Question 1

A trade war is initiated when

Accepted Answer

A trade war occurs when countries impose tariffs or quotas on each other to restrict imports and exports, aiming to harm each other's trade.

Question 2

Russia currently has a limit on pork of 400,000 metric tons that can be imported annually from any country. This restriction would be considered a

Accepted Answer

A quota is a restriction that limits the quantity of a good that can be imported into a country, which is what the 400,000 metric tons limit on pork represents.

Question 3

Global competition exists when

Accepted Answer

Global competition exists when firms originate, produce, and market their products and services worldwide, engaging in international markets.

Question 4

There are ________ World Trade Organization countries, including the United States, which account for more than 98 percent of world trade.

Accepted Answer

The World Trade Organization (WTO) has 164 member countries, which collectively account for more than 98 percent of world trade.

Question 5

Which of the following statements about the World Trade Organization (WTO) is most accurate?

Accepted Answer

The answer of Which of the following statements about the...

Question 6

The European Union (EU) consists of 27 countries with about 510 million consumers. The EU has eliminated most barriers to the free flow of products, capital, and labor across its borders. Which of the following countries is not a member of the EU?

Accepted Answer

Switzerland is not a member of the European Union, although it is part of the Schengen Area and has various agreements with the EU.

Question 7

The European Union (EU) has been beneficial to electronic commerce because it is no longer necessary to

Accepted Answer

The adoption of the euro by many EU countries has eliminated the need to monitor currency exchange rates among those nations, simplifying cross-border electronic commerce.

Question 8

The World Trade Organization (WTO) is

Accepted Answer

The World Trade Organization (WTO) is an institution that sets rules governing trade between its members and resolves trade disputes through panels of trade experts.

Question 9

In terms of the global marketplace, there are three primary types of companies: ________ firms, international firms, and transnational firms.

Accepted Answer

Multinational firms are one of the three primary types of companies in the global marketplace, alongside international and transnational firms.

Question 10

The EU has benefited firms in its member nations because

Accepted Answer

The EU allows for a single market where goods and services can be marketed across member nations without the need for separate national marketing strategies, reducing costs and increasing efficiency for firms.

Question 11

An institution that sets rules governing trade between its members through a panel of trade experts who decide on trade disputes between members and issue binding decisions is referred to as the

Accepted Answer

The World Trade Organization (WTO) is an institution that sets rules governing trade between its members through a panel of trade experts who decide on trade disputes between members and issue binding decisions.

Question 12

The EU has benefited its member nations in part because

Accepted Answer

The EU has reduced regulatory restrictions on transportation, advertising, and promotion, facilitating easier trade and business operations among member nations.

Question 13

The North American Free Trade Agreement was designed to encourage free trade between

Accepted Answer

The North American Free Trade Agreement (NAFTA) was specifically designed to encourage free trade between the United States, Canada, and Mexico.

Question 14

Which of the following statements about the World Trade Organization (WTO) is most accurate?

Accepted Answer

The WTO's primary role is to facilitate negotiations and resolve disputes to prevent trade wars between countries.

Question 15

To eliminate the need to continually monitor currency exchange rates, 16 of the countries in the European Union (EU) have adopted a common currency, which is called the

Accepted Answer

The common currency adopted by 16 countries in the European Union is the euro.

Question 16

To eliminate the need to continually monitor currency exchange rates, ________ of the countries in the European Union (EU) have adopted a common currency called the euro.

Accepted Answer

The answer of To eliminate the need to continually monitor...

Question 17

The European Union is an economic and political union of ________ member countries that have eliminated most barriers to the free flow of products, services, capital, and labor across their borders.

Accepted Answer

As of October 2023, the European Union consists of 27 member countries.

Question 18

When firms originate, produce, and market their products and services worldwide, it is referred to as

Accepted Answer

Global competition refers to the scenario where firms operate and compete in international markets, producing and marketing their products and services worldwide.

Question 19

The world's largest manufacturer of peppermint candy canes was located in Albany, Georgia, until it could no longer afford to buy the sugar needed for its operation. It moved its manufacturing business to Mexico where there are no restrictions (like those that exist in the United States) on the amount of sugar that can be brought into the nation. The business moved to Mexico because of ________ established by the U.S. government.

Accepted Answer

The business moved to Mexico due to a quota, which is a restriction on the amount of a particular good that can be imported into a country. In this case, the U.S. had restrictions on sugar imports, prompting the company to relocate to Mexico where such restrictions did not exist.

Question 20

Coca-Cola and Pepsi-Cola are both now available in about 200 countries and territories across the world, making the soft drink industry an example of

Accepted Answer

The soft drink industry, with Coca-Cola and Pepsi-Cola available in about 200 countries, exemplifies global competition as these brands compete on an international scale.

Quiz 7: Understanding and Reaching Global Consumers and Markets

A trade war is initiated when

Russia currently has a limit on pork of 400,000 metric tons that can be imported annually from any country. This restriction would be considered a

Global competition exists when

There are ________ World Trade Organization countries, including the United States, which account for more than 98 percent of world trade.

Which of the following statements about the World Trade Organization (WTO) is most accurate?

The European Union (EU) consists of 27 countries with about 510 million consumers. The EU has eliminated most barriers to the free flow of products, capital, and labor across its borders. Which of the following countries is not a member of the EU?

The European Union (EU) has been beneficial to electronic commerce because it is no longer necessary to

The World Trade Organization (WTO) is

In terms of the global marketplace, there are three primary types of companies: ________ firms, international firms, and transnational firms.

The EU has benefited firms in its member nations because

An institution that sets rules governing trade between its members through a panel of trade experts who decide on trade disputes between members and issue binding decisions is referred to as the

The EU has benefited its member nations in part because

The North American Free Trade Agreement was designed to encourage free trade between

Which of the following statements about the World Trade Organization (WTO) is most accurate?

To eliminate the need to continually monitor currency exchange rates, 16 of the countries in the European Union (EU) have adopted a common currency, which is called the

To eliminate the need to continually monitor currency exchange rates, ________ of the countries in the European Union (EU) have adopted a common currency called the euro.

The European Union is an economic and political union of ________ member countries that have eliminated most barriers to the free flow of products, services, capital, and labor across their borders.

When firms originate, produce, and market their products and services worldwide, it is referred to as

Coca-Cola and Pepsi-Cola are both now available in about 200 countries and territories across the world, making the soft drink industry an example of