1
MAN 3600 MULTINATIONAL BUSINESS
OPERATIONS COMPLETE STUDY GUIDE 2026
LATEST VERSION
Comprehensive Examination – Most Recent 2026 Updated Edition
Instructions: Select the single best answer for each question. This examination
covers the fundamental principles, theories, and practices of international
business as tested in the most recent 2026 MAN 3600 curriculum.
Section 1: The Nature & Dimensions of International Business
(Questions 1–15)
1. International business (IB) encompasses all value-adding
activities including:
A) Sourcing and manufacturing only
B) Marketing and sales only
C) Sourcing, manufacturing, and marketing across borders
D) Research and development only
Explanation: International business includes all value-adding
activities—sourcing, manufacturing, and marketing—that can be
performed in international locations.
2. International business is best defined as the:
A) Exchange of products between domestic firms
B) Performance of trade and investment activities by firms across
national borders
C) Regulation of global financial markets
D) Establishment of domestic supply chains
,2
Explanation: International business refers to the trade and
investment activities performed by firms across national borders,
typically involving multinational enterprises (MNEs) or multinational
corporations (MNCs).
3. Which of the following is NOT a major type of international
business activity for typical manufacturers?
A) Export
B) Import
C) Foreign Direct Investment (FDI)
D) Portfolio investments (capital)
Explanation: Portfolio investments (capital) are not a major type of
international business activity for typical manufacturers. The primary
activities are exporting, importing, and foreign direct investment
(FDI).
4. International trade can involve which of the following?
A) Products and services only
B) Capital and technology only
C) Know-how and labor only
D) Products, services, capital, technology, know-how, and labor
Explanation: International trade can involve a wide range of
exchanges including products, services, capital, technology, know-
how, and labor across national borders.
5. The ongoing economic integration and growing interdependency
of countries worldwide is known as:
A) International trade
B) Globalization of markets
C) Foreign direct investment
D) Cross-cultural integration
,3
Explanation: Globalization of markets refers to the ongoing economic
integration and growing interdependency of countries worldwide.
6. Which of the following is a key dimension of international
business?
A) Globalization of markets
B) Domestic manufacturing
C) Local sourcing
D) Regional distribution
Explanation: Key dimensions of international business include
globalization of markets, international trade, international
investment, international business risks, participants (firms,
intermediaries, facilitators, governments), and foreign market entry
strategies.
7. How do firms internationalize?
A) Through domestic expansion only
B) Through various entry strategies, such as exporting and foreign
direct investment (FDI)
C) Through government mandates only
D) Through reducing international operations
Explanation: Firms internationalize through various entry strategies,
such as exporting and foreign direct investment (FDI), allowing them
to expand operations across borders.
8. The sale of products or services to customers located abroad is
known as:
A) Importing
B) Exporting
C) Foreign direct investment
D) Licensing
, 4
Explanation: Exporting is the sale of products or services to customers
located abroad, a common entry strategy for firms entering
international markets.
9. Which of the following is a participant in international business?
A) Firms, intermediaries, facilitators, and governments
B) Only multinational corporations
C) Only national governments
D) Only financial institutions
Explanation: Participants in international business include firms,
intermediaries, facilitators, and governments, all of which play roles
in cross-border trade and investment.
10. The transfer of assets to another country or acquisition of
foreign assets is known as:
A) Foreign Direct Investment (FDI)
B) Portfolio investment
C) Exporting
D) Importing
Explanation: Foreign Direct Investment (FDI) involves the transfer of
assets to another country or the acquisition of foreign assets,
representing a significant commitment to international operations.
11. Which countries are among the leading countries in
merchandise trade?
A) Brazil and India
B) China, the United States, and Germany
C) Japan and South Korea
D) Russia and Canada
MAN 3600 MULTINATIONAL BUSINESS
OPERATIONS COMPLETE STUDY GUIDE 2026
LATEST VERSION
Comprehensive Examination – Most Recent 2026 Updated Edition
Instructions: Select the single best answer for each question. This examination
covers the fundamental principles, theories, and practices of international
business as tested in the most recent 2026 MAN 3600 curriculum.
Section 1: The Nature & Dimensions of International Business
(Questions 1–15)
1. International business (IB) encompasses all value-adding
activities including:
A) Sourcing and manufacturing only
B) Marketing and sales only
C) Sourcing, manufacturing, and marketing across borders
D) Research and development only
Explanation: International business includes all value-adding
activities—sourcing, manufacturing, and marketing—that can be
performed in international locations.
2. International business is best defined as the:
A) Exchange of products between domestic firms
B) Performance of trade and investment activities by firms across
national borders
C) Regulation of global financial markets
D) Establishment of domestic supply chains
,2
Explanation: International business refers to the trade and
investment activities performed by firms across national borders,
typically involving multinational enterprises (MNEs) or multinational
corporations (MNCs).
3. Which of the following is NOT a major type of international
business activity for typical manufacturers?
A) Export
B) Import
C) Foreign Direct Investment (FDI)
D) Portfolio investments (capital)
Explanation: Portfolio investments (capital) are not a major type of
international business activity for typical manufacturers. The primary
activities are exporting, importing, and foreign direct investment
(FDI).
4. International trade can involve which of the following?
A) Products and services only
B) Capital and technology only
C) Know-how and labor only
D) Products, services, capital, technology, know-how, and labor
Explanation: International trade can involve a wide range of
exchanges including products, services, capital, technology, know-
how, and labor across national borders.
5. The ongoing economic integration and growing interdependency
of countries worldwide is known as:
A) International trade
B) Globalization of markets
C) Foreign direct investment
D) Cross-cultural integration
,3
Explanation: Globalization of markets refers to the ongoing economic
integration and growing interdependency of countries worldwide.
6. Which of the following is a key dimension of international
business?
A) Globalization of markets
B) Domestic manufacturing
C) Local sourcing
D) Regional distribution
Explanation: Key dimensions of international business include
globalization of markets, international trade, international
investment, international business risks, participants (firms,
intermediaries, facilitators, governments), and foreign market entry
strategies.
7. How do firms internationalize?
A) Through domestic expansion only
B) Through various entry strategies, such as exporting and foreign
direct investment (FDI)
C) Through government mandates only
D) Through reducing international operations
Explanation: Firms internationalize through various entry strategies,
such as exporting and foreign direct investment (FDI), allowing them
to expand operations across borders.
8. The sale of products or services to customers located abroad is
known as:
A) Importing
B) Exporting
C) Foreign direct investment
D) Licensing
, 4
Explanation: Exporting is the sale of products or services to customers
located abroad, a common entry strategy for firms entering
international markets.
9. Which of the following is a participant in international business?
A) Firms, intermediaries, facilitators, and governments
B) Only multinational corporations
C) Only national governments
D) Only financial institutions
Explanation: Participants in international business include firms,
intermediaries, facilitators, and governments, all of which play roles
in cross-border trade and investment.
10. The transfer of assets to another country or acquisition of
foreign assets is known as:
A) Foreign Direct Investment (FDI)
B) Portfolio investment
C) Exporting
D) Importing
Explanation: Foreign Direct Investment (FDI) involves the transfer of
assets to another country or the acquisition of foreign assets,
representing a significant commitment to international operations.
11. Which countries are among the leading countries in
merchandise trade?
A) Brazil and India
B) China, the United States, and Germany
C) Japan and South Korea
D) Russia and Canada
