Question 1

Robeeze baby shoes,made in Canada and sold in Russia,are an example of which of the following?
A)Canadian export
B)outsourced product
C)globally licensed product
D)Canadian import

Accepted Answer

Robeeze baby shoes are manufactured in Canada and sold in Russia, making them a Canadian export.

Question 2

Which of the following refers to convergence in buyer preferences in markets around the world?
A)Homogenization of markets
B)Globalization of markets
C)Internationalization of markets
D)Denationalization of markets

Accepted Answer

Globalization of markets refers to the convergence in buyer preferences in markets around the world, leading to a more integrated and uniform global market.

Question 3

The most remarkable facilitator of societal and commercial changes today is prompted by _______________.
A)increasing imports
B)international business networks
C)improvements in telecommunications
D)use of computer networks and e-commerce

Accepted Answer

The use of computer networks and e-commerce has led to significant changes in society and commerce. Online shopping, digital payments, and remote work are just a few examples of the transformation facilitated by this technology. Improvements in telecommunications (option C) have also played a role in enabling these changes, but the widespread adoption of computer networks and e-commerce has been the most remarkable facilitator. Increasing imports (option A) and international business networks (option B) are important factors in globalization, but they do not directly relate to the specific changes mentioned in the question.

Question 4

The world today is experiencing a trend toward more porous national boundaries.

Accepted Answer

With globalization and advances in communication technology, national boundaries are becoming less significant and porous. There is greater movement and connectivity between countries, with increased cultural exchange and economic interdependence.

Question 5

Any commercial transaction that crosses the borders of two or more nations is known as ________.
A)an export
B)e-business
C)international business
D)an import

Accepted Answer

International business refers to commercial transactions that occur across national borders. Export and import refer specifically to sending goods out of or bringing goods into a country, respectively. E-business refers to conducting business electronically, which can include both domestic and international transactions.

Question 6

________ is the trend toward greater economic,cultural,political,and technological interdependence among national institutions and economies.
A)International business
B)Denationalization
C)Globalization
D)E-business

Accepted Answer

Globalization refers to the increasing interconnectedness and interdependence among countries in terms of economic, cultural, political, and technological aspects. This trend has led to the expansion of international business and trade, the blurring of national boundaries, and the rise of global institutions and organizations. Denationalization and e-business are related concepts but do not fully capture the scope of globalization.

Question 7

A born global firm is a company that engages in international business from or near its inception.

Accepted Answer

A born global firm is indeed a company that begins engaging in international business right from or very soon after its establishment.

Question 8

Olive oil made in Italy and sold in Canada is an example of which of the following?
A)Global brand
B)Canadian export
C)Canadian import
D)Standardized product

Accepted Answer

The olive oil is made in Italy, which means it is a product that is being imported into Canada.

Question 9

Which of the following is most likely not an effect of globalization?
A)Increases in the variety of capital flows across national borders
B)Increases in the economic isolation of developing countries
C)Increases in the rate at which products are diffused worldwide
D)Increases in the volume of cross-border transactions

Accepted Answer

Globalization generally leads to increased economic integration and interconnectedness between countries, hence option B, which suggests "Increases in the economic isolation of developing countries," goes against the typical effects of globalization.

Question 10

Opponents of globalization argue that it causes a "race to the bottom" in environmental conditions.

Accepted Answer

Opponents argue that globalization often leads to companies seeking out locations with lax environmental regulations or weak enforcement, resulting in environmental degradation and a lowering of environmental standards. This can create a "race to the bottom" as countries compete for investment by offering lower and lower environmental standards.

Question 11

All goods and services purchased abroad and brought into a country are called ________.
A)domestic products
B)exports
C)national products
D)imports

Accepted Answer

Goods and services purchased abroad and brought into a country are called imports. Domestic products are goods and services produced within the country's borders, exports are goods and services produced within the country's borders and sold to other countries, and national products are not a commonly used term in economics.

Question 12

Which of the following is defined as the use of computer networks to purchase,sell,or exchange products;service customers;and collaborate with partners?
A)E-commerce
B)Intranet
C)International business
D)Extranet

Accepted Answer

E-commerce is defined as the use of computer networks to purchase, sell, or exchange products, services, and collaborate with partners. An intranet is a private network within an organization, while an extranet is a private network that allows access to select external partners. International business refers to the exchange of goods and services between nations.

Question 13

The revenues of the world's largest businesses are lower in value than the gross domestic products of the smallest nations.

Accepted Answer

The revenues of the world's largest businesses often exceed the GDPs of the smallest nations, as these companies generate substantial income globally, while smaller nations may have limited economic output.

Question 14

Multinational corporations (MNCs)have direct investments abroad in multiple countries.

Accepted Answer

Multinational corporations (MNCs) are companies that have operations in multiple countries and direct investments abroad. They have a significant presence in different parts of the world and often have subsidiaries, affiliates, and branches in various countries.

Question 15

________ are all goods and services sold abroad and sent out of a country.
A)Global products
B)Exports
C)Global licences
D)Imports

Accepted Answer

Exports are all goods and services sold abroad and sent out of a country. Global products refer to products sold in multiple countries, global licenses refer to the legal permission to use a product or technology in multiple countries, and imports are goods and services brought into a country from foreign sources.

Question 16

International firms tend to support reasonable labour and environmental laws to expand future local markets for their businesses.

Accepted Answer

International firms often advocate for reasonable labour and environmental laws in order to build trust with local communities and expand their potential customer base in the future. This is because socially responsible practices often resonate with consumers and can therefore boost a company's reputation and sales.

Question 17

Research shows that only large companies can export successfully.

Accepted Answer

This statement is false. Research actually shows that small and medium-sized enterprises (SMEs) can also export successfully with the right resources and strategies in place. In fact, many SMEs have been able to enter and expand into global markets through e-commerce platforms and other digital technologies.

Question 18

Some businesses can become completely immune to events in the international business environment.

Accepted Answer

No business is completely immune to events in the international business environment. The global economy is intricately connected, and events such as economic downturns, natural disasters, political instability, or changes in trade policies can affect businesses even if they operate solely domestically.

Question 19

It is rare for a business to search for production bases and markets at the same time.

Accepted Answer

It is common for businesses to search for both production bases and markets simultaneously, as they need to ensure efficient production and distribution of their products to reach their intended customer base.

Question 20

Research shows that pollution-intensive US companies tend to invest in nations with stricter environmental standards.

Accepted Answer

Pollution-intensive US companies tend to invest in nations with stricter environmental standards because they can take advantage of the lower costs of compliance in those countries.

Quiz 1: Globalization

Robeeze baby shoes,made in Canada and sold in Russia,are an example of which of the following?

Which of the following refers to convergence in buyer preferences in markets around the world?

The most remarkable facilitator of societal and commercial changes today is prompted by _______________.

The world today is experiencing a trend toward more porous national boundaries.

Any commercial transaction that crosses the borders of two or more nations is known as ________.

________ is the trend toward greater economic,cultural,political,and technological interdependence among national institutions and economies.

A born global firm is a company that engages in international business from or near its inception.

Olive oil made in Italy and sold in Canada is an example of which of the following?

Which of the following is most likely not an effect of globalization?