TEST BANK For Global Business Today,
12th Edition By Charles Hill Chapters 1 - 17
,Chapter One Globalization
PART TWO National Differences
Chapter Two National Differences in Political, Economic, and Legal Systems
Chapter Three National Differences in Economic Development
Chapter Four Differences in Culture
Chapter Five Ethics, Corporate Social Responsibility, and Sustainability
PART THREE The Global Trade and Investment Environment
Chapter Six International Trade Theory
Chapter Seven Government Policy and International Trade
Chapter Eight Foreign Direct Investment
Chapter Nine Regional Economic Integration
PART FOUR The Global Monetary System
Chapter Ten The Foreign Exchange Market
Chapter Eleven The International Monetary System
PART FIVE The Strategy of International Business
Chapter Twelve The Strategy of International Business
Chapter Thirteen Entering Developed and Emerging Markets
PART SIX International Business Functions
Chapter Fourteen Exporting, Importing, and Countertrade
Chapter Fifteen Global Production and Supply Chain Management
Chapter Sixteen Global Marketing and Business Analytics
Chapter Seventeen Global Human Resource Management
,Answers are at the end of each chapter
Chapter 01 Globalization
True / False Questions
1. As a result of globalization, we have been moving toward a world in which national economies
are relatively self-contained entities.
True False
2. By offering the same basic product worldwide, firms help to create a global market.
True False
3. A company has to be the size of a multinational giant to facilitate, and benefit from, the
globalization of markets.
True False
4. As a result of globalization, companies rarely need to customize marketing strategies, product
features, and operating practices in different countries.
True False
5. Globalization has resulted in greater uniformity replacing diversity across national markets.
True False
6. As firms follow each other around the world, they bring with them many of the assets that
served them well in other national markets. Thus, greater diversity replaces uniformity.
True False
7. Substantialmimpediments,msuchmasmbarriersmtomforeignmdirectminvestment,mmakemitmdifficul
tmformfirmsmtomachievemthemoptimalmdispersionmofmtheirmproductivemactivitiesmtomlocationsmaround
mthemglobe.
True False
8. ThemWorldmTrademOrganization,mthemInternationalmMonetarymFundmandmitsmsisterminsti
tutionmthemWorldmBank,mandmthemUnitedmNationsmweremallmcreatedmbymvoluntarymagreementm
betweenmindividualmnation-mstates.
True False
, 9. ThemInternationalmMonetarymFundmandmthemWorldmBankmwerembothmcreatedminm1944mb
ym44mnationsmthatmmetmatmBrettonmWoods,mNewmHampshire.
True False
10. ThemWTOmismseenmasmthemlendermofmlastmresortmtomnation-
states whosemeconomiesmareminmturmoilmandmwhosemcurrenciesmaremlosingmvaluemagainstmthos
m
emofmothermnations.
True False
11. ThemIMFmismlessmcontroversialmthanmitsmsisterminstitution,mthemWo
rldmBank.mTrue False
12. Inmreturnmformloans,mthemIMFmrequiresmnation-
statesmtomadoptmspecificmeconomicmpoliciesmaimedmatmreturningmtheirmtroubledmeconomiesmtomst
abilitymandmgrowth.
True False
13. Foreignmdirectminvestmentm(FDI)moccursmwhenmamfirmminvestsmresourcesminmbusiness
mactivitiesmoutsidemitsmhomemcountry.
True False
14. AftermWorldmWarmII,mthemadvancedmnationsmofmthemWestmcommittedmthemselvesmto
mincreasingmbarriersmtomthemfreemflowmofmgoods,mservices,mandmcapitalmbetweenmnations.
True False
15. ThemUruguaymRound,mheldmundermthemumbrellamofmGATT,mextendedmGATTmtomcovermserv
icesmasmwellmasmmanufacturedmgoods.
True False
16. Themloweringmofmtrademandminvestmentmbarriersmallowsmfirmsmtombasemproductionmatm
themoptimalmlocationmformthatmactivity.
True False
17. Asmamresultmofminternationalmtrade,mthemeconomiesmofmthemworld’smnation-
statesmarembecomingmlessmintertwined.
True False
18. Themglobalizationmofmmarketsmandmproductionmandmthemresultingmgrowthmofmworldmtra
de,mforeignmdirectminvestment,mandmimportsmallmimplymthatmfirmsmaremfindingmitmeasiermtompro
tectmthemselvesmfrom
themattackmofmforeignmcompetitors.
12th Edition By Charles Hill Chapters 1 - 17
,Chapter One Globalization
PART TWO National Differences
Chapter Two National Differences in Political, Economic, and Legal Systems
Chapter Three National Differences in Economic Development
Chapter Four Differences in Culture
Chapter Five Ethics, Corporate Social Responsibility, and Sustainability
PART THREE The Global Trade and Investment Environment
Chapter Six International Trade Theory
Chapter Seven Government Policy and International Trade
Chapter Eight Foreign Direct Investment
Chapter Nine Regional Economic Integration
PART FOUR The Global Monetary System
Chapter Ten The Foreign Exchange Market
Chapter Eleven The International Monetary System
PART FIVE The Strategy of International Business
Chapter Twelve The Strategy of International Business
Chapter Thirteen Entering Developed and Emerging Markets
PART SIX International Business Functions
Chapter Fourteen Exporting, Importing, and Countertrade
Chapter Fifteen Global Production and Supply Chain Management
Chapter Sixteen Global Marketing and Business Analytics
Chapter Seventeen Global Human Resource Management
,Answers are at the end of each chapter
Chapter 01 Globalization
True / False Questions
1. As a result of globalization, we have been moving toward a world in which national economies
are relatively self-contained entities.
True False
2. By offering the same basic product worldwide, firms help to create a global market.
True False
3. A company has to be the size of a multinational giant to facilitate, and benefit from, the
globalization of markets.
True False
4. As a result of globalization, companies rarely need to customize marketing strategies, product
features, and operating practices in different countries.
True False
5. Globalization has resulted in greater uniformity replacing diversity across national markets.
True False
6. As firms follow each other around the world, they bring with them many of the assets that
served them well in other national markets. Thus, greater diversity replaces uniformity.
True False
7. Substantialmimpediments,msuchmasmbarriersmtomforeignmdirectminvestment,mmakemitmdifficul
tmformfirmsmtomachievemthemoptimalmdispersionmofmtheirmproductivemactivitiesmtomlocationsmaround
mthemglobe.
True False
8. ThemWorldmTrademOrganization,mthemInternationalmMonetarymFundmandmitsmsisterminsti
tutionmthemWorldmBank,mandmthemUnitedmNationsmweremallmcreatedmbymvoluntarymagreementm
betweenmindividualmnation-mstates.
True False
, 9. ThemInternationalmMonetarymFundmandmthemWorldmBankmwerembothmcreatedminm1944mb
ym44mnationsmthatmmetmatmBrettonmWoods,mNewmHampshire.
True False
10. ThemWTOmismseenmasmthemlendermofmlastmresortmtomnation-
states whosemeconomiesmareminmturmoilmandmwhosemcurrenciesmaremlosingmvaluemagainstmthos
m
emofmothermnations.
True False
11. ThemIMFmismlessmcontroversialmthanmitsmsisterminstitution,mthemWo
rldmBank.mTrue False
12. Inmreturnmformloans,mthemIMFmrequiresmnation-
statesmtomadoptmspecificmeconomicmpoliciesmaimedmatmreturningmtheirmtroubledmeconomiesmtomst
abilitymandmgrowth.
True False
13. Foreignmdirectminvestmentm(FDI)moccursmwhenmamfirmminvestsmresourcesminmbusiness
mactivitiesmoutsidemitsmhomemcountry.
True False
14. AftermWorldmWarmII,mthemadvancedmnationsmofmthemWestmcommittedmthemselvesmto
mincreasingmbarriersmtomthemfreemflowmofmgoods,mservices,mandmcapitalmbetweenmnations.
True False
15. ThemUruguaymRound,mheldmundermthemumbrellamofmGATT,mextendedmGATTmtomcovermserv
icesmasmwellmasmmanufacturedmgoods.
True False
16. Themloweringmofmtrademandminvestmentmbarriersmallowsmfirmsmtombasemproductionmatm
themoptimalmlocationmformthatmactivity.
True False
17. Asmamresultmofminternationalmtrade,mthemeconomiesmofmthemworld’smnation-
statesmarembecomingmlessmintertwined.
True False
18. Themglobalizationmofmmarketsmandmproductionmandmthemresultingmgrowthmofmworldmtra
de,mforeignmdirectminvestment,mandmimportsmallmimplymthatmfirmsmaremfindingmitmeasiermtompro
tectmthemselvesmfrom
themattackmofmforeignmcompetitors.
