COMPETENCY 1 PRE-OA REVIEW TEST
QUESTIONS AND ANSWERS 2024 - 2025
The,resource-based,view,of,global,business,differs,from,the,institution-
based,view,of,global,business,in,that,the,resource-based,view,_____.,ANS,-
focuses,on,the,internal,strengths,on,the,firm
Which,of,the,following,is,true,of,globalization,according,to,the,"pendulum,view",perspective?,ANS,-
Globalization,is,a,not,a,one-directional,phenomenon.
The,_____,of,globalization,suggests,that,globalization,is,neither,recent,nor,one-directional.,ANS,-
pendulum,view
Which,of,the,following,is,true,of,semiglobalization?,ANS,-
It,is,a,type,of,globalization,that,lies,between,total,isolation,and,total,globalization.
Globalization,can,be,viewed,as:,ANS,-A,new,force,sweeping,through,the,world,in,recent,times.
A,long-run,historical,evolution,since,the,dawn,of,human,history.
A,pendulum,that,swings,from,one,extreme,to,another,from,time,to,time.
Name,the,three,views,of,globalization.,ANS,-A,recent,force,,a,long-running,evolution,,and,a,pendulum
The,_____,theory,viewed,international,trade,as,a,zero-sum,game.,ANS,-mercantilism
The,_____,principle,advocated,that,governments,should,actively,protect,domestic,industries,from,impor
ts,and,vigorously,promote,exports.,ANS,-protectionism
Which,of,the,following,is,a,modern,trade,theory?,ANS,-National,competitive,advantage
The,_____,theory,is,based,on,the,assumption,that,the,wealth,of,the,world,is,fixed.,ANS,-mercantilism
, Import,quotas,are,a,type,of,_____.,ANS,-tariff,barrier
According,to,the,theory,of,absolute,advantage,,under,free,trade,,ANS,-
Each,nation,gains,by,specializing,in,economic,activities,in,which,a,nation,has,absolute,advantage.
Which,of,the,following,is,NOT,a,nontariff,trade,barrier,(NTB)?,ANS,-Cultural,distance
Chile,requires,50,units,of,resource,to,produce,one,ton,of,wine,and,20,units,of,resource,to,produce,one,to
n,of,blueberries.,France,requires,30,units,of,resource,to,produce,one,ton,of,wine,and,40,units,of,resource
,to,produce,one,ton,of,blueberries.,Which,of,the,following,is,true?,ANS,-
France,has,a,comparative,advantage,in,wine.
Which,of,the,following,theories,does,NOT,lead,to,the,conclusion,that,unrestricted,free,trade,is,in,the,bes
t,interests,of,all,countries?,ANS,-Strategic,trade,theory
Free,trade,is,defined,as:,ANS,-
The,idea,that,market,forces,should,determine,how,much,to,trade,with,little,or,no,government,interventi
on.
According,to,the,theory,of,absolute,advantage,,under,free,trade,,ANS,-
each,nation,gains,by,specializing,in,economic,activities,in,which,a,nation,has,absolute,advantage.
Which,of,the,following,is,NOT,a,nontariff,trade,barrier,(NTB)?,ANS,-Cultural,distance
Protectionism,is,similar,to,mercantilism,as,they,both,advocated,_____.,ANS,-
government,involvement,in,international,trade
OLI,advantages,refer,to,a,firm's,quest,for,_____via,FDI.,ANS,-
ownership,advantages,,location,advantages,,and,internalization,advantages
MNEs',possession,and,leveraging,of,certain,valuable,,rare,,hard-to-
imitate,,and,organizationally,embedded,(VRIO),assets,overseas,in,the,context,of,FDI,refer,to,_____.,ANS,-
ownership
QUESTIONS AND ANSWERS 2024 - 2025
The,resource-based,view,of,global,business,differs,from,the,institution-
based,view,of,global,business,in,that,the,resource-based,view,_____.,ANS,-
focuses,on,the,internal,strengths,on,the,firm
Which,of,the,following,is,true,of,globalization,according,to,the,"pendulum,view",perspective?,ANS,-
Globalization,is,a,not,a,one-directional,phenomenon.
The,_____,of,globalization,suggests,that,globalization,is,neither,recent,nor,one-directional.,ANS,-
pendulum,view
Which,of,the,following,is,true,of,semiglobalization?,ANS,-
It,is,a,type,of,globalization,that,lies,between,total,isolation,and,total,globalization.
Globalization,can,be,viewed,as:,ANS,-A,new,force,sweeping,through,the,world,in,recent,times.
A,long-run,historical,evolution,since,the,dawn,of,human,history.
A,pendulum,that,swings,from,one,extreme,to,another,from,time,to,time.
Name,the,three,views,of,globalization.,ANS,-A,recent,force,,a,long-running,evolution,,and,a,pendulum
The,_____,theory,viewed,international,trade,as,a,zero-sum,game.,ANS,-mercantilism
The,_____,principle,advocated,that,governments,should,actively,protect,domestic,industries,from,impor
ts,and,vigorously,promote,exports.,ANS,-protectionism
Which,of,the,following,is,a,modern,trade,theory?,ANS,-National,competitive,advantage
The,_____,theory,is,based,on,the,assumption,that,the,wealth,of,the,world,is,fixed.,ANS,-mercantilism
, Import,quotas,are,a,type,of,_____.,ANS,-tariff,barrier
According,to,the,theory,of,absolute,advantage,,under,free,trade,,ANS,-
Each,nation,gains,by,specializing,in,economic,activities,in,which,a,nation,has,absolute,advantage.
Which,of,the,following,is,NOT,a,nontariff,trade,barrier,(NTB)?,ANS,-Cultural,distance
Chile,requires,50,units,of,resource,to,produce,one,ton,of,wine,and,20,units,of,resource,to,produce,one,to
n,of,blueberries.,France,requires,30,units,of,resource,to,produce,one,ton,of,wine,and,40,units,of,resource
,to,produce,one,ton,of,blueberries.,Which,of,the,following,is,true?,ANS,-
France,has,a,comparative,advantage,in,wine.
Which,of,the,following,theories,does,NOT,lead,to,the,conclusion,that,unrestricted,free,trade,is,in,the,bes
t,interests,of,all,countries?,ANS,-Strategic,trade,theory
Free,trade,is,defined,as:,ANS,-
The,idea,that,market,forces,should,determine,how,much,to,trade,with,little,or,no,government,interventi
on.
According,to,the,theory,of,absolute,advantage,,under,free,trade,,ANS,-
each,nation,gains,by,specializing,in,economic,activities,in,which,a,nation,has,absolute,advantage.
Which,of,the,following,is,NOT,a,nontariff,trade,barrier,(NTB)?,ANS,-Cultural,distance
Protectionism,is,similar,to,mercantilism,as,they,both,advocated,_____.,ANS,-
government,involvement,in,international,trade
OLI,advantages,refer,to,a,firm's,quest,for,_____via,FDI.,ANS,-
ownership,advantages,,location,advantages,,and,internalization,advantages
MNEs',possession,and,leveraging,of,certain,valuable,,rare,,hard-to-
imitate,,and,organizationally,embedded,(VRIO),assets,overseas,in,the,context,of,FDI,refer,to,_____.,ANS,-
ownership
