MAN 3600

In an export quote, the seller agreed to be responsible for the shipment of goods to the dock of a port in the buyer (importer)'s country EXCLUDING the costs of ocean shipping insurance. Which of the following incoterms do the seller and buyer use? CFR CIF FAS FOB None of the above - Answer CFR In the beginning of international venture, a firm most likely experience_____________: increasing risk and decreasing profits decreasing risk and increasing profits decreasing both ri...

Member of _____________ agree to adopt common tariffs and non-tariff barriers that are applied to imports from nonmember countries. customs unions free trade areas the NAFTA the EFTA - Answer customs unions _________________ is an economic bloc in Latin America. MERCOSUR ASEAN TPP NAFTA EU - Answer MERCOSUR OPEC is an example of ______________. international cartel free trade area political union economic union common market - Answer international cartel Wh...

________ refers to the superior features of a country that provide unique benefits in global competition, typically derived from either natural endowments or deliberate national policies. - Answer comparative advantage ________ is the belief that national prosperity is the result of a positive balance of trade, achieved by maximizing exports and minimizing imports. - Answer mercantilism Which of the following is an element of the comparative advantage principle? relative efficienc...

Currencies and Exchange Rates - Answer more than 150 currencies in use world wide *Convertible vs. non-convertible* currencies *Hard currencies* - most convertible currencies and universally accepted e.g. U.S. dollar, Japanese yen, Canadian dollar, British pound, and the European Euro *Exchange rate*: price of one currency in terms of another - exchange rates affect the fortunes of the firm in various ways -- costs of inputs, sales performance, which market entry strategies to us...

Realities of Doing Business in Russia - Answer - high rate of piracy in software, music, DVDs, and other goods - anti-piracy laws and law enforcement are weak - obtaining business licenses requires bribing officials - SMEs may expend 1/5 of their net income on bribes Country Risk - Answer exposure to potential loss or adverse effects on company operations and profitability caused by developments in a country's political and/or legal environments ~ also known as "political ...

COUNTRY RISK (POLITICAL) - Answer Exposure to potential loss or adverse effects on company operations and profitability caused by developments in a country's political and/or legal environments. DIMENSIONS OF COUNTRY RISK - Answer • HARMFUL OR UNSTABLE Political SYSTEM • LAWS AND REGULATIONS UNFAVORABLE TO FOREIGN FIRMS • INADEQUATE OR UNDERDEVELOPED LEGAL SYSTEM • BUREAUCRACY AND RED TAPE • CORRUPTION AND OTHER BLUNDERS • GOVERNMENT INTERVENTION, PROTECTIONISM, A...

The Nature of International Business - Answer - all value-adding activities (including sourcing, manufacturing, and marketing) can be performed in international locations. What can international trade involve? - Answer Products, services, capital, technology, know-how, and labor. How do firms internationalize? - Answer through various entry strategies, such as exporting and foreign direct investment (FDI) Dimensions of International Business - Answer - Globalization of marke...