TEST BANK For Global Business Today,
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12th Edition By Charles Hill Chapters 1 - 17
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,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
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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. Substantial=impediments,=such=as=barriers=to=foreign=direct=investment,=make=it=difficult=for=firms=
to=achieve=the=optimal=dispersion=of=their=productive=activities=to=locations=around=the=globe.
True False
8. The=World=Trade=Organization,=the=International=Monetary=Fund=and=its=sister=institution=the=
World=Bank,=and=the=United=Nations=were=all=created=by=voluntary=agreement=between=individual=na
tion-=states.
True False
, 9. The=International=Monetary=Fund=and=the=World=Bank=were=both=created=in=1944=by=44=nations=
that=met=at=Bretton=Woods,=New=Hampshire.
True False
10. The=WTO=is=seen=as=the=lender=of=last=resort=to=nation-
states=whose=economies=are=in=turmoil=and=whose=currencies=are=losing=value=against=those=of=other=
nations.
True False
11. The=IMF=is=less=controversial=than=its=sister=institution,=the=World=Bank.=
True False
12. In=return=for=loans,=the=IMF=requires=nation-
states=to=adopt=specific=economic=policies=aimed=at=returning=their=troubled=economies=to=stability=and=
growth.
True False
13. Foreign=direct=investment=(FDI)=occurs=when=a=firm=invests=resources=in=business=activities=
outside=its=home=country.
True False
14. After=World=War=II,=the=advanced=nations=of=the=West=committed=themselves=to=increasing=
barriers=to=the=free=flow=of=goods,=services,=and=capital=between=nations.
True False
15. The=Uruguay=Round,=held=under=the=umbrella=of=GATT,=extended=GATT=to=cover=services=as=well=
as=manufactured=goods.
True False
16. The=lowering=of=trade=and=investment=barriers=allows=firms=to=base=production=at=the=optimal=
location=for=that=activity.
True False
17. As=a=result=of=international=trade,=the=economies=of=the=world’s=nation-
states=are=becoming=less=intertwined.
True False
18. The=globalization=of=markets=and=production=and=the=resulting=growth=of=world=trade,=foreign
=direct=investment,=and=imports=all=imply=that=firms=are=finding=it=easier=to=protect=themselves=from
the=attack=of=foreign=competitors.
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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. Substantial=impediments,=such=as=barriers=to=foreign=direct=investment,=make=it=difficult=for=firms=
to=achieve=the=optimal=dispersion=of=their=productive=activities=to=locations=around=the=globe.
True False
8. The=World=Trade=Organization,=the=International=Monetary=Fund=and=its=sister=institution=the=
World=Bank,=and=the=United=Nations=were=all=created=by=voluntary=agreement=between=individual=na
tion-=states.
True False
, 9. The=International=Monetary=Fund=and=the=World=Bank=were=both=created=in=1944=by=44=nations=
that=met=at=Bretton=Woods,=New=Hampshire.
True False
10. The=WTO=is=seen=as=the=lender=of=last=resort=to=nation-
states=whose=economies=are=in=turmoil=and=whose=currencies=are=losing=value=against=those=of=other=
nations.
True False
11. The=IMF=is=less=controversial=than=its=sister=institution,=the=World=Bank.=
True False
12. In=return=for=loans,=the=IMF=requires=nation-
states=to=adopt=specific=economic=policies=aimed=at=returning=their=troubled=economies=to=stability=and=
growth.
True False
13. Foreign=direct=investment=(FDI)=occurs=when=a=firm=invests=resources=in=business=activities=
outside=its=home=country.
True False
14. After=World=War=II,=the=advanced=nations=of=the=West=committed=themselves=to=increasing=
barriers=to=the=free=flow=of=goods,=services,=and=capital=between=nations.
True False
15. The=Uruguay=Round,=held=under=the=umbrella=of=GATT,=extended=GATT=to=cover=services=as=well=
as=manufactured=goods.
True False
16. The=lowering=of=trade=and=investment=barriers=allows=firms=to=base=production=at=the=optimal=
location=for=that=activity.
True False
17. As=a=result=of=international=trade,=the=economies=of=the=world’s=nation-
states=are=becoming=less=intertwined.
True False
18. The=globalization=of=markets=and=production=and=the=resulting=growth=of=world=trade,=foreign
=direct=investment,=and=imports=all=imply=that=firms=are=finding=it=easier=to=protect=themselves=from
the=attack=of=foreign=competitors.
