Test Bank For GLOBAL 4 - 4th - 2018 All Chapters - 9781337406833.pdf

Test Bank for Introduction to Global Business Introduction to
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Global Business: Understanding the International Environm
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Chapter 1: The Rise of Globalization
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TRUE/FALSE

1.
Withjbusinessjbecomingjincreasinglyjglobal,jitsjsuccess,jfortunately,jdependsjonlyjonjthejdo
mesticjenvironment.

ANS: F PTS: 1 DIF: Difficulty:jModerate
REF: p.j4 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jComprehension

2.
Evenjthoughjbusinessjisjglobal,jthejcreditjcrisisjofj2008,jstartedjbyjanjAmericanjinvestmentjba
nk,jwasjlimitedjtojthejAmericanjeconomyjwithjfortunatelyjnojimpactjonjthejglobaljeconomy.

ANS: F PTS: 1 DIF: Difficulty:jChallenging
REF: p.j3 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis

3. Keyjaspectsjofjglobalizationjincludejthejeliminationjofjbarriersjtojtradejandjinformationjtechnology.

ANS: T PTS: 1 DIF: Difficulty:jModerate
REF: p.j5 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis

4.
Sojfarjglobalizationjhasjmadejitjpossiblejforjgoods,jservices,jandjcapital,jtojcrossjnationaljbord
ersjbutjnotjtechnologyjandjculture.

ANS: F PTS: 1 DIF: Difficulty:jModerate
REF: p.j5 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis

5.
Thej“soft”jqualitiesjessentialjtojglobalizationjincludejopenness,jprotectionism,jaccountabilit
y,jconnectivity,jdemocracy,jandjcentralization.

, ANS: F PTS: 1 DIF: Difficulty:jChallenging
REF: p.j6 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis

6. Ajsustainablejdecouplingjprocessjwouldjeventuallyjleadjtojajmulti-polarjworld—
ajworldjeconomyjinjwhichjthejenginesjofjgrowthjcouldjcomprisejthejUnitedjStates,jthejEuropeanjUnio
n,jChina,jIndia,jBrazil,jRussia,jandjSouthjAfricajratherjthanjthejUnitedjStatesjalone.

ANS: T PTS: 1 DIF: Difficulty:jChallenging
REF: p.j9 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis

7.
Thejopennessjandjproliferationjofjglobalizationjandjfreejtradejrulesjcanjbestjbejattributedjtojth
ejinterwarjperiodjbetweenjWorldjWarjIjandjII.

ANS: F PTS: 1 DIF: Difficulty:jChallenging
REF: p.j10 OBJ: LO:j01-02 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis

8.
AsjpartjofjthejWorldjBank’sjStrategicjFramework,jtherejarejfivejfocusjareasjthatjaccommodat
ejandjfacilitatejthejglobalizationjprocessjincludingjitsjanalyticaljandjadvisoryjrolejsupportingjnationalj
policiesjtojstrengthenjfreejmarketjinstitutionsjandjinfrastructurejthatjhasjprovidedjthejpotentialjforjcre
atingjlargejgainsjfromjtrade.

ANS: T PTS: 1 DIF: Difficulty:jChallenging
REF: p.j12 OBJ: LO:j01-02 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jEvaluation

9.
ForjWorldjTradejOrganization,jincreasingjtradejbarriersjhasjbeenjonejofjthejmostjsimplisticjw
aysjtojencouragejtradejandjglobalization.

ANS: F PTS: 1 DIF: Difficulty:jModerate
REF: p.j13 OBJ: LO:j01-02 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jComprehension

10. Thejfoundationsjofjthejglobalizedjbusinessjworldjarejpolitical—
andjsojarejthejbiggestjthreatsjtojthejsystem.

ANS: T PTS: 1 DIF: Difficulty:jChallenging
REF: p.j15 OBJ: LO:j01-03 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis

,11.
Countriesjthatjhavejsuccessfullyjadaptedjtojglobalizationjrealizejthatjtheyjcannotjsucceedjwit
houtjhigh-qualityjgovernmentjmanagementjatjhome.

ANS: T PTS: 1 DIF: Difficulty:jModerate
REF: p.j18 OBJ: LO:j01-04 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jComprehension

12. Injcommunistjandjstate-
controlledjeconomiesjlikejthosejinjCentraljAsiajpropertyjrightsjeitherjdojnotjexistjorjarejnotjwelljdefin
edjwhichjdiscouragesjdomesticjandjforeignjinvestorsjfromjmakingjlong-
termjcommitmentsjinjthesejcountries.

ANS: T PTS: 1 DIF: Difficulty:jModerate
REF: p.j18 OBJ: LO:j01-04 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jEvaluation

13.
MorejglobalizedjeconomiesjlikejNewjZealandjandjSingaporejrankjatjthejtopjinjindexjforjabsen
cejofjcorruptionjbyjTransparencyjInternational.

ANS: T PTS: 1 DIF: Difficulty:jChallenging
REF: p.j19 OBJ: LO:j01-04 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jEvaluation

14.
Becausejbroadbandjpricesjhavejbeenjfalling,jgovernmentsjinjemergingjeconomiesjsuchjasjInd
iajandjSouthjAfricajarejfacilitatingjthejspreadjofjbroadbandjtojruraljtownsjandjvillagesjtojprovidejinsta
ntjaccessjtojmarketjinformationjandjgovernmentjprogramsjtojremotejvillagersjwhichjwilljenablejpolic
ymakersjtojmaximizejthejeconomicjpotentialjofjremotejcommunitiesjandjmakejglobalizationjsustaina
ble.

ANS: T PTS: 1 DIF: Difficulty:jModerate
REF: p.j20 OBJ: LO:j01-05 NAT: BUSPROG:jAnalytic
STA: DISC:jInformationjTechnology KEY: Bloom's:jEvaluation

15.
Criticsjarguejthatjopenjtradejandjforeignjdirectjinvestmentjalwaysjtakejjobsjfromjworkersjinjd
evelopingjeconomiesjandjtransferjthemjtojworkersjinjadvancedjindustrialjcountriesjwhichjleavejthejw
orkersjinjthejdevelopingjcountry,joutjofjwork.

ANS: F PTS: 1 DIF: Difficulty:jModerate
REF: p.j23 OBJ: LO:j01-06 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jEvaluation

, 16.
AjsurveyjbyjthejWorldjBankjindicatesjthatjofjthejcompaniesjsurveyed;junfortunately,jonlyj30j
percentjhavejboard-
approvedjpoliciesjonjenvironmentaljmanagementjindicatingjthatjcorporatejsocialjresponsibilityjpract
icesjhavejbecomejanjinsignificantjfactorjinjdeterminingjwherejmultinationaljcorporationsjconductjbu
siness.

ANS: F PTS: 1 DIF: Difficulty:jChallenging
REF: p.j24 OBJ: LO:j01-06 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jEvaluation

MULTIPLEjCHOICE

1. Ofjthejfollowing,jwhichjisjNOTjtruejregardingjthejcreditjcrisis?
a. ItjaffectedjfarmersjinjBurkinajFaso.
b. ItjaffectedjminersjandjsteeljworkersjinjUkraine.
c. Itjaffectedjassemble-linejworkersjinjSingapore.
d. Itjaffectedjwhite-collarjworkersjatjinformationjtechnologyjfirmsjinjIreland.
e. Itjhadjanjimpactjonlyjonjitsjcountryjofjorigin-jthejUnitedjStates.
ANS: E PTS: 1 DIF: Difficulty:jEasy
REF: p.j3 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jEvaluation

2.
BrazilianjJuice,jajmanufacturerjofjhealthyjfruitjjuicesjinjBrazil,jsellsjjuicejinjsixjdifferentjcoun
triesjincludingjUnitedjStates.jBrazilianjjuicejisjengagingjin
a. economicjdevelopmentjinjUnitedjStates.
b. exercisingjnontariffjbarriersjinjBrazil.
c. unfairjtradejpractices.
d. globalization.
e. thejWorldjTradejBankjGroup.
ANS: D PTS: 1 DIF: Difficulty:jModerate
REF: p.j5 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jApplication

3. WhichjofjthejfollowingjisjNOTjajkeyjaspectjofjglobalization?
a. Thejeliminationjofjbarriersjtojtrade
b. Investment
c. Financialjindependence
d. Culture
e. Informationjtechnology
ANS: C PTS: 1 DIF: Difficulty:jModerate
REF: p.j5 OBJ: LO:j01-01 NAT: BUSPROG:jAnalytic
STA: DISC:jEnvironmentaljInfluence KEY: Bloom's:jAnalysis