International Business and Global Economics: Definitions, Concepts, and
Key Questions, Exams of Advanced Education
Globalization - ANSWERMovement from thinking about markets in terms of
geographic areas to thinking about them as something that transcends
borders; the shift towards a more integrated and interdependent world
economy
World-wide sourcing - ANSWERAll types of businesses are getting inputs from
several global locations
Globalization of markets - ANSWERMerging of historically distinct and
separate national markets into one huge global market;
Globalization of production - ANSWERSourcing of goods and services from
locations around the globe to take advantage of national differences in cost
and quality factors of production
Factors of production - ANSWERinputs into the productive processes of a
firm, including labor management, land, capital, and technological know how
, General Agreement on Tariffs and Trade (GATT) - ANSWERInternational treaty
that committed signatures to lowering barriers to the free flow of goods
across national borders and led to the WTO
World Trade Organization - ANSWERPrimarily responsible for policing the
world trading system and making sure nation-states adhere to the rules laid
down in trade treaties signed by WTO member states (97% of world trade
countries)
International Monetary Fund - ANSWERInternational institution set up to
maintain order in the international monetary system
United Nations - ANSWERInternational organization made up of 193
countries to promote peace, security, and cooperation
G20 - ANSWERComprises the finance ministers and central bank governors of
the 19 largest economies in the world, plus representatives from the EU and
European Central Bank
International Trade - ANSWEROccurs when a firm exports goods or services
to consumers in another country
Foreign Direct Investment (FDI) - ANSWERDirect investment in business
operations in a foreign country
Two factors that underlie trend towards greater globalization -
ANSWERDeclining barriers to international trade and technological chanve
Key Questions, Exams of Advanced Education
Globalization - ANSWERMovement from thinking about markets in terms of
geographic areas to thinking about them as something that transcends
borders; the shift towards a more integrated and interdependent world
economy
World-wide sourcing - ANSWERAll types of businesses are getting inputs from
several global locations
Globalization of markets - ANSWERMerging of historically distinct and
separate national markets into one huge global market;
Globalization of production - ANSWERSourcing of goods and services from
locations around the globe to take advantage of national differences in cost
and quality factors of production
Factors of production - ANSWERinputs into the productive processes of a
firm, including labor management, land, capital, and technological know how
, General Agreement on Tariffs and Trade (GATT) - ANSWERInternational treaty
that committed signatures to lowering barriers to the free flow of goods
across national borders and led to the WTO
World Trade Organization - ANSWERPrimarily responsible for policing the
world trading system and making sure nation-states adhere to the rules laid
down in trade treaties signed by WTO member states (97% of world trade
countries)
International Monetary Fund - ANSWERInternational institution set up to
maintain order in the international monetary system
United Nations - ANSWERInternational organization made up of 193
countries to promote peace, security, and cooperation
G20 - ANSWERComprises the finance ministers and central bank governors of
the 19 largest economies in the world, plus representatives from the EU and
European Central Bank
International Trade - ANSWEROccurs when a firm exports goods or services
to consumers in another country
Foreign Direct Investment (FDI) - ANSWERDirect investment in business
operations in a foreign country
Two factors that underlie trend towards greater globalization -
ANSWERDeclining barriers to international trade and technological chanve
