BUSA 4000 Questions with CORRECT Answers

BUSA 4000 (2) Questions with CORRECT Answers


Question:
Which of the following best characterizes the development of international
business?
Answer:
It has existed in some form for centuries

Question:
Which of the following would NOT be considered an example of foreign direct
investment (FDI)?
Answer:
Cross border purchase of stocks

Question:
Which of the following has contributed to the rapid growth of trade among nations
EXCEPT
Answer:
The increase in trade barriers

Question:
Which of the following types of risk is also known as political risk?
Answer:
Country Risk

Question:
Which of the following is NOT an example of a crosscultural risk factor?
Answer:
Cost of production

Question:
Fluctuating exchange rates are an example of which of the following?
Answer:
Currency Risk

, Question:
Which of the following is necessary for local responsiveness to effectively
increase a firm's competitiveness?
Answer:
Local managers need to be able to make decisions based on local needs

Question:
Which of the following is a disadvantage of a geographic area structure?
Answer:
Geographic area managers potential lack of global orientation for developing and
managing products

Question:
Which of the following activities would be considered last by a manager while
developing strategies?
Answer:
Deciding how best to contend with competitors

Question:
A strategy is characterized by substantial control over country operations by
headquarters in order to increase efficiency and integration
Answer:
Global

Question:
In which of the following are substantial autonomy and decisionmaking authority
delegated to a firm's subsidiaries around the world?
Answer:
Decentralized Approach

Question:
A global industry is one in which competition is on a regional or worldwide scale.
Which of the following is more commonly a global industry?
Answer:
Automobiles