Upgrade to remove ads
International business final
Terms in this set (60)
An international company is an organization with multicountry affiliates, each of which formulates its own business strategy based on perceieved market differences.
A company headquartered in another country is known as a foreign business.
The United Nations uses the term transnational to describe an enterprise doing business in more than one country.
External forces in the international business environment are commonly called uncontrollable forces.
While international business as a discipline is relatively new, international business as a business practice is not.
One variable commonly used to measure where and how fast internationalization takes place is the increase in total foreign direct investment
Importing refers to the transportation of any good or service to a destination into a country or region, from a foreign origination point.
Opponent of free trade point out that globalization has contributed to a decline in environmental and health conditions
Changing the method of going abroad from exporting to overseas production is often necessary to protect forieign markets.
In organizing their international activities, there are five dimensions along which management can globalize or standardize these activites
A multidomestic company is?
An organization with multicountry affiliates
According to the Export Data base, small and medium-sized enterprises accounted for____ of all US exports?
The level of merchandise exports in 2010, worldwide, was?
More than one-half of the exports from developing countries go to______ countries, and this proportion has been ______ over the past 35 years.
The three largest markets for American Exports of goods in 2010 were:
Canada, Mexico, China
Adam Smith claimed that:
Market forces, not government controls, should determine direction, volume and compostion of international trade.
The capability of one nation to produce more of a good with the same amount of input than another country is:
An absolute advantage
If Ecuador has an absolute advantage in coffee and Argentina in wheat, then, according to trade theory:
All the above
The international product life cycle?
Is concerned with the role of innovation in trade patterns.
The monopolistic advantage theory suggests that firms in the oligopolistic industries are likely to_______ foreign direct investment when they have technical and other advantages over indigenous firms.
Switzerland exports cheese and chocolate because one of its factor endowments is lots of rich agricultural land.
Policy continuity and government stability are more important to a business than the type of political system.
Public international law refers to legal relations between governments and publicly held companies.
The sourse of international law is frequently the United Nations
The U.S enforcement of Equal Employment Opportunity Commision (EEOC) law in U.S companies operating abroad is an example of extraterritoriality.
Arbitation provides foreign business a forum other than the U.S court system to address disputes that involve U.S sellers or buys
Sir Isaac NEwton established the price of gold in 1717 and de facto put England on the gold standard
The Bank for International Settlements operates as the banker for central banks
Scenarios are forecasts that extrapolate only from past data to make predictions
Strategic planning processes are something that only the company's most senior executives are involved with
Incoterms attempt to standardize shipping agreements, and they include:
FAS and CIF
Patent treatment is standardized, thanks to:
The Paris Union
Punitive Damages in product liability cases can be awarded in:
Bretton Woods led to an exchange rate agreement known as the Bretton Woods System or:
The gold exchange standard
Exchange rate forecasting is:
Important because exchange rates influence all aspects of business
Foreign reserves are used to:
Cover foreign debt, import purchases, and other demands for foreign currency that banks might encounter.
Currency exchange controls are found most frequently in:
The balance-of-payment account is a record of:
A country's transactions with the rest of the world
The inflation rate determines:
The real price of borrowing in capital markets
Most significantly for the international manager, the balance of payments reveals:
Demand for country's currency and potential changes in its economic environment
A company's organizational structure helps to determine where formal power and authority will be located.
Organizational structure deals with how an international business should be organized in order to ensure that its world-wide business activities are integrated.
Most companies establish world-wide organizations based on product, region, function or customer classes
The disadvantage of an organization divided into geographic regions is that each region must have its own product and functional specialists
A virtual corporation is also called a network organization
In larger, older organizatioins more decisions are made at the subidiaries
Globalization increases the complexity of the external but not the internal context of the company
Among the skills necessary for a global leader are cultural adaptablity and an ability to build global teams
Research indicates that global leaders are born, not developed through experience or training.
Global teams are characterized by low levels of diversity and high levels of geographic dispersion.
Historically, Firms making a foreign direct investment have generally preferred:
Wholly owned subsidiaries
__________ alliances are driven by similarity and integration
When none exporting firms are asked why they do not export, they generally list the following as problems:
The Gold Key Service provided through many American embassies offeres companies the following:
ALL OF THE ABOVE
Export marketing plans should be specific about:
Ex-works is a short way to say:
Shipment transferred to seller at factory
Incoterms are developed and maintained by:
The international Chamber of Commerce
Which of the following is the most risky for an exporter?
Bank collection time draft
On consignment sale, the payment risk is:
Covered by the insurance
Which of the following is the most risky for an importer?
Cash in Advance
You might also like...
IB 320F ch1
Other Quizlet sets
Law Civil rights part 2
Global Chapter 10 Sections 1-3
Esthetics Test 3 - Chapters 5, 6 and 18
Courts Exam #2 (Chapter 5)