BUS-D312 EXAM 1 QUESTIONS WITH VERIFIED
ACCURATE ANSWERS
globalization - Answers - describes the growing interdependence of the world's
economies, cultures and populations, brought about by cross border trade in goods and
services, technology and flows of investment, people and information
a process whereby worldwide interconnections in virtually every sphere of activity are
growing
culture - Answers - set of knowledge structures consisting of systems of values, norms,
attitudes, beliefs and behavioral meanings that are shared by members of a social
group and embedded in situations and learned from previous generations
effects of technology result from two connected activities: - Answers - - advances in
information technology reduce the cost of communication
- as organizations try to keep up with the changes, this globalization of trade increases
competition and contributes to the global spread and development of technology
tariffs - Answers - taxes used to restrict imports by increasing the price of goods and
services purchased from another country, making them less attractive to domestic
consumers
protectionist - Answers - protecting local industries against international competition; the
theory or practice of shielding a country's domestic industries from foreign competition
by taxing imports
outsourcing - Answers - the practice of hiring outside the organization to produce goods
or perform services that were traditionally provided by the company's own employees
-undertaken to reduce costs
offshoring - Answers - relocating a business function to a distant country
nearshoring - Answers - transferring a business process to a nearby country
benefits of outsourcing: - Answers - - larger workforces
- access to industry experts
- increased flexibility
disadvantages of outsourcing: - Answers - - geographical distance
- absence of day to day supervision by the client company
- different ethical standards
- leads to inefficiency and threatens security
, - running costs of BPO are underestimated or may increase unexpectedly
- cross cultural problems
downsizing - Answers - making an organization smaller by eliminating staff positions
mergers and acquisitions - Answers - more occur when organizations seek to remain
competitive in a more difficult international context; causes reductions in the workforce
privatization - Answers - a change of ownership in which public control over services is
handed over or sold to private enterprise organizations; done because it's believed that
a private organization will be more efficient than a a government department
- enables formerly government-controlled enterprises to be available for purchase by
foreign firms
- has a dramatic effect on work life and management in these firms
disadvantages:
- can lead to natural monopolies
migration - Answers - the movement of people from one place to another with the
intention of settling, permanently or temporarily, in a new location
flat world - Answers - one in which the economic playing field has been leveled for all
participants so that they all compete on equal terms
gross domestic product (GDP) - Answers - the monetary value of all the finished goods
and services produced within a country's borders in a specific time period; the strength
of a country's economy can be gauged/measured by the GDP
foreign direct investment (FDI) - Answers - an investment by a firm in a business in
another country; Important for developing countries because they need funding to help
local companies to expand to develop infrastructure and other projects to increase jobs
internet bubble - Answers - a historic speculative bubble and period of excessive
speculation mainly in the US between 1994 and 2000; a period of extreme growth in the
use and adoption of the internet
transition economies - Answers - a country that is changing from a centrally planned
economy to a market economy
totalitarianism - Answers - a system of government that is centralized and dictatorial and
requires complete subservience to the state
theocratic totalitarianism - Answers - the religious leaders are also the political leaders
ACCURATE ANSWERS
globalization - Answers - describes the growing interdependence of the world's
economies, cultures and populations, brought about by cross border trade in goods and
services, technology and flows of investment, people and information
a process whereby worldwide interconnections in virtually every sphere of activity are
growing
culture - Answers - set of knowledge structures consisting of systems of values, norms,
attitudes, beliefs and behavioral meanings that are shared by members of a social
group and embedded in situations and learned from previous generations
effects of technology result from two connected activities: - Answers - - advances in
information technology reduce the cost of communication
- as organizations try to keep up with the changes, this globalization of trade increases
competition and contributes to the global spread and development of technology
tariffs - Answers - taxes used to restrict imports by increasing the price of goods and
services purchased from another country, making them less attractive to domestic
consumers
protectionist - Answers - protecting local industries against international competition; the
theory or practice of shielding a country's domestic industries from foreign competition
by taxing imports
outsourcing - Answers - the practice of hiring outside the organization to produce goods
or perform services that were traditionally provided by the company's own employees
-undertaken to reduce costs
offshoring - Answers - relocating a business function to a distant country
nearshoring - Answers - transferring a business process to a nearby country
benefits of outsourcing: - Answers - - larger workforces
- access to industry experts
- increased flexibility
disadvantages of outsourcing: - Answers - - geographical distance
- absence of day to day supervision by the client company
- different ethical standards
- leads to inefficiency and threatens security
, - running costs of BPO are underestimated or may increase unexpectedly
- cross cultural problems
downsizing - Answers - making an organization smaller by eliminating staff positions
mergers and acquisitions - Answers - more occur when organizations seek to remain
competitive in a more difficult international context; causes reductions in the workforce
privatization - Answers - a change of ownership in which public control over services is
handed over or sold to private enterprise organizations; done because it's believed that
a private organization will be more efficient than a a government department
- enables formerly government-controlled enterprises to be available for purchase by
foreign firms
- has a dramatic effect on work life and management in these firms
disadvantages:
- can lead to natural monopolies
migration - Answers - the movement of people from one place to another with the
intention of settling, permanently or temporarily, in a new location
flat world - Answers - one in which the economic playing field has been leveled for all
participants so that they all compete on equal terms
gross domestic product (GDP) - Answers - the monetary value of all the finished goods
and services produced within a country's borders in a specific time period; the strength
of a country's economy can be gauged/measured by the GDP
foreign direct investment (FDI) - Answers - an investment by a firm in a business in
another country; Important for developing countries because they need funding to help
local companies to expand to develop infrastructure and other projects to increase jobs
internet bubble - Answers - a historic speculative bubble and period of excessive
speculation mainly in the US between 1994 and 2000; a period of extreme growth in the
use and adoption of the internet
transition economies - Answers - a country that is changing from a centrally planned
economy to a market economy
totalitarianism - Answers - a system of government that is centralized and dictatorial and
requires complete subservience to the state
theocratic totalitarianism - Answers - the religious leaders are also the political leaders
