BUSA 4000 EXAM QUESTIONS ANSWERED CORRECTLY LATEST UPDATE 2026

BUSA 4000 EXAM QUESTIONS ANSWERED CORRECTLY LATEST UPDATE 2026 Which of the following has contributed to the rapid growth of trade among nations EXCEPT - Answers the increase in trade barriers International business is defined as the performance of _____________ activities by firms across national borders. - Answers trade and investment Fluctuating exchange rates are an example of which of the following? - Answers currency risk Which of the following would NOT be considered an example of foreign direct investment (FDI)? - Answers cross-border purchase of stocks Which of the following types of risk is also known as political risk? - Answers country risk Which of the following best characterizes the development of international business ? - Answers It has existed in some form for centuries. Businesses that directly initiate international business transactions are known as - Answers focal firms Which of the following is NOT an example of a cross-cultural risk factor? - Answers costs of production --------- is the total value of products and services produced in a country over the course of a year. - Answers GDP ____________ refers to the transfer of assets to another country or the acquisition of assets in that country. - Answers International investment A _______ strategy is characterized by substantial control over country operations by headquarters in order to incréase efficiency and integration. - Answers multidomestic A firm would be compelled to seek global integration when it has to - Answers capitalize on converging consumer trends and universal needs Graham Technologies is a U.K.-based consumer electronics manufacturer. The company markets netbooks, smartphones, laptops, and desktops in the international market and each product division operates as a stand-alone profit center with substantial autonomv. This is an example of a - Answers product structure Firms that emphasize global integration make and sell ________. - Answers products that require minimal adaptation In which of the following are substantial autonomy and decision-making authority delegated to a firm's subsidiaries around the world? - Answers decentralized approach Which of the following activities would be considered last by a manager while developing strategies? - Answers deciding how best to contend with competitors Which of the following is necessary for local responsiveness to effectively increase a firm's competitiveness? - Answers Local managers need to be able to make decisions based on local needs. Which of the following is a disadvantage of a geographic area structure? - Answers A) geographic area managers' lack of global orientation for developing and managing products In order to estimate industry market potential, managers most likely require - Answers market size and growth rates specific to the industry Which of the following should be done by a company planning to internationalize when it assesses market industry potential? - Answers develop a 3- to 5-year forecast of industry sales for each target market The size and growth rate of a country's middle class is termed as - Answers market consumption capacity Which of the following tasks should a shoe manufacturing company perform first if it needs to assess the global market opportunity? - Answers analyze the firm's readiness to internationalize The estimate of the share of annual industry sales the firm expects to generate in a particular target market is known as - Answers company sales potential According to the Market Potential Indicators index, is an indicator of market size. - Answers urban population and electricity consumption Advances in communications and transportation technology have changed the internationalization tendencies of firms by - Answers reducing the risk and difficulty of doing business in markets with unfamiliar cultures _______ is used by some firms to gauge long-term sales potential without fully committing to a foreign market. - Answers test marketing When using the process of gradual elimination to screen potential country markets, a researcher should first - Answers obtain general information on macro-level indicators such as population, income, and economic growth Trade audits may provide managers insight regarding - Answers competitors' offerings and pricing The strategic view of global sourcing suggests that - Answers just as firms achieve gains in efficiency, productivity, quality, and revenues by leveraging offshore talent, they also obtain the means to turn around failing businesses, speed up innovation, restructure operations, and fund otherwise-unaffordable development projects Which of the following is an advantage of exporting? - Answers It increases overall sales volume, improves market share, and reduces per-unit costs of manufacturing. Information technology has increased the success and growth of international franchising operations by - Answers improving communication between MNE managers and their franchisee's If a computer contains a microprocessor from Costa Rica and a hard disk drive from the Philippines, the computer manufacturer, who is based in Texas and operates across Europe and West Asia, most likely uses as an entry strategy. - Answers Global Sourcing Which of the following is provided by the licensor in a licensing agreement? - Answers a combination of intellectual property and technical information and assistance Which of the following is an example of a market-seeking motive for FDI? - Answers a firm follows its key customers abroad