Test Bank - International Business, 18th Edition by John D. Daniels et al
Complete Chapters (Ch 1 to 20) | Updated Test / Exam Questions
International Business, 18e (Daniels)
Chapter 1 Globalization and International Business
1) In terms of international business, it is most accurate to say that ________.
A) there is a universal "best way" to conduct business
B) global competition affects large companies but not small ones
C) most firms depend either on foreign markets and supplies or compete against companies that
do
D) government regulation of international business has little effect on a company's profits
Answer: C
Diff: 2
Skill: Concept
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
2) A manager is tasked with sourcing raw materials for her company's manufacturing process.
An understanding of international business would best equip her to ________.
A) exclusively use domestic suppliers to simplify the supply chain
B) evaluate where to get the best resources at the best possible price globally
C) focus only on marketing the final product to a domestic audience
D) limit the company's operations to a single country to reduce risk
Answer: B
Diff: 2
Skill: Understand the Concepts
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
3) Devon, an accounts manager at a large electronics firm, does not have any direct international
responsibilities; however, Devon would most likely benefit from studying international business
issues so that he can ________.
A) conduct better job interviews
B) better understand how foreign operations affect the company's competitive position
C) supervise and evaluate subordinates who have global assignments
D) understand the legalities of importing and exporting products overseas
Answer: B
Diff: 2
Skill: Application
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Application of knowledge
1
Copyright © 2027
,4) The "Counterpoint" argument in the "Globalization: A Career Catalyst or Constraint?" debate
suggests that globalization negatively impacts careers primarily by ________.
A) increasing job security and providing higher wages for all workers
B) creating a hyper-competitive global job market and fueling job insecurity
C) limiting opportunities for professionals to learn new skills and adapt
D) reducing the need for cultural literacy in the workplace
Answer: B
Diff: 2
Skill: Understand the Concepts
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Ethical understanding and reasoning
5) According to the "Point" perspective in the debate on globalization's impact on careers, how
does engaging with a diverse global workforce benefit a professional?
A) It increases job insecurity by introducing more competition.
B) It fosters resilience, adaptability, and cross-cultural communication skills.
C) It limits career mobility to a single country or region.
D) It makes professional skills obsolete due to rapid technological change.
Answer: B
Diff: 2
Skill: Application
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
6) A key tension highlighted in the "Point-Counterpoint" debate on globalization and careers is
the conflict between ________.
A) the opportunity for personal growth through cultural exchange and the risk of cultural
homogenization
B) the rise of remote work and the need for in-person collaboration
C) increased access to a global job market and the intensified competition within that market
D) the need for specialized skills and the demand for generalist managers
Answer: C
Diff: 3
Skill: Analyze
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Analytical thinking
2
Copyright © 2027
,7) Why is it relevant for today's business students to study international business and to become
culturally literate?
Answer: There are several reasons to study international business. Most large organizations will
have international operations or be affected by the global economy. In addition, an understanding
of international business will allow students to better assess career opportunities, interact more
effectively with other managers, and keep pace with competitors. Furthermore, students may
eventually work for a company headquartered in another country. Finally, small businesses are
becoming more involved in international business. Being culturally literate means having an
understanding of different countries and cultures. Having some knowledge of how a country or
company fits into the global economy can help a business person earn respect, confidence, and a
competitive edge.
Diff: 2
Skill: Concept
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
8) The widening set of interdependent relationships among people from different parts of the
world is known as ________.
A) globalization
B) offshoring
C) franchising
D) outsourcing
Answer: A
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Reflective thinking
9) Which of the following best defines international business?
A) It includes all economic flows between two or more countries.
B) It includes all private economic flows between two or more countries.
C) It includes all business transactions involving two or more countries.
D) It includes all business transactions in countries other than your home country.
Answer: C
Diff: 2
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Reflective thinking
3
Copyright © 2027
, 10) The opening case on the video game industry illustrates globalization by highlighting how
________.
A) games are primarily developed and consumed within a single region, such as North America
B) digital marketplaces and global supply chains make games accessible to a worldwide
audience
C) the industry relies on physical media and is constrained by regional locks
D) production is concentrated in one country to maintain high quality
Answer: B
Diff: 2
Skill: Application
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Application of knowledge
11) The video game industry case describes "cultural fusion" in gaming, where titles like
Genshin Impact blend Eastern and Western aesthetics to achieve universal appeal. This
phenomenon is a direct outcome of which aspect of globalization?
A) The dominance of a single country's culture in game development
B) The increased exchange of ideas and perspectives across borders
C) The use of regional locks to protect local cultural content
D) The reliance on a single language for all in-game communication
Answer: B
Diff: 2
Skill: Application
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Diverse and multicultural work environments
12) International business is more complex than domestic business.
Answer: TRUE
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Application of knowledge
13) Globalization refers to all economic transactions among countries.
Answer: FALSE
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Reflective thinking
14) Globalization has allowed firms to expand into markets that, until recently, were separated
from the international marketplace.
Answer: TRUE
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Application of knowledge
4
Copyright © 2027
Complete Chapters (Ch 1 to 20) | Updated Test / Exam Questions
International Business, 18e (Daniels)
Chapter 1 Globalization and International Business
1) In terms of international business, it is most accurate to say that ________.
A) there is a universal "best way" to conduct business
B) global competition affects large companies but not small ones
C) most firms depend either on foreign markets and supplies or compete against companies that
do
D) government regulation of international business has little effect on a company's profits
Answer: C
Diff: 2
Skill: Concept
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
2) A manager is tasked with sourcing raw materials for her company's manufacturing process.
An understanding of international business would best equip her to ________.
A) exclusively use domestic suppliers to simplify the supply chain
B) evaluate where to get the best resources at the best possible price globally
C) focus only on marketing the final product to a domestic audience
D) limit the company's operations to a single country to reduce risk
Answer: B
Diff: 2
Skill: Understand the Concepts
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
3) Devon, an accounts manager at a large electronics firm, does not have any direct international
responsibilities; however, Devon would most likely benefit from studying international business
issues so that he can ________.
A) conduct better job interviews
B) better understand how foreign operations affect the company's competitive position
C) supervise and evaluate subordinates who have global assignments
D) understand the legalities of importing and exporting products overseas
Answer: B
Diff: 2
Skill: Application
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Application of knowledge
1
Copyright © 2027
,4) The "Counterpoint" argument in the "Globalization: A Career Catalyst or Constraint?" debate
suggests that globalization negatively impacts careers primarily by ________.
A) increasing job security and providing higher wages for all workers
B) creating a hyper-competitive global job market and fueling job insecurity
C) limiting opportunities for professionals to learn new skills and adapt
D) reducing the need for cultural literacy in the workplace
Answer: B
Diff: 2
Skill: Understand the Concepts
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Ethical understanding and reasoning
5) According to the "Point" perspective in the debate on globalization's impact on careers, how
does engaging with a diverse global workforce benefit a professional?
A) It increases job insecurity by introducing more competition.
B) It fosters resilience, adaptability, and cross-cultural communication skills.
C) It limits career mobility to a single country or region.
D) It makes professional skills obsolete due to rapid technological change.
Answer: B
Diff: 2
Skill: Application
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
6) A key tension highlighted in the "Point-Counterpoint" debate on globalization and careers is
the conflict between ________.
A) the opportunity for personal growth through cultural exchange and the risk of cultural
homogenization
B) the rise of remote work and the need for in-person collaboration
C) increased access to a global job market and the intensified competition within that market
D) the need for specialized skills and the demand for generalist managers
Answer: C
Diff: 3
Skill: Analyze
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Analytical thinking
2
Copyright © 2027
,7) Why is it relevant for today's business students to study international business and to become
culturally literate?
Answer: There are several reasons to study international business. Most large organizations will
have international operations or be affected by the global economy. In addition, an understanding
of international business will allow students to better assess career opportunities, interact more
effectively with other managers, and keep pace with competitors. Furthermore, students may
eventually work for a company headquartered in another country. Finally, small businesses are
becoming more involved in international business. Being culturally literate means having an
understanding of different countries and cultures. Having some knowledge of how a country or
company fits into the global economy can help a business person earn respect, confidence, and a
competitive edge.
Diff: 2
Skill: Concept
Objective: 1-1 Profile the benefits and value of studying international business (IB) in a global
context.
AACSB: Reflective thinking
8) The widening set of interdependent relationships among people from different parts of the
world is known as ________.
A) globalization
B) offshoring
C) franchising
D) outsourcing
Answer: A
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Reflective thinking
9) Which of the following best defines international business?
A) It includes all economic flows between two or more countries.
B) It includes all private economic flows between two or more countries.
C) It includes all business transactions involving two or more countries.
D) It includes all business transactions in countries other than your home country.
Answer: C
Diff: 2
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Reflective thinking
3
Copyright © 2027
, 10) The opening case on the video game industry illustrates globalization by highlighting how
________.
A) games are primarily developed and consumed within a single region, such as North America
B) digital marketplaces and global supply chains make games accessible to a worldwide
audience
C) the industry relies on physical media and is constrained by regional locks
D) production is concentrated in one country to maintain high quality
Answer: B
Diff: 2
Skill: Application
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Application of knowledge
11) The video game industry case describes "cultural fusion" in gaming, where titles like
Genshin Impact blend Eastern and Western aesthetics to achieve universal appeal. This
phenomenon is a direct outcome of which aspect of globalization?
A) The dominance of a single country's culture in game development
B) The increased exchange of ideas and perspectives across borders
C) The use of regional locks to protect local cultural content
D) The reliance on a single language for all in-game communication
Answer: B
Diff: 2
Skill: Application
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Diverse and multicultural work environments
12) International business is more complex than domestic business.
Answer: TRUE
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Application of knowledge
13) Globalization refers to all economic transactions among countries.
Answer: FALSE
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Reflective thinking
14) Globalization has allowed firms to expand into markets that, until recently, were separated
from the international marketplace.
Answer: TRUE
Diff: 1
Skill: Concept
Objective: 1-2 Analyze the relationship between globalization and IB.
AACSB: Application of knowledge
4
Copyright © 2027
