Test Bank Chapter 1

Only available on StudyMode
  • Download(s) : 378
  • Published : March 4, 2013
Open Document
Text Preview
Chapter 1

1. What is the name of the superstore which exists in South Africa and other countries and is considered to be the next Wal-Mart?

a. South-Mart

b. African-Store

c. World-Mart

d. Shoprite

Answer: D

Factual, International Business, p. 5

2. Companies are no longer limited by their domestic boundaries and may conduct any business activity anywhere in the world; these companies are more likely to compete anywhere because of

a. Technology

b. Globalization

c. Free trade system

d. Business strategy

Answer: B

Conceptual, International Business, p. 6

3. Multinational companies or MNCs are

a. Small companies that have some form of international business

b. Large companies that have some form of international business

c. All companies that have some form of international business

d. None of the above

Answer: C

Conceptual, International Business, p. 6

4. The study of international business helps prepare you

a. To deal with the evolving economy

b. To develop the necessary skills to succeed in business

c. To make a business survive

d. (a) and (b)

Answer: D

Conceptual, Nature of International Business, p. 7

5. Which of the following three statements about multinationals is NOT true?

a. The largest multinationals are often privately owned

b. The smallest multinationals are often privately owned

c. The largest multinationals are often public corporations

d. All of the above are true

Answer: A

Conceptual, Nature of International Business, p. 7

6. Developed economies have

a. Mature economies with substantial per capita GDPs and international trade and investments

b. A trend to expand beyond local boundaries

c. Money flowing more freely across countries

d. Reduced government trade protection

Answer: A

Conceptual, Types of Economies in the Global Marketplace, p. 11

7. Transition economies are

a. Found in Hong Kong, Singapore, South Korea, and Taiwan

b. Countries that have changed from government-controlled, mostly communist economic systems to market or capitalistic systems

c. Useful in order to look at some commonly used classifications of the world’s businesses

d. None of the above

Answer: B

Conceptual, Types of Economies in the Global Marketplace, p. 11

8. What is the definition of low-cost countries (LCC)?

a. The poorest nations with unstable political regimes, high unemployment, and unskilled workers

b. Countries with cheap labor that are becoming the manufacturing and service providers for multinational companies

c. Nations that have substantial per capita GDP and international trade

d. Countries where the companies are converted to private ownership

Answer: B

Factual, Types of Economies in the Global Marketplace, p. 11

9. Developing economies

a. Have mature economies with substantial per capita GDPs and international trade and investments

b. Follow the trend to expand beyond local boundaries

c. Have money flowing more freely across countries

d. Have grown extensively over the past two decades but have sometimes struggled

Answer: D

Conceptual, Types of Economies in the Global Marketplace, p. 11

10. Examples of developing economies include

a. Czech Republic, Hungary, and Poland

b. USA, UK, and France

c. Indonesia, Malaysia, and the Philippines

d. None of the above

Answer: C

Factual, Types of Economies in the Global Marketplace, p. 11

11. The Czech Republic, Hungary, Poland, and Russia are all examples of

a. Developed economies

b. Low-cost countries

c. Transition economies...
tracking img