BUSI 1301 EXAM 1 UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Question:
1. Foreign environmental forces often operate differently
than domestic environmental forces because
Answer:
the forces are interrelated.
Question:
2. The 17th and 18th centuries have frequently been termed
the "Age of Mercantilism" because
Answer:
national power depended on the sponsorship and control of merchant capital.
Question:
3. Relatively inexpensive international communication
enables firms to "body shop," that is, transmit computer-
oriented tasks worldwide to a cheap but skilled labor
force. This is an example of a ________ driver of international
business activity.
Answer:
technological
Question:
4. What is an example of an external force that represents
financial factors affecting a business?
Answer:
Interest rates
Question:
5. According to the text, personnel working in a foreign
subsidiary are working in the international environment
Answer:
if they are responsible for the subsidiary's exports.
, Question:
6. Estimates show there are ________ transnational
corporations with hundreds of thousands of foreign
affiliates.
Answer:
more than 100,000
Question:
7. The automobile manufacturer decided it had to enter the
European market because if it didn't, then all of the other
car companies that were already there would get the
business. Which driver is indicating internationalization for
the manufacturer?
Answer:
competitive
Question:
8. The plague known as the Black Death moved west and
affected more people as the international trading system
expanded
Answer:
True
Question:
9. The international environment refers to all the
uncontrollable forces originating outside the home
country that surround and influence the firm.
Answer:
False
Question:
10. According to opponents of the globalization of trade
and investment,
Answer:
globalization has contributed to a decline in environmental and health conditions
Question:
11. Compared to 1980, service exports in 2017 can best be
described as
Answer:
more than thirteen times larger.
AND CORRECT ANSWERS
Question:
1. Foreign environmental forces often operate differently
than domestic environmental forces because
Answer:
the forces are interrelated.
Question:
2. The 17th and 18th centuries have frequently been termed
the "Age of Mercantilism" because
Answer:
national power depended on the sponsorship and control of merchant capital.
Question:
3. Relatively inexpensive international communication
enables firms to "body shop," that is, transmit computer-
oriented tasks worldwide to a cheap but skilled labor
force. This is an example of a ________ driver of international
business activity.
Answer:
technological
Question:
4. What is an example of an external force that represents
financial factors affecting a business?
Answer:
Interest rates
Question:
5. According to the text, personnel working in a foreign
subsidiary are working in the international environment
Answer:
if they are responsible for the subsidiary's exports.
, Question:
6. Estimates show there are ________ transnational
corporations with hundreds of thousands of foreign
affiliates.
Answer:
more than 100,000
Question:
7. The automobile manufacturer decided it had to enter the
European market because if it didn't, then all of the other
car companies that were already there would get the
business. Which driver is indicating internationalization for
the manufacturer?
Answer:
competitive
Question:
8. The plague known as the Black Death moved west and
affected more people as the international trading system
expanded
Answer:
True
Question:
9. The international environment refers to all the
uncontrollable forces originating outside the home
country that surround and influence the firm.
Answer:
False
Question:
10. According to opponents of the globalization of trade
and investment,
Answer:
globalization has contributed to a decline in environmental and health conditions
Question:
11. Compared to 1980, service exports in 2017 can best be
described as
Answer:
more than thirteen times larger.
