iba 250 exam 1 Questions With Complete Solutions
1. International Business Performance of trade and investment activities by firms
across
national borders
2. Globalization of Markets Ongoing economic integration and growing
interdependency
of countries worldwide
3. International Trade Exchange of products and services across national
borders;
typically, through exporting and importing
4. International Investment Transfer of assets to another country or the acquisition
of assets
in that country
5. International Portfolio
invest- ment passive ownership of foreign securities such as
stocks and bonds, to generate financial returns
6. 4 Risks of doing
international business Cross cultural, Country Risk, Currency (financial Risk),
Commer- cial Risk
7. Types of cross cultural risks cultural ditterences, negotiation patterns, decision
making
styles, ethical practices
8. Cross Cultural Risk - cultural ditterences, negotiation patterns, decision
making
styles, ethical practices
- risk arising from ditterences in language, lifestyle,
attitudes, customs, and religion, where a cultural
miscommunication or misunderstanding puts some
human value at stake
, iba 250 exam 1 Questions With Complete Solutions
9. Negotiation patterns Negotiations are required in many types of business
transac-
tions.
EX: where Mexicans are friendly and emphasize social
relations, Americans are assertive and get down to
business quickly
10. Decision-Making Styles Managers make decisions continually on the operations
and
future direction of the firm. For example, Japanese take
consid-
, iba 250 exam 1 Questions With Complete Solutions
erable time to make important decisions: Canadians tend to
be decisive, and "shoot from the hip".
11. Ethical Practices Standards of right and wrong vary considerably around
the
world. For example, bribery is relatively accepted in some
coun- tries in Africa, but is generally unacceptable in
Sweden
12. Country Risk harmful or unstable political system, laws, and
regulations un- favorable to foreign firms, bad legal
system, corruption, govnt intervention
13. country risk examples 1. The U.S. imposes taritts on imports of sugar and other
agri-
cultural products.
2. Doing business in Russia often requires paying
bribes to government oflcials.
3. Venezuela's government has interfered much with
the oper- ations of foreign firms.
4. Argentina has suttered high inflation and other
economic turmoil
14. Currency or financial Risk General risk of unfavorable exchange rate fluctuations
15. Commercial Risk Firms potential loss or failure from poorly developed or
execut-
ed business strategies, tactics, or procedures
16. Types of Firms that participate Multinational Enterprise (MNE), small and medium
sized enter-
in International Business: Enterprise: MNE
17. -Multinational
18. Small and medium sized en-
1. International Business Performance of trade and investment activities by firms
across
national borders
2. Globalization of Markets Ongoing economic integration and growing
interdependency
of countries worldwide
3. International Trade Exchange of products and services across national
borders;
typically, through exporting and importing
4. International Investment Transfer of assets to another country or the acquisition
of assets
in that country
5. International Portfolio
invest- ment passive ownership of foreign securities such as
stocks and bonds, to generate financial returns
6. 4 Risks of doing
international business Cross cultural, Country Risk, Currency (financial Risk),
Commer- cial Risk
7. Types of cross cultural risks cultural ditterences, negotiation patterns, decision
making
styles, ethical practices
8. Cross Cultural Risk - cultural ditterences, negotiation patterns, decision
making
styles, ethical practices
- risk arising from ditterences in language, lifestyle,
attitudes, customs, and religion, where a cultural
miscommunication or misunderstanding puts some
human value at stake
, iba 250 exam 1 Questions With Complete Solutions
9. Negotiation patterns Negotiations are required in many types of business
transac-
tions.
EX: where Mexicans are friendly and emphasize social
relations, Americans are assertive and get down to
business quickly
10. Decision-Making Styles Managers make decisions continually on the operations
and
future direction of the firm. For example, Japanese take
consid-
, iba 250 exam 1 Questions With Complete Solutions
erable time to make important decisions: Canadians tend to
be decisive, and "shoot from the hip".
11. Ethical Practices Standards of right and wrong vary considerably around
the
world. For example, bribery is relatively accepted in some
coun- tries in Africa, but is generally unacceptable in
Sweden
12. Country Risk harmful or unstable political system, laws, and
regulations un- favorable to foreign firms, bad legal
system, corruption, govnt intervention
13. country risk examples 1. The U.S. imposes taritts on imports of sugar and other
agri-
cultural products.
2. Doing business in Russia often requires paying
bribes to government oflcials.
3. Venezuela's government has interfered much with
the oper- ations of foreign firms.
4. Argentina has suttered high inflation and other
economic turmoil
14. Currency or financial Risk General risk of unfavorable exchange rate fluctuations
15. Commercial Risk Firms potential loss or failure from poorly developed or
execut-
ed business strategies, tactics, or procedures
16. Types of Firms that participate Multinational Enterprise (MNE), small and medium
sized enter-
in International Business: Enterprise: MNE
17. -Multinational
18. Small and medium sized en-
