Deck 4: Analyzing Political and Legal Environments

Question 1

Although the Madrid Agreement provides for trademark registration in all signatory countries,registration must still be solicited in the host nation's language as well as English.

Answer 1

False
Explanation: WIPO has designated that registration under the Madrid agreement need only be completed in one language.

Question 2

A form of protection that provides a person or legal entity with exclusive rights for making,using,or selling a concept or invention is referred to as a _____________.

A) design mark
B) service mark
C) trademark
D) patent

Answer 2

D
Explanation: This term is used informally to describe a situation in which a product design becomes so iconic the design itself is registered as a trademark. It is unrelated to protection of concepts and inventions per se.

Question 3

Joaquin is trying his first foreign bribery case abroad.He finds that the laws pertaining to his case are lacking in uniformity and consistency,and even differ based on the religious backgrounds of the plaintiffs.Joaquin is trying his case under the umbrella of ____________.

A) common law
B) civil law
C) Kashrut law
D) Muslim law

Answer 3

D
Explanation: Common law does not differ based on the religious background of participants.

Question 4

If Lenovo registers its new trademark for its line of computers,that trademark is also protected for other dissimilar Lenovo products.

Question 5

Nelson is registering his trademark for Puppy Gourmet,his UK firm's new line of dog treats.By registering in the United Kingdom,he is assured that ________________.

A) his trademark is protected in all EU nations under the Madrid Protocol, as the UK is a signatory
B) his trademark is protected in all EU nations under the Community Trademark Registration
C) his trademark is protected in all potential foreign markets with the exception of China
D) his trademark is only protected in the UK

Question 6

Common law is based upon ____________________.

A) example rather than principle
B) precedent established by prior court adjudications
C) written codes and statutes
D) Roman heritage

Question 7

As Director of Global Marketing for Cogswell USA,Erica is responsible for registering her company's trademark in China.In preparing for this process,she has assembled data that supports her company's prior use of the Cogswell name and mark,as well as its legal ownership.Yet when she speaks with her attorney in Shanghai,she is incredulous to learn that the trademark registration has been granted to another company.How could this be?

A) Erica did not offer the Chinese trademark clerk sufficient personal compensation for a registration.
B) China does not allow registration of foreign trademarks.
C) China operates under common law.
D) China has a 'first-to-file' trademark system

Question 8

The United States is a signatory of the Madrid Agreement.

Question 9

The Patent Cooperation Treaty of WIPO provides for ______________________________.

A) the ability to seek patent rights in a large number of countries by filing a single international application with a single patent office
B) a guarantee of global patent protection
C) the ability to register for an EU-wide patent
D) patent application directly to the WIPO rather than the home country of the initiator

Question 10

Firms applying for trademark registration under the __________________ are provided the legal equivalent of registration in all of the agreement's participating countries.

A) Madrid Agreement
B) United Nations
C) World Court
D) Geneva Convention

Question 11

The ___________________ protects words,names,symbols,sounds,or colors that distinguish goods and services from one another.

A) brand
B) trademark
C) patent
D) copyright

Question 12

Infringement of globally recognized trademarks is a constant threat to global marketers.

Question 13

One difference between patents and trademarks is that _______________________.

A) patents are applied globally whereas trademarks must be registered in each country in which they will be used
B) trademarks can be protected in multiple countries by various IP treaties and agreements, but not patents
C) trademarks can be renewed forever as long as they are being used
D) patents are not considered intellectual property

Question 14

The political status of a product is not relevant to the selection of foreign market targets.

Question 15

Common Law is the legal system that dominates the world's legal landscape.

Question 16

Civil law systems _____________________________________________.

A) are based on English custom
B) base judgments on the precedent of prior court decisions
C) consist of a system of codified legislation that is applied and interpreted by judges
D) are fundamentally the same as common law systems

Question 17

While the United States grants the most patents,in 2008,the leader in patent grants when accounting for country size was ______________________.

A) Taiwan
B) South Korea
C) Japan
D) China

Question 18

Civil law systems are primarily found in ____________________.

A) Europe, Asia, and Central and South America
B) the world's developing nations
C) North America
D) in industrialized countries

Question 19

As a nation that practices common law,legal professionals in the United States are not exposed to the enforcement of statutes.

Question 20

Parallel importing occurs when _________________________________.

A) identical products are sold without authorization of the owner of the brand or trademark
B) products are imported by several global markets simultaneously
C) identical products are sold under many different brands and trademarks
D) global distribution is limited to markets that are geographically contiguous

Question 21

The non-governmental organization headquartered in Geneva that develops international product standards is known as ____________________.

A) TQM
B) QMS
C) TRIPS
D) ISO

Question 22

Newell-Rubbermaid has significant amounts of capital invested abroad,and is highly dependent on a global supply chain._____________ should be one of this company's main concerns.

A) Assessing political risk
B) Complying with universal product standards
C) Identifying competitive threats
D) Protecting intellectual property

Question 23

Abdullah's motorized cycles are in high demand in Egypt,where inexpensive and highly maneuverable transportation is desirable.However,civil unrest and recent nationalization of industry keep Abdullah up all night worrying about this important market.Abdullah is primarily concerned with __________________.

A) competitive risk
B) technological risk
C) firm-specific risk
D) instability and government, country

Question 24

The exclusion of services and increasing protectionism regarding agricultural exports were two critical problems faced by the ______ agreement.

A) TRIPS
B) Maastricht
C) WIPO
D) GATT

Question 25

An arbitrator's ruling in trade disputes is binding and must be carried out within a reasonable amount of time.

Question 26

The single intellectual property organization in Africa is the African Regional Intellectual Property Organization (ARIPO).

Question 27

Computer programs are protected as literary works under the _________________ agreement.

A) Trade-Related Aspects of Intellectual Property Rights (TRIPS)
B) Madrid Agreement
C) Computer Programs Protection Agreement (CPPA)
D) the United Nations

Question 28

Original works of authorship are protected by ______________________.

A) the European Patent Convention
B) the Library of Congress
C) trademarks
D) copyrights

Question 29

The major goal of the General Agreement on Tariffs and Trade (GATT)was to _________________.

A) implement intellectual property protections worldwide
B) implement common law among global trading partners
C) work towards lower global tariff restrictions
D) arrange common duty and tariff amounts among member nations

Question 30

Irina's company produces consumer advertisements for auto companies like Hyundai.When Hyundai hires Irina's firm to create a series of ad campaigns based on their proprietary new marketing strategy,she is asked to sign a non-disclosure agreement.Hyundai is attempting to protect its ____________.

A) trade names
B) trade secrets
C) design patents
D) trademarks

Question 31

Trade secrets are protected by intellectual property law much as trademarks and patents.

Question 32

Most of the members of the World Trade Organization are developed countries.

Question 33

When expert analysts in the field of political risk employ Delphi-techniques to assess markets,they are implementing qualitative political risk.

Question 34

Of the three main methods of settling a trade dispute,the most costly involves ____________________.

A) litigation
B) arbitration
C) mediation
D) plea bargaining

Question 35

The term that refers to the process by which the technical requirements of various standards are made equivalent or identical is _________________________.

A) alignment
B) harmonization
C) unification
D) standardization

Question 36

The Council of Europe's Convention on Cybercrime ____________________________.

A) outlaws computer intrusion in the European Union
B) outlaws computer intrusion, child pornography, and online fraud
C) has succeeded in harmonizing all global computer crime regulation
D) covers only members of the European Union

Question 37

Jim Davis and Lau Seng Kong represent two differing sides of a trade dispute involving the supply of aeronautics components to Taiwan.Their companies have had a long-standing business relationship and together have garnered significant industry laurels.In order for them to preserve this successful relationship,their best course of action would be to _____________.

A) hire first-rate international trade attorneys and proceed to litigation
B) engage in non-binding mediation
C) dissolve their trade relationship
D) contact the World Court for a judgment

Question 38

When multinational marketers plan product strategy on a global basis,which of these issues is not among their concerns?

A) Assuring that products offered in global markets are duplicates of those offered domestically in order to enhance profitability.
B) Designing the product to allow acceptance by all the regulatory agencies in which marketing will occur.
C) Ensuring that new products or new generations of older products will satisfy all of the regulations necessary to qualify for sale.
D) Determining if conformance to local standards and regulations will cause undue hardship to their company and their customers alike.

Question 39

Because the demand for electronic products is global in scope,laws,regulations,and codes of practice and guidance do not differ greatly from one country to another.

Question 40

When settling a trade dispute,once a mediator has come to a conclusion,both parties are bound to it.

Question 41

Global companies are well advised to adopt political risk assessment both at their corporate headquarters to identify broad macro-variables and assessments at individual international locations.

Question 42

While terrorism is a significant threat to global trade,there is,unfortunately,no means of insuring against it.

Question 43

The macro risk measure of Profit Opportunity Recommendation is generated by the _______________.

A) CIA
B) WTO
C) BERI model of political risk assessment
D) EIU model of political risk assessment

Question 44

All of these are means of managing political risk except _________________________.

A) excluding host country nationals from the assumption of political risks
B) purchasing insurance from OPIC
C) participating in community projects
D) soliciting the participation of local nationals