifically to a group of upper-middle-income countries that have been identified as having particularly strong and promising economies. "Stabilized countries" and "manufacturing countries" are not commonly used terms to describe this group of nations, and "agricultural countries" typically describes low-income rather than upper-middle-income countries.

Question 12

During the past two decades, the world economic environment has become increasingly dynamic.To achieve success, executives and marketers must take into account all of the following realities except:

Accepted Answer

The struggle between capitalism and socialism is not a current reality that executives and marketers need to take into account when navigating the increasingly dynamic world economic environment. The other options (A, B, C, and E) are all relevant factors that executives and marketers must consider in order to achieve success.

Question 13

Which of the following nations fall in the lower-middle-income category?

Accepted Answer

The answer of Which of the following nations fall in...

Question 14

The United Nations designates 50 countries in the bottom ranks of the low-income category named as:

Accepted Answer

The United Nations designates the 50 countries in the bottom ranks of the low-income category as LDCs, which stands for least-developed countries.

Question 15

The general characteristics shared by low-income countries do not include:

Accepted Answer

Low-income countries often have genuine market opportunities, especially in sectors like agriculture, local manufacturing, and services, which can be leveraged for economic growth and development. The other options (high birth rates, low literacy rates, concentration in Africa south of the Sahara, and heavy reliance on foreign aid) are common characteristics of low-income countries.

Question 16

The Swedish government has significant holdings in key business sectors and has a hybrid economic system that incorporates:

Accepted Answer

The Swedish government has historically incorporated a mix of centrally planned socialism and capitalism in its economic system, with significant public ownership of key industries such as telecommunications, energy, and transportation. This has allowed for a balance between social welfare programs and private enterprise. While the country has liberalized some sectors over time, such as banking and telecommunications, the government still maintains a significant role in many aspects of the economy.

Question 17

One of the distinguishing features of a Centrally Planned Capitalism economic system is:

Accepted Answer

The answer of One of the distinguishing features of a...

Question 18

The Washington, D.C.-based Heritage Foundation survey consists of over 175 countries ranked by degree of economic freedom.The key economic variables considered for this ranking includes all of the following except:

Accepted Answer

The key economic variables considered for the Heritage Foundation ranking of economic freedom include taxation policy, government consumption of economic output, banking policy, wage and price control, and others. The survey does not consider the percentage of foreign ownership as a key economic variable.

Question 19

Upper-middle-income countries that achieve the highest rates of economic growth are sometimes referred to collectively as:

Accepted Answer

The answer of Upper-middle-income countries that achieve the highest rates...

Question 20

Nike produces only a small portion of its output in China, but when the firm refers to China as a "two-billion-foot market," it is referring to the fact that:

Accepted Answer

When Nike refers to China as a "two-billion-foot market," it means that China has a huge consumer base (population of over two billion) that has the potential to become a significant market for Nike's products. The statement does not imply anything about the current state of the shoe market in China, the competitiveness of the market, or the time it will take for China to develop a future market.

Quiz 2: The Global Economic Environment