Exam (elaborations)
FVC1 - Global Business UNIT QUIZZES Graded A(2022 questions and answers)
- Course
- Institution
FVC1 - Global Business UNIT QUIZZES Graded A(2022 questions and answers)
[Show more]
Seller
Follow
scottgrades
Reviews received
Content preview
FVC1 - Global Business UNIT QUIZZESGraded A(2022 questions and answers)
What effect does a command economy have on the process of globalization? Answer-
The government is less flexible, so the globalization process is stopped.
Which core principle of the World Trade Organization supports equality among member
nations and helps fight discrimination among them? Answer- Most-favored-nation
(MFN) status
Countries A and B participate in trade agreements that allow free trade among
participant countries. However, Country A imposed quotas on several imported products
to protect its domestic products.
What is the effect, if any, on the domestic prices of these products? Answer- Increases
How do governments help companies offset the cost of manufacturing domestically?
Answer- Subsidies
A firm in Country A exports products to Country B. The currency in Country B is strong
relative to the currency in Country A. What does this mean for the firm? Answer- More
valuable export sales
How is global business positively affected by intercultural exchange? Answer- It
increases worldwide connections that support commodity trading.
How does globalization support tolerance for different people and ideas? Answer- By
increasing the access to information
A business has recently started selling in a new global marketplace. Shortly after the
company made this global expansion, the new country opted to implement ad valorem
tariffs. How will this change affect the company? Answer- It will levy a variable tax
based on the value of goods imported.
Which business component does the TRIPS agreement help protect for member
nations? Answer- Intellectual property protection for all member nations
Countries A, B, and C have a trade agreement. Country C imposes high tariffs on all
raw materials imported from Country A, and Country B imposes a lower tax on the same
raw materials. These raw materials are unique to Countries B and C and essential to
Country A. What is the effect of this set of actions on these countries? Answer- Country
A will do more business with Country B.
, A company is conducting a legal risk analysis for a country that has a civil law system.
Which statement accurately characterizes this legal system? Answer- It is based on a
detailed set of laws that form a code.
Which fact should a company opening its operations in the U.S. state of Louisiana note?
Answer- The state has a mixed law system.
A car manufacturer purchases raw materials from Country A, manufactures the product
in Country B, and has a sales force in Country C. Which term reflects this production
process that international agreements now enable? Answer- Value chain
A business invests in an assembly plant located near a port in a foreign country. The
business will import parts and raw materials for final assembly as a finished product,
then export these products for international sales. The business receives tax incentives.
What is the name for the geographic area where these products are assembled?
Answer- Export processing zones (EPZs)
A multinational corporation has manufacturing facilities in many Asian countries due to
cheaper labor. Which strategy is the corporation using? Answer- Acquisition of
resources
What is the directional nature of contracts between international businesses? Answer-
Horizontal contracts with vertical legal structure
A company is reviewing intangible assets that are covered by intellectual property laws.
Which asset is being reviewed? Answer- Copyright
Which organization aims to create support and cooperation among participating nations
as well as respecting the unique laws and regulations of each sovereign country?
Answer- WTO
An individual works in a global office where it is typical to pay small, unofficial fees to
top administrators in the city to gain an advantage. The individual agrees to pay the fee
needed to expedite placement of a business phone line at home so work can be
completed after normal work hours. What is this inducement called? Answer- Grease
payment
A large U.S. corporation is entering a foreign market but is having significant delays in
acquiring the necessary permits to begin operations. A local official tells the project
manager that a financial incentive should be paid to speed up the permit process. The
official stresses that other companies engage in this practice and that it is acceptable in
the local culture, so the project manager pays the incentive. How is this action
characterized? Answer- It is a violation of the U.S. Foreign Corrupt Practices Act.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller scottgrades. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $8.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
67096 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now