Question 1

Any company doing business outside the home country should first carefully study the ________ in the target country.

Accepted Answer

Political culture refers to the shared beliefs, values, and practices that shape the behavior of individuals and institutions within a particular political system. It is crucial for a company to understand the political culture of the target country as it can impact economic policies, regulations, and business practices. This understanding can help the company make informed decisions and adapt to the local business environment.

Question 2

Counterfeiting is:

Accepted Answer

Counterfeiting is the unauthorized copying or production of a product, often with the intention of passing it off as the genuine article. This can apply to a wide range of products, including luxury goods, pharmaceuticals, and electronics.

Question 3

In 2005, representatives from several wine regions in the United States and the EU signed a Joint Declaration to Protect Wine Place & Origin.In addition, a Wine Accord signed by the United States and EU bans the:

Accepted Answer

The Wine Accord specifically addresses the misuse of certain place names, ensuring that only wines genuinely originating from those places can use those names.

Question 4

Which of the following is not a common-law country?

Accepted Answer

Korea follows a civil law system, not a common law system.

Question 5

Categories of political risk listed by EIU (The Economist Intelligence Unit)includes all of the following except:

Accepted Answer

The answer of Categories of political risk listed by EIU...

Question 6

Engineers at a company in a developing country study an American computer chip design, copy it, and produce identical chips that are then sold to local computer makers.What form of intellectual property has been wrongly appropriated?

Accepted Answer

The correct form of intellectual property that has been wrongly appropriated in this scenario is a patent. Patents protect inventions, including designs for computer chips, preventing others from making, using, or selling the invention without permission.

Question 7

After Fidel Castro took power in Cuba in 1959, his government seized control of American property without paying compensation.Coca-Cola, DuPont, Texaco, and dozens of other American companies have filed claims against Cuba seeking financial settlements.Which of the following terms most specifically describes the action Castro took against these companies?

Accepted Answer

The answer of After Fidel Castro took power in Cuba...

Question 8

In a recent case, Revlon sued United Overseas Limited (UOL)in U.S.District Court for the Southern District of New York for breach of contract.UOL countered by asking the court to dismiss the claim since they are not operating in that area.Revlon cited the presence of a UOL sign above the entrance to the offices of a New York company in which UOL had a 50-percent ownership.The court dismissed UOL's claim.This is an issue related with:

Accepted Answer

The issue in the case is related to jurisdiction, specifically whether the court had jurisdiction over UOL based on their ownership in a New York company.

Question 9

Harley-Davidson has applied for federal protection of an unusual form of intellectual property; the "soul-pleasing rumble" produced by its motorcycles.What type of protection is Harley-Davidson seeking?

Accepted Answer

Harley-Davidson sought trademark protection for the distinctive sound of its motorcycles, aiming to legally protect the unique "rumble" as a recognizable aspect of its brand identity.

Question 10

In many parts of the world, sales of unauthorized videos of Hollywood movies cost the movie studios billions of dollars.When illegal copies of movies are made, what form of intellectual property has been wrongly appropriated?

Accepted Answer

Copyright is the form of intellectual property that applies to creative works such as movies. When illegal copies of movies are made and sold, the owner of the copyright is not being compensated for their work, resulting in lost revenue for the movie industry. Patents, trademarks, and trade secrets do not apply to movies in the same way that copyright does. Downloading refers to the act of obtaining a copy of a file, but does not necessarily indicate whether the copy was obtained legally or illegally.

Question 11

In West Africa, Burkina Faso, the Ivory Coast and Senegal are former French colonies, while Nigeria, Sierra Leone, and Ghana are former British colonies.Based on this information, which of the following would be correct?

Accepted Answer

Burkina Faso, the Ivory Coast, and Senegal were former French colonies, and as such, are likely to have a civil-code legal system. Nigeria, Sierra Leone, and Ghana, on the other hand, were former British colonies, and as such, are likely to have a common-law legal system. Therefore, choice A is the correct answer.

Question 12

Only Sony can use the "Walkman" name on its line of personal stereos.This is because:

Accepted Answer

"Walkman" is a registered Sony trademark, meaning that only Sony has the legal right to use the name on its line of personal stereos.

Question 13

What happens if a nation has allowed a case against it to be brought before the ICJ (International Court of Justice?

Accepted Answer

If a nation allows a case against it to be brought before the ICJ, the plaintiff nation can seek recourse through the UN Security Council. The Security Council can then make a recommendation or take action to ensure that the ruling of the ICJ is enforced. This is the most appropriate choice as it addresses the consequences of allowing a case to be brought before the ICJ. The other choices are not applicable in this context.

Question 14

Located in The Hague, the International Court of Justice (ICJ)is the judicial arm of the:

Accepted Answer

The International Court of Justice (ICJ) is the principal judicial organ of the United Nations (UN).

Question 15

Islamic law is a comprehensive code based in part on:

Accepted Answer

Islamic law, also known as Shariah law, is primarily based on the religious text of Islam, the Koran. While it draws from other sources of law, such as the teachings of the Prophet Muhammad and Islamic scholars, the Koran is the principal source of Islamic law.

Question 16

Any Western country doing business in Malaysia or the Middle East should have understanding of:

Accepted Answer

Islamic law is widely practiced in Malaysia and the Middle East, so any Western country doing business in this region should have an understanding of it. The other choices may have their own relevance in other contexts, but are not as directly relevant to doing business in Malaysia or the Middle East.

Question 17

What type of international disputes would be taken before the International Court of Justice?

Accepted Answer

The International Court of Justice handles disputes between two nations. It is important to note that not all international disputes are under the jurisdiction of the ICJ, as countries may choose to resolve conflicts through other means such as diplomacy or arbitration.

Question 18

Which of the following would constitute a copyright violation?

Accepted Answer

All options involve the illegal copying and selling of someone else's intellectual property without permission, which is a copyright violation.

Question 19

What do value added taxes (VAT)encourage in countries such as China?

Accepted Answer

VATs encourage cross-border shopping and smuggling because consumers may seek to avoid the tax by purchasing goods in neighboring countries or through unofficial channels. This phenomenon is particularly prevalent in countries such as China that have higher tax rates.

Question 20

The Uniform Commercial Code (UCC)is fully adopted by all U.S.states except:

Accepted Answer

Louisiana has not fully adopted the UCC, instead they have a civil law system which is based on the French legal system.

Quiz 5: The Political, Legal, and Regulatory Environments