1. A German engineer plans to move to France and start working there for2 months. He only
needs to hold a valid identity card or passport to move
to France. This is due to .: EU has the feature of common market
stage of economic integration
2. Which drawback is involved when regional agreements are created?: Mem-ber countries
will trade less with nonmember countries.
3. What is a benefit of creating a regional economic integration agreement?-
: Accelerated economic growth
4. Which agreement was signed in 1994 and aims at removing trade barriersbetween
Canada, the United States, and Mexico?: NAFTA
5. Which agreement was formalized in 1993 to create an economic union tohelp member
countries form unified economic policies?: EU
6. A French tourist expects to have a 5 day vacation in Florida. Which of
the following would he prefer before going to Florida?: The U.S. dollar is weakrelative to Euro
7. A country's government allows its currency value to fluctuate within a certain range but
would manage the currency value once the fluctuation exceeds the range. This country has
been practicing .: A
peggedfloating exchange rate system
8. Which of the following is not a supplier of US dollars?: European investorswho want to
purchase bonds in the US bond market
9. A production facility employs over 200 workers who are under the age of
18. One worker describes unsafe working conditions and abusive supervisors.Which labor
convention is being violated by the employer?: Worst Forms of Child Labour
44. What is the reason to include a choice of law clause in the contract?: Itspecifies which
law applies to any disputes that could arise under the contract.
45. A US company and a Canadian company engage in a contract and decide to use US
contract law. What does Article 2 of the Uniform Commercial Code (UCC) govern?: The
performance of sales contracts.
46. Which factor contributes to the creation of a monopoly?: Control of exclu-sive right.
47. Which type of law is applicable if Company X contracted with Company Zto handle the
disposal of its waste from its production plant and the waste accidentally leaked into a local
water source?: Clean Water Act
48. Which type of duty is required to take care of the collective environmentacross the
nation?: Shared
, 49. Which one of the following is a legally binding international treaty onclimate change and
aim to limit global warming to well below 2 degrees Celsius?: The Paris Agreement
50. Microsoft, a U.S. company, has a contract with KYE Systems Corp., a Chinese
manufacturer, to assemble its products, the contract might include
that would require any contract dispute to be settled in accor-dance with
Washington State law.: A choice of law clause
51. A company is reviewing intangible assets that are covered by intellectualproperty laws.
Which asset is being reviewed?: Trademark
52. A large U.S. corporation is entering a foreign market but is having signifi-cant delays in
acquiring the necessary permits to begin operations. A local official tells the project manager
that a financial incentive should be paid
to speed up the permit process. The official stresses that other companies engage in this
practice and that it is acceptable in the local culture, so the project manager pays the incentive.
How is this action characterized?: It is aviolation of the U.S. Foreign Corrupt Practices Act.
53. What kind of system does the EU have for antitrust enforcement?: Central-ized
administrative system
54. What makes the enforcement of United Nations Environment Programmeregulations
difficult?: Sovereign rights of nations
55. A major footwear brand company is contracting the manufacturing of its products to a
contractor's manufacturing plant overseas. The footwear
company has been accused of turning a blind eye to sweatshop practices atother overseas
contract locations before. How should the footwear companyensure that the contractor will
comply with the standards set forth in the codeof conduct that explicitly prohibit this practice?:
Require that the factories be available for inspections
56. Which action is used by companies wishing to avoid working with vendorswho use
sweatshops?: Developing and imposing a company internal code of conduct for vendor labor
practices
57. What of the following is not included in WIPO (World Intellectual Property
Organization)'s strategic plan?: Approving the applications of patents
58. Which organization aims to develop a global intellectual property infra-structure?: WIPO
59. Managers at an international business are deciding the method by which itwill be
organized. The business is highly diversified, manufacturing a numberof different components
and parts for its industrialized customers. Which departmentalization structure should be used
by this company?: Product
60. Which organizational structure helps increase employee creativity, pro-ductivity, and
mutual accountability?: Team
61. Which of the following is true for divisional organizational structure?: Op-erationally