Business Exam #1
Which of the following scenarios would not be considered international business?
a. A Chinese manufacturer sells toys to a large toy retailer in the United States.
b. Intel sells its processors to a computer manufacturer in Korea.
c. A large jewelry store in England purchases its diamonds from DeBeers in South Africa.
d. A bearing manufacturer in South Carolina sells its parts to a Toyota plant in Kentucky.
e. French companies purchase crude oil from Saudi Arabia. >>> d. A bearing manufacturer in South
Carolina sells its parts to a Toyota plant in Kentucky.
Tom stormed into the office, exclaiming, "That's the last straw! I've experienced unethical behavior at
this company one time too many. I'll be calling the press immediately." It appears that Tom is about to
engage in _____________________.
a. an unethical practice.
b. corporate ethics.
c. whistling.
d. trumpeting.
e. whistle-blowing. >>> e. whistle-blowing.
Joe would like to start his own lawn maintenance business but is not quite sure where to begin or what
to do to start a business. He has come to you for advice. What would you recommend for him to do?
a. First, determine what you want, why you want to do it, and write it down.
b. Focus on one task at a time then bounce between these tasks to accomplish them all.
c. Structure your time and do all of the mundane unimportant things first so they don't hang over your
head all day.
d. Don't leave your desk until the job is done. If you take breaks, you may forget what you were doing
and have to start over. >>> a. First, determine what you want, why you want to do it, and write it
down.
Which of the following is an advantage to the franchisor in a franchise agreement?
,a. Opportunity to start a business with limited capital
b. Access to local advertising materials
c. Fast and selective distribution of products
d. Chance to participate in national advertising
e. Chance to minimize costs through cooperative buying >>> c. Fast and selective distribution of
products
Refer to Samantha's Dilemma. If Samantha worked for the large retail company in Philadelphia, what
type of corporation would that be?
a. Foreign
b. Alien
c. International
d. Domestic
e. Global >>> a. Foreign
Over the past several decades, concern for the environment has
a. been relatively steady because people expect to live in a clean and safe environment.
b. increased significantly because pollution became a threat to life and health.
c. been carefully handled by businesses because they are the primary source of pollutants.
d. become stronger in the United States but not yet in the rest of the world.
e. decreased because today's industrialized processes are naturally more environmentally friendly. >>>
b. increased significantly because pollution became a threat to life and health.
An executive at a U.S. steel company uses growth in gross domestic product as one way to develop
trends in industry steel use, so he records GDP change for each year on a graph. However, the
executive's figures are considerably higher than those of the staff economist, who also has drawn a
graph. This difference is most likely the result of
a. measurement errors by the U.S. Bureau of the Census.
b. a decline in gross domestic product.
c. an increase in gross domestic product.
d. the economist adjusting the figures for the inflation rate.
, e. a change in productivity. >>> d. the economist adjusting the figures for the inflation rate.
Despite trade restrictions, international business is
a. moving slowly.
b. growing.
c. slowing down.
d. struggling for survival.
e. decreasing. >>> b. growing.
The Saudi Arabian government does not allow the consumption of alcoholic beverages within its
country. The Saudi Arabian government is imposing a(n)
a. import quota.
b. currency devaluation.
c. prohibition.
d. embargo.
e. dumping restriction. >>> c. prohibition.
______________ is the ability to produce a specific product more efficiently than any other product.
a. Absolute advantage
b. Specialization
c. Relative advantage
d. Dominant advantage
e. Comparative advantage >>> a. Absolute advantage
The concept of sustainability focuses on which of the following?
a. The needs of the present without compromising the future
b. The needs of the future without compromising the present
c. The needs of the firm to make a profit in the present
d. The needs of future employees
Which of the following scenarios would not be considered international business?
a. A Chinese manufacturer sells toys to a large toy retailer in the United States.
b. Intel sells its processors to a computer manufacturer in Korea.
c. A large jewelry store in England purchases its diamonds from DeBeers in South Africa.
d. A bearing manufacturer in South Carolina sells its parts to a Toyota plant in Kentucky.
e. French companies purchase crude oil from Saudi Arabia. >>> d. A bearing manufacturer in South
Carolina sells its parts to a Toyota plant in Kentucky.
Tom stormed into the office, exclaiming, "That's the last straw! I've experienced unethical behavior at
this company one time too many. I'll be calling the press immediately." It appears that Tom is about to
engage in _____________________.
a. an unethical practice.
b. corporate ethics.
c. whistling.
d. trumpeting.
e. whistle-blowing. >>> e. whistle-blowing.
Joe would like to start his own lawn maintenance business but is not quite sure where to begin or what
to do to start a business. He has come to you for advice. What would you recommend for him to do?
a. First, determine what you want, why you want to do it, and write it down.
b. Focus on one task at a time then bounce between these tasks to accomplish them all.
c. Structure your time and do all of the mundane unimportant things first so they don't hang over your
head all day.
d. Don't leave your desk until the job is done. If you take breaks, you may forget what you were doing
and have to start over. >>> a. First, determine what you want, why you want to do it, and write it
down.
Which of the following is an advantage to the franchisor in a franchise agreement?
,a. Opportunity to start a business with limited capital
b. Access to local advertising materials
c. Fast and selective distribution of products
d. Chance to participate in national advertising
e. Chance to minimize costs through cooperative buying >>> c. Fast and selective distribution of
products
Refer to Samantha's Dilemma. If Samantha worked for the large retail company in Philadelphia, what
type of corporation would that be?
a. Foreign
b. Alien
c. International
d. Domestic
e. Global >>> a. Foreign
Over the past several decades, concern for the environment has
a. been relatively steady because people expect to live in a clean and safe environment.
b. increased significantly because pollution became a threat to life and health.
c. been carefully handled by businesses because they are the primary source of pollutants.
d. become stronger in the United States but not yet in the rest of the world.
e. decreased because today's industrialized processes are naturally more environmentally friendly. >>>
b. increased significantly because pollution became a threat to life and health.
An executive at a U.S. steel company uses growth in gross domestic product as one way to develop
trends in industry steel use, so he records GDP change for each year on a graph. However, the
executive's figures are considerably higher than those of the staff economist, who also has drawn a
graph. This difference is most likely the result of
a. measurement errors by the U.S. Bureau of the Census.
b. a decline in gross domestic product.
c. an increase in gross domestic product.
d. the economist adjusting the figures for the inflation rate.
, e. a change in productivity. >>> d. the economist adjusting the figures for the inflation rate.
Despite trade restrictions, international business is
a. moving slowly.
b. growing.
c. slowing down.
d. struggling for survival.
e. decreasing. >>> b. growing.
The Saudi Arabian government does not allow the consumption of alcoholic beverages within its
country. The Saudi Arabian government is imposing a(n)
a. import quota.
b. currency devaluation.
c. prohibition.
d. embargo.
e. dumping restriction. >>> c. prohibition.
______________ is the ability to produce a specific product more efficiently than any other product.
a. Absolute advantage
b. Specialization
c. Relative advantage
d. Dominant advantage
e. Comparative advantage >>> a. Absolute advantage
The concept of sustainability focuses on which of the following?
a. The needs of the present without compromising the future
b. The needs of the future without compromising the present
c. The needs of the firm to make a profit in the present
d. The needs of future employees
